New acquisition announced Platinum's Broadband Network Reach Continues to Expand
Calgary, Alberta CANADA, December 12, 2012 /FSC/ - Platinum Communications Corporation (PCS - TSX Venture), announced today that it has entered into a Letter of Intent ("LOI") to acquire Community Networks Inc. ("Community"), a fixed wireless Internet Services Provider adjacent to and complementing Platinum's fixed wireless network covering the communities of Airdrie, Beiseker, Rockyford, Irricana and Strathmore amongst others. This acquisition, which is subject to the approval of the TSX Venture Exchange and the negotiation of a formal agreement, is expected to close within the next 120 days. The purchase price of $2,500,000 is subject to due diligence and other conditions that are standard for this type of transaction.
Bernard Parkinson, President & CEO, states, "We're excited with this acquisition as it complements our existing network to the north and northeast of Calgary and materially strengthens our tower footprint in Alberta allowing us to offer our fixed wireless Internet and Telephony services on 17 new points-of-presence ("POPs") in these communities. Further, this acquisition will see Platinum's subscriber account base grow by 2,700 to 13,000."
Mr. Scott Armstrong, President of Community Networks, adds, "We are pleased with the opportunities this acquisition will bring for our team. Our clients will benefit from Platinum's market strengths and additional operation's resources that this combination bring.".