CHATSWORTH, Calif., Oct. 4, 1999 (PRIMEZONE) -- FocusWireless.com (Nasdaq:FONE) announced today that at the Company's recent annual meeting it received shareholder approval on the issuance of the Company's common shares to Cellular Wholesalers Inc.'s. (CWI) stockholders in accordance with the merger agreement between FocusWireless.com and CWI. This merger, which is subject to certain customary closing conditions and the receipt of financing, is expected to be completed in October 1999. Change of the Company's formal legal name, to "Focus Affiliates, Inc. d.b.a. FocusWireless.com " from Intellicell Corp. was approved as well at the annual meeting.
Chief Executive Officer and President Michael Hedge said "We received strong support from our shareholders not only for the proposals put forth in the proxy, but for our strategy to exploit e-commerce opportunities within the wireless telecom industry." Mr. Hedge explained that the Company is positioning itself as a business-to-business e-commerce company serving as a vertical hub (virtual marketplace) for the wireless industry. "We will use the efficiencies of the Internet to assist the carriers and or manufacturers with the management of their distribution channels for wireless products by delivering an e-commerce portal."
The FocusWireless.com portal will provide content, community and commerce capabilities, such as online shopping, order processing, and order tracking. "We will provide the wireless telecommunications industry with an e-commerce solution that will offer end-to-end transaction management," added Mr. Hedge. "Our customers will benefit from the proprietary system developed by FocusWireless.com that makes available inventory levels and reporting capabilities virtually 'real-time'.
"After the completion of the merger in this quarter, we expect to begin offering a select group of CWI's 3,000-plus customers the benefits of the first phase of our e-commerce system. In addition to a broad and diverse customer base, CWI will provide FocusWireless.com with an $80 million revenue base, a robust information technology system, and an excellent staff of long time industry professionals capable of making an immediate impact in the newly merged company," said Mr. Hedge.
"To further our growth, FocusWireless.com also intends to form strategic alliances with wireless carriers, manufacturer's, and other third party vendors, such as content providers and logistics companies to offer turn-key e-commerce solutions that benefit its wireless telecom industry partners."
The Company said that its shareholders also approved the proposed increase in the number of shares of Common Stock that Focus Wireless.com may issue to under its 1998 Stock Option Plan. The elected nominees named in the proxy were approved to serve on the Company's Board.
The Company's Internet e-commerce site, www.focuswireless.com is expected to offer some of its web-site benefits to a select group of customers in early October. A more aggressive and complete capability offering to the company's entire customer base is scheduled for early 2000.
FocusWireless.com offers the wireless telecom industry an e-commerce solution that provides end-to-end transaction management for its business-to-business customer base. The Company will facilitate the sale of wireless products and offer innovative value-added services for its "B-to-B" customer's which include manufacturers, carriers, resellers, retailers, and dealers. The Company intends to continue its expansion by targeting existing and emerging wireless telecom distribution channels and will offer comprehensive web-based solutions that will allow more companies less barriers to entry of retailing wireless telecom products.
Statements included within this press release that are not historical in nature constitute forward-looking statements for the purposes of the safe harbor provided by the Private Securities Litigation Reform Act of 1995. Investors are cautioned that this press release may contain certain such forward- looking statements that involve substantial risks and uncertainties. When used, the words "anticipate," "believe, " "estimate," "expect" and similar expressions as they relate to the Company or its management are intended to identify such forward looking statements. The Company's actual results, performance or achievements could differ materially from the results expressed in, or implied by, these forward-looking statements. Risks include potential delays in the completion of developing the Internet e-commerce solution, unanticipated costs to develop and maintain the system, potential lack of customer acceptance of this order processing method, and potential costs of integration of personnel and procedures with CWI. Further management discussion of risks and uncertainties can be found in the Company's quarterly filings with the Securities and Exchange Commission and other periodic filings.