NextPhase Wireless NXPW), a next-generation connectivity company that specializes in integrated
Internet, voice and data communication solutions, today announced that it
has closed the acquisition of Atlanta-based SpeedFactory announced in a
release dated March 29th, 2006.
As stated in an 8-K filing on April 11, 2006, SpeedFactory, Inc., a wholly
owned subsidiary of NextPhase Wireless, Inc., acquired all of Synkronus,
Inc.'s assets, excluding cash, pursuant to an Asset Purchase Agreement
dated March 29, 2006 between SpeedFactory and Synkronus. The assets
acquired by SpeedFactory comprise Synkronus' Internet service and
connectivity business operated by Synkronus under the name "SpeedFactory."
SpeedFactory paid $1,500,000 in cash for the assets at closing and did not
assume any pre-closing liabilities from Synkronus.
CUSTOMER BASE GROWS BY 1100%
"SpeedFactory is a highly respected ISP, providing business-class DSL
services to customers in Atlanta and the fast growing South-East region
since 1998," said Robert Ford, NextPhase's President and CEO. "Together, we
now provide a broad range of connectivity services to over 2500 customers
in two of the fastest-growing regions of the country; Southern California
and the South-East," added Ford.
REVENUE RUN RATE INCREASES TO $3.5M
Not only will the acquisition immediately add to our revenue and cash flow
per share, it further strengthens our market-leading portfolio of
connectivity products and services, and extends our geographic reach," said
Ford. "With the contribution of the SpeedFactory acquisition starting in
the first quarter of fiscal year 2007, we're now profitable and expect to
see positive operating cash flow and much improved margins once the full
integration is completed," added Ford.
COMPREHENSIVE PORTFOLIO OF CONNECTIVITY SOLUTIONS
In recent weeks, NextPhase has added Business-Class Digital Subscriber Line
(DSL) services to its broad portfolio of connectivity solutions; announced
the nationwide wireless 'last mile' capabilities of NextNode Virtual
Networks™; signed a Letter of Intent with Onasi, Inc. (OnSat) to form a
joint venture to provide integrated connectivity solutions, using satellite
backhaul and wireless 'last mile' technologies, to rural US markets and
developing markets internationally; signed an agreement with Communication
Technology Services (CTS) for the nationwide provision of broadband
connectivity installation and technical support services.
"This acquisition, together with our other recent announcements shows that
we're committed to building a world-class, full-service connectivity
company. Through our broad range of products and services, we now have the
ability to deliver flexible, scalable, reliable and cost-effective
connectivity solutions to business customers anywhere in North America, and
to developing markets outside the US. Whether customers are located in
established metropolitan areas, developing regions where growth is
outpacing the infrastructure build-out or in rural communities, we're now
able to deliver solutions that can adapt and evolve to their changing
customer needs," added Ford.
About NextPhase Wireless, Inc.
NextPhase Wireless is a next-generation connectivity company that
specializes in delivering integrated Internet, voice and data communication
solutions to its customers. The Company designs, deploys and operates its
own wireless networks and also provides wireless technology solutions to
businesses and municipalities. The Company is an active member of the WiMAX
Forum ™ and the Wireless Communications Association International (WCA).
Leveraging its full-service capabilities and world-class infrastructure,
NextPhase Wireless offers a comprehensive portfolio of broadband solutions
that meet customers' needs today, and can anticipate and grow to meet their
needs of tomorrow.
Except for the historical information contained herein, this press release
contains forward-looking statements that involve risks and uncertainties.
Actual results may differ materially from the results predicted and
reported results should not be considered an indication of future
performance. In addition to the factors discussed in the filings with the
Securities and Exchange Commission, among the other factors that could
cause actual results to differ materially are the following: The ability to
successfully integrate SpeedFactory's operations into ours; the ability to
retain SpeedFactory's customers; risks that revenues generated by
SpeedFactory will decline from prior years' levels; adverse changes in the
business conditions and the general economy; competitive factors, such as
rival companies' pricing and marketing efforts; availability of third-party
material products at reasonable prices; the financial condition of the
customer; risks of obsolescence due to shifts in market demand; and
litigation involving product liabilities and consumer issues. NextPhase
Wireless Inc. cautions readers not to place undue reliance upon any such
forward-looking statements, which speak only as of the date made. NextPhase
Wireless Inc. expressly disclaims any obligations or undertaking to release
publicly any updates or revisions to any such statements to reflect any
change in the company's expectations or any change in events, conditions or
circumstances on which any such statement is based.
Contact:
NextPhase Wireless, Inc.
Robert Ford
800-748-5548
rford@npwireless.com
Investor Relations:
IR Affiliates
John Pentony
469-361-6239
NXPW@iraffiliates.com
