SALES ONLINE DIRECT, INC.
ACQUIRES ASSETS OF CHANNELSPACE ENTERTAINMENT, INC.
WORCESTER, Mass.--(BUSINESS WIRE)--November 9, 2000--Sales OnLine Direct,
Inc. (OTC BB: PAID) (the "Company"), an Internet collectibles portal, announced
it has acquired a substantial portion of the assets of ChannelSpace
Entertainment, Inc., a Virginia corporation ("CSEI") and Discribe, Ltd.
("Discribe"), a Canadian corporation wholly owned by CSEI.
"This is a momentous step for collecting on the Net," declares Greg Rotman,
Chief Executive Officer of the Company, "Two giants of online collecting have
joined forces to create the ultimate one-stop E-Commerce and information source
for collectors on the net."
CSEI and Discribe (key word "Clans" on America On Line (NYSE:AOL) are
converged Internet content providers and producers of affinity portals,
including the CollectingChannel.com and the CelticChannel.com
(http://www.collectingchannel.com) websites. CollectingChannel has earned solid
credibility within the collecting industry through its associations with such
major factors as Yahoo (Nasdaq: YHOO), eBay(R) (NASDAQ: EBAY) and PAX Television
(AMEX:PAX).
"Having worked with the Sales OnLine Direct for several years now, I am
ecstatic to become part of such a winning team," says Barry Friedman, former
co-founder and co-chairman of CSEI, who assumes the post of Chief of Strategy.
"CollectingChannel.com adds powerful capabilities and resources, including over
four million words of professionally written collecting content and our Passion
search engine with a staggering 1.4 million entries."
"CollectingChannel also brings a significant broadcast capability to Sales
Online Direct," notes Steve Sanford, CSEI co-founder and co-chairman, who will
now serve as the Company's Chief Operating Officer. "We have 19,000 minutes of
digitized broadcast footage dedicated to collecting."
"This historic merger also adds Maloney's Resource Guide to Antiques and
Collectible (http://www.maloneysonline.com)," says Richard Rotman, the Company's
Chief Financial Officer. "This includes Dealer Directories, Museum and Library
Listings, Restoration Services, Suppliers of Parts and more."
The consideration paid by the Company for the acquired assets was 7,530,000
shares of the Company's common stock, which shares are not being registered at
this time, plus $300,000 worth of the Company's common stock which is to be
registered. The unregistered shares will be held in escrow for the purposes of
complying with the Rule 144 holding period and securing certain indemnity
obligations made by CSEI in the acquisition documents. The escrow shares are
subject to additional lock-up restrictions.
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"The addition of these assets opens exciting avenues for the Company and
broadens the Company's offerings," Greg Rotman adds. "We are pleased to take
this step forward in our efforts to become a leading Internet portal and
community in the collectibles industry."
The Company is an Internet collecting portal with its primary online
collectibles websites located at "www.collectingexchange.com" and
"www.rotmanauction.com". The Company is focused on the creation of a unique and
multi-faceted Internet collectibles market place that services all aspects of
the purchase, ownership and sale of collectibles. The Company derives revenues
from the sale at auction of collectibles from its own inventory as well as from
merchandise under consignment arrangements with the public; sale of advertising
on its websites; and fees for services such as appraisals and gradings.
Future announcements about the Company's purchase of assets from
ChannelSpace Entertainment, Inc and additional Company plans will be
forthcoming.
Contact: Sales OnLine Direct Inc.
Penny LaFortune
Investor Relations
508-754-4889
Or
Arnie Katz
News Coordinator
702-648-5677
Email: [email protected]
This release contains forward-looking statements within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934 that are based upon current expectations or beliefs, as well as a number
of assumptions about future events. Although the Company believes that the
expectations reflected in the forward-looking statements and the assumptions
upon which they are based are reasonable, it can give no assurance that such
expectations and assumptions will prove to have been correct. The reader is
cautioned not to put undue reliance on these forward-looking statements, as
these statements are subject to numerous factors and uncertainties, including
without limitation, successful implementation of the Company's business strategy
and competition, any of which may cause actual results to differ materially from
those described in the statements. In addition, other factors that could cause
actual results to differ materially are discussed in the Company's most recent
Form 10-QSB and Form 10-KSB filings with the Securities and Exchange Commission.
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