In a bid to get a foothold in the world's most robust telecommunications market, local service portal operator e-Kong Group will pay US$12 million for United States-based long-distance calling company Furst Group.
The move would bring the US company's customer base under the umbrella of e-Kong's international direct dialling (IDD) ZONE Group service portal, said e-Kong's chief executive Derrick Bulawa.
'By adding the Furst assets and business portfolio, we will immediately have over 1.7 million corporate customers in North America,' he said, adding that about 30,000 of these were active customers. Mr Bulawa said the IDD market in the US was worth about US$128 billion a year - nearly 200 times that of Hong Kong. E-Kong's ZONE portal, in operation since March, gives customers quick access to the price plans of participating IDD providers. The portal compares about 15 IDD service providers and chooses the best-value provider for its users' requirements.
Mr Bulawa said e-Kong had the option to settle the Furst deal in cash or with new shares.
However, he said the company had not yet made a decision on which option to use, but indicated that the payments would be made in five instalments within a six-month period.
'We will choose the one which benefits the shareholders most,' Mr Bulawa said of the payment method.
