MIAMI, Aug. 3, 2005 (PRIMEZONE) -- Atlantis Business Development Corporation, Inc. (OTCBB:ABDE) announced today to spin off its wholly owned subsidiary 727 Communications ("727") during the second half of 2005. As the transaction is now unanimously agreed upon and signed by the Board of Directors, a stock dividend will be issued to all Atlantis shareholders who are holding Atlantis shares of stock after the appropriate filings have been made with the Securities and Exchange Commission. This transaction will be done expeditiously according to the board of Directors. The record date for and other terms of the spin-off will be announced at a later date.
Atlantis CEO Christopher Dubeau stated that he believes the timing is right for 727 Communications because the business is on a rapid growth track, as evidenced by prior press releases, and has reached a level of maturity that will permit it to operate as a viable stand-alone business and public company. He further stated that he strongly believes Atlantis shareholders deserve the shares in the new public vehicle for being loyal and patient while 727 was being incubated and expanded.
Atlantis is undertaking a continued search for other companies for Atlantis to acquire, expand and eventually spin off, in keeping with ABDE's operating model.
About Atlantis Business Development:
Atlantis BusinessDevelopment Corporation, (ABDE) (http://www.atlantisbdc.com) is currently registered as a Business Development Corporation (BDC) in accordance and pursuant to Section 54 of the Investment Act of 1940. It seeks out Companies that are in their business development stage and invests in these Companies through various means. It also builds, creates, and funds its own profitable companies in order to produce greater future value to its shareholders. The Investment Company Act of 1940 was passed to encourage investing in developing businesses. The Act provides simpler access to public funds for the purpose of business development, with emphasis on regulation of expenditures, rather than regulation of fund-raising. Under the Act, the majority of publicly raised funds pursuant to the Act must be employed in developing businesses.
About 727 Communications:
727 Communications (http://www.727communications.com) was formed by Atlantis in March, 2005. 727 is a VOIP provider focusing on wholesale long distance within the continental US. A carrier contract has been signed between 727 and XO Communications for the purchase of bulk minutes at a very favorable rate. During the 1st quarter of operations, 727 has become one of XO's largest customers. 727 has recently also signed a two year $2,400,000 contract with Amekon Inc., a Russian broadcasting company, to sell 240 million minutes to Amekon.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this news release include certain predictions and projections that may be considered forward-looking statements under securities law. These statements involve a number of important risks and uncertainties that could cause actual results to differ materially including, but not limited to, the performance of joint venture partners, as well as other economic, competitive and technological factors involving the Company's operations, markets, services, products and prices. With respect to Atlantis Business Development Corp. (ABDE), except for the historical information contained herein, the matters discussed in this news release are forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. Potential risks and uncertainties include, but are not limited to, ABDE's extremely limited operating history, uncertainties related to the Company's access to additional capital, competition and dependence on key management.