First South Africa Corp. Acquires 80% Stake in Internet Based Travel Agency – www.leisureplanet.com

/First South Africa Corp. Acquires 80% Stake in Internet Based Travel Agency – www.leisureplanet.com

First South Africa Corp. Acquires 80% Stake in Internet Based Travel Agency – www.leisureplanet.com

|1999-03-01T01:00:00-04:00March 1st, 1999|

Hotel Online Special Report First South Africa Corp. Acquires 80% Stake in Internet Based Travel Agency – www.leisureplanet.com George R. Garrick, President/CEO of Flycast Communications, Nominated to Board of Directors MIAMI and JOHANNESBURG, March 22, 1999 – Reflecting its recent acquisition of an 80 percent stake in Leisure Planet (http:/www.leisureplanet.com), a global Internet-based travel agency that recently established strategic partnerships with European affiliates of Yahoo! and Lycos, First South Africa Corp., Ltd. (Nasdaq: FSACF) today announced that it plans to seek shareholder approval to change its name to Leisure Planet Holdings, Ltd. At the Company’s next Annual Meeting of Shareholders on April 29, 1999. The Company has also applied to change its Nasdaq ticker symbol to LPHL.

Further reflecting the shift in its strategic focus represented by the Leisure Planet transaction, First South Africa also announced that it has nominated George R. Garrick, president and chief executive officer of Flycast Communications Corporation, a leading Web advertising network, to serve on the Company’s Board of Directors.

Founded in 1995, Leisure Planet is a full-service online travel agency with the world’s largest image-rich hotel database; flight, car and hotel reservation facilities; and comprehensive proprietary travel guides for more than 175 travel destinations. Leisure Planet is one of the few web-based travel service that specializes in travel to and from destinations outside of the United States.

Leisure Planet has over 35,000 hotels on its service. An outstanding feature of Leisure Planet’s web site is that visitors can view a comprehensive selection of photos of more than 12,200 hotels, enabling visitors to “look before they book.”

The Leisure Planet web site also has comprehensive information on more than 8,000 independent hotels not listed on any other web site.

Clive Kabatznik, Chief Executive Officer of First South Africa, said: “The Leisure Planet transaction was our first investment in an Internet-based business, and our first investment in a company doing business outside of South Africa. Given that new strategic direction, we decided that it would be appropriate to give our company a new name that better reflects this shift in our investment focus. We chose the name Leisure Planet Holdings because we believe Leisure Planet is exceptionally well positioned to take advantage of the significant growth opportunities that the Internet presents and, as such, to be the key holding in our investment portfolio and a key driver toward our goal of building long-term shareholder value.”

First South Africa will continue to operate the Leisure Planet online travel services business as an independent company and provide it with additional financial and management resources to fulfill its business plan. The Company intends to retain its other assets, primarily its stake in Johannesburg Stock Exchange-listed First Lifestyle Holdings.

Commenting on the nomination of Mr. Garrick to serve on the Company’s Board, Mr. Kabatznik said: “With the change in our strategic direction signaled by our Leisure Planet investment, it is vital that we recruit outstanding directors and operating executives with a strong track record in establishing and running successful Internet-based ‘e-commerce’ enterprises. George Garrick, who as president and CEO of Flycast has been instrumental in growing its annual run-rate revenues from $3 million to more than $20 million, will be a major addition to our board. His extensive marketing and e-commerce experience will be invaluable to us as we grow Leisure Planet into a preeminent online travel services business.”

Mr. Garrick has headed the two largest marketing measurement companies in the United States: IRI North America, a subsidiary of Information Resources, Inc., and A.C. Nielsen Marketing Research, a subsidiary of Dun & Bradstreet. He joined IRI in 1981 and in a number of senior executive positions he played a key role in the company’s growth into an enterprise with more than $300 million in revenue. In 1993, he left IRI to become President and CEO of A.C. Nielsen and later that year he returned to IRI to serve as President and CEO of IRI North America. Mr. Garrick retired from IRI in 1996 and formed his own company, G2 Ventures, Inc., to pursue various investment opportunities and consulting activities with Internet startup companies, several of which he still serves as a director. He joined Flycast in 1998, and during his tenure with the company its annual run-rate revenues have grown from $3 million to more than $20 million. He received a bachelor’s degree in mathematics and engineering, and a master’s degree in management from Purdue University.

The election of Mr. Garrick, as well as the reelection of the Company’s other three directors, is subject to formal approval by the Company’s shareholders at its Annual Meeting, which will be held on April 29, 1999.

First South Africa Corp., Ltd. is a publicly traded investment company whose holdings include Leisure Planet, a global Internet travel services provider, as well as businesses in various industries, including value-added convenience foods and leisure products.

The statements contained in this press release that are not historical facts are forward-looking statements that involve certain risks and uncertainties, including but not limited to risks associated with the uncertainty of future financial results, additional financing requirements, development of new products, regulatory approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties detailed in the Company’s filings with the Securities and Exchange Commission.

Founded in 1995, Leisure Planet is a full-service online travel agency with the world’s largest image-rich hotel database; flight, car and hotel reservation facilities; and comprehensive proprietary travel guides for more than 175 travel destinations. Leisure Planet is one of the few web-based travel service that specializes in travel to and from destinations outside of the United States.

Leisure Planet has over 35,000 hotels on its service. An outstanding feature of Leisure Planet’s web site is that visitors can view a comprehensive selection of photos of more than 12,200 hotels, enabling visitors to “look before they book.”

The Leisure Planet web site also has comprehensive information on more than 8,000 independent hotels not listed on any other web site.

Contact: Roy Winnick or Mark Semer Kekst and Company 212-521-4842 or 4802 Rebecca Freeman First South Africa (305) 857-5009 Also See: Destinations.com Creates Coast-to-Coast Synergies in Leisure Travel Reservations / Dec 1998 HRN Takes the Consumer Guess Work Out of Booking Hotel Rooms on the Internet / Dec 1998

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