Transaction Summary • MNZ is a listed ‘shell’ that has no operating activities o Has a contingent receivable of $750,000 subject to earn-out up until 31 December 2013 (as a result of the sale of MNZ’s underlying business – Ring Back Tones Pty Ltd as announced in February 2013) • MNZ is seeking to acquire DealsDirect on an equity for equity basis and simultaneously conduct a capital raising of c$8.0 million • Key aspects of the acquisition by MNZ of DealsDirect are: o MNZ to issue ordinary shares to DealsDirect security holders as consideration o DealsDirect to be valued at $15 million (subject to completion of due diligence) o MNZ to be valued at $1.2 million inclusive of the $750,000 contingent receivable (subject to completion of due diligence) Consistent with intrinsic value and price of recent capital raising in October 2013 o A capital raising of c$8.0 million will comprise an Exempt component (c$5million) and a Retail component (c$3 million) – to be conducted under a prospectus o MNZ to undertake a 1:200 share consolidation Note: all acquisition and capital raising shares to be issued on a post consolidation basis • The acquisition of DealsDirect, the capital raising and other elements of the transaction are all subject to shareholder approval
MNZ Price at posting:
$3.60 Sentiment: Hold Disclosure: Not Held