Manaccom Acquisition Completed

Sep 17, 2007

ASX RELEASE – Monday 17 September 2007

Jumbo Corporation Limited announced today that the acquisition of Manaccom has been completed successfully. The acquisition consideration of $2.5 million cash has been paid and 80 million shares have been issued (see attached Appendix 3B – New issue announcement and application for quotation of additional securities and agreement).

The change in the share structure of the Company is summarised below:

 

    Before   After
  Number of Fully Paid Ordinary Shares   368,071,110   448,071,110
  Options: 10c unlisted exp 4 July 2009   16,250,000   16,250,000
  Top 20 shareholders  

47%

 

56%

“Now that the acquisition has been completed successfully, we can focus on the task of preparing for the busy Christmas period ahead”, said Mr Mike Veverka, CEO of Jumbo Corporation.
 
“Manaccom has significant promotions planned ahead of the traditionally busy Christmas period”, said Mr Veverka. “The Jumbo lottery division has the Yahoo!7 site launch on 1 October 2007 in preparation for the November and December Superdraws”, said Mr Veverka.
 

Acquisition Background

 
The following is a summary of the acquisition process.
 
  • 25 June 2007 - Jumbo announced the signing of the Heads of Agreement to acquire Manaccom.
  • 23 August 2007 – Jumbo shareholders approved the issue of 80 million shares as part consideration.
  • 31 August 2007 – Jumbo signed the Sale Agreement.
  • 14 September 2007 – Transaction completed

About Jumbo

 
Following the acquisition of Manaccom, Jumbo is now logically divided into 3 divisions.
 
1. Lottery Division. Responsible for selling Australian lotteries to the public from www.ozlotteries.com and from stores in a number of Pacific countries including Fiji and Norfolk Island. The Company has signed an Alliance Agreement with Yahoo!7 and has Reseller Agreements with Tattersalls’ and NSW Lotteries Corporation.
 
2. IT Division – Manaccom. Publishes and markets popular software titles through large retailers and independent resellers. Key relationships include Harvey Norman, Dick Smith, Officeworks, JB  HiFi and Trend Micro. Manaccom received the Harvey Norman Software & Portable Media Supplier of the Year award in 2007.
 
3. Jumbo Interactive. This newly formed division generates, sells and manages Internet-based traffic and advertising. It includes JumboAffiliates.com which is a promotional network connecting Internet sellers (merchants) with online marketers (affiliates). New projects are planned to further grow the network’s traffic generation and sales capabilities.   Jumbo commenced operations in 1995 in the early days of the Internet with the development of one of the first e-commerce  systems  providing  online  merchants  with  tools  to  operate  their  own  online stores (www.jumbostore.com). Since then the Company has steadily grown and acquired businesses such as TMS Global Services to form the Lottery Division and Manaccom to form the IT Division.
 

For further Information:

Mike Veverka
CEO,  Jumbo Corporation
(07) 3831 3705


Media Assets
 17092007.pdf