Memphis, TN, Nov. 25, 2019 (GLOBE NEWSWIRE) -- Surge Holdings, Inc. (“Surge”) (OTCQB: SURG), developer of the SurgePays™ Marketplace Network for convenience stores, bodegas and community markets that provide products to the underbanked, today announced its wholly owned subsidiary SurgePhone Wireless has signed a distribution agreement with Softel Technologies, a leading refurbisher of cell phones and wireless carrier. Under the agreement, Surge will market Softel’s wireless handsets and enroll qualifying customers in Lifeline, the FCC’s discounted communications program. Softel will provide the phones to Surge at no upfront cost, and both Surge and Softel will benefit based on customer usage.
Hung Do, President of Softel Technologies, stated, “We are delighted to partner with Surge Holdings, a true innovator, providing unique solutions to underserved markets. Given their impressive distribution capabilities and track record in terms of both sales and compliance, we believe this relationship will help propel sales of our phones and Lifeline program. As we can procure fully equipped phones, we have the ability to support Surge in rolling this product out to hundreds of thousands of users.”
Jonathon Coffman, VP of Wireless Sales for Surge, commented, “We are excited to partner with Softel, as this supply and distribution agreement removes constraints procuring quality phones and opens new and much larger markets. Additionally, this agreement alleviates the upfront capital requirements, where previously we had to first purchase the Androids and then realize our returns over a number of months. Instead, we can use the same management team to oversee enrollments in these additional states, and Softel provides the phones at no upfront cost. This significantly enhances our cash flow model and should allow us to more rapidly scale the business. We look forward to aggressively rolling out this unique offering across ten states initially, including California, with additional products to follow.”
Lifeline is the FCC's program to help make communications services more affordable for low-income consumers. Lifeline provides subscribers a discount on monthly telephone service purchased from participating providers in the marketplace. To participate in the program, subscribers must either have an income that is at or below 135% of the federal Poverty Guidelines or participate in certain assistance programs such as Medicaid and Supplemental Nutrition Assistance Program. (Food Stamps or SNAP)
About Surge Holdings, Inc:
Surge Holdings, Inc. is a retail supply chain company that provides a virtual wholesale marketplace hub for retailers, as well as offers telecom services for low income customers and financial payment services for the unbanked and under-banked. Surge products are delivered through a nationwide network of convenience stores and corner markets connected to the recently launched SurgePays™ Network. (https://surgepays.com) This retail platform is designed to transform the traditional supply chain by providing local retailers seamless access to global products and to empower the corner store to select, order and fulfill delivery of wholesale goods from around the country. This platform also provides manufacturers a cost-effective and efficient platform to access point of sale retailers nationwide. For more information on Surge Holdings and its subsidiaries, please visit: https://surgeholdings.com.
Forward Looking Statements
This press release contains information that constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements involve risk and uncertainties that could cause actual results to differ materially from any future results described by the forward-looking statements. Risk factors that could contribute to such differences include those matters more fully disclosed in the Company's reports filed with the U.S. Securities and Exchange Commission. The forward-looking information provided herein represents the Company's estimates as of the date of the press release, and subsequent events and developments may cause the Company's estimates to change. The Company specifically disclaims any obligation to update the forward-looking information in the future. Therefore, this forward-looking information should not be relied upon as representing the Company's estimates of its future financial performance as of any date subsequent to the date of this press release.
Investor Contact:
Crescendo Communications, LLC
Tel: 212-671-1020
Email: SURG@crescendo-ir.com