|
contents | other | |||||||
| SP Holding Corporation Merges With Planetwide Games, Inc. SP Holding Corporation and Planetwide Games, Inc. a privately held innovative provider of branded online video games and proprietary software, based in Orange County, California, jointly announced that they have signed a letter of intent to merge. Under the terms of the letter of intent, the parties will enter into a definitive merger agreement whereby SP Holding Corporation will merge with Planetwide Games by issuing common shares of SP Holding Corporation common stock in exchange for all outstanding Planetwide Games common shares and the assumption of Planetwide stock options and warrants. Upon completion of the transaction, SP Holding Corporation stockholders will own approximately 5% of the post-merger company and Planetwide Games stockholders will own approximately 95% of the post-merger company, on a fully diluted basis. The combined companies will be renamed Planetwide Games, Inc. and continue Planetwide Games' current business. The merger is expected to be tax-free to the stockholders of both companies. The closing of the transaction is subject to the execution of a definitive merger agreement and other customary closing conditions. Upon the closing of the transaction, it is anticipated that Planetwide Games will have no less than $5 million of cash on its balance sheet and the combined companies will be debt free, other than normal trade payables. SP Holding Corporation will affect a reverse stock split of 1-for-300, as approved by stockholders in June 2005. write your comments about the article :: © 2005 Game News :: home page |