Interlink Global Corp (OTC: ILKG), a pioneer in international VoIP services, and one of the few profitable VoIP providers, is currently providing long distance communication to corporations, professional associations, defense contractors, financial services providers, call centers, and property management companies, as well as to the general publicMARKET GROWTH
|Company:||INTERLINK GLOBAL Corp. (ILKG)|
|Recent price range:||$ 1.81 - $3.15|
|Ave volume:||17,700 (50-day)|
|Market capitalization:||$ 68.2 Million|
ILKG is a provider or Voice over IP Services, but what makes them stand out is their target audience. ILKG has made a name for itself among the Central and South American countries and has quickly penetrated into Asia and soon the Middle East.ILKG's business model is very different from other VoIP companies, as they concentrate on wholesale traffic ( they carry traffic for other companies such as vonnage). ILKG has been developing international infrastructure projects that will produce millions of dollars of revenue.
You may of heard of Vonnage, they are America's largest residential VoIP service provider with well over 1 million customers. Vonnage has filed an IPO that is valuing the company at almost $2 billion.The market for voice over IP services is huge, eventually everyone will switch from traditional telephone services to VoIP as it has been estimated that customers save up to 70% compared to normal phone bills.
ILKG has been making significant upgrades and new installations to their equipment infrastructure. ILKG recently installed equipment that is capable of handling a total of 500 million minutes of voice traffic per month, and has added a handful of wholesale carriers in Asia and South America.
Teo Cotton, Chief Technology Officer of Interlink in describing these developments stated: "Our original plan was to gradually acquire various pieces of equipment over the next 12 months to handle the traffic and services associated with our various domestic and international projects. However, through the addition of new equipment and the enhancement of our new telecom facility, we have now advanced sufficiently to support and accelerate our projected growth for this year and next."RECENT SUCCESS
- Interlink Global Corp. Received Strong Upgrade by Respected Research Firm; Management Reports Record Revenue Growth in 2006.
- Interlink Global Corp. has entered into an agreement with EBR Communications Incorporated, headquartered in Miami, Florida, to sell Interlink's VoIP products and services in Colombia, South America.
- Interlink Global Corp. Signed Agreement to Offer VoIP Products and Services to Call Centers Located in Colombia; Call Center Association of Bogota, Colombia to Sell Resell VoIP to its Members.
- Interlink Global Corp. Announced ReSeller Contract to Provide Multiple Services to Corporate Clients Located in Ecuador; NewAccess to Become Major Reseller of Interlink's Services in the Region.
Interlink Global Corp. to acquire NGTV, the second largest licensed telecom carrier in Venezuela, the importance of this contract is:
- It picks up over $9 million of gross assets that are audited to the consolidated balance sheet of ILKG, which means the company will be Nasdaq qualified, as soon as the official closing occurs. The sole contingency on the closing of the contract is the approval of the Bermudian authorities, where the parent of NGTV is incorporated, which we should have in the next 10 days. This is an accomplishment since VOIP companies have a very hard time accumulating the asset base to qualify for Nasdaq.
- The acquisition picks us up close to $8 million of historical gross revenues from 2005, with a EBITDA of close to $800,000. Since we are only paying $1.75 million for the acquisition plus 2 million shares, the acquisition is actually accretive to our earnings and our market cap immediately.
- The company will own only one of three fully licensed telecom carriers in Venezuela, with no additional licenses contemplated to be granted for several years. The company has negotiated contracts with Telekom in Columbia to immediately start running inter-country phone traffic back and forth through their respective systems so there is a direct link between the two countries, since most traffic between the two countries is routed through the US, because the state owned incumbent telecom company doesn't have enough capacity, and has very high interconnectivity charges. With the amount of traffic that the company presently has in Latin America, coupled with the Telekom contract the company should increase revenues running through NGTV by over $5 million per month at a minimum 10% margin. We had originally projected $30 million of gross revenues coming to the company from the NGTV acquisition in 2006, but this is now under projected because of the Telekom agreement. I now expected that NGTV will achieve over $50 million of revenues in 2006, with a $5 million bottom line. This should double in 2007.
The Company will also sign the promotional and marketing contract with Kevin Bacon and the Bacon Brothers Bank, which is in final form early this week. This contract will result in Kevin Bacon, the actor and musician, and his brother signing on to promote Interlink's NetTalk residential and small office VoIP service to the public. This includes staring in several commercials which will be shot in March, and Interlink sponsoring a 12 city tour of the Bacon Brothers band. At each concert, the fans will be given a new CD of Interlink's software that results in the VoIP service being downloaded to their computers, and three new songs specifically recorded for the Interlink tour. They will also appear on various TV talk shows promoting the product, along with Kevin Bacon's new movie, and appear on billboards and special events for the Company.
We believe that this relationship will instantly brand the name NetTalk and Interlink in the public, since this is the first celebrity endorsement for a VoIP service. We also believe that is will result in million of users from the ages of 18 to 34 using the service with its video casting component at $24.95 per month.
Unlike Vonnage and Skype, which continue to lose money, NetTalk should produce not only significant gross revenues, but also significant profits, since Interlink has the telecom infrastructure in its north Miami communication complex to provide the service at the lowest possible costs to the Company. Part of Interlink's wholesale business is carrying traffic for Vonnage which is obviously paying higher prices to various third parties, than Interlink will incur as a direct carrier of the traffic.
The company continues to sign infrastructure contracts with various joint venture partners in Latin America and Europe, which will also be announced in the near future.
We now believe that, with these two announcements, the common stock of the Company will surge to all time highs and past the listing requirements for NASDAQ.MANAGEMENT
PRESIDENT & CEO
ANASTASIOS N. KYRIAKIDES
Mr. Kyriakides received a bachelor's degree in business administration from Florida International University in 1975. In 1977, he received a degree in investment banking from the American Institute of Banking. Mr. Kyriakides has extensive experience in the field of investment banking and venture capital. From 1979 to the present, Mr. Kyriakides has consulted for numerous companies in the areas of banking, shipping, travel, and electronics. In 1994, Mr. Kyriakides became the Chairman of Montgomery Ward Travel, a company created to provide full travel services to eight million Montgomery Ward customers and credit card holders; he served in this capacity from 1994 to 1996. Mr. Kyriakides had previously organized the successful start-up of Seawind Cruise Line in 1990; there, he was the founder, and later, the Chairman, CEO, and Secretary until 1994.
CHIEF TECHNOLOGY OFFICER
Teo Cotton, with eleven years of experience in the Telecommunications field, is highly qualified for the job of Chief Technology Officer. His educational and work experience credentials are exceptional. He is a graduate of the Inter-American University of Puerto Rico having earned a Bachelor's Degree in Computer Programming and an Associate Degree in Accounting. Teo worked for the Puerto Rico telephone company as a designer of telecommunication systems, and in 1996 he started his own ISP (Internet Service Provider), and Voice over Internet Protocol Company, (VoIP), called Caribbean Communications Services Corp., which was later purchased by an investor group. In the year 2000, Teo accepted a position with Nortel Systems in Florida, working in conjunction with Sprint of Fort Lauderdale. There he helped roll out and provision Nortel Telecom's equipment to all of Miami-Dade and Broward County's elementary schools. He also worked with Sprint's Edge System, which incorporated traditional telecom with IP integration.
In 2001 Teo departed from Sprint to join the Voice over Internet Protocol revolution working for various companies rolling out Cisco equipment employing VoIP technology in Miami, Florida's widespread business areas. He helped design and build VoIP Networks for many companies and traveled widely to the majority of the PTTs in Latin America. As he added clients and contacts all over Latin America, he expanded his knowledge to include TDM and VoIP equipment such as: DMS, Cisco, Mera, Lucent, and Quintun, to name a few. Teo has designed and installed various SS7s, C7s, E1s, and T1s, in Latin American and European countries, giving him a broad understanding of the new telecom infrastructure. Teo, as Chief Technology Officer with Interlink Global advises the Board of Directors in all aspects of new deployable telecommunications technology.