Digerati Provides Update on Fourth Acquisition
Commencing FCC Approval Process
SAN ANTONIO, Texas, June 17, 2020 (GLOBE NEWSWIRE) -- Digerati Technologies, Inc. (OTCQB: ) ("Digerati" or the “Company”), a provider of cloud services specializing in UCaaS (Unified Communications as a Service) solutions for the small to medium-sized business (“SMB”) market, is pleased to provide information on its fourth (4th) acquisition under Letter of Intent (“LOI”) and an update on the status of the acquisition. Digerati has completed initial due diligence on its 4th acquisition and is proceeding with the transaction by seeking FCC approval required for closing the transaction.
Based in Florida, Digerati’s 4th acquisition (the “Acquisition #4”) is a single-source provider of flexible and scalable UCaaS solutions serving the high-growth SMB market. As an established provider of cloud-based communications systems, Acquisition #4 currently serves nearly 400 business customers in various industries including Education, Health Care, Financial Services and Real Estate. Acquisition #4 has built a solid and profitable recurring revenue business (nearly $2 million annualized) with attractive gross margins of 71%+ while operating a global network with strategically positioned data centers in the USA and Europe. Acquisition #4 has differentiated itself by specializing in integration with CRM (Customer Relationship Management) systems. Acquisition #4’s robust cloud telephony platform integrates with all major CRM platforms leading to enhanced agent workflow and increased productivity for its users world-wide.
Arthur L. Smith, Chief Executive Officer of Digerati, commented, “Our fourth acquisition target aligns perfectly with our disciplined M&A strategy by meeting the related financial, geographic, and technological criteria. With its operation on an identical technology stack to that of our current operation, we anticipate that integration will be streamlined and result in accelerated cost savings. We look forward to progressing this transaction to a final closing, with it also being a strategic fit with our other planned Florida-based acquisition of Nexogy, Inc.”
About Digerati Technologies, Inc.
Digerati Technologies, Inc. (OTCQB: ) is a provider of cloud services specializing in UCaaS (Unified Communications as a Service) solutions for the business market. Through its subsidiary T3 Communications (), the Company is meeting the global needs of businesses seeking simple, flexible, reliable, and cost-effective communication and network solutions, including cloud PBX, cloud mobile, Internet broadband, SD-WAN, SIP trunking, and customized VoIP services, all delivered on its carrier-grade network and Only in the Cloud™. For more information about Digerati Technologies, please visit .
Forward-Looking Statements
The information in this news release includes certain forward-looking statements that are based upon assumptions that in the future may prove not to have been accurate and are subject to significant risks and uncertainties, including statements related to the future financial performance of the Company. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will prove to be correct. Factors that could cause results to differ include, but are not limited to, successful execution of growth strategies, product development and acceptance, the impact of competitive services and pricing, general economic conditions, and other risks and uncertainties described in the Company's periodic filings with the Securities and Exchange Commission.
The Securities and Exchange Commission (“SEC”) has provided guidance to issuers regarding the use of social media to disclose material non-public information. In this regard, investors and others should note that we announce material financial information on the website of our investor relations company, , in addition to SEC filings, press releases, public conference calls and webcasts. We use these channels as well as social media to communicate with the public about our Company, our services and other issues. It is possible that the information we post on social media could be deemed to be material information. Therefore, in light of the SEC’s guidance, we encourage investors, the media, and others interested in our Company to review the information we post on the following U.S. social media channels:
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The Waypoint Refinery, LLC
(973) 303-9649
Investors:
The Eversull Group
Jack Eversull
(972) 571-1624
