CarBiz.com Negotiating Strategic Alliance With Financial Institution
20 January 2000
CarBiz.com Negotiating Strategic Alliance With Financial Institution
TORONTOJan. 20, 2000--Carbiz.com Inc. announced today that it is in advanced negotiations to form a strategic alliance with a major Canadian financial institution. The terms of the proposed alliance will involve several joint business initiatives that will enhance the distribution of Carbiz.com's "Full Spectrum 2000" software for "on-the spot" financing for automobile purchasers. The proposed alliance will also include an investment in Carbiz.com by the financial institution.<> Carbiz.com intends to proceed with a significant equity financing in conjunction with this transaction. The Company has obtained regulatory approval for a $2.00 price for the shares to be issued in connection with the strategic alliance transaction and the financing.Further details will be released upon execution of a formal agreement, which is currently anticipated to be signed within the next two weeks.
Carbiz.com is a Toronto-based company that provides software and Internet solutions for the automobile retail industry in North America. Its flagship product, Full Spectrum 2000, is a software program that enables automobile dealers to arrange "on-the-spot" financing for consumers by connecting the dealers to credit bureaus and financial institutions via the Internet. Full Spectrum 2000 is particularly effective for "non-prime" or "Special" finance consumers who are unable to obtain credit from traditional lenders such as banks. This is the fastest growing segment of vehicle sales in North America. The web site offers consumers a source for finding new and used vehicles as well as auto parts and services through the Internet.