The Canadian Press
Financial information provider Stockhouse Inc. (TSXV:SHC) said Monday it has closed a deal to sell its media business assets to an unnamed investor group for a purchase price of $728,000.
Under the agreement, Stockhouse will also transfer $400,000 of its 18% secured debentures to the purchasers. As a result of this transaction, the company expects revenues to be reduced by approximately $1.3 million.
Stockhouse has also sold all related trademarks to the purchaser and intends to change its name at its annual stockholder meeting in December.
Stockhouse said it will also receive a five-year technology agreement worth $2.2 million to supply its financial software, tools and content to the media business, as well as a four-and-a-half year sub-lease agreement for office space, valued at $242,000.
“As a result of today’s sale, Stockhouse has significantly improved its balance sheet, signed a multi-million dollar licensing contract and focused the business on its core,” Stockhouse chief executive Marcus New said in a statement.
Stockhouse provides financial content and software solutions to media, corporate and financial services companies.
Stockhouse sells media business assets to unnamed investor group for $728,000
Company intends to change name at December shareholder meeting
- By: Canadian Press
- November 2, 2009 November 2, 2009
- 17:20