SilverBirch Inc.
TSX VENTURE : SVB

SilverBirch Inc.

September 11, 2007 17:30 ET

SilverBirch Completes Crossroad Partnership

TORONTO, ONTARIO--(Marketwire - Sept. 11, 2007) - Further to the Press Release issued on June 6, 2007, SILVERBIRCH INC. (TSX VENTURE:SVB) announced today that it had completed the purchase of its sixty percent ownership share in CrossRoad Mobile, LLC., a mobile content, auction and mobile and landline billing company based in Dallas, Texas. The effective date of the acquisition is September 1, 2007, and the transaction is subject to approval of the TSX Venture Exchange.

The previously announced purchase price has since been modified to comprise US$200,000 cash on closing, 3,000,000 SilverBirch common share warrants at $0.20 and US$180,000 vendor note secured against Crossroad assets. SilverBirch also assumes CrossRoad's term debt in the amount of US$175,000. There is an associated finder's fee payable to Intellectual Investments, in the amount of 380,000 common shares of SilverBirch Inc.

In announcing the closing, SilverBirch CEO, Derek van der Plaat, repeated his earlier view that the acquisition augments the group's product range by forming a base for marketing to media companies in the USA. The investment should boost SilverBirch's sales immediately based on CrossRoad's current run rate and is expected to have a positive impact on earnings. CrossRoad's customers include Aetna, Amazon.com, AT&T Wireless, IDT, Microsoft (Tell-Me Networks), VeriSign and the Canadian Yellow Pages.

About SilverBirch Inc.

Toronto-based SilverBirch Inc. is a fully integrated developer, publisher and distributor of high quality interactive media content and, through its Jambo Mobile division, provides mobile marketing and direct-to-consumer mobile content. In addition, the company is a multi-platform video game developer and operates an MMORPG (massive multiplayer online role-playing game) called Metin 2 (see www.metin2.us). For more information, please visit www.silverbirchstudios.com and www.jambomobile.com.

Forward-Looking Statements - Certain information set forth in this news release, including management's assessment of future plans, contains forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond management's control, including the impact of general economic conditions, industry conditions, and currency fluctuations. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of the content of this news release.

Contact Information

  • SilverBirch Inc.
    Derek van der Plaat
    Chief Executive Officer
    (416) 621-6711 Ext 34
    Email: derek@silverbirchinc.com
    or
    Hogarth Communications Inc.
    Don Hogarth
    Media Relations
    (416) 565-8920
    Email: don@hogarthpr.com