14 January 2008
C Y Foundation Enters into Licensing Agreement with Canadian software provider Las Vegas From Home.com Entertainment
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China Gateway Proves attractive to 3rd Party Software developers
CYFoundation receives an Exclusive Right Payment of CDN$850,000.00 (HK$6,630,000.00)
(14 January 2008, Hong Kong) CY Foundation Group Limited (“C Y Foundation”, SEHK: 1182), the interactive media entertainment company focused on providing quality entertainment across China, has signed a Software Licensing Agreement (“SLA”) with Las Vegas From Home.com Entertainment (“LVFH”), a software developer of popular Asian multi-player games listed on the Toronto Stock Exchange (LVH.TSX).
The SLA allows LVFH to enter the China market and take advantage of the extensive distribution channel of C Y Foundation. This includes an agreement for LVFH to pay to CY Foundation CDN$850,000(HK$6,630,000) for the exclusive rights to operate both the popular “Fight the Landlord” (“Dou Di Zhu”) and “13 Card Poker” (“Shi San Zhang”) online games over C Y Foundation VPN in Henan Province and in the city of Beijing and its suburbs.
C Y Foundation provides 3rd party software developers a gateway into China’s vast online game market. Software developers such as LVFH are able to distribute their online games in a tournament format through C Y Foundation’s large distribution infrastructure of internet cafes.
Teddy Cheng, Executive Chairman of CY Foundation, commented “We are excited to represent LVFH products in China. They have an excellent multi-player software platform featuring popular Asian games perfectly suited for our target market. We have already tested the LVFH Dou Di Zhu software in our early tournaments in China with great success. We look forward to further penetrating the market with their online games and creating the most dynamic tournament platform in China.”
The online game market in China is estimated to have more than 45 million players and growing at over 35% per year, which reflects huge growth potential for the online tournament market. By concluding this transaction, C Y Foundation has increased the number of high quality tournament games on its tournament platform and reinforced its leadership position as the number one online tournament for prizes brand in China.
Kar Loon Sneah, the Group CEO, stated “This is the first phase of a 2-phase transaction. The second phase will entail a closer working relationship with LVFH that will allow us to further build out our distribution channels in the PRC gaming market and increase our revenue earning potential. We look forward to giving our investors more information on the second phase in the near future.”
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About CY Foundation
C Y Foundation is an interactive media entertainment company focused on providing quality entertainment across China. It is the only company dedicated to organizing and running P2P tournaments for prizes throughout China. The Group will provide "green" Internet cafés in China and a national electronic tournament platform to develop the online tournament gaming market. The Group will lead this charge with its flagship entertainment centers and through its PRC vehicle subsidiary, C Y Foundation Culture Company Limited, and its strategic partner, Network Movie Center of the Central Committee of the Communist Youth League of China.
Website: www.cyfoundation.com
For Further Information:
Strategic Financial Relations Limited
Mandy Go Tel: (852) 2864 4812 Email: mandy.go@sprg.com.hk
Brenda Liu Tel: (852) 2864 4851 Email: brenda.liu@sprg.com.hk
Fax:(852) 2804 2789 / (852) 2527 1196