Wireless Services Acquires Mobile Media to Fuel Future Growth

Company

• Wireless Services Corp. (WSC) provides messaging and advanced data services to wireless carriers throughout North America.
• The company’s product line includes Text (SMS) and Picture Messaging (MMS), Enterprise Messaging, WAP Gateway and Spam Protection and includes carrier-grade reliability coupled with a full-service, 24x7 operations team.

Situation

• WSC had experienced 100% growth over the last two years due to the growth in messaging traffic across its network.
• However, the Company’s largest customer, Nextel, had just been acquired and created some uncertainty about the future growth profile of the Company.
• In late 2005, the WSC team, with assistance from Cascadia Capital, began exploring acquisition opportunities in the wireless content space.

Results

• After determining to make an acquisition in the content acquisition space, WSC and Cascadia evaluated the landscape of targets, ultimately choosing Mobile Media North America as the best fit.
• Due to a compressed timeline for the acquisition, WSC’s inside investors provided the acquisition financing
• Post-close, Cascadia assisted WSC in attracting additional investment to fund working capital, in addition to diversifying the investor base