Synchronica plc - Expansion of Group-Wide Operator Contract in Latin America

  • Synchronica has signed an expansion contract with a tier-one multinational mobile operator group in Latin America.
  • The operator group has already rolled-out Synchronica's Instant Messaging solution; the expanded contract adds Synchronica's push email and synchronization technology.
  • Synchronica will receive additional recurring revenue from a monthly fee per active email user.
  • Push Email and synchronization services will be deployed across all subsidiaries of the group and will be hosted and maintained by Synchronica.

ROYAL TUNBRIDGE WELLS, UK, May 9 /CNW/ - Synchronica plc ("Synchronica" or "the Company") (AIM:SYNC) (TSXV:SYN) the international provider of push email, instant messaging and social networking services, has signed an expansion to an existing group-wide contract with a multinational tier-one mobile operator group.

The expanded contract will see Synchronica extend the functionality of the group's existing mobile Instant Messaging (IM) services to provide mass-market push email and synchronization. The contract, which Synchronica gained with the acquisition of Colibria's IMPS Instant Messaging business in April 2010, provides Synchronica with a strong and growing recurring revenue stream.

The enlarged service is scheduled to be deployed across all of the group's subsidiaries in Latin America, and will allow subscribers to access an email address provided by the operator's own-branded webmail service from any mobile phone. In addition, users will be able to connect with mainstream consumer email communities such as Windows Live, Hotmail and Yahoo, as well as synchronize enterprise email systems such as Microsoft Exchange or Lotus Domino.

Email and IM services are gaining popularity in the Latin American region. According to a recent study conducted by the online marketing research company comScore, IM records a 68 percent penetration rate in the region compared with the global average of 35 percent; while email records a 76 percent penetration versus 63 percent globally.

Carsten Brinkschulte, CEO of Synchronica, comments: "This contract expansion illustrates perfectly how Synchronica can provide complementary services to existing customers and in turn benefit from increased commercial value. We are confident that the addition of push email and synchronization to the group's messaging portfolio will help to increase overall revenues while also acting as a strong churn inhibitor."

About Synchronica

Synchronica plc is a leading developer of next-generation mobile messaging solutions. Mobile Gateway, Synchronica's flagship product, provides push email, synchronization, instant messaging (IM), and social networking services to any mobile phone currently in use. Synchronica's patented transcoding engine uses advanced streaming to download email attachments and can dramatically reduce the consumption of network bandwidth by as much as 90 percent.

Mobile operators and device manufacturers from emerging and developed markets rely on Synchronica's white-labelled product for providing mass market messaging services across the entire customer base, diversifying revenues and reducing churn. Synchronica's products are used by more than 80 mobile operators worldwide, and provide a one-stop solution for operators and device manufacturers that wish to introduce advanced mobile messaging services to their markets.

Headquartered in England, Synchronica also maintains a development centre in Germany and the Philippines in addition to a regional presence in Canada, the USA, Hong Kong, Spain, and Dubai. Synchronica plc is a public company traded on the AIM list of the London Stock Exchange (SYNC) and the Venture Exchange of the Toronto Stock Exchange (SYN). For further information, please visit

Cautionary Statements

The foregoing information may contain forward-looking statements relating to the future performance of Synchronica plc. Forward-looking statements, specifically those concerning future performance or results, are subject to certain risks and uncertainties, and actual results may differ materially from Synchronica's plans and expectations. These plans, expectations, risks and uncertainties are detailed herein and from time to time in the public filings and announcements made by Synchronica, including those made with AIM, a market of the London Stock Exchange, with the TSX Venture Exchange or with securities regulators.  Synchronica does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.   No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

SOURCE Synchronica plc

For further information:

Synchronica plc
Carsten Brinkschulte, CEO
Angus Dent, CFO
Nicole Meissner, COO
+44 (0) 7977 256 406
+44 (0) 7977 256 347
+44 (0) 7977 256 412
TMX | Equicom Craig MacPhail 416 815 0700, ext. 290


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