DALLAS, Oct. 9, 2006 (PRIMEZONE) -- IElement Corporation (OTCBB:IELM); (Frankfurt:SZQ1; IELM), a nationwide provider of advanced communications services and Voice over Internet Protocol (VoIP) solutions, announced today that it has entered into a letter of intent to purchase Texas Hometel, Inc. The two companies expect to enter a definitive merger agreement this month and have already begun integrating operations.
Texas Hometel is a privately held, profitable telephone service provider with revenues exceeding $1.1 million over the trailing 12 months. Its 2,000-plus customers significantly broaden both IElement's stable revenue base and the customer base into which IElement can sell its new products and services. IElement plans to sell VoIP, Managed Microsoft Exchange, offsite disaster recovery and Managed IT services to both its existing and newly acquired customers.
Negotiations between the two companies had been ongoing for several months, allowing both management teams to familiarize themselves with each other.
Texas Hometel's corporate office is in close proximity to IElement's own corporate headquarters in Dallas, Texas, and the company's entire management team has agreed to stay on board and continue providing their proven leadership and clear vision for the foreseeable future.
You can find other IElement news at www.ielement.com/news.htm.
About IElement Corporation
IElement is a facilities-based nationwide communications service provider that offers state-of-the-art telecommunications services to small and medium sized businesses ("SMBs"). IElement provides broadband data, voice and wireless services by offering integrated T-1 lines as well as a Layer 2 Private Network and VOIP solutions. These solutions provide SMBs with dedicated internet access, customizable business solutions for voice, data, wireless, internet, and secure communications channels between the SMB offices, partners, vendors, customers and employees without the use of a firewall or encryption device. IElement has a network presence in 18 major markets in the United States, including facilities in Los Angeles, Dallas and Chicago.
The IElement Corporation logo is available at http://www.primezone.com/newsroom/prs/?pkgid=2233
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For more information on IElement, please visit www.ielement.com.