NetComm  Limited (ASX: NTC) has announced it will acquire an Australian private company, Call Direct Cellular Solutions 2003 Pty Ltd in a cash and shares deal worth $2.275 million.

NetComm Limited (ASX: NTC) has announced it will acquire an Australian private company, Call Direct Cellular Solutions 2003 Pty Ltd in a cash and shares deal worth $2.275 million.

The acquisition adds further 3G wireless broadband expertise in line with NetComm boards strategy to be a significant provider of wireless broadband technology in Australian and overseas markets. Call Direct is a specialist developer of industrial 3G wireless technology such as remote wireless fire safety monitoring devices and other unmanned safety systems, and will add significant revenue and synergies to NetComms successful 3G strategy.

Call Direct possesses strong intellectual property (IP) that will deepen NetComms offerings and expand its range to suit a broader range of international markets. The deal delivers NetComm a profitable industrial arm that will provide a new industrial customer base to NetComms infrastructure division. The acquisition will also generate synergistic savings across the two companies.

The two founders of Call Direct have agreed to take senior positions within NetComm to maximise the acquisitions benefit to NetComm and its customers. They bring with them a five-man engineering team and four support staff, ensuring continuity in the development and support of the companys 3G technology.

The deal, which will be cash flow positive in the current financial year, will add further value to NetComm by providing further export opportunities, particularly into a number of Asian markets.

Conditional on final commercial review and shareholder approval at the AGM for the issue of $1.3 million of NetComm's shares, NetComm will acquire the company and all its intellectual property with deferred settlement terms over two years.