LAS VEGAS, Feb. 4, 2010 (GLOBE NEWSWIRE) -- For companies that survived the purge that was the economy for the last few years, survival can mean less competition in an improving market climate where customers will have less selection amid the bankruptcies and closures. For those with success and/or funding, it may also be time to acquire some of the better pieces in the industry. Indeed, to the victor belong the spoils.
Such may be the case with a strategic acquisition planned by Beacon Enterprise Solutions Group, Inc. (OTCBB:BEAC), a fast-growing Internet Solutions provider that has made a habit out of closing new clients in a difficult market environment, both domestically and abroad.
Last month, Beacon told the market that it expects first quarter 2010 net sales to exceed $7.5 million. Investors might have wondered what a company with that kind of anticipated cash flow might do to expand its successes. Yesterday, we found out at least one of Beacon's plans.
After market Wednesday, Beacon reported an agreement to acquire Belgium-based NetConnect BVBA, an ITS infrastructure design and installation firm whose core business consists of the deployment of state of the art IT infrastructure projects, network cabling, data rooms, and voice installations throughout Central Europe. NetConnect clearly services a wide variety of ITS infrastructure projects and a diverse clientele.
On its face, the company seems a perfect fit for Beacon and its continual expansion. And with all that cash expected in the first quarter alone, Beacon seems wise to grab the best and right pieces for its growth strategy. Like Beacon, NetConnect is an earner, having demonstrated significant year-over-year revenue growth during the past three years, along with consistent, positive net income and zero debt.
Most of all perhaps, the acquisition gives Beacon a prime holding in the center of Europe.
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