TORONTO, Jan. 10 /CNW/ - Eiger Technology (TSX: AXA, OTCBB: ETIFF)
("Eiger") today announced that it has revised its agreement with Foundation
Venture Leasing Inc. ("FVLI") regarding its sale of shares in Racino Royale
Inc. ("Racino"). Racino is a development stage entity positioned to invest in
An amended and restated purchase agreement dated as of January 8, 2008
and accompanying option agreement dated January 8, 2008 call for Eiger to sell
2,620,000 shares of Racino to FVLI for gross proceeds of $131,000 and to grant
FVLI an option to purchase an additional 2,620,000 shares at $0.05 per share
until September 1, 2008, as opposed to 14,021,600 shares as originally
contemplated. Post closing Eiger holds a 39% equity ownership position in
The revised agreement will enable Eiger to maintain a significant stake
in Racino, which has entered into a non-binding Letter of Intent to acquire
InterAmerican Gaming Corp ("InterAmerican"), a casino management company
focused on the Latin American markets.
Mr. John Simmonds, CEO of Eiger stated, "We believe that InterAmerican
Gaming is in an excellent position to capitalize on several significant market
opportunities in the Latin American land-based gaming market. Through our
stake in Racino, we are interested in assisting InterAmerican as it strives to
realize on its broad portfolio of projects and establish itself as a
significant mid-tier player in Latin America."
The abovementioned transactions are subject to regulatory approvals. The
full text of the amended and restated purchase agreement and the option
agreeent are available on a material change report for Eiger filed on SEDAR.
Eiger Technology, Inc., headquartered in Toronto, Ontario, is a
management company that is trades under the symbol AXA on the TSX Exchange and
under the symbol ETIFF on the NASD Over-the-Counter-Bulletin-Board. For more
information please call (416) 477-5656 or refer to www.sedar.com.
Racino Royale, Inc. is a development stage company that is quoted on the
NASD Over-the-Counter-Bulletin-Board and trades under the symbol RCNR. The
company recently entered into a non-binding Letter of Intent to acquire
InterAmerican is a private casino management company focused on Latin
America, combining experience in the Latin American gaming markets with
specialization in implementing industry-leading technology, systems and
marketing programs. It is currently pursuing acquisitions of existing
operations as well as developing casino projects with large hotel and resort
FVLI is part of the Foundation Markets group, a privately-held
Toronto-based merchant/investment banking group, which raises capital for
small- and mid-sized companies, advises and assists companies going public and
specializes in cross-border, multi-jurisdictional transactions.
The management of the company, who take full responsibility for its
content, prepared this press release. The Toronto Stock Exchange has not
reviewed and does not accept responsibility for the adequacy or accuracy of
this release. This press release contains forward-looking statements relating
to future events and results that are based on Eiger's current expectations.
These statements involve risks and uncertainties including, without
limitation, Eiger's ability to successfully develop and market its products,
consumer acceptance of such products, competitive pressures relating to price
reductions, new product introductions by third parties, technological
innovations, and overall market conditions. Consequently, actual events and
results in future periods may differ materially from those currently expected.
For further information:
For further information: Jason Moretto, Eiger Technology, Inc.,
Telephone: (416) 477-5656, Ext. 302, email@example.com