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Digerati Technologies
The Growth
The subsidiaries, NextLevel Internet, Skynet, Nexogy and T3 Communications, have been acquired by Digerati. In fact, the Company acquired Synergy in December of 2017, followed by the acquisition of T3 in May of 2018, Nexogy in 2020, Skynet and NextLevel Internet in 2022. Since its acquisitions of NextLevel Internet, Nexogy and Skynet, Digerati Technologies has more than doubled the Company’s revenues. This was done by adding a solid base of customers throughout Texas, Florida & California. The Company is currently providing services to municipalities like the cities of Alice, Benbrook, Lake Worth, as well as others throughout the State. Moreover, the Company has established relationships with business clients like Texas Workforce Solutions, Becker Vineyards, Star Shuttle, the McNay Art Museum, and many others. This was an important move, as T3 is an established player in the VoIP and cloud communications industry. As a result of the business combination, a telephony operator that serves 5,000 businesses customers and 50,000 users in Florida, California and Texas. Today, the combined entity generates over $31.6 million in annual revenue and positive cash flow from operations.
A Compelling
Opportunity
Digerati Technologies offers a compelling growth opportunity in the fact that it is bringing some structure to a highly-fragmented market. Today, the market is littered with regional UCaaS/Cloud communications providers with relatively low values. The Company plans to bring these providers together via acquisition. In fact, the acquisitions of NextLevel, Skynet, Nexogy and T3 serving as a foundation for this “consolidation” strategy. Essentially, the Company plans on acquiring providers that are currently generating between $2 million and $10 million in annual revenue while producing positive cash flow from operations. In doing so, the Company will be able to create cost synergies that produce additional profits and improved returns. This is done through the integration of telecommunication infrastructure, back office systems, and network facilities.