SAN ANTONIO, Texas, Dec. 10, 2019 (GLOBE NEWSWIRE) — Globe Newswire – Digerati Technologies, Inc. (OTCQB: DTGI) (“Digerati” or the “Company”), a provider of cloud services specializing in UCaaS (Unified Communications as a Service) solutions for the business market, is pleased to provide an update to its previously announced definitive agreement to acquire Nexogy, Inc. (“Nexogy”), a leading provider of cloud communication and broadband solutions tailored for small to medium-sized businesses.
On September 24, 2019, Digerati reported that it anticipated closing the transaction in approximately ninety (90) days, subject to FCC regulatory approval. The FCC regulatory approval process remains ongoing and is expected to continue into January 2020, therefore extending the anticipated timeline for closing previously reported by the Company.
The business combination of Digerati’s operating subsidiary, T3 Communications, Inc. (“T3”) and Nexogy brings together two emerging cloud communication providers serving a broad range of customers in various industries including banking, healthcare, financial services, legal, insurance, hotels, real estate, staffing, municipalities, food services, and education. The transaction will result in a cloud communications provider serving over 24,000 business users in Florida and Texas. The Company anticipates producing nearly 20% in operational EBITDA with synergies derived from the combined operation that includes the consolidation of telecommunications infrastructure and integration of cloud PBX platforms and back-office systems.