DENVER-Specialized mobile radio company ComTec International Inc. announced it and its wholly owned subsidiary, Key Communications Group Inc., are in default on several acquisition agreements due to difficulties raising financing to close the deals.
The company previously announced its intent to piece together a regional SMR network for the Rocky Mountain and Central United States by acquiring several smaller carriers. Toward that end-and based on promises of capital from the brokerage community and certain investors-ComTec said it has been negotiating actively with acquisition candidates using nonrefundable earnest money.
The company said it continues to seek both debt and equity financing and “feels that there are some very positive discussions currently taking place that could potentially cure some of the current financial strain.”
In the meantime, the publicly held company also is trying to bring its financial statements current. The company’s 10-K report for the fiscal year ended June 30th was not completed by the end of 1995.
Two senior ComTec executives reportedly have been terminated by the company-Wayne Johnson, vice president of engineering, and Gayle Couture, vice president of strategic planning.
ComTec President Donald Mack said he is confident financing to complete the acquisitions will be available.
