First Avenue Networks Raises $93 Million in Equity
December 14 2004 - 5:05PM
PR Newswire (US)
First Avenue Networks Raises $93 Million in Equity Company Receives
Federal Communications Commission and Hart-Scott-Rodino Approval
for Teligent Acquisition CHARLOTTESVILLE, Va., Dec. 14
/PRNewswire-FirstCall/ -- First Avenue Networks (OTC:FRNS)
(BULLETIN BOARD: FRNS) , a leading provider of fixed wireless
solutions, today announced the sale of equity securities resulting
in gross proceeds of $93.3 million. First Avenue Networks sold
12,870,000 shares of common stock priced at $7.25 per share. Over
20 institutional investors participated in the sale. First Avenue
intends to use the net proceeds for its mobile backhaul network
initiatives and to develop fiber extension facilities for targeted
metropolitan markets. The funds also will be used for debt
repayment and general corporate purposes. In a related event, the
company also announced that all conditions for closing the
acquisition of Teligent's assets and operations were met. The FCC
has approved the request to transfer 24 GHz licenses to be
purchased by First Avenue from Teligent in connection with the
acquisition. The company also received approval for the acquisition
from the Securities and Exchange Commission under the HSR Act of
1976. First Avenue Networks plans to close the Teligent transaction
on or before December 31, 2004. The shares of common stock have not
been registered under the Securities Act of 1933. First Avenue
intends to file a registration statement covering the shares issued
within 60 days of the close of the private placement. This press
release does not constitute an offer to sell or the solicitation of
an offer to buy common stock. This press release is being issued
pursuant to and in accordance with Rule135c under the Securities
Act. About First Avenue Networks First Avenue Networks (OTC:FRNS)
(BULLETIN BOARD: FRNS) , a provider of high capacity fixed wireless
solutions, facilitates the rapid deployment of fixed wireless to
portions of the telecom network where the technology offers a
demonstrable competitive advantage. Available to service providers
through a turnkey operation or licensed spectrum lease, First
Avenue's fixed wireless services are cost and capital effective,
quickly provisioned and easily scaled to meet growing capacity
demands without complexity. First Avenue Networks, with the closing
of the Teligent transaction, will hold approximately 600 MHz of
spectrum at 24 GHz and 39 GHz in the top 75 U.S. markets, covering
virtually the entire United States. For more information, please
visit the company's web site at http://www.firstavenet.com/ or call
(703) 873-4150. The above information includes forward-looking
statements regarding the consummation of the proposed acquisition,
securities trading and the provision of services by the Company and
other opportunities in the Company's marketplace. These statements
are not guarantees of future performance. Known and unknown risks,
uncertainties, and other factors, including without limitation, the
risk that the proposed acquisition will not be consummated, the
risk that the Company will be adversely affected by consummating
the acquisition, capital constraints, changes to or failure to
execute the Company's strategy and business plan, non-renewal or
revocation of FCC licenses, variable customer demand, technological
risks, ability to manage growth, competition and government
regulation and other risks may cause actual results to differ
materially from the future results implied or expressed in the
forward-looking statements. Many of these risks and uncertainties
are further discussed in our most recent filings with the
Securities and Exchange Commission, including our annual report on
Form 10-K for the fiscal year ended December 31, 2003. The Company
does not undertake to and expressly disclaims any obligation to
update or revise its forward-looking statement publicly to reflect
any change in these forward-looking statements, or in events,
conditions or circumstances on which any such statements may be
based, or that may affect the likelihood that actual results will
differ from those set forth in the forward-looking statements.
DATASOURCE: First Avenue Networks CONTACT: Linda Pitt of GAJ
Services Inc., +1-859-291-1005, , for First Avenue Networks Web
site: http://www.firstavenet.com/
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