SOURCE: FTS Group, Inc.

November 28, 2005 06:00 ET

FTS Agrees to Acquire Wireless Company

FTS Group Signs Letter of Intent to Acquire 51% of Profitable Wireless Accessory Company, Deal Expected to Close by December 2nd

TAMPA, FL -- (MARKET WIRE) -- November 28, 2005 -- FTS Group, Inc. (OTC BB: FLIP), a publicly traded acquisition and development company operating in the wireless industry through its wholly owned subsidiary FTS Wireless, Inc., today announced the signing of a non-binding letter of intent to acquire 51% of a profitable privately held wireless accessory Company. The target Company has been profitable for the past two years and posted 2004 revenue of $4.9 million (unaudited) with EBITDA of approximately $648,750 (unaudited).

FTS Group CEO Scott Gallagher stated, "Due to confidentiality agreements relating to the letter of intent, we cannot mention the name of the target Company. We've set the closing/expiration date for the LOI for this Friday December 2, 2005. If both acquisitions currently under LOI are closed, we would expect the combined wireless operations to generate 2006 top-line revenue of in the range of $11.5 to $14 million with $2.6 to $3.1 million of EBITDA. Today's announcement is our second major acquisition agreement signed in the past 60 days." Gallagher went on to say, "As I mentioned in my open letter to the shareholders in October, FTS is committed to increasing shareholder value for our investors. Today we took another step towards achieving that goal. We hope to release additional details regarding the transaction as soon as possible."

About FTS Group, Inc.

FTS Group, Inc. (OTC BB: FLIP) is a publicly traded holding company operating in the wireless industry through its wholly owned subsidiary FTS Wireless, Inc. The Company operates eight retail wireless locations in Florida's Gulf Coast market and globally over the Internet through its web site www.CellChannel.com and www.FTSWireless.com. For additional information about FTS Group or FTS Wireless please review the Company's quarterly and annual filings with the Securities and Exchange Commission at www.SEC.gov or contact the Company at the e-mail or phone number below.

Additional information for investors

This release may contain forward-looking statements regarding the Company's business, customer prospects, or other factors that may affect future earnings or financial results. Such statements involve risks and uncertainties which could cause actual results to vary materially from those expressed in the forward-looking statements. Investors should read and understand the risk factors detailed in the Company's 10-KSB for the fiscal year ended December 31, 2004 and in other filings with the Securities and Exchange Commission and www.SEC.gov.

Contact Information

  • Contact:
    Contact:
    FTS Group, Inc.
    Scott Gallagher, CEO
    (215) 688-2355
    Email Contact