MobileMail Secures Major Distribution Agreement and $1,000,000 in Financing
9/19/2006, 9:34 PM
(Source: GlobeNewswire)
MobileMail (US) Inc. (OTCBB: "MBMU")
LONDON -- (MARKET WIRE) -- September 19, 2006 -- MobileMail (US) Inc.
(OTCBB: MBMU) is very pleased to announce that its wholly owned
subsidiary, MobileMail UK Ltd, has entered into an exclusive
distribution agreement for its two-way PC-to-Mobile messaging
technology (www.mailsms.co.uk) with NNT Telecom ("NNTT"), a leading
value-added communications distributor headquartered in Moscow,
Russia.
NNTT, founded in 1997, is a major Russian service provider that
provides ISP services and E-mail hosting to both corporate and
end-users in Russia. NNTT has a customer base of over 1,500 corporate
clients and three major distributors. NNTT possesses a total of six
Russian communications licenses required for providing ISP services,
general telecom services and text messaging distribution throughout
Eastern Russia and through its resellers, NNTT has an extended reach
to the whole of Russia. NNTT recently acquired "msolutions," a
Russian leading provider of SMS content in Russia through their own
SMS premium numbers. NNTT will market the full suite of MobileMail
products throughout Russia, where it has existing communications
interests in fiber optic networks and satellite communications.
Eastern Europe as well as Eastern Asia presents one of the fastest
growing markets for text messaging services. The GSM market in Russia
has more than doubled over the past few years and there are now over
80 million GSM subscribers that can receive SMS messages from
MobileMail's messaging suite, presenting the 3rd largest population
of mobile phone subscribers in the world (Netsize Guide 2006).
The revenue sharing based Distribution Agreement between MobileMail
and NNTT is for an initial term of twelve months. Corporate clients
will pay an up-front license fee plus a monthly maintenance fee in
exchange for SMS credits. MobileMail will retain 50% of all revenues
received from license fees applied to new corporate user accounts and
50% of the monthly maintenance fees, plus 50% of all profits obtained
through the SMS volume generated through NNTT's distribution
channels.
Gary Flint, President and CEO, MobileMail (US) Inc., said: "We are
all extremely excited by the opportunity of partnering with NNTT.
Their established distribution network and large corporate client
base provides MobileMail with an opportunity to establish itself in
one of the fastest growing and exciting markets in the world. Mobile
phone penetration is growing rapidly every year, and now Russia
actually has the third largest population of mobile phone subscribers
in the world. In NNTT we have the right partner to help secure our
position as the leading provider of multi media messaging solutions
across Russia, giving us a first mover advantage while enabling us to
expand further into the emerging markets in Eastern Europe and China,
as well as accelerating distribution through our existing re-seller
channels in the UK, Europe, SE Asia and Africa."
Gary Flint continues: "The SMS industry is thriving -- a recent
report by Frost & Sullivan 'European Fixed Messaging Markets,'
forecasts a rise in revenues from PC to SMS messaging from EUR 34.5
million in 2004 to a projected EUR 424.4 million in 2010. Corporate
users and consumers all over the world have taken to SMS as preferred
medium of communication, and today more than 56 billion text messages
are sent every month. The mobile phone markets in Russia as well as
Eastern Europe and China are the fastest growing markets at the
moment, and there's still an extremely large but untapped potential
in the markets in the years to come. MobileMail is in a position to
exploit the huge opportunities and cement our position within the
mobile messaging industry."
Nicola Savoretti, CEO, NNT Telecom, said: "The MobileMail
telecommunications platform and product suite, based on corporate SMS
messaging solutions, represents a huge opportunity in the Russian,
Eastern European market as well as in the Asian market. Our company
focuses on providing customers with high-quality, reliable products
and services at competitive prices. This is an important moment and
we look forward to introducing the MobileMail products to our clients
throughout this region."
NNTT's President Nicola Savoretti added: "MobileMail's product
represents an excellent opportunity in the Russian market. By
allowing our corporate customers to send SMS directly from their PC,
NNT can differentiate themselves from other Russian providers of
corporate ISP and SMS services."
Private Placement for US$1,000,000
MobileMail is pleased to announce that it has received subscriptions
to purchase 4,000,000 shares in its common stock at a price of
US$0.25 a share for gross proceeds of US$1,000,000. Closing is
anticipated to take place on or before December 31, 2006. This
additional capital will be used to increase sales and marketing
activity, particularly in the Russian market where NNTT have a large
corporate client base. A strong foothold in Russia will also aid
further expansion into the markets in the rest of Eastern Europe as
well as China. MobileMail plans to recruit experienced sales and
technical personnel to facilitate the aggressive growth that is
expected over the next eighteen months. Funds will be spent on
further developing the functionality of our CorporateSMS messaging
server; improving messaging efficiency and administrative control,
with a view to increasing MobileMail's revenues. Furthermore,
MobileMail plans to secure and stimulate its established re-seller
channels as well as seek potential new channel partners in both South
and North America. Finally, proceeds will be used to review and
analyze opportunities in the mobile space with a view to expanding
MobileMail's business through strategic acquisitions of complementary
technologies within the mobile entertainment industry. This will help
to secure MobileMail's intentions of being a market leader in mobile
content and delivery solutions.
About MobileMail
MobileMail is a United Kingdom based developer of premium mobile
communications solution for facilitating cost-effective, fast,
convenient, secure and reliable two-way PC-to-Mobile communication.
PC-to-Mobile communication significantly lowers the time and cost
connected with communicating with, for instance, a mobile sales force
or a core customer group. The MobileMail applications can, for
instance, be used with communities, fan-groups or the like, where
immediate, cost-effective and convenient one-to-many communication is
paramount.
Safe Harbor Statement under the United States Private Securities
Litigation Reform Act of 1995: Except for the statements of
historical fact contained herein, the information presented
constitutes "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Such
forward-looking statements, including but not limited to those with
respect to the value of the mobile communications marketplace, the
timing of completion of any proposed acquisition or marketing and
sales plan and other risks, uncertainties and other factors which may
cause the actual results, performance or achievement of MobileMail
(US) Inc. to be materially different from any future results,
performance or achievements expressed or implied by such
forward-looking statements. Specifically, there are no assurance that
the private placement for $1,000,000 will complete on or before
December 31, 2006 or at all; there are no assurances that NNT and
MobileMail will be successful in entering into any agreements with
corporate clients for the provision of SMS services; and there are no
assurance that the market for SMS services will grow as predicted or
at all. Other risk factors include but are not limited to risks
related to the company's ability to execute on its marketing plan
including developing licensee and reseller partnerships, risks
related to international operations, the company's inability to raise
sufficient financing on a going forward basis to execute fully on its
business plan, adverse changes in the economic climate and specific
economic and technological, changes in the telecommunications
marketplace that could adversely affect MobileMail's business as well
as those factors discussed in the section entitled "Risk Factors" in
the Form SB-2 as on file with the Securities and Exchange Commission
in Washington, D.C. Although MobileMail (US) Inc. has attempted to
identify important factors that could cause actual results to differ
materially, there may be other factors that cause results not to be
as anticipated, estimated or intended. There can be no assurance that
such statements will prove to be accurate as actual results and
future events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward-looking statements.
For more information on MobileMail, please visit www.mailsms.co.uk or
contact:
Gary Flint
President
At the address mentioned below:
For more information on NNT Telecom, please visit www.nnt.ru or
contact
Elena Malyavskaya
e.e.malyavskaya@msolutions.ru
MobileMail (US) Inc.
Suite 5.18
MLS Business Centre
130 Shaftesbury Avenue
London, W1D 5EU
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