Rye, NY – September 1, 2015 – LICT Corporation (“LICT”; OTC Pink®: LICT) is reporting that the shareholders of Dixon Telephone Company (“Dixon”) yesterday approved the acquisition of Dixon by Central Scott Telephone Company (“Central Scott”), a wholly-owned subsidiary of LICT. The acquiring company is a single-member limited liability company, Dixon Acquisition, LLC, owned by Central Scott.
The definitive agreement for this acquisition was signed on July 21, 2015. The transaction is subject to regulatory approvals by the Iowa Utilities Board and the Federal Communications Commission. All of the required regulatory filings have been made. It is currently anticipated that the approvals will be received during September and that the transaction will close by September 30, 2015 or shortly thereafter.
Howard Hunt, CEO of Dixon, said “We believe that Dixon’s customers will be very well served by this sale. Central Scott is our neighboring phone company and is well-acquainted with our system, territory and customers. And as part of the transaction, Central Scott has committed to upgrade the Dixon facilities to provide much faster internet access speeds for our customers.”
Donn Wilmott, General Manager and CEO of Central Scott, said “We are delighted to begin serving Dixon’s customers and expanding our traditional service territory. We look forward to continuing the excellent service these customers have received from Dixon, and to offering enhanced internet capabilities as well.”
The Dixon shareholder vote was almost unanimously in favor of the sale. Financial terms of the transaction are not being made public at this time. The parties expect to close the transaction as soon as the necessary regulatory approvals are obtained, which are expected by the end of September or early October of this year.
This release contains certain forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including without limitation anticipated corporate transactions and capital expenditures. It should be recognized that such information is based upon certain assumptions, projections and forecasts, including without limitation business conditions and financial markets, regulatory and other approvals, and the cautionary statements set forth in documents filed by LICT on its website, www.lictcorp.com. As a result, there can be no assurance that any possible transactions will be accomplished or be successful, and such information is subject to uncertainties, risks and inaccuracies, which could be material.
LICT Corporation is a holding company with subsidiaries in broadband and other telecommunications services that actively seeks acquisitions, principally in its existing business areas.
LICT Corporation is listed on the OTC Pink® under the symbol LICT. For further information visit our website at http://www.lictcorp.com.
Contact: Robert E. Dolan
Executive Vice President and Chief Financial Officer