Placing to raise approx GBP1m

22 Jul 2005 09:22

22 July 2005 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES, CANADA, JAPAN OR AUSTRALIA 121Media, Inc ("121Media" or the "Company") Placing of 517,500 new common shares of $0.001 (the "Placing Shares") at 200 pence per share (the "Placing Price") to raise approximately ‚£1million before expenses (the "Placing") 121Media, the online contextual advertising company, today announces thatCanaccord Capital (Europe) Limited, on behalf of the Company, has conditionallyplaced 517,500 new common shares of $0.001 ("Common Shares") at 200 pence pershare to raise ‚£1,035,000 (‚£950,000 net of expenses). The Placing isconditional, inter alia, upon admission of the Placing Shares to trading onAIM and upon the necessary shareholder resolution having been duly passed at aspecial meeting of shareholders of the Company convened for 8 August 2005 inorder to disapply and remove the share pre-emption rights contained in theCompany's Certificate of Incorporation that would otherwise apply to the issueof the Placing Shares.Application will be made for the Placing Shares to be admitted to trading onAIM and trading of the Placing Shares is expected to commence on 9 August 2005.The Placing Shares will represent approximately 6.5 per cent of the enlargedissued common share capital of the Company.121Media delivers and manages targeted, contextual online advertising campaignson behalf of its clients. These clients are primarily the owners of well knownconsumer brands or online advertising agencies.Summary: * 121Media will receive ‚£1,035,000 before expenses (approximately ‚£950,000 net of expenses) * 121Media intends to use the proceeds from the Placing to continue development of its PageSense Javascript application as announced in the Company's AGM statement on 23 June 2005. This particular application does not require the participation of any other party and is aimed at optimising the value of untargeted advertising, which comprises most of today's online market, by turning it into targeted advertising at a premium rate. * Since December 2004, 121Media has increased its average daily user base by 50 per cent and its operational staff by 40 per cent. Kent Ertugrul, Chief Executive of 121Media, said:"121Media has achieved substantial progress in a relatively short period oftime; by raising these funds now, we have the opportunity to accelerate themomentum of the Company and specifically our unique PageSense Javascriptoffering.In the past six months we have seen the rapid development of new opportunitiesrelated to PageSense and with these funds we are well placed to take fulladvantage of those opportunities." -Ends- Enquiries:121Media Inc. 0870 405 7727 Kent Ertugrul, Chief Executive Hogarth Partnership 020 7357 9477 John Olsen / Barnaby Fry / Ed Westropp END121 MEDIA INC