VERC VersaCOM Estimates $18,000,000 Annual Revenue Run Rate Beginning in 2002; Signs
Intent to Purchase On Call Communications
BOCA RATON, Fla., May 21 /PRNewswire/ -- Versacom International, Inc.
(OTC Bulletin Board: VERC) announced today the signing of the Letter of Intent
(LOI) to purchase the assets and customer base of voice and data networking
company On Call Communications with headquarters in Winter Gardens, FL. On
Call serves the communications needs of clients in the Orlando and central
Florida areas.
Versacom management stated: "With the completion of the acquisitions now
under Letters of Intent, Wolf Communications and On Call Communications, and
those that are currently identified and projected to be completed by year-end
(11 firms have been identified as acquisition candidates), we feel Versacom
should begin 2002 at an annual revenue run rate of $18,000,000.00. With the
improvement in the economic outlook for next year and additional acquisitions
during 2002, there is significant opportunity for increasing that revenue
estimate in 2002." Versacom recently completed the purchase of Northeast
Technologies, a profitable company today that is expected to grow and continue
to contribute significant profits in the coming years.
On Call is authorized to sell several brands of telephone systems and
supports and maintains legacy systems such as Merlin and Meridian phone
systems. The company also installs and maintains copper and fiber cabling
used in voice and data networks.
Additionally, On Call will market Telrad Networks products after the
acquisition is completed. Versacom is among the largest distributors of
Telrad Networks products in the U.S.
Versacom, according to the LOI, will purchase all the assets of On Call
Communications subject to the satisfactory completion of due diligence that is
now underway. It is anticipated that the acquisition will be completed in
early June, 2001. Upon completion of the transaction, Bruce Williams, current
owner and president of On Call Communications will continue to manage the
operations of the company.
"The acquisition of On Call Communications is an excellent fit in
Versacom's growth and market consolidation strategy, says Versacom's Chairman
of the Board, John Kaiser. "On Call is one of the many profitable, small
telecommunications companies operated by owners seeking a viable exit
strategy. We offer that for the owners and at the same time, provide
excellent long-term employment opportunities for their staff."
Fred Schwartz, Chief Executive Officer at Versacom says, "The purchase of
On Call enables Versacom to provide service to the Orlando and central Florida
area. We already have several clients in the area that are serviced by our
personnel in Boca Raton or through subcontractors. This will enable us to
improve service levels while at the same time reduce costs."
Bruce Williams, On Call, President adds, "Versacom provides On Call the
opportunity to expand within our market area. Many companies in this area are
branch operations of large companies that need specialized services that only
larger entities can provide. This also insures that our employees will have
increased opportunities and job security."
The acquisition of On Call Communications is expected to add over
$1,100,000.00 in revenue over the first three years.
Versacom International, Inc. is a Boca Raton, Florida based full-service
provider of telecommunications systems, data networks and related products and
services throughout the United States. In addition to designing,
distributing, installing and programming telecommunications and data systems,
Versacom offers cabling, training, product customization and 24 x 7 customer
support and maintenance. Versacom also markets local and long distance
communications services as an authorized BellSouth partner and a reseller for
Cable and Wireless. Lastly, Versacom's technicians and engineers provide
on-site system/network administration and other technical support.
Versacom International, Inc. was incorporated in Florida in January 1999.
In addition to the corporate headquarters in Boca Raton, the company has
regional operations in the Baltimore-Washington metropolitan area,
New York-New Jersey area and in Maine. It also employs a business development
and marketing professional in Southern California. For more information on
Versacom International's products and services, please see their web site at:
www.versacominc.com
This press release contains forward-looking statements. The words
"estimate," "possible" and "seeking" and similar expressions identify
forward-looking statements, which speak only as to the date the statement was
made. The Company undertakes no obligation to publicly update or revise any
forward-looking statements, whether because of new information, future events,
or otherwise. Forward-looking statements are inherently subject too risks and
uncertainties, some which cannot be predicted or quantified. Future events
and actual results could differ materially from those set forth in,
contemplated by, or underlying the forward-looking statements. The risks and
uncertainties to which forward-looking statements are subject include, but are
not limited to, the effect of government regulation, competition and other
material risks.
VersaCOM International, Inc.
www.versacominc.com
(800)531-1577 Fax (561) 394.6707
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SOURCE VersaCOM International, Inc.
-0- 05/21/2001
/CONTACT: Arnold Hoffman, Director of Marketing, of VersaCOM
International, Inc., 800-531-1577, ext. 1254/
/Web site: versacominc.com
(VERC)
CO: VersaCOM International, Inc.; On Call Communications; Wolf
Communications; Northeast Technologies
ST: Florida
IN: TLS FIN OTC
SU: TNM
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