News Release
October 14, 1996
PRESS RELEASE - FOR IMMEDIATE RELEASE
DCI Announces Merger Talks With American Cash Card Corp.
DCI Telecommunications, Inc., a public company (DCTC - OTC Bulletin Board) of
Fairfield, Connecticut, today announced that it has commenced merger
discussions with American Cash Card Corp. (ACCC), a provider of
telecommunications services with access in more than 100 countries, whose
sales in 1995 exceeded $21.0 million. ACCC has several offices including
Miami (manufacturing), Boston (software development) and its New York
headquarters.
The merger, as initially proposed, would be a non-taxable transaction
involving DCI stock. The stock exchanged would be based upon assets at the
close, earn out over the next five years and for the introduction of certain
proprietary products involving voice/fax switches to allow Internet users to
send voice or fax (as well as data) over the Internet.
The transaction is incentive oriented and designed to minimize dilution, if
any, to existing shareholders. The two firms have agreed to hire an
investment banking firm to review the structure, give a "fairness" opinion
and provide financing to grow the company.
DCI plans to consolidate certain manufacturing and programming services in
their New Jersey facility, enhancing product development and profitability
between R&D Scientific, Alpha Products, and ACCC. DCI plans to integrate all
hardware manufacturing needs of ACCC and R&D into Alpha, combine the state of
the art communication talents of ACCC with R&D to create a worldwide
monitoring network to be used by the pharmaceutical industry, and to blend
the product applications of R&D/ACCC into the existing Alpha product lines.
Plans are to have several of the new products available for delivery for all
three concerns by the end of the first quarter of 1997. These new products
will be based on wireless data communication products and world wide GMP
(Good Manufacturing Practice) monitoring over the Internet for R&D and
enhanced web access with Planet Fax (fax over the Internet) and Planet Voice
(voice over the Internet) for ACCC.
For Further Information Contact:
DCI Telecommunications, Inc. Telephonica International, Inc.
Daniel J. Murphy Karen Falcon
Vice President, Financial Planning Vice President
(203) 259-7713 (212) 753-2626 |
