GoFish Corporation (OTCBB:GOFH), the leading publicly-traded
online video company where millions of people come to watch, upload
and share videos, today announced it has agreed to acquire Bolt, Inc.
(aka Bolt Media) in a stock-for-stock transaction valued at up to $30
million. The combined company will develop made-for-Internet
programming that is ideally suited for advertisers targeting the 18-34
year-old demographic.
The acquisition will enable GoFish, one of the fastest-growing
video sites on the Internet, to distribute its original short form
programs through Bolt's online properties, including Bolt.com, a
popular youth-oriented website focused on enabling people to interact
and express themselves in unique ways through user-generated media
including video, photos and personal blogs. Bolt, which reported sales
in 2006 of approximately $7 million (unaudited), counts Coca-Cola,
Verizon Wireless, Nike, Sony and various other Fortune 500 companies
among its repeat advertisers. GoFish, with its pipeline of original
programs such as America's Dream Date(TM) and Artist Voices(TM), will
benefit from the reach and creative nature of Bolt's online community
as well as the scale of Bolt's advertising sales capabilities.
"Bolt is one of the Internet's great youth brands and a perfect
fit for GoFish," said Michael Downing, co-founder and CEO of GoFish.
"Bolt's blue chip advertisers recognize that the company excels at
marketing to online communities. We wanted to acquire a large,
creative audience to interact and participate in our original
programming, as well as a sales organization to package these shows
for premium advertisers. We expect Bolt to deliver on both fronts."
The combination will create the largest independent online video
company on the Web with roughly 7 million monthly unique visitors in
the U.S., according to Comscore Media Metrix, and over 19 million
globally.
"The future of online video lies in nurturing the creative
generation to produce made-for-Internet content that will accelerate
the migration of advertising dollars from television to the Internet,"
said Aaron Cohen, co-founder and CEO of Bolt Media who, along with
Bolt's President, Jay Gould, will join GoFish when the merger is
completed. "The combined company will create better programming for
our audiences and our advertisers. Couple this with a valuable public
currency, Bolt's large audience, and a roster of blue-chip
advertisers, and we now have the platform to consolidate the industry
and build a business with significant scale."
Both companies have approved the transaction, which is subject to
approval by Bolt's stockholders and certain additional closing
conditions, and is expected to close in March or April of 2007.
About GoFish Corporation
GoFish Corporation, (OTCBB:GOFH) headquartered in San Francisco,
is a leading consumer online video destination that, in two years, has
grown to deliver millions of videos per month to a rapidly growing
audience of enthusiasts. An early entrant into the user-generated
video sector and the first publicly-traded company in the space,
GoFish is a place on the web where millions of people come to upload,
share and watch their favorite videos from around the world. For more
information about the company, go to www.gofish.com.
About Bolt
A creative network constantly changes. Social interaction begins
with creativity. Bolt members upload anything - a photo, video, comedy
sketch, song - to get feedback. Feedback spurs more creativity and the
formation of a broader audience. Based in New York with 22 employees,
Bolt gives members an audience. For more information about the
company, go to www.bolt.com.
Forward-Looking Statements
This press release contains 'forward-looking statements' within
the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934. Although the
forward-looking statements in this release reflect the good faith
judgment of management, forward-looking statements are inherently
subject to known and unknown risks and uncertainties that may cause
actual results to be materially different from those discussed in
these forward-looking statements including, but not limited to, our
inability to generate sufficient operating cash flow from advertising
revenue, a reduction in the demand for user-generated video and
related services, a fall-off in search engine directed traffic to our
web site, and general economic conditions. Readers are urged to
carefully review and consider the various disclosures made by us in
the our reports filed with the Securities and Exchange Commission,
including those risks set forth in the Company's Current Report on
Form 8-K filed on October 31, 2006, which attempt to advise interested
parties of the risks and factors that may affect our business,
financial condition, results of operation and cash flows. If one or
more of these risks or uncertainties materialize, or if the underlying
assumptions prove incorrect, our actual results may vary materially
from those expected or projected. Readers are urged not to place undue
reliance on these forward-looking statements, which speak only as of
the date of this release. We assume no obligation to update any
forward-looking statements in order to reflect any event or
circumstance that may arise after the date of this release.
