DENVER-American Digital Communications Inc. announced it has signed a letter of intent to purchase all stock of Pagers Plus Cellular Inc. of Walnut Creek, Calif.
ADC said Pagers Plus is a 220 MHz service provider and network operator with about 21 five-channel systems. The company also operates a paging business and wireless communications system integration operation and has management agreements in place for more than 150 additional 220 MHz licenses, ADC said.
ADC has been decentralizing its core business and also has become an operational entity through distributing Midland LTR radio products. Pagers Plus will be integrated to become the 220 MHz arm of the company, ADC said.
“The Pagers Plus acquisition was a unique opportunity for ADC, which has its roots in the SMR [specialized mobile radio] business. This combined with the sudden availability of certain financial resources has motivated ADC to continue efforts to establish itself as a player in 220 MHz,” said ADC Chairman and Chief Executive Officer Gene Klawetter.
ADC said it expects the transaction, valued at about $3 million, to close this month, increasing the company’s asset base to more than $5 million.
ADC is a 220 MHz dispatch service provider and channel-to-market distribution organization.
