NEW YORK (TheStreet) -- Shares of Inteliquent (IQNT) were gaining 20.1% to $21.43 on heavy trading volume Tuesday after the wireless communications company announced a new three-year agreement with T-Mobile (TMUS) - Get Report.

Under the new agreement Inteliquent will be the sole provider of voice interconnection services for all calls between T-Mobile and "nearly all other voice providers" in the U.S. The agreement's also includes Inteliquent's "Infrastructure as a Solution" offering which allows a customer to remove its division multiplexing interconnection from its network and use IP/SIP interconnection for voice services.

"We are thrilled to enter into this new agreement with T-Mobile" Inteliquent CTO John Bullock said in a statement. "Historically, we have been the leading provider of connectivity between wireless and other competitive carriers but not from those carriers to the incumbent local exchange carriers. Going forward, our Infrastructure as a Solution offering allows us to serve the enormous amount of traffic that is originated and terminated to legacy landline networks from wireless and other competitive carriers."

About 1.9 million shares of Inteliquent were traded by 3:36 p.m. Tuesday, well above the company's average trading volume of about 209,000 shares a day.

TheStreet Ratings team rates INTELIQUENT INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:

"We rate INTELIQUENT INC (IQNT) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, largely solid financial position with reasonable debt levels by most measures, expanding profit margins and growth in earnings per share. We feel its strengths outweigh the fact that the company shows weak operating cash flow."

Highlights from the analysis by TheStreet Ratings Team goes as follows: