Park Avenue Investment Corporation
TSX VENTURE : PAI.P

September 27, 2007 09:29 ET

Park Avenue Investment Corporation Announces Update to Qualifying Transaction and Filing of Exchange Filing Statement

TORONTO, ONTARIO--(Marketwire - Sept. 27, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA OR OVER UNITED STATES WIRE DISTRIBUTION SERVICES

Park Avenue Investment Corporation ("Park Avenue")(TSX VENTURE:PAI.P) today provided an update of its proposed qualifying transaction (the "Business Combination") with Electric-Spin Corporation ("Electric-Spin"), previously announced on March 22, 2007 and updated on August 30, 2007.

Park Avenue filed a filing statement (the "Filing Statement") dated September 26, 2007 with the TSX Venture Exchange (the "Exchange") and applicable securities commissions disclosing its Business Combination with Electric-Spin. The Filing Statement is available for review on the SEDAR website under Park Avenue's profile at www.sedar.com.

Park Avenue entered into a share exchange agreement dated August 30, 2007 with Electric-Spin and each of the shareholders of Electric-Spin (the "Share Exchange Agreement"), pursuant to which 38,314,654 common shares of Park Avenue will be issued to Electric-Spin shareholders at a deemed price of approximately $0.2088 per common share in exchange for all of the issued and outstanding shares in the capital of Electric-Spin.

The proposed Business Combination is anticipated to close on October 5, 2007. The Business Combination will constitute Park Avenue's Qualifying Transaction pursuant to the Exchange's policies.

About Park Avenue Investment Corporation

Park Avenue is a corporation existing under the laws of the Province of Ontario and is a reporting issuer in the Provinces of Ontario, Alberta and British Columbia. Park Avenue is authorized to issue an unlimited number of common shares (the "Park Avenue Shares") and there are currently 7,184,000 Park Avenue Shares issued and outstanding. Park Avenue has granted options to acquire an aggregate of 718,400 Park Avenue Shares at an exercise price of $0.25 per share to directors, officers and consultants of Park Avenue (the "Park Avenue Options"). Other than the Park Avenue Options, no other securities of Park Avenue, convertible or exchangeable into shares of Park Avenue, are outstanding.

Trading in the Park Avenue Shares has been suspended for failure to complete a Qualifying Transaction within 24 months of listing on the Exchange. The Exchange has advised that Park Avenue must complete its Qualifying Transaction (or satisfactorily file all documentation to transfer to the NEX in the event that it fails to do so) on or prior to October 9, 2007 in order to avoid the delisting of Park Avenue's securities.

Further information regarding Park Avenue can be found in the Park Avenue's public disclosure record available at www.sedar.com.

About Electric-Spin Corporation

Electric-Spin is a private corporation existing under the laws of Canada. Electric-Spin is authorized to issue an unlimited number of common shares (the "Electric-Spin Shares"), and there are currently 1,129,500 Electric-Spin Shares outstanding.

Based in Woodbridge, Ontario, Electric-Spin has become a leader in home golf simulation, sold under its brand name, Golf Launchpad, and is dedicated to becoming the worldwide leader in interactive sports simulation products. Its first product, Golf Launchpad for the PC/Mac was introduced at the Electronics Entertainment Expo (E3) in May, 2004. In January, 2006, Electric-Spin's second product, Golf Launchpad for the PS2, introduced at the Consumer Electronics Show in Las Vegas, won the CES Innovations Award in its class. On January 2nd, 2007, at this year's Consumer Electronics Show, Electric-Spin in partnership with NDS Ltd., a subsidiary of News Corp., introduced an XTV application of Golf Launchpad that enables users to plug Golf Launchpad into a set-top box, and play along with their favorite golfers during televised tournaments. This service is anticipated to be commercially available in 2008.

As noted above, completion of the Qualifying Transaction is subject to a number of conditions, including, but not limited to, acceptance by the Exchange and if applicable pursuant to Exchange requirements, majority of the minority shareholder approval. Where applicable, the Qualifying Transaction cannot close until the required approvals have been obtained. There can be no assurance that the Qualifying Transaction will be completed as proposed or at all. Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared in connection with the proposed Qualifying Transaction, any information released or received with respect to the proposed Qualifying Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of a capital pool company should be considered to be highly speculative. This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of Park Avenue. These risks and uncertainties could cause actual results and Park Avenue's plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice.

Park Avenue assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change. The Exchange has in no way passed upon the merits of the proposed Qualifying Transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • Park Avenue
    Barry Reiter
    Director
    (416) 777-6500