CoMedia Corporation (Pink Sheets:SPNI) is pleased to announce that CEO Robert W. Bell and President Stephen White have concluded negotiations resulting in the signing of a letter of intent whereby CoMedia Corporation will acquire all of the outstanding equity of Watchfire Music LLC, a privately held Los Angeles based web-centric music producer and distributor featuring Inspirational, Sacred, Spiritual and Christian music – selling single songs and CDs downloaded directly to consumers, affiliated ecommerce stores and retail sales through on-site and ecommerce Church stores.
Steven White, President of CoMedia, stated, “The opportunity to acquire Watchfire Music provides CoMedia with additional digital channels of distribution through their outstanding web presence and catalogue of music.” Mr. White added, “The acquisition adds to our revenue base and provides additional media platforms to create products, services and enhance our existing distribution channels. We feel that there is a tremendous overlap in our core market, the sports centric male 25 to 55, those interested in family oriented entertainment and the faith based market focus of Watchfire.”
James Birch, President of Watchfire Music, stated, “We believe that our business model is a perfect fit with the existing activities of CoMedia and its subsidiaries. We are excited about the opportunity to rapidly expand our business in conjunction with the CoMedia management team. We will gain access to CoMedia's marketing and distribution expertise, their retail distribution capability and their digital distribution channels on the web, as well as the mobile phone market.” Birch, added, “Most importantly, integrating our Web-centric focus with CoMedia’s existing web marketing and community building operations adds an important new dimension to our operations and revenue streams.”
Watchfire has an established music catalogue and is licensing Christian Contemporary Music, the oldest and best known sound within Christian music, Gospel in all its forms, as well as Praise and Worship, a well established niche within Christian music. Christian music has strong denominational overtones through the message of the lyrics. Inspirational music as defined by Watchfire Music is non denominational, or trans denominational. Inspirational music certainly includes Christian artists, but we also carry Jewish, Eastern tradition, Transcendental, and music from more than 100 ’mega-churches.’ Watchfire markets to 120 million self-defined religious believers (commonly referred to as the faith community) without the limitations of ties to any specific religion.
Watchfire’s approach to the market is evident at their ecommerce Website www.watchfiremusic.com featuring many of the company’s artists, Inspirational Song of the Day, streaming video artist performances, free sample audio tracks, iTunes library, and state-of-the-art ecommerce functionality.
James Birch, President of Watchfire has an extensive production background working with Los Angeles based national advertising agencies to create TV programming built around musical properties such as the New Orleans Jazz Festival, Guitar Magic with BB King. Jim is responsible for the day-to-day operations of Watchfire Music coordinating Internet marketing, music production and artist-licensing activities. Jim holds an MBA from Harvard Business School in Consumer Behavior.
Peter Link, Creative Director for Watchfire, is best known for his work as a composer and music producer in New York City. His work on and off Broadway earned him a wall of awards including a Gold Record, a Drama Desk Award, and several Tony Nominations. For two decades Link Recording Studio has been the musician’s choice in NYC for recording and mixing independent music productions.
Extensive review of the transaction has been completed and a final closing is subject to many unresolved factors including but not limited to approval of the final definitive agreements by both Boards of Directors. Other required approvals must be obtained as needed and the transaction is subject to the approval of a majority of Watchfire shareholders. There is no guarantee that final acquisition and working capital financing arrangements will be completed, that the parties will reach a final agreement or that the transaction will close on the terms set forth as agreed in the letter of intent.
About CoMedia Corporation: www.thecomediacorp.com
CoMedia develops intellectual properties for use on our proprietary media platforms to create products, services and use our distribution channels to reach the tens-of-millions of people in our target markets. We are focused on building Social Networks around Sports Centric males in the 24 to 55 age group. CoMedia delivers unique solutions and recognition for our brands by developing Digital Entertainment for Online and Offline, Broadcast/Cable TV and retail distribution. We also utilize our marketing and licensing expertise to create content and distribute it as digital programming, in the form of audio books, music, DVDs, animation, and family entertainment.
This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Expressions of future goals and similar expressions reflecting something other than historical fact are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies, successful integration of acquisitions, the ability to secure additional sources of financing, the ability to reduce operating expenses and other factors. The actual results that the company achieves may differ materially from any forward-looking statements due to such risks and uncertainties. The company undertakes no obligations to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
