FORT LAUDERDALE, Fla. -- Destination Television, Inc. (OTCBB:DSTV) has entered into a letter of intent to acquire Miami based, American Broadcast Group, LLC.
American Broadcast Group ("ABG") is a local and regional digital signage company that operates in five metropolitan areas: Miami, Austin, Orlando, Dallas and San Antonio, and is moving forward with plans to expand into four new markets in the next 12 months. These markets should generate significant annual local sales volume in the first year as a combined company. ABG's network of sales agents aligned with Destination Television's new business model and with the recently announced plan to acquire Charter Digital Media could provide an exceptional sales organization for local, regional and national advertisers for Destination Television's network locations. By adding local advertisers, Destination Television expects to spread the fixed costs of maintaining a network for national advertisers across thousands of screens and create a secure revenue stream for continued growth in its location content subscription division.
Gordon Scott Venters, President and CEO of Destination Television stated, "The acquisition of American Broadcast will complete our initial plan of integrating a local, regional and national advertising sales force, which specializes in digital signage and will build upon our foundation for future growth."
Fred Durham, ABG's President/CEO said, "I am energized with the promise of a local and regional advertising sales force by aligning American Broadcast Group with Destination Television. Destination Television's networks, national sales, and technology will be a dynamic collaboration that mutually benefits each of our business models through diversification and market share."
This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results, specifically in the areas of future sales growth and profitability. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, the effect of government regulation, competition and other material events.
