CHATSWORTH, Calif.-Intellicell Corp. signed an agreement to merge with Cellular Wholesalers Inc., a privately held wholesale distributor of wireless phone products.
Under terms of the merger agreement, CWI’s shareholders will receive up to $5 million in cash and will be issued approximately 2.25 million shares of Intellicell common stock.
“The newly combined company will provide value-added distribution services and indirect channel management for network operators and manufacturers. The merger also enables us to realize the operational efficiencies of order processing through our Internet e-commerce `Business-to-Business’ platform much faster than originally anticipated,” said Michael Hedge, president and chief executive officer of Intellicell.
Intellicell said it expects the merger to be completed in the fourth quarter.
