INCLINE VILLAGE, NV--(Marketwired - Oct 28, 2014) - Consorteum Holdings, Inc. ("Consorteum" or the "Company") (OTCQB: CSRH), an international transaction management and mobile solutions provider, today announced that it has entered into a multi-year license agreement with NYG Holdings LLC ("NYG"), a Nevada limited liability company. Pursuant to a Sale Order approved by the U.S. Bankruptcy Court for the Northern District of California, NYG purchased various assets from named debtors Game2Mobile and Tarsin Inc., including right, title and interest in the CAPSA platform.
In October 2012, the Company reached an exclusive licensing agreement with Tarsin, Inc. that allowed the Company to license the CAPSA platform to sell mobile gaming and wagering programs throughout Canada, Mexico, as well as certain customers in the United States. In connection therewith, the Company remitted certain sums as advances against the license. Subsequent to the parties entering into the license agreement, Tarsin Inc. filed a voluntary petition for bankruptcy protection in the U.S. Bankruptcy Court. Northern District of California. The Company was a creditor in this Case No. 13-53607. As discussed in greater detail in the Company's Annual Report on Form 10K for the year ended June 30, 2014, the Company elected to reserve the entire amount of the Tarsin receivable until the outcome of the Bankruptcy Case was determined.
The Bankruptcy Court's approval of the sale of Debtor's assets, including CAPSA to NYG, paved the way for NYG and Consorteum to enter into a new, enhanced multi-year license agreement. The parties have agreed to an initial term of five years, renewable annually upon mutual agreement. Pursuant to the terms of the license, CSRH shall have the ability to modify aspects of the CAPSA platform, combine it with other technological advances created by CSRH's development subsidiary, ThreeFiftyNine ("359"), and rebrand and market it under a new name. CSRH also obtained sublicense rights under the new arrangement. Under the terms of the NYG license agreement, the Company will receive credit for sums advanced pursuant to the previous Tarsin, Inc. license. The new license agreement also provides for royalty payments to NYG beginning 18 months after the Effective Date of the license agreement.
Commenting on the new license agreement with NYG, Craig Fielding, CEO of Consorteum and President of 359, stated, "We are thrilled to have the ability to combine certain attributes of the NYG platform with 359's mobile hybrid solution. Securing the rights to build upon this regulatory-approved platform further enhances our exciting mobile product offerings."
About Consorteum Holdings, Inc.
Consorteum Holdings, Inc. is a transaction management and mobile publishing company focused on transaction processing, including its suite of mobile offerings, delivery of mobile content, mobile payments solutions and products through a mix of on-deck partnerships, license agreements, and joint venture revenue share arrangements. It operates as a technology and services aggregator to meet the diverse needs of its client base by leveraging a wide range of products and services to develop end-to-end, turn-key card and payment transaction processing solutions. The Company has extensive expertise within the Payments and Transaction Industry in North America and internationally. For more information about the Company, please visit: www.consorteumholdings.com
Forward-Looking Statements
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