Flint Telecom Group, Inc., an International Telecoms Technology and Services Organization, has signed a Letter of Intent to acquire 100 percent of a turnkey VoIP company providing services to small and medium enterprises (SMEs) in the United States.

Following successful completion of the necessary due diligence, which is already underway, the transaction is expected to close within the next 60 days.

Officials with Flint Telecom said that completion of the acquisition will bring immediate and profitable annual revenues to the group in excess of $2 million; the target company is currently growing at over 50 percent per year.

"This is the first announcement from a number of ongoing discussions with similar providers and marks a first step in our recently announced growth strategy for our VoIP services. This company has some significant intellectual property and has created some very exciting applications in automated dialing and high volume call control in a high value market,” said Bernie Fried, president and COO of Flint Telecom Group, in a statement.

Fried said that globally, SMEs account for 99 percent of business numbers and 40 percent to 50 percent of GDP.

“We still expect to acquire over 10 companies throughout 2011 that we expect will deliver sustainable profitability for the group from mid 2011. These companies are unable to achieve sufficient scale on their own but they have achieved the hardest part in growing any business, acquiring customers,” he said.

Fried said that by consolidating the various business operations under one roof, duplicate costs are eliminated and network elements reduced to achieve greater returns from the existing revenue streams.

"We look forward to finalizing this transaction as soon as possible and to adding additional ones in the near future. One of the most exciting things to come from these acquisitions is the ability to add additional value added services, such as our nationwide wireless services set to launch this month as planned, and integrate them with existing customer systems to create a seamless communications platform,” said Vincent Browne, chairman and chief executive of Flint Telecom Group.

Browne said that this allows users to have full mobility but still be connected as if sitting at their desks. The market for these services continues to grow rapidly as the use of Smartphones becomes commonplace.

“ We also plan to fund most of the acquisitions with long-term debt and deferred stock grants as much as possible that will reduce the funding we need from new share sales and deliver a better return for our shareholders," he said.