TORONTO, Nov. 28, 2006 (PRIME NEWSWIRE) -- Cornelia Volino, the Chief Executive Officer and President of Sparrowtech Multimedia Corporation ("Sparrowtech") (Pink Sheets:SPMC) today announced that effective November 22, 2006, the Company entered into a Letter of Intent with 1542744 Ontario Inc., a Canada corporation, to acquire all of the assets of its Tazza Espresso Bar & Cafe located at Unit 9, 5100 Rutherford Road, Woodbridge, Ontario, Canada ("Tazza").
"Sparrowtech is thrilled with the acquisition of Tazza Espresso Bar & Cafe," stated Ms. Volino. "We intend to strengthen our already prominent presence within this niche market and pursue additional locations in the near future. We are confident that with the implementation of the Tazza Division, Sparrowtech will increase its influence and opportunity within its target market."
About Tazza
Tazza is located at a leased facility comprised of approximately 2800 square feet accommodating approximately 202 patrons, excluding a spacious patio licensed for an additional 60 patrons. Tazza offers a classical atmosphere comprised primarily of black and red hues. It has private rooms for special occasions and private parties. The menu of Tazza includes prima colazione, insalata, spuntini, panini, a reserve wine list, birra, champagne, spumante and prosecco, cognac, martinis and quality espresso and cappuccino. For more information visit: www.tazza.ca
The purchase price to acquire Tazza is $575,000 (U.S.), payable by the payment of $475,000 (U.S.) and through the issuance of 2,000,000 shares of common stock at $.05 per share in reliance upon Rule 504 of Regulation D under the Securities Act of 1933. It is expected that the closing of the acquisition of Tazza will occur on or before December 31, 2006 but the effective date of the purchase shall be deemed to be November 22, 2006. The acquisition is subject to the completion of the due diligence examination of the Company and other contingencies.
About Sparrowtech
Sparrowtech is positioning itself to launch an innovative brand networking application that will include magazine, television and internet product distribution with a wide variety of complimentary services specifically designed for foodservice, hospitality and tourism professionals as well as domestic connoisseurs. For more information visit: www.sparrowtech.net