KSIX Media Holdings, Inc. CEO Shareholder Update Regarding True Wireless
May 11 2017 - 8:30AM
Marketwired
KSIX Media Holdings, Inc. CEO Shareholder Update Regarding True
Wireless
KSIX Executes Addendum to Definitive Agreement with True
Wireless
LAS VEGAS, NV-(Marketwired - May 11, 2017) - KSIX Media
Holdings, Inc. (OTC PINK: KSIX), a diversified media and internet
company headquartered in Las Vegas, announced today that it has
entered into a Letter of Intent to produce a revised agreement with
True Wireless, LLC, one of the leading providers of the Federal
Lifeline program. The Lifeline program provides essential services
by offering discounted phone and broadband services to qualifying
low-income households. Over 37 million households are eligible for
this program according to the Universal Service Administration
Company (USAC), a non-profit corporation designated by the Federal
Communications Commission (FCC) to administer the $10 billion
Universal Service Fund.
Fellow shareholders:
We are very pleased to announce that we have completed a revised
agreement with True Wireless which is available to read in our May
5, 2017 8-K filing. Last year when we started to look for potential
acquisitions and opportunities for KSIX my goal was to acquire or
align with a significant asset that would benefit from KSIX's
digital media expertise. We are happy to report that we have made
further progress towards this goal.
We first starting working with True Wireless mid last year and
were able to immediately and positively impact their business. Most
notable we were able to open a new lane for customer acquisition
with social media marketing, lowering the cost of new customer
acquisition from over $26.00 to about $7.00 per customer. As we
worked with True the synergies became more apparent as well as the
opportunity to align with a revenue engine in the telecom sector.
Telecom is one of the most dynamic and fastest growing business
sectors in the world. US consumers look at their devices more than
9 billion times a day up 13% from last year. True provides an
essential service within telecom, specifically as a Lifeline
Provider. There is a significant untapped marketplace with over 37
million households eligible for Lifeline. True currently is
licensed to operate in 5 states, with significant opportunities to
expand either through acquisition or an application process.
True Wireless management has a proven track record of success
that we feel will only be enhanced by the alignment with KSIX and
the power of a public company to facilitate expansion and new
acquisitions. On February 28, 2017 we reported that True had grown
their customer base from 41,912 as of December 31, 2015 to 60,405
as of December 31, 2016, a 44% growth. We also reported that a
tremendous benefit of the broadband expansion adopted by the FCC in
their March 2016 update of the Lifeline program allowing for 12
month contracts. This resulted in an increase in customer retention
by True of approximately 1500 customers per month which equates to
over 18,000 customer annually.
True has gross annual revenues in excess of $13 million and is
currently growing at a rate of about 5% per month. While I am proud
of KSIX's contribution to this growth, I applaud the True Wireless
team and the leadership of Brian Cox, True Wireless's CEO. We hope
to bring his vision, leadership and dedication to generating
revenue to benefit all KSIX shareholders. This must occur through
revised definitive agreements as further discussed in the LOI and
recent 8-K filing.
I look forward working with Brian to grow True Wireless, expand
into new markets as well as related telecom verticals that will
benefit from KSIX digital marketing expertise and the operational
and revenue programs that True has successfully developed and
implemented. This is a tremendous model and truly an exciting time
for KSIX and our shareholders.
Sincerely, Carter Matzinger, CEO
ABOUT KSIX MEDIA HOLDINGS KSIX Media Holdings, Inc. (OTC PINK:
KSIX) is an SEC fully reporting media and Internet company located
in Las Vegas, Nevada. Currently, there are two operating divisions,
Digitize IQ and KSIX Media, Inc. DigitizeIQ provides digital
advertising utilizing proprietary technology and intellectual
properties designed to create new revenue streams and increase
measurable audiences for clients. KSIX provides performance-based
marketing solutions to drive traffic and sales. KSIX manages offer
tracking, reporting, and distribution on the third-party
platform.
ABOUT TRUE WIRELESS, LLC True Wireless LLC, an Oklahoma company,
is an eligible telecommunications carrier providing discounted and
subsidized wireless (cell phone) service to those who qualify. The
company provides government sponsored/supported cell phone service
in Texas (TX), Oklahoma (OK), Arkansas (AR), Maryland (MD) and
Rhode Island (RI). The service is subsidized under the Lifeline
program. Americans who enroll in the program must qualify and
maintain annual certification.
FORWARD LOOKING STATEMENTS Certain statements in this release,
other than statements of historical fact, may include
forward-looking information that involves various risks and
uncertainties. There can be no assurance that such forward-looking
statements will prove to be accurate. Actual result and future
events could differ materially from those anticipated in such
statements. These and all subsequent written and oral
forward-looking statements are based on the estimates and opinions
of management on the dates they are made and expressly qualified in
their entirety by this notice. The Company assumes no obligation to
update forward-looking statements should circumstances or
management's estimates or opinions change, other than as required
pursuant to applicable securities laws.
Contact Information KSIX Media Holdings, Inc info@ksix.com
Source: KSIX Media Holdings, Inc Investor Contact OmniVance
Advisors PR@ksix.com 858-381-5740