12th Sep 2006 07:04
Emblaze Ltd12 September 2006 Emblaze signs agreement to purchase controlling stake in Formula Systems Ra'anana, Israel: Emblaze Ltd (Emblaze or "the Company") announces that it hasagreed to take effective control of Formula Systems (1985) Ltd (NASDAQ:FORTY)(Formula or "the Group") in a cash-based transaction to purchase 33.4% of theentire issued share capital from its largest shareholder, Fimgold PartnershipLtd. The overall impact on Emblaze cash is expected to be approximately $40million. Formula Systems (1985) Ltd, is a global solutions provider of technology,software and IT solutions for telecommunications companies, operators and a widerange of sectors in over 50 countries. Eli Reifman, Chief Executive Officer of Emblaze Ltd said: "This is a significantstep for Emblaze. Formula will sit well alongside our other major subsidiary,Emblaze Mobile, expanding on our business and assets base for future growth.Emblaze Mobile continues with better than expected performance and we expect thecombination to yield tremendous shareholder value in the medium term." Emblaze is announcing its interim results for the six months ended 30 June 2006on 25 September 2006. As stated in the trading update of 20 July 2006, Emblazeexpects results to be significantly ahead of management expectations and thatthe strong deal flow and business expansion will continue in the next twoquarters with significant increase in revenues from operations. The interimresults will not include figures from Formula. Management will set presentation meetings with Emblaze institutionalshareholders to explain the deal, its strategic value and impact onshareholders' value upon completion. Enquiries: Emblaze LtdDoron Cohen/Emblaze +972 9 7699831/339 Corfin CommunicationsHarry Chathli, Neil Thapar +44 20 7929 8989 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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