RTG Ventures in Talks With Strategic Merger Partners to Augment Social Media Offering
NEW YORK, Jan. 26, 2012 /PRNewswire/ -- In a Letter to Shareholders last year, RTG Ventures, Inc. (OTCQB: RTGV) cited that it was one of the few digital technology companies in the micro-cap public market. The reference was intended to be positive and to encourage value based investors to acknowledge the opportunity to buy shares, hold and to grow with the Company.
Experience has now suggested that most digital technology companies are private for very good strategic reasons. These private companies attract huge valuations on a concept and are given the time to develop the product, including everything from minor revisions to wholesale changes. That process is called "pivoting", an accepted practice of making certain the product is market ready. Private companies receive cash injection from venture capital intended to fund the lifecycle of the technology development. Compare this to small tranches of cash infusion subject to the vicissitudes of the trading implicit in the micro-cap markets. The timeframe is too short to affect the kind of sustainable progress required when building a sustainable Company. Then there is the pressure required to produce 'news' which is then used to churn and take any short-term profit available. These dynamics make for an erratic, not a stable environment.
That is the environment in which RTG finds itself. As a part of the strategic re-alignment undertaken by the Board in the Fall, the identification of a US-private Company which was much further along in its development cycle and would benefit from a public presence to reach the next stage of growth was identified as a corporate objective. In November Reggie James and Linda Perry had preliminary discussions with several companies who meet the criteria and were interested in a joint venture with a public company in the social media space which could evolve into a merger of like-minded entities. This bodes well as the digital technology industry is US-centric with global reach, often based in the San Francisco/Bay Area during initial technology development stage and then Los Angeles in the case of media and entertainment operating companies' evolution.
RTG has spent the last year nurturing relationships in this sector and by pivoting we have a product in development which people are excited about, and more importantly, that they understand and believe could have immediate positive impact on a client's revenues. The Company is seeing long term financing in order to affect the full benefit of Pulse Station and its positioning in the marketplace. An alliance with a US firm will provide that leverage. There is a Board Meeting in London on Thursday with plans to travel to Los Angeles and New York in February to continue developing these prospects. All parties are under NDAs and are seriously considering a joint relationship which will make our product stronger together in the social media industry. In addition, RTG intends to participate in the National Investment Banking Association (NIBA) conference as a presenter to broaden the reach and to get RTG's word out. http://www.nibanet.org
ABOUT RTG VENTURES
RTG Ventures offers Music & Entertainment Technology Solutions and Digital Marketing Services. Harnessing the strength of its digital marketing agency, that has a trusted reputation over the last 8 years, the company has applied its knowledge process in developing cutting edge technology platforms for web, mobile and tablet devices.
Using Digital Clarity's application in the Marketing and Social arena, RTG Ventures offers a unique value proposition of intelligent, analytics based technology solutions with the support of an experienced digital marketing team. RTG Ventures, Inc. is an OTC:QB company. Symbol RTGV.
SAFE HARBOR PROVISIONS
The foregoing contains certain predictive statements that relate to future events or future business and financial performance. Such statements can only be predictions, and the actual events or results may differ from those discussed due to, among other things, those risks described in RTGV's reports filed with the SEC. Opinions expressed herein are subject to change without notice. This document is published solely for information purposes, and is not to be construed as an offer to sell or the solicitation of an offer to buy any securities in any state. Past performance does not guarantee future performance. Additional information is available upon request.
CONTACT INFORMATION
Investor Relations Contact:
David Marioni
First State Internet Services
Wilmington,
DE 19804
Tel: 302 983 8196
SOURCE RTG Ventures, Inc.
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