ST. AUGUSTINE, Fla., Aug. 23, 2010 (GLOBE NEWSWIRE) -- O2 Secure Wireless, Inc. (Pink Sheets:OTOW) announces that the Company's subsidiary, Earthcom Service Inc. has signed an agreement to acquire 50% equity interest in a 30-year-old Dominican Republic Financial Institution, and is scheduled to close early September 2010.
This agreement is exceptionally advantageous for the company, since it will not only provide an additional source of revenue, but will also provide the company's customers with a convenient method for payment of communications services. The opportunity will primarily allow the company to simplify the payment process for its wireless, cellular, cable, residential phone and internet service clients by using a prepaid MasterCard/Debit Card product for customer payments, while simultaneously providing a new bank branch location wherever an Earthcom retail storefront is created, whereas the bank's credit card merchant processing system will utilize Earthcom's wireless infrastructure for processing transactions.
Currently, the merchant card processing services industry is dominated by two providers and with exceptionally high processing rates, while the MasterCard prepaid Debit card product is still a virtually unknown system in the Dominican Republic market. The existing cellular market is mostly all prepaid, which requires the customer to purchase minutes on a calling card or at a store, then enter the card information onto the phone before calling, whereby using a prepaid MasterCard the customer will no longer be required to purchase a card, but can instantly add minutes electronically with the MasterCard Debit Card. This type of payment will be unique to the Company, and therefore will attract customers since each customer will be issued a prepaid MasterCard/Debit Card for payment when they sign up for wireless services. The Card may also be used for purchases of goods and services at any location worldwide where MasterCard is accepted, including ATM machines for cash withdraws.
In addition, wherever Earthcom has established service coverage, the bank can offer wireless merchant processing services which will give the bank a strong advantage over its competitors due to its wireless infrastructure. In a market where expensive hardline wired communication is the only alternative option, the Company is in a phenomenal position to not only separate itself from the competitors by way of mobility and flexibility, but also by bringing a product and service to market that will surpass the current providers in simplicity, efficiency, and value.
Earthcom anticipates that there will be a high demand for the Company's services in light of the continually improving package and payment options. Earthcom believes that this move is supremely favorable in its strategy to gain market share by initially penetrating the cellular sector, in a market of approximately 8.6 million potential current cell phone users, then introducing other services, such as cable, internet, and home telephone, as its coverage area expands.
Earthcom Service Inc. recently announced that the company currently has assets in the Dominican Republic and is securing ground locations for the sites where the wireless facilities will be placed in order to provide coverage.
Val Kazia, President of the Company, stated: "This acquisition of a significant portion of this financial institution will contribute greatly in our endeavors to modernize the cellular sector of the Dominican Republic's communications industry. With the robust versatility of our technology, now along with a simplified payment method, we are slated to offer a superior and cost effective solution, while offering a convenient debit payment system. Moreover, with the Company's acquired position in this bank, it is expected that the company will have opened an entirely new source of long term revenues for the company. With respect to depositors and banking regulations, we have withheld the name of the financial institution until the closing has been completed."
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Contact: For more information visit our website at http://earthcomservice.com
Or call: Weston Investment Advisors (954) 435-4967