Nashville telecom entrepreneur sells to Atlanta firm

Wilhagan Ventures, ISDN-Net among local beneficiaries of consolidation

Email | Print By Milt Capps

Jerry Dunlap

Wilhagan Ventures Inc. CEO Peter Marcum told NashvillePost.com this morning, "we're hoping the bad times are behind us," now that Atlanta-based Integrated Media Holdings Inc. (I-Media) has announced plans to buy Wilhagan's WV Fiber subsidiary.

"We've struggled mightily and lost a lot of money," Marcum said, adding that three-year-old WV Fiber had established services in four countries and a total 23 cities, despite filing for bankruptcy in 2005 in an effort to gain relief from vendor contracts and creditors.

I-Media did not release deal terms, but Marcum said that Wilhagan is essentially "swapping ownership" and debt for shares in I-Media. He said the transaction involves $2.4 million in cash, 4 million shares of common stock and an additional $900K in warrants for shares. Marcum said the cash will go mostly to pay debts. The deal is schedule to close Aug. 8.

Meanwhile, Jerry Dunlap, founder and president of Nashville-based ISDN-Net, which has been aligned with I-Media and WV Fiber for some time, applauded the sale, confirming that ISDN-Net owns "a very significant" stake in I-Media.

Dunlap, who is on the I-Media board, also confirmed that ISDN-Net owns a stake in Nashville-based Zoe Creative, which was recently organized to create programming and other content for broadband media, probably including I-Media's Endavo Media and Communications subsidiary.

Earlier today, I-Media CEO Paul Hamm said in a release that by acquiring the WV Fiber network, his company will gain "an immediate and significant base of recurring and growing contract revenues for the first time." I-Media said the acquisition should initially translate into about $4 million in annualized contract revenues.

WV Fiber provides national and international communications services, hosting, collocation and other services.

Wilhagan Ventures Inc. was formed in 2001 by Marcum and Tom Lunn, a former treasurer of Ingram Industries. Marcum had previously founded Nashville Computer Liquidators, which he later sold, and Essex Technology Group, Inc., of which he remains chairman.