DragonWave Prices Public Offering Of 11.9 Mln Units At $2.10/Unit

(RTTNews) - DragonWave Inc. (DRWI, DWI.TO), a supplier of packet microwave radio systems for mobile and access networks, announced it has priced an underwritten public offering of approximately 11.9 million units at a price to the public of US$2.10 per Unit, for gross proceeds of approximately US$25 million.

The company said it intends to use the net proceeds from the Offering to strengthen its balance sheet, to fund working capital and for general corporate purposes.

Under the terms of the Offering, each Unit consists of one common share and three quarters of one warrant. Each whole Warrant entitles the holder thereof to purchase one common share of the Company at an exercise price of US$2.70 for a period of five years from the closing date, subject to acceleration and adjustment. The Offered Shares and Warrants are immediately separable.

The company stated that it will not list the Warrants on the Toronto Stock Exchange or The NASDAQ Stock Market.

The Offering is expected to close on or about September 23, 2013, subject to customary closing conditions, including the approval of the Toronto Stock Exchange and NASDAQ with respect to the Offered Shares and the shares issuable upon exercise of the Warrants.