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CALGARY, June 21, 2016 /CNW/ - Axia
NetMedia Corporation ("Axia") (TSX: AXX) announced today that Digital Connection (Canada)
Corp. (the "Purchaser"), an entity which is owned by investment vehicles managed and/or advised by Partners Group AG or its
affiliates ("Partners Group"), has exercised its right to further extend the outside date for completion of the
previously announced plan of arrangement (the "Arrangement") involving the acquisition by the Purchaser of all of the issued
and outstanding common shares of Axia from June 30, 2016 to July 30,
2016.
The outside date has been extended again because Axia and the Purchaser do not anticipate receiving Federal
Communications Commission ("FCC") approval of the proposed Arrangement in time to permit closing to occur in June
2016. Axia considers FCC approval to be the only outstanding substantive condition to the completion of the
Arrangement. Discussions with the FCC are ongoing and Axia and the Purchaser are working diligently together in order to
obtain FCC approval of the Arrangement as quickly as possible. Although Axia is confident that FCC approval can be obtained,
Axia is not able to predict when approvals will be obtained and closing of the Arrangement will occur.
Further details regarding the Arrangement can be found in Axia's management information circular dated
April 7, 2016, which is filed on Axia's SEDAR profile at www.sedar.com and is available on Axia's website at www.axiafibrenet.com.
About Axia
Axia owns, operates and sells services over fibre optic communications infrastructure. Axia trades on the
Toronto Stock Exchange under the symbol "AXX".
About Partners Group
Partners Group is a global private markets investment management firm with over EUR 46
billion (USD 50 billion) in investment programs under management in private equity, private
real estate, private infrastructure and private debt. The firm manages a broad range of customized portfolios for an international
clientele of institutional investors. Partners Group is headquartered in Zug, Switzerland, and has
offices in San Francisco, Houston, New
York, São Paulo, London, Guernsey, Paris, Luxembourg, Milan, Munich, Dubai, Mumbai, Singapore, Shanghai, Seoul, Tokyo and Sydney. The firm employs over 800 people and is listed on the SIX
Swiss Exchange (symbol: PGHN) with a major ownership by its partners and employees.
Forward-Looking Information
This press release contains forward-looking statements and forward-looking information within the meaning of
applicable securities laws and which are based on the expectations, estimates and projections of management of Axia as of the date
of this news release unless otherwise stated. The use of any of the words "expect", "anticipate", "continue", "estimate",
"objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to
identify forward-looking statements or information. More particularly and without limitation, this press release contains
forward-looking statements and information concerning Axia's expectations regarding the timing for receiving FCC approval of the
Arrangement and closing the Arrangement, Axia's belief that the receipt of such approvals are the only outstanding substantive
condition precedent to closing the Arrangement, and Axia's belief that FCC approval of the Arrangement can be obtained. In
respect of the forward-looking statements and information, Axia has provided such information in reliance on certain assumptions
that it believes are reasonable at this time, including assumptions as to the ability of the parties to receive, in a timely manner
and on satisfactory terms, the necessary FCC approvals; the ability of the parties to satisfy, in a timely manner, the other
conditions to the closing of the Arrangement that have not yet been satisfied; and other expectations and assumptions concerning
the Arrangement. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained
in this press release. Since forward-looking statements and information address future events and conditions, by their very
nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due
to a number of factors and risks. Risks and uncertainties inherent in the nature of the transaction include the failure of Axia to
obtain FCC approval, or to otherwise satisfy the conditions to the completion of the Arrangement, in a timely manner, or at all.
Failure to so obtain such approvals, or the failure of the parties to otherwise satisfy the conditions to or complete the
Arrangement, may result in the Arrangement not being completed on the proposed terms, or at all. In addition, if the Arrangement is
not completed, and Axia continues as an independent entity, there are risks that the announcement of the Arrangement and the
dedication of substantial resources of Axia to the completion of the transaction could have an impact on Axia's current business
relationships (including with future and prospective employees, customers, distributors, suppliers and partners) and could have a
material adverse effect on the current and future operations, financial condition and prospects of Axia. Furthermore, the failure
of Axia to comply with the terms of the arrangement agreement may result in Axia being required to pay a fee to Partners Group, the
result of which could have a material adverse effect on Axia's financial position and results of operations and its ability to fund
growth prospects and current operations. Readers are cautioned that the foregoing list of factors is not exhaustive.
Additional information on other factors that could affect the operations or financial results of Axia are included in reports on
file with applicable securities regulatory authorities. The forward-looking statements and information contained in this press
release are made as of the date hereof and the parties undertake no obligation to update publicly or revise any forward-looking
statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable
securities laws. This release does not constitute an offer to purchase or a solicitation of an offer to sell securities.
Shareholders are advised to review any documents that may be filed with securities regulatory authorities and any subsequent
announcements because they will contain important information regarding the Arrangement and the terms and conditions thereof.
SOURCE Axia NetMedia Corporation
