NEWS out after close Friday:
Acquisition of Information Technology Provider, EAsy/IP Limited, Announced by EuroTelecom Communications Inc.
BusinessWire, Friday, March 26, 1999 at 18:21
LONDON--(BUSINESS WIRE)--March 26, 1999--EuroTelecom
Communications (OTC BB:EUTC) continues to execute its new aggressive
business plan for market expansion and growth through the acquisition
of leading edge Information Technology companies.
EuroTelecom announced today that negotiations were concluded for
the acquisition of EAsy/IP Limited. EAsy/IP Ltd. represents
EuroTelecom's first acquisition in a planned series of strategic
partnering with high technology mergers and acquisitions that support
the rising demand of quality and cost effective Information Technology
solutions.
EAsy/IP is a fast growing distribution company in the field of
TCP/IP and computer related products. EAsy/IP provides leading edge
applications for advanced networking solutions that cross all industry
sectors. The company is a specialist supplier of software and hardware
in the Information Technology arena, with a customer base of over 350
major United Kingdom resellers.
This acquisition by EuroTelecom gives each company significant
new product distribution channels for launching new advanced stage
computer networking products and services. Total sales by EAsy/IP for
the financial year ending in March 1999 are expected to be $ 1.92
million and are projected to increase to approximately $3.2 million
for the year 2000. The acquisition costs to be incurred by EuroTelecom
over the next twelve months will include consideration payable to
EAsy/IP of restricted shares of stock plus three cash payments
totaling $194,700 from EuroTelecom's resources. The Board believes
that the acquisition of EAsy/IP will significantly enhance earnings.
Joining the EuroTelecom group enables EAsy/IP to broaden its
product line with Internet and Intranet products and to offer a high
quality line of broad application LAN/WAN, PC router hardware. The two
companies also plan to introduce leading edge networking security
products that will maximize their combined expertise in sales and
service to the exponentially growing I.T. Security industry.
Over the next two quarters, EAsy/IP will double its Telecom sales
force and create a high level corporate sales division. The market
strength of the EuroTelecom Group and of EAsy/IP will both be enhanced
by this undertaking and long term, stable growth of both entities will
be achieved by offering more products and services to more customers.
EuroTelecom Communications Inc. (http://www.eurotelecom.co.uk)
supplies Information Technology systems and networking infrastructures
to telecommunications operators, systems integrators, corporations,
financial institutions, governments, and defense organizations.
The Company conducts its world wide business from the United
States, the United Kingdom, Europe, and Japan.
The foregoing press release contains forward-looking statements,
and any statements contained in this Press Release that are not
statements of historical fact may be deemed to be such. These
statements by their nature involve substantial risks and uncertainties
and actual results may differ.
CONTACT: EuroTelecom Communications Inc.
R.I. Hay, 011 44 1709 590 899
Fax: 011 44 1709 590 939
info@eurotelecom.co.uk
or
Investors Capital of North America
J. Dibble, 281/444-0157
Toll Free: 877/893-2666
Fax: 281/893-0109
KEYWORD: NEW YORK
INDUSTRY KEYWORD: COMPUTERS/ELECTRONICS COMED
INTERACTIVE/MULTIMEDIA/INTERNET MERGERS/ACQ
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