Company Enters Negotiations to Acquire Privately Held Wi-Fi Operator Providing Wi-Fi Services to Multiple Venues Company Also in Discussions to Form Joint Venture With Private Wi-Fi Company Specializing in Providing Wi-Fi to Hundreds of Apartment Buildings
WARWICK, RI, Oct 20, 2010 (MARKETWIRE via COMTEX) — ICOA, Inc. (PINKSHEETS: ICOA), a national Provider of Wireless Broadband Internet Networks and Managed Services in high-traffic locations and a provider of Managed Services to Independent Wi-Fi service providers, today announced that it is moving forward with the actions required to expand its business and increase its revenue as follows:
First, the Company has entered into negotiations to acquire a privately held Wi-Fi Operator that provides Wi-Fi Services to multiple venues. The Companies anticipate announcing a binding Letter of Intent in November and completing the acquisition by December 30th 2010.
Second, the Company is in negotiations to form a Joint Venture (JV) with a privately held Wi-Fi Company that specializes in providing Wi-Fi services to a large number of Multiple Dueling Units. The Companies anticipate announcing a joint Memorandum of Understanding in November and finalize a JV Operating Agreement in December 2010.
Both transactions are very synergistic to ICOA’s Wi-Fi operations and will contribute positive revenue, accretive to ICOA’s bottom line. Through these opportunities, ICOA and the operating companies expect to see significant benefits from the cost reductions that can be realized.
The partnerships will utilize ICOA’s experienced Support and Customer Service Center combined with the award-winning Operating Support System (OSS) “TollBooth(TM)” platform. The intent is to provide strong creative entrepreneurs with the combined advantages of retaining local independence while enjoying the benefits of a publicly listed company.
As stated in our previous press release of 10/13/2010 “ICOA’s new acquisition model is based on a share-for-share agreement, usually starting with a minority position in the new partner. Cash is not immediately released; this potentially ensures a higher and more sustainable long-term profit. ICOA’s Management says, “We are convinced that our improved strategy will enable us to expand the number of companies in our network and our revenue more rapidly than originally anticipated.”
About ICOA ICOA, Inc. (PINKSHEETS: ICOA) is a national provider of wireless and wired broadband Internet networks in high-traffic public locations. ICOA provides design, installation, operation, maintenance and management of WI-FI hot-spot and hot-zone Internet access. Based in Warwick, Rhode Island, ICOA owns or operates broadband access installations in high-traffic locations across 40 states, located in airports, quick-service restaurants, hotels and motels, travel plazas, marinas etc. ICOA networks are compatible with widely used 802.11x technology and with virtually all Internet service providers. Further information is at www.icoacorp.com.
Safe Harbor: This press release includes forward-looking statements related to theglobe.com, inc. that involve risks and uncertainties, including, but not limited to, risks and uncertainties relating to integration of newly acquired businesses and assets, product delivery, product launch dates, risks relating to the Internet, development and protection of technology, the availability of financing or other capital to fund its plans and operations, the management of growth, market acceptance of our products, our ability to compete successfully against established competitors with greater resources, the uncertainty of future governmental regulation (particularly as it pertains to the Internet), pending litigation and other risks. These forward-looking statements are made in reliance on the “Safe Harbor” provisions of the Private Securities Litigation Reform Act of 1995. For further information about these and other factors that could affect ICOA’s future results and business plans, please see the Company’s filings with the Securities and Exchange Commission, including in particular our Annual Report on Form 10-K for the year ended December 31, 2005, and our Quarterly Report on Form 10-Q for the quarter ended September 30, 2006. Copies of these filings are available online at http://www.sec.gov. Prospective investors are cautioned that forward-looking statements are not guarantees of performance. Actual results may differ materially and adversely from management expectations.