Business
NextNav Inc. Announces Additional $20 Million in Debt Financing
Additional Financing Brings Total Facility to $70 Million at Closing Senior Secured Note Purchases Demonstrate Continued Investor Confidence MCLEAN, Va., June
About this update from Nextnav Inc.
[{"type":"text","content":"Additional Financing Brings Total Facility to $70 Million at Closing\nSenior Secured Note Purchases Demonstrate Continued Investor Confidence\nMCLEAN, Va., June 12, 2023 /PRNewswire/ -- NextNav Inc. (Nasdaq: NN), a leader in next generation GPS, today announced binding commitments to purchase an additional $20 million aggregate principal amount of 10.00% Senior Secured Notes due December 2026 (the \"Additional Notes\") as well as an additional 7.4 million common stock purchase warrants to purchase shares of NextNav's common stock (the \"Additional Warrants\"), under the terms and conditions of the recently-announced $50 million financing, which closed on May 9, 2023 (the \"Initial Closing\"). The closing and issuance of the Additional Notes and Additional Warrants is expected to occur on July 6, 2023 (the \"Additional Closing\") and were exclusively available to investors in the $50 million Initial Closing. Following the Additional Closing, the gross proceeds from the Initial Closing and Additional Closing are expected to total $70 million.\n\n \n \n \n \n \n \n\n \n\"We are pleased to announce the successful completion of an additional $20 million in debt financing, formed by investors increasing their existing commitments, at terms favorable to the Company,\" said Ganesh Pattabiraman, NextNav Co-founder and CEO. \"The positive market reception to this financing is a testament to the strong fundamentals of our business and we look forward to leveraging this funding to actualize our strategic priorities while efficiently maximizing the full value of NextNav's asset-rich platform to our shareholders and customers.\"\nThe Additional Notes will be issued pursuant to the previously announced indenture, dated as of May 9, 2023, among the Company, certain subsidiaries of the company named therein as notes guarantors (the \"Guarantors\") and GLAS Trust Company, LLC, as trustee and notes collateral agent (the \"Notes Collateral Agent\"), and will be secured under the previously announced security agreement, dated as of May 9, 2023, among the Company, the Guarantors and the Notes Collateral Agent, each of which were entered into at the Initial Closing. The Additional Warrants are also substantially identical to the warrants issued in connection with the Initial Closing, including with respect to the exercise price, exercisability period ...