BAY CITY, Michigan and TORONTO, Oct. 21, 2003 (PRIMEZONE) -- Ugomedia Interactive Corporation (OTCBB:UGMI) (name change to Sciax Corporation pending) announced today that its Board of Directors has voted to declare a stock dividend, reorganizing its corporate structure with a view to maximizing growth potential and enhancing shareholder value.
A principal feature of this reorganization is to spin-off approximately 12% of the shares of a newly incorporated company, Sciax Defense USA Inc., to UGMI shareholders of record as of October 30, 2003. The balance of shares in the new company will be owned by UGMI.
Sciax Defense USA Inc. will acquire 100% of the shares of Sciax Defence Systems Inc., currently a wholly owned subsidiary of UGMI. Sciax Defence Systems Inc. is the company in which all future intellectual property within the UGMI corporate family will be held. It is anticipated that upcoming intellectual property could be licensed to users outside UGMI's target markets.
The Dividend will consist of 1(one) share of Sciax Defense USA Inc. for every 4.5 shares of UGMI by each shareholder of record. The date of record for the dividend is October 30, 2003.
Nitin Amersey, Chairman and CEO, commented, "We expect upcoming patents to significantly strengthen the technological foundations of our products and we intend to fully exploit any licensing opportunities for these patents in other fields."
Ken Smart, President and Sciax founder, stated, "We are in the process of finalizing the filings for several patent applications and are taking these steps to enhance the licensing and growth potential of our intellectual property. This spin-off will allow Sciax Defense USA Inc. to independently seek financing for any technology or patents it may seek to develop, license, purchase or sell."
About SCIAX
Sciax is an emerging leader in defense imaging systems for law enforcement and military personnel engaged in counter-terrorism and other special security operations. Sciax America Inc. and Sciax Technology Inc. are wholly owned subsidiaries of UGOMEDIA INTERACTIVE CORPORATION (A NASDAQ OTCBB/Ticker UGMI). A name change from UGOMEDIA INTERACTIVE CORP. to SCIAX CORPORATION is pending.
Sciax is the manufacturer of WolfPack, a tactical remote viewing system (TRVS(TM)) used by law enforcement and military organizations in North America and Europe. Customers include, military and law enforcement agencies of the US and German Governments, contraband interdiction units of Canada Customs, and LAPD-SWAT.
This release contains forward-looking statements with respect to the results of operations and business of Sciax Technology Inc., Sciax America Inc. and Ugomedia Interactive Corp. which involves risks and uncertainties. The Company's actual future results could materially differ from those discussed. Risks and uncertainties of the Company will be detailed from time to time in the Company's periodic reports. The company intends that such statements about the Company's future expectations, including future revenues and enforcement and defense optical imaging system earnings, and all other forward looking statements be subject to the "safe harbors" provision of the Private Securities Litigation Reform Act of 1995.