BTP Bns Telecom

RNS Number:3963X
BNS Telecom Group plc
25 January 2006


BNS Telecom Group plc

Acquisition of Telecom Asia to launch additional mobile services


BNS Telecom Group plc ("BNS"), a leading provider of integrated, white labelled
telecoms services to the SME and corporate market in the UK, has acquired
Telecom Asia Limited ("TelAsia"), a mobile data services provider, for a total
consideration of #450,000.


TelAsia has a VoIP based switching platform which provides carrier grade
wireless SMS and MMS services on a bulk scale within the UK and internationally.
The main revenue streams are generated through worldwide outbound SMS and MMS
transport, premium rate SMS transactions, and content provision and message
management. TelAsia commenced trading in January 2004 and in the 12 months ended
31 December 2005 is expected to make a profit before tax of #60,000.


This acquisition will enable BNS to cross sell additional mobile services into
its existing SME customer base, in addition to enhancing the Group's VoIP
capability currently offered through Modus Telecom.


The consideration is to be satisfied by payment of #250,000 cash and by way of
the issue of #200,000 in new ordinary shares of BNS, being 328,947 shares (the "
Consideration Shares").  Completion of the acquisition of TelAsia is conditional
upon admission of the Consideration Shares to trading on AIM ("Admission").  It
is expected that admission will become effective on or around 30 January 2006.


The Managing Director of TelAsia, Mark Stewart, will join BNS' management
(non-board) and lead its Mobile Services division, taking responsibility for
selling services into the combined customer base. Telecom Asia Limited has also
been renamed BNS Mobile Limited.


Garry Moat, Managing Director, said:


"At our listing at the end of last year, we indicated that, over and above our
organic growth strategy, we intended to take advantage of commercial
opportunities in the marketplace to widen our portfolio of products and
services.  Not only do we expect the acquisition of TelAsia to be earnings
enhancing, it is also advantageous as it extends our offering to SMEs, whilst
being complementary to our VoIP business, Modus."

                                                                 25 January 2006

Enquiries:


BNS Telecom Group plc                                               08707 508888
Garry Moat, Managing Director
David Horrocks, Finance Director


KBC Peel Hunt
Jonathan Marren/David Anderson                                     020 7418 8900


College Hill
Adrian Duffield/ Corinna Dorward                                   020 7457 2020




                      This information is provided by RNS
            The company news service from the London Stock Exchange
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