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TORONTO, June 18, 2021 (GLOBE NEWSWIRE) – Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT) (“Media Central” or the “Company”), a publicly traded media asset holding company that trades on the Canadian Stock Exchange, today announced an update day following his press release of February 4. , 2021, which, as part of the Company’s 2021 strategic growth plan, has entered into an agreement with Creator News Inc. (“Creator News”).
Creator News has developed a software platform (the “Platform”) to act as a global aggregator of the best artistic, cultural and entertainment content. The new digital platform will focus on media consumers interested in topics such as arts, culture, film, music, books, technology, real estate and food. The Company and Creator News have entered into an agreement (the “Agreement”) dated June 18, 2021 pursuant to which the Company’s holdings, including The Georgia Straight, NOW Magazine, CannCentral.com and eCentralSports.com will license its content to the Platform.
The Company had previously offered to develop Creator News as a wholly owned subsidiary, with Creator Stack, Inc. (together with Creator News, the “Creator Companies”) which would also provide digital products complementing the Company’s existing products and services. . offerings. However, given the limited resources of the Company, it was subsequently determined that it would be more advantageous for the shareholders of the Company if the creator companies were developed and fully funded by third parties, and for Media Central to allow then the use of the respective platforms and content. . The Company has entered into discussions with some of its shareholders in this regard, whereby it was agreed that these shareholders would finance the development cost of the Creative Companies and their respective digital platforms, following which (i) the Company would license the agreements to use these platforms; and (ii) the Company would be granted a 25% interest in each of the Founding Companies without additional consideration (the “External Development Proposal”). The Company has formed a special independent committee to review and make recommendations regarding the external development proposal, and the committee, after review, recommended approval by the board of directors.
The Agreement includes a “related party transaction” within the meaning of Multilateral Instrument 61-101 Protection of holders of minority securities in special transactions (“IM 61-101”). The license agreement was exempt from the valuation requirement of NI 61-101 under the exemptions set out in section 5.5 (b) of NI 61-101, as the common shares of the Company are not listed on a specified market and minority shareholder approval requirements. of MI 61-101 under the exemption provided for in article 5.7 (1) (a) of MI 61-101 in that the fair market value of the Agreement did not exceed 25% of the market capitalization of Media Central. Since the material change report disclosing the Agreement is filed less than 21 days before the transaction, NI 61-101 is required to explain why the shorter period was reasonable or necessary in the circumstances. In Media Central’s view, it was necessary to sign the Agreement immediately and therefore such a short period was reasonable and necessary in the circumstances for sound business reasons, as the Company did not know when the Agreement would be. concluded.
About Media Central Corporation Inc.Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT) is an alternative media company set to acquire and develop high quality publishing assets starting with the recent acquisition of Vancouver Free Press Corp., the purchase of NOW Communications Inc. and the launch of the digital cannabis platform CannCentral.com and ESports point of sale ECentralSports.com.www.mediacentralcorp.comInstagram: @mediacentralcorpTwitter: @mediacentralcFacebook: Media Central Corp.
About Vancouver Free Press Corp.Vancouver Free Press Corp., owns and operates Georgia Straight and straight.com. Established in 1967 as Vancouver’s news, lifestyle and entertainment weekly, the Georgia Straight has been an integral part of the active urban west coast lifestyle for over 50 years. The print edition of Straight is published weekly on Thursdays and daily online at www.straightc.om The Georgia Straight features an award-winning editorial collection of features, articles and reviews. Regular coverage includes news, tech, arts, music, fashion, travel, health, cannabis and food, plus Vancouver’s most comprehensive listings of entertainment and special events. . Vancouver Free Press Corp. is a wholly owned subsidiary of Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT).www.straight.comInstagram: @georgiastraightTwitter: @georgiastraightFacebook: @georgiastraight
About NOW Central Communications Inc.NOW Central owns and operates NOW Magazine and nowtoronto.com. Since 1981, NOW has been the voice of information and entertainment in Toronto, published in the press every Thursday and daily at nowtoronto.com. NOW has been a leading, defining and pioneering independent and alternative voice publication for over 38 years. NOW Central Communications Inc. is a wholly owned subsidiary of Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT).www.nowtoronto.comInstagram: @nowtorontoTwitter: @nowtorontoFacebook: facebook.com/nowmagazine
About CannCentral Inc.With unique daily content appealing to both new and experienced cannabis users, Canncentral is on its way to becoming the leading digital publisher for all things cannabis. Canncentral Inc. is a wholly owned subsidiary of Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT).
About ECentralSportsECentralSports is a vibrant digital destination for eSports fans looking for the latest news, competitive gaming coverage, analysis, events, lifestyle features and game culture. ECentralSports is an affiliate of wholly owned by Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT).https://ecentralsports.com/Instagram: @ecentralsportsTwitter: @ecentralsportsFacebook: @ecentralsports
The CSE has not reviewed and accepts no responsibility for the adequacy or accuracy of this release.
CAUTION REGARDING FORWARD-LOOKING STATEMENTS Certain information contained in this press release constitutes forward-looking statements under applicable securities laws. All statements contained in this press release that are not statements of historical fact can be considered as forward-looking statements. Forward-looking statements are often identified by words such as “may”, “should”, “anticipate”, “expect”, “potential”, “believe”, “intend” or the negative of these terms. and similar expressions. Forward-looking statements contained in this press release may include, but are not limited to, statements regarding internal expectations and expectations regarding the direction of the new media platform and its content. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving; the inability to access sufficient capital from internal and external sources, and / or the inability to access sufficient capital on favorable terms; the media industry in general, income tax and regulatory matters; the ability of Media Central and the creative companies to execute their respective business strategies; competition; currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing list is not exhaustive and that they should carefully consider the various risks and uncertainties identified in the documents filed by the Company on SEDAR. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will be achieved. This information, although considered reasonable by management at the time of its preparation, may prove to be incorrect and actual results may differ materially from those anticipated.
The forward-looking statements included in this press release are made as of the date of this press release and the Company does not undertake to publicly update these forward-looking statements to reflect new information, subsequent events or otherwise, unless applicable securities do not require it. laws.
The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
SOURCE: Media Central Corporation Inc.
Source: Media Central Corporation Inc.