Directors of GoConnect Ltd (GCN) and Priority One Network Group Ltd are pleased to advise that they have entered into an agreement with SHANGHAI RELIANCE INFORMATION TECHNOLOGY CO LTD, a company incorporated in Shanghai, the People’s republic of China, for GCN and Priority One to each acquire a 40% interest of Shanghai Reliance. Shanghai Reliance is a Chinese company based in Shanghai that specializes in gaming, information technology marketing, social networking and customer relationship management. Shanghai Reliance has already close relationships with the management of a number of major e-commerce online portals in China which have a collective membership base of over 50 million registered users. GCN will be responsible for providing its IPTV technologies under a free licence to Shanghai Reliance, such technologies will be applied towards assisting in the co-promotion and marketing of the Priority One reward program and payment system in the People’s Republic of China. Priority One will be responsible for licensing the Priority One payment system to Shanghai Reliance and providing the relevant system support to Shanghai Reliance.
GCN, Priority One and the existing shareholders of Shanghai Reliance, all believe that this agreement provides a win-win to all parties and will allow Shanghai Reliance to replicate the success of Priority One in the Western world in securing substantial merchant interest, both online and offline, in adopting the Priority One payment system and reward program. The acquisition of equity interests in Shanghai Reliance will enable both GCN and Priority One to fast track the establishment of a beach head for launching their businesses into the China market. Through Shanghai Reliance, the GCN-Priority One partnership will implement its China strategy to introduce and promote the Priority One reward program and payment system to online and offline merchants in The People’s Republic of China. With the expanded businesses of Shanghai Reliance,
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