Internet telephony firm ITXC on May 2 announced that it acquired all the communications assets of Nexcom, including equipment and operating facilities in 11 countries in Eastern and Central Europe. The company will pay $9 million in cash, and another $3.1 million in shares.
ITXC said the agreement includes an exclusivity agreement with Voicecom, the only company providing voice over Internet protocol services in Lithuania.
ITXC, whose market cap is $226 million, reiterated revenue and earnings estimates, and expects to achieve profitability and positive cash flow between the first quarter and third quarter of 2003. The company said that in 2002 it expects $275 million to $300 million revenue.
Ten days ago ITXC, in which VocalTec Communications (Nasdaq:VOCL) holds a 10% stake, reported record revenue of $57.7 million for the first quarter, which reflects 60% revenue growth compared with the parallel quarter. Loss shrunk by 66% to $4.7 million.