FRE Freeplay

RNS Number:2909T
Freeserve PLC
31 October 2000

                                Freeserve plc

                Distribution agreement with Kingfisher plc and

                      extension of commercial activities

             Proposed sale of interest in Streets Online Limited

Freeserve, the UK's leading Internet business, today announces that it has
extended its existing commercial arrangements with Kingfisher plc by entering
into agreements whereby:

  * Kingfisher distributes Freeserve's narrowband and broadband access CDs
    in its 87 MVC stores and provides access for Freeserve to MVC's 5 million
    registered members
  * Freeserve provides Kingfisher's general merchandise retail brands with
    significant advertising space on the Freeserve portal under a commercial
    advertising contract
  * Superdrug.com, Kingfisher's leading online health and beauty retailer,
    continues to work with Freeserve on the development of its health channel

Separately, Freeserve has undertaken to vote in favour of the acquisition of
Streets Online Limited, the seller of CDs and DVDs on the Freeserve portal, by
Kingfisher. Freeserve currently owns 14% of Streets Online Limited. As a
result of its relationship with Freeserve and other partners, Streets Online
has recruited over 300,000 customers and has become the UK's leading online
retailer with the highest reach of any UK e-commerce site according to
NetValue. Freeserve's long-term commercial arrangements with Streets Online
will be enhanced by Streets Online's new ownership and strategy.

The acquisition will be effected by a scheme of arrangement valuing each
Streets Online Limited share at #9.80 (#2.45 per share as adjusted by a recent
1 for 4 share split). Freeserve will receive cash proceeds under the offer of
approximately #2.6 million. If approved by the High Court and Streets Online
shareholders, the arrangement is expected to take effect on 13 December 2000.

Nicholas Backhouse, Chief Financial Officer of Freeserve, said:

"This agreement with Kingfisher extends Freeserve's distribution on the high
street, continuing the bricks and clicks distribution strategy already
established through Dixons, Barclays and Bradford & Bingley. It also secures
for us yet another major advertising partner.

"Streets Online is already the UK's leading e-commerce site and will now also
benefit from MVC's high-street capabilities. We look forward to building
further on our strong relationship with Streets Online."

                                     ENDS

For further enquiries, please contact:


Freeserve plc                                     Tel: +44 (0) 870 909 0666
Nicholas Backhouse, Chief Financial Officer




Citigate Dewe Rogerson           Tel: +44 (0) 207 638 9571
Julian Walker
Patrick Toyne Sewell





Notes to editors:

Kingfisher's general merchandise retail brands consist of: Woolworths,
Superdrug, Big W, Woolworths General Store and MVC. Streets Online will become
a Kingfisher general merchandise retail brand following completion of this
transaction.

Freeplay Energy (LSE:FRE)
Historical Stock Chart
Von Aug 2024 bis Sep 2024

Freeplay Energy (LSE:FRE)
Historical Stock Chart
Von Sep 2023 bis Sep 2024