Hands On gets cold feet and pulls out of agreement.Hackensack-based GoAmerica (Nasdaq: GOAM), a provider of wireless and Internet relay services for the deaf, has officially declared its merger deal with Hands On to be dead.
Last July GoAmerica announced it would merge with Rocklin, Calif.-based Hands On, a provider of video relay and interpreter services for the hearing impaired. Privately held Hands On was to become a subsidiary of GoAmerica under the terms of the deal. GoAmericaÂs shareholders were in favor of completing the deal, and Hands On shareholders approved the merger on Feb. 22.
However, Hands On sent a letter one week later on March 1 to terminate the deal. Thus, GoAmerica is asking Hands On to fork over the $600,0000 it gave the California company as part of a short-term loan agreement. GoAmerica says it plans to evaluate other options in its bid to enter the video relay services market.
GoAmerica shares were down $0.01 to $3.82 in morning trading.