NEW YORK, March 21, 2013 /PRNewswire/ --
Forum Mobile Inc. (OTC: FRMB) announced today that it entered
into a share exchange agreement on March
19th with Mount Knowledge Holdings, Inc. (OTCPK: MKHD), a
software development and sales company focused on providing
innovative technology solutions, according to which Mount Knowledge
Holdings will acquire FRMB's wholly-owned subsidiary Forum Mobile
Israel Ltd., a leading global MVNE with an end-to-end cloud
platform and solutions required for the launch of MVNO business and
operations, in exchange for shares of Mount Knowledge Holdings,
Inc., following which Forum Mobile, Inc. will become the majority
owner of Mount Knowledge Holdings, Inc.
"The transaction with MKHD is part of our plan to leverage the
capital markets to execute our growth strategy by increasing our
reputation among investors and potential M&A candidates," said
Ami Segal, Forum Mobile CEO and
Chairman. "M&A in the space is very active and Forum Mobile
sees itself as a platform which will integrate cutting-edge
technologies to provide the most comprehensive and advanced MVNE
available anywhere in the cloud. We are in preliminary discussions
with a number of potential candidates for merger, acquisition
and/or joint venture which could dramatically accelerate our model
and position us well for significant growth subsequent to the
completion of the acquisition."
Mount Knowledge CEO Jim Beatty
commented, "We're very excited to be acquiring a company within the
big data realm, an area outpacing growth of the overall technology
sector by a significant multiple. Forum Mobile is managed by a
group of seasoned business and technology professionals. The
company is positioned for a high and consistent growth rate across
3 business lines in multiple geographies. The cloud-based MVNE
platform is expanding quickly to support a new crop of global
Mobile Virtual Network Operators (MVNO's) capitalizing on next
generation mobile solutions like mobile marketing, customer loyalty
programs and mobile payment platforms, in an ever-expanding mobile
marketplace."
Chardan Capital Markets, LLC is acting as sole M&A advisor
on the transaction and investment banker to the parties.
Additionally, the Mount Knowledge has engaged Source Capital
Group, Inc., (SCG) to assist Forum Mobile on capital markets
initiatives, strategic introductions, and additional mergers and
acquisitions. Vik Grover, CFA, Director of SCG's TMT
Practice, has over 15 years experience in the Communications field.
Before working in investment banking, Grover was with Thomas Weisel
Partners and Needham & Co. as a Senior Research Analyst
covering Communications Services, including Internet service
providers (ISPs), voice over Internet protocol (VoIP) and Internet
infrastructure.
"The mobile services market is moving into a new era of growth.
A new breed of MVNO's has emerged to capitalize on 4G broadband
networks and are leveraging new service delivery models targeting
niche demographics and alternative price points. The marriage of
Forum Mobile's leading MVNE cloud platform and value added
distribution model to Mount Knowledge's public vehicle, positions
the combined companies well for strong growth during the coming
years," Grover stated.
The transaction is anticipated to close on or before
May 14, 2013.
About Forum Mobile
Forum Mobile is a global MVNE, which provides MVNOs as well as
low-tier MNOs with an end-to-end platform, solutions and related
services required for the launch of their business and operations,
including core networking and IT, application development, MNO
relationship, SIM cards solutions and handsets. Forum Mobile helps
companies globally (mainly retailers) to leverage their existing
operations, branch locations and customer service, and utilize
their existing customer base in order to provide mobile solutions
and services in a fast and cost effective way
This press release contains forward-looking statements within
the meaning of safe harbor provisions of the Private Securities
Litigation Reform Act of 1995 relating to future events or our
future performance. All statements other than
statements of historical fact are statements that could be deemed
forward-looking statements. All forward-looking statements in this
press release are made based on management's current expectations
and estimates, which involve known and unknown risks,
uncertainties and other factors that may cause our actual results,
levels of activity, performance or achievements to be materially
different from any future results, levels of activity, performance
or achievements expressed or implied in those forward looking
statements. These risks and other factors include but
are not limited to: the success or failure of
management's efforts to implement the Company's business plan; the
ability of the Company to fund its operating expenses; the ability
of the Company to compete with other companies that have a similar
business plan; the effect of changing economic conditions impacting
our plan of operation; and the ability of the Company to meet the
other risks as may be described in future filings with the
Securities and Exchange Commission. We cannot guarantee future
results, levels of activity, performance or achievements. Forum
Mobile, Inc. does not assume any obligation to update the
forward-looking information contained in this press
release.
Contacts
Yael Greenberg
Forum Mobile, Inc.
yael@forum-mobile.com
Tel: +1-212-461-4730
SOURCE Forum Mobile Inc.