PEMBROKE PINES, Fla., April 5, 2004 (PRIMEZONE) -- AngelCiti Entertainment, Inc. (OTCBB:AGEL) announced that the board of directors unanimously approved the spin off of its online poker operations into a separate publicly traded company. AngelCiti's wholly owned subsidiary, Worldwide Management, will split off its online poker operations into a separate company to more fully exploit the meteoric growth of the online poker industry. While online gaming itself continues to grow at a dramatic pace, the online poker industry has grown over 500% in the past year according to statistics provided by PokerPulse.com, with an estimated $16 billion to be wagered at online poker websites this year.
"Management strongly feels that the company is undervalued and is pursuing a strategy to increase value for shareholders," remarked AngelCiti president George Gutierrez. "We are working with our investment bankers in attempting to get the new publicly traded online poker company on a more prestigious stock exchange, with a focus on moving that company to the American Stock Exchange. AngelCiti's stake in the online poker company combined with its ongoing online casino software operations, should materially enhance the company's overall market value and gain greater exposure for the company."
The Travel Channel's 13-week WORLD POKER TOUR series was a huge ratings success on television, quickly becoming the highest-rated programming on the network in 2003, highlighting poker's growth and popularity. The show captivated many of the nation's 50 million poker enthusiasts. This past year's World Series of Poker attracted a record 839 players and $2.5 million was won by a player who qualified by winning an online tournament at PokerStars.com.
The Industry
A Bear Stearns report for the industry pegged annual revenue at $4.2 billion for 2003, while Christiansen Capital Advisors predicts a slightly more rosy picture pointing to an estimated $4.5 billion in revenue for calendar year 2002, saying 2005 revenue could exceed $10 billion. PokerPulse.com estimates that approximately $46,237,221 is wagered at online poker sites during any given 24 hour period.
The Company
AngelCiti's wholly owned subsidiary Worldwide Management provides gaming software to numerous online casinos including SharkCasino.com, SharkPoker.com and TheHouseWins.com, and currently services casinos in English, Spanish, German, Chinese and Japanese and provides software for the online poker site Sharkpoker.com.
This news release contains forward-looking statements regarding AngelCiti's business strategies and future plans of operations. Forward-looking statements involve known and unknown risk and uncertainties. The company's risks and uncertainties include: intense price competition, economic, political and regulatory uncertainties, the need to raise additional capital for growth and expansion and its reliance on the internet as a means for promoting the software it sublicenses. The forward-looking statements contained in this news release speak only as of the date hereof and AngelCiti disclaims any obligation to provide public updates, revisions or amendments to any forward-looking statements made herein to reflect changes in AngelCiti's expectations or future events.