ENGLEWOOD, Colo.-ComTec International Inc., through its wholly owned subsidiary, American Wireless Network Inc., said it completed the initial phase of an agreement to purchase seven specialized mobile radio systems from Centennial Communications Inc.
Denver-based Centennial sold to American Wireless interests in Birmingham, Ala.; Knoxville, Memphis and Nashville, Tenn.; New Orleans; and Oklahoma City and Tulsa, Okla.
ComTec said American Wireless has paid more than $3 million to Centennial by means of assumption of debt, short term seller financing and an initial cash payment of $1 million.
The transaction covers 105 operating channels launched in September 1996, which have about 1,200 subscribers generating monthly recurring revenues of about $20,000, said ComTec. The systems were constructed according to Motorola Inc. R56 standards with E.F. Johnson Co.’s LTV protocol.
American Wireless will possess and manage the assets and associated business while it waits for Federal Communications Commission approval and transfer of the licenses.
