Extension to Worldwide Ability Software Rights

Formjet plc

('Formjet' or 'the Company')

 

Formjet reach Agreement to extend exclusive World wide licence rights of Ability Brand Software until September 2018

The board of Formjet plc, is pleased to announce that it has signed an extension of its Ability Software Exclusive World wide Distribution Agreement that was due to end in September 2010. The new Agreement will be for a term ending 30th September 2018, subject to termination on two years' notice from the licensor at any time.  Ability Software International Limited ("ASI") will continue to be granted exclusive distribution rights, worldwide, in respect of the software under the Ability brand, current retailer white label brands and new white label brands approved by the parties. The main commercial terms relating to royalty rates and payment dates remain the same for sales under these brands.

Andrew Monk, the recently appointed CEO, commented that "the Company currently has only one subsidiary, ASI Innovations, which distributes the ASI Ability software. This agreement allows us to take ASI innovations to the next level".

ASI Innovations is undergoing further restructuring to continue to drive down costs but also to look for new routes to market which may include some form of licence and royalty agreements similar to that already announced with a North American software provider.

The board is also, as previously stated, looking for acquisitions to grow the Company and this process is ongoing.

 ENQUIRIES:

 

Formjet plc                                                                             Tel: 01293 848 860

Andrew Monk, Chief Executive 
www.formjetplc.com

 

Shore Capital & Corporate Ltd                                            Tel: 0207 408 4090
Andrew Raca

This information is provided by RNS The company news service from the London Stock Exchange