Exhibit 99.1
Press Release
Multi-Link Telecommunications, Inc., a rapidly expanding provider of integrated
voice messaging services, today announced that it had signed a letter of intent
for Glenayre Technologies, Inc. to invest approximately $1,500,000 in
Multi-Link's restricted common stock.
In addition, Multi-link has been advised that Glenayre is in negotiations with
an existing (non affiliate) stockholder for the purchase of 100,000 additional
shares, which would bring its stake to around 5% upon successful completion of
both transactions.
Multi-Link uses the powerful Glenayre MVP voice-messaging platform in seven
cities across the United States.
"We are delighted that Glenayre has taken this step to develop a closer
relationship with Multi- Link," said Nigel Alexander, Chief Executive Officer of
Multi-Link Telecommunications, Inc. "Having Glenayre as a significant
stockholder will allow us to see farther into the future as Unified Messaging,
Internet based wireless messaging and other exciting new technological
developments become a part of our everyday lives."
"We believe that Multi-Link's plan to create a nationwide unified messaging
service bureau has significant potential," said Eric Doggett, Chief Executive
Officer of Glenayre. "As a leading global provider of messaging services
infrastructure we look forward to having a partner that is very close to the
real needs of the small business customer as we develop the next generation of
messaging services on the MVP platform".
Following the investment, Glenayre will have visitation rights at Multi-Link's
board meetings. Glenayre executives will also provide advice and guidance as
Multi-Link executes its business plan.
"This is a natural fit for Glenayre" said Warren Neuburger, Executive Vice
President - Products at Glenayre. "We intend to assist Multi-Link to develop a
significant service bureau dedicated to meeting the needs of the small business
and residential customer in an increasingly complex service area as basic voice
mail is replaced by Unified Messaging over the next decade." As a part of the
investment Multi-Link has agreed to purchase not less than $2.5 million of
equipment over the next three years.
Multi-Link recently announced record revenues and EBITDA for its second quarter
of fiscal 2000, and the opening of its new sales and marketing center in
Indianapolis, which will target the national residential messaging services
market as Multi-Link expands its geographic reach.
About Multi-Link Telecommunications, Inc.
Our goal is to become a significant force within the US Unified Messaging
service industry, which is predicted by industry analysts to be an important
market over the next few years. At present we provide advanced voice messaging
services to businesses and homes. We plan to achieve this market position by
acquiring voice messaging subscribers through a national industry consolidation
plan, and then to transition our customers to Unified Messaging services as
<PAGE>
market demand for this service increases. By continuing with our strictly
defined acquisition plan, we believe we will be able to continue our profitable
growth and that we will be well positioned to participate in the rapidly
developing Unified Messaging market in the future.
About Glenayre:
For more than 35 years, Glenayre Technologies Inc. has developed and provided
leading-edge personal communications systems to a global network of customers.
Glenayre's business focus is to deliver its Solutions for an @ctive World(TM)
portfolio, leveraging core competencies in the converging sectors of the
wireless Internet and unified messaging to provide differentiated solutions for
today's mobile and active lifestyles. With 1,300 employees and 1999 net sales
exceeding $238 million, Glenayre provides a complete line of wireless messaging
products and systems that include one- and two-way paging infrastructure
equipment and award-winning two-way-pagers with Always @ctive(TM) operation.
Glenayre also delivers an array of Enhanced Services Platform products that
include voicemail, fax messaging, voice- activated services, personal one-number
services, and debit/prepaid calling card platforms to a variety of
telecommunications service providers. Glenayre's communication products
currently operate in more than 100 countries. Glenayre is headquartered in
Charlotte, North Carolina. For more information on Glenayre, its products, and
services, visit www.glenayre.com . Glenayre, the Glenayre logo, Solutions for an
@ctive World, the Solutions for an @ctive World logo and Always @ctive are
trademarks of Glenayre Electronics, Inc.
I. SAFE HARBOR PROVISIONS
This release should be read in conjunction with reports filed by the Company
pursuant to the Securities Exchange Act of 1934, as amended. This release
contains forward-looking statements that involve risks and uncertainties. Actual
results could differ materially from those anticipated in these forward-looking
statements as a result of any number of factors, including, but not limited to,
intensity of competition, customer attrition, disruption of local telephone
services, technological obsolescence, cost of technology, the availability of
third-party billing solutions, the availability of financing, the effects of
regional economic and market conditions and increases in marketing and sales
costs.
2
