Sun Network Group Inc. is to acquire PayCell, a wholly-owned subsidiary of Celtron International

July 29, 2004

1 Min Read

MIDRAND, South Africa -- Celtron International Inc. (OTCBB: CLTR) a company in the business of developing and marketing products in Mobile Commerce, Vehicle-locating and Management, Asset Tracking and Telemetry Solutions, announced today that it has entered into a binding Letter of Intent with Sun Network Group, Inc. (OTCBB: SNNW) to acquire Celtron's subsidiary, PayCell, Inc., in an all-stock transaction.

The Agreement between the companies calls for 100% of PayCell to be acquired by SNNW in exchange for the issuance of restricted common stock. The deal is subject to Board and Shareholder approval and the completion and execution of the final merger documents, which the Company expects to be finalized within 30 days. The Companies are entitled to "break up fees" in the event of termination.

PayCell was established by Celtron in May 2004 to act as its North and South American subsidiary to sell, distribute and manage its mobile commerce businesses in those markets. Once the acquisition is complete, PayCell, Inc. will offer its mobile payment services to North American customers. According to the Yankee Group, a global leader in communications & networking research and consulting, by 2006 over 50 million wireless phone users in the United States will use their devices to authorize payment for premium content and physical goods. This group represents 26% of wireless users in the U.S.

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