NTWK NEWS!!
NetSol International, Inc. Acquires Network Solutions Ltd; Acquisition Expected to Increase NTWK's Prospects in $1.25 Billion Market
SANTA MONICA, Calif., Aug. 16 /PRNewswire/ -- NetSol International, Inc. (OTC Bulletin Board: NTWK) ("NetSol") announced that it has acquired 100 percent of the capital stock of United Kingdom based Network Solutions Group Limited ("NSGL") an information technology (IT) company. NetSol International, Inc., in an all stock transaction, exchanged 155,000 shares of its restricted common stock for 100 percent of NSGL's capital stock.
NSGL is a four-year-old privately held company with two offices in the U.K. NSGL has 15 employees and had 1998-year end revenue of approximately $2,750,000. NSGL offers high quality, comprehensive IT-related solutions to the networking and information technology markets. The company has established a strong presence in the U.K education sector, which is comprised of nearly 33,000 primary, secondary and specialized schools. NSGL has an installed customer base of over 1,500 primary and secondary schools.
NSGL has a solid customer base, including recognized companies such as NTL Incorporated, Holiday Inn and Granada chain of motorway service stations, as well as local educational authorities and the National Health Trust. NTL Incorporated provides communications services to residential, business, and wholesale customers. The Company offers residential telephony, cable television, and Internet access services. NTL also provides national and international carrier telecommunications, satellite, and radio communications, as well as digital and analog television and radio broadcast transmission services.
The acquisition provides NetSol the platform to develop expert turnkey solutions for the education market and the National Grid for Learning ("NGFL"), for which the British Government has allocated in excess of $1.25 Billion to implement its NGFL strategy. At present, approximately 35 percent of the schools are using the NGFL program and the Government's plan calls for the incorporation of the remaining 65 percent over the next two years.
"We are very excited. This is the single most important accomplishment to date in our corporate history ", said Mr. Naeem Ghauri, Managing Director of NetSol U.K, Ltd. He added, "Network Solutions Group, Ltd. is well positioned to become a key provider for the education sector in the U.K, and with an infusion of working capital, we can truly optimize it's profitability potential. The economies of scale and benefits of synergy resulting from the merging of two companies is a quantum leap forward for us"
Walt Bridgen, Managing Director of Network Solutions Group, Ltd. commented, "We clearly believe this union brings added value and support to our business model and provides access to capital resources to maximize the opportunities before us. As we look to the future of Information Technology and its impact on the global economy, we see tremendous potential to develop strong market orientation and create brand recognition for our unique technology services".
Included in this material are 'forward-looking statements' within the meaning of Section 27 A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the company believes that the expectations reflected in such forward-looking statements are reasonable; it can give no assurance that such expectations reflected in such forward-looking statements would have proved to be correct.
For further information, please visit our Investor Relations Web Site: www.netsol-intl.com
SOURCE NetSol International, Inc.
CO: NetSol International, Inc.; Network Solutions Group Limited
ST: California
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