Wi2Wi Corp. Announces Shares for Debt Transaction with LaSalle Capital Group
Toronto, Ontario - Wi2Wi Corporation (Wi2Wi or the Company) a leading global developer and manufacturer of wireless connectivity solutions, high precision frequency control devices, timing devices, and microwave filter devices announces that it has agreed to a shares for debt transaction with LaSalle Capital Group II-A L.P (LaSalle) to pay an aggregate amount of US$3,192,469 (the Debt) consisting of: a) the principal amount of the Secured Subordinated Convertible Debenture of US$2.5 million; b) the unpaid but accrued interest related to the Debenture in the amount of US$168,698; and c) interim funding provided by LaSalle to Wi2Wi in the amount of US$523,771.
Based on the Bank of Canada noon exchange rate on June 18, 2015 the Canadian dollar equivalent of the Debt was $3,897,685.40 (CAD exchange rate of 1.2209). Therefore approximately 30,570,082 common shares of Wi2Wi will be issued to LaSalle as consideration for the Debt. The common shares will be issued at a deemed price of $0.1275 per common share representing the "Discounted Market Price", as defined under TSX Venture Exchange (TSXV) policies, based on the closing price of the Wi2Wi common shares on the TSXV on June 18, 2015.
The transaction is subject to approval of the TSXV and Wi2Wi shareholders as it is expected that LaSalle will be a "control person" as defined under TSXV policies following completion of the transaction.
"We welcome LaSalle, a leading institutional investor from Chicago, IL, USA, as a significant shareholder of the Company" said Zachariah Mathews, President and Chief Executive of the Company. "Payment of these debts affords the opportunity for the Company to focus on growing its business. We appreciate the vote of confidence that LaSalle has placed in Wi2Wi."
For further information, please contact:
President and Chief Executive Officer