ZIM Corporation announces the sale of its Canadian SMS Gateway

Mon, 2007-07-23 00:00 -- zim-admin

Ottawa, Canada - July 23 , 2007 - ZIM Corporation (OTCBB: ZIMCF), has signed an agreement to sell certain mobile messaging assets to SilverBirch Inc. (TSX.V: SVB). The assets include ZIM’s Canadian mobile gateway technology, customer contracts and proprietary web to text applications. The mobile gateway customers include the Ontario Lottery and Gaming Corporation, Pitney Bowes and Rogers Wireless. 

We are very pleased with this transaction as it is consistent with our business strategy of focusing on our current Mobile Content, Internet TV and database applications. Silverbirch is the ideal purchaser for these assets as it will ensure the continuity and quality of our Canadian gateway services to our customers and partners going forward” said ZIM CEO, Michael Cowpland. 

As consideration for the acquisition, Silverbirch will pay $75,000 in cash on closing, additional $100,000 cash (all figures in Canadian Funds) and 500,000 common shares of SilverBirch after certain conditions of purchase are completed. The transaction is subject to regulatory approvals and is expected to complete within the next 30 days. 

"This acquisition will significantly strengthen our Canadian market position both in terms of customers and capabilities," said SilverBirch CEO Derek van der Plaat.

About ZIM

ZIM is a provider of internet TV programming and services (also referred to as IPTV) and a mobile content and service provider. For more information on ZIM and its customers, partners and products, visit: www.zim.biz and www.zimdatabase.com .

About SilverBirch Inc.

Toronto-based SilverBirch Inc. is a fully integrated developer, publisher and distributor of high quality interactive media content and, through its SilverBirch Mobile division, provides mobile marketing and direct-to-consumer mobile content to its media partners. In addition the company is a multi-platform video game developer and plans to launch an English-language MMORPG game (massive multiplayer online role-playing game) called Metin 2 (see www.metin2.us) this summer. For more information, please visit www.silverbirchstudios.com and www.silverbirchmobile.com.

For more information:

E-mail: investorrelations@zim.biz 
ZIM Corporation