Empire Accepts 90% Acquisition From Silverstar

Officials from Silverstar Holdings Ltd. have announced the 90% acceptance of its acquisition bid for Britain's Empire Interactive (FlatOut 2, Taito Legends), first announced at the end of October. The offer for the remaining shares remains open until December 15th. As originally announced, the maximum amount due on closing would see Empire receiving approximately $7.2 million, or, should even Empire's management elect the earn-out alternative, the maximum amount due on closing would be $6.15 million, with an additional $6.4 million due in a second payment on the 2007 date. Additionally, Silverstar has offered further incentive payments due on April 30, 2008, subject to Empire achieving certain EBITDA targets for the year ended June 30, 2007. Empire Interactive has developed and published a number of titles for console platforms in the US, Europe and Asia, most recently with titles such as Starsky & Hutch, Big Mutha Truckers, Ford Racing and FlatOut. In addition, its Xplosiv imprint has brought a number of budget titles to Europe, including an assortment of retro collections from Taito. Silverstar CEO Clive Kabatznik said “the Empire acquisition heralds a new era for Silverstar Holdings. With sizable operations in North America and Europe, we are extremely well positioned as one of the largest independent interactive entertainment software publishers in the world." He added, “With the closing of the Empire acquisition, we look forward to the further creation of shareholder value as we integrate Empire Interactive and continue to implement our long-term strategic plan.”