Comamtech Inc.
NASDAQ : COMT

May 14, 2009 16:30 ET

Copernic Inc. Announces the Sale of its Search Assets

QUEBEC, CANADA--(Marketwire - May 14, 2009) - Copernic Inc., (the "Company"), (NASDAQ:CNIC), a leading software development company in the technology sector, specializing in internet, desktop and mobile search products, today reported that it entered into an agreement to sell Mamma.com and its third party Ad Network for USD 5 million to Empresario, a privately owned digital media network based in Chicago, Illinois. The transaction is subject to customary closing conditions, including the approval of the sale by the shareholders of Copernic.

Copernic's desktop search business including CDS Corporate, CDS Professional, and CDS Home products along with Copernic Agent, Summarizer and Tracker will be retained.

Shareholder approval will be solicited at the Company's Annual General Meeting and Special Shareholders' Meeting on June 17, 2009 with the transaction anticipated closing on or before June 30, 2009. The purchaser will pay the purchase price by way of 25 equal monthly payments of USD 200,000. The agreement also stipulates that if the purchaser makes a monthly payment of less than USD 200,000, as required, the purchase price shall be increased by the amount of any shortfall. The outstanding balance of the purchase price will bear interest at the rate of 4% per year, compounded monthly and shall accrue on a monthly basis. All such interest shall be paid 30 days after all of the outstanding amounts on the purchase price are due and payable. Title to the sold assets shall remain with the Company until all amounts due by the purchaser have been paid in full.

Proceeds from the sale of these assets will be utilized to invest in research and development to grow the Copernic desktop search business.

Marc Ferland, President and CEO of Copernic stated that "search and graphic advertising revenue has been in significant decline over the past 3 years due to industry concentration in a few very large competitors and consolidation of mid and low tier players. It was time to crystallize the value of this important asset and concentrate our resources in building winning products in the desktop search market segment. Backed by over 10 years of product development, Copernic can create shareholder value by the application of proven technology and new proprietary advancements. With the size of our company, Copernic needs to focus on developing and marketing products where we have the resources and expertise. Empresario, a search partner for many years, has a unique set of assets and market positioning to capitalize on Mamma.com and its Ad Network."

With the acquisition of Mamma.com, Empresario will now be able to offer strategic value to its advertisers. Juan Rodriguez, SVP Empresario, stated that "Mamma.com has a loyal user base spanning generations and cultures, and our primary focus will be to enhance the user experience on Mamma.com, creating additional value, for both, our users and advertisers".

About Copernic Inc.

Copernic Inc. specializes in developing, marketing and selling cutting-edge search technology, providing innovative home and business software products and solutions for desktop, web and mobile users, through its online properties, including www.mamma.com and www.copernic.com.

About Empresario Inc.

Empresario is a privately owned digital media network based in Chicago, Illinois. Empresario operates a meta-search platform, multiple content driven community sites, and an advertiser network that spans across several vertical markets.

Empresario also offers quality web services to distinguished publishers. Its white-label product line allows digital publishers to leverage Empresario's web applications and network infrastructure under their own brands.

Statements contained in this press release, which are not historical facts, are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties that can cause actual results to differ materially from estimated results. Such risks and uncertainties are detailed in the Company's filings with the Securities and Exchange Commission and the Ontario Securities Commission. The Company expressly disclaims any intent or obligation to update any description of the scope, focus or subject matter of the statements in this press release.

Contact Information