Public Media Works Inc. announced it has signed a letter of intent to acquire Cochrane, Alberta, Canada-based Mediamatic Ventures Inc. The companies anticipate the definitive agreement for an all-stock transaction will be executed in the next six to eight weeks, pending the completion of PMW's currently ongoing due diligence.
According to company CEO Jeremy Ostrowski, VideomaticCanada has the second largest Canadian network of kiosks that rent and sell DVD movies and video games.
"With more than 67 DVD movie and game kiosk stores currently installed or being staged, and 25 more on order, we expect to have 92 kiosks up and running throughout Canada by August of this year," Ostrowski said.
VideomaticCanada reports it is transforming from the traditional disk dispensing kiosk to also allow customers to acquire downloadable content to almost any music or PDA device. Customers can also view titles online and reserve or buy entertainment content at a location of their choice.
"Becoming part of Public Media Works will enable us to expand throughout Canada, multiplying our kiosk operations from coast-to-coast," Ostrowski said.
The completion of the acquisition is subject to the negotiation and execution of a definitive acquisition agreement and the completion of the audit of VideomaticCanada.
