Transnational Exits Mortgage Biz

Transnational Financial Network Inc., San Francisco, says it is getting out of the mortgage business after entering into an agreement to acquire Telava Networks Inc., a provider of wireless broadband connectivity, also in San Francisco."We believe that our shareholders will have the benefit of new enterprise in a new, expanding industry, an opportunity that would not otherwise be available to our shareholders," said Joseph Kristul, Transnational's chief executive officer. "Consistent with the challenges in the mortgage industry, Transnational has seen its operations and capital position deteriorate. Given the current difficulties in the mortgage industry and our anticipation that these problems will continue for an indefinite time, this acquisition holds promise for our shareholders that they would not otherwise see in the mortgage industry for some time." The mortgage operations are being sold to an entity not disclosed in the Transnational statement. Transnational's stock, which trades on the pink sheets, more than doubled in price by midday on Aug. 7, rising by $0.33 to $0.50 per share.