NewMarket to Dividend 10% of VoIP Subsidiary and Report Record Profit on $70 Million in 2006 Revenue After Receiving $0.78 PPS Recommendation vs. Current $0.36 PPS
DALLAS--(BUSINESS WIRE)--NewMarket Technology, Inc. (OTCBB:NMKT - News) today announced immediate plans to publicly list its VoIP subsidiary, IP Global Voice, Inc., which the company acquired in 2003. IP Global Voice is led by CEO Peter Geddis. Mr. Geddis, a former Executive Vice President and Chief Operating Officer of Qwest Communications (NYSE:Q - News), has more than 25 years experience in the telecommunications industry in senior positions at Sprint Nextel Corp. (NYSE:S - News), British Telecom (BTQ.FSE), and Pacific Bell, now part of AT&T, Inc. (NYSE:T - News). IP Global Voice has grown from concept in 2003 to an estimated $10 million in current annual revenue breaking through to initial profitability. IP Global Voice does business today as Xiptel Communications.
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The independent public listing of emerging market technology subsidiaries is a key aspect of NewMarket's now more than four-year-old strategy to construct a next generation technology incubator. By independently listing emerging market technology subsidiaries, NewMarket achieves two substantial benchmarks. First, the independent listing creates a dedicated public capital structure to support next round financing necessary to continue growing the subsidiary and developing its emerging technologies. Second, the independent listing creates an interim return on investment opportunity for NewMarket shareholders through the dividend distribution of subsidiary stock. "Interim" because NewMarket shareholders can sell distributed stock in the subsidiary company but still enjoy the future benefit from the subsidiary's continued growth through NewMarket's ongoing controlling interest in the newly listed subsidiary.
