This action was taken following the non-payment of a settlement arising from a recent successful lawsuit against SouthPeak Interactive.

The court in Frankfurt, Germany, appointed an Administrator to examine the situation and opportunities, in order to allow cdv Software Entertainment AG to continue trading. The Administrator together with the management team is now proactively working on solutions to restructure the company and discussions with investors and potential purchasers are on-going.

Furthermore cdv’s legal advisors reject SouthPeak’s claim that payments arising from the rulings against SouthPeak and owed to cdv can be offset against a loan which SouthPeak have obtained from a 3rd Party. As a result the legal enforcements against SouthPeak are being continued.

Meanwhile cdv Software Entertainment AG remains fully operational.