TORONTO, June 21 /CNW/ - Route1 Inc. (TSX-V:ROI), an innovator in
wireless remote computing, today announced it has directly secured
$4.0 million from private investors, employees, and institutions by way of a
private placement of units consisting of one Common Share and one half of one
Common Share purchase warrant. The Company issued 13,333,335 units at $0.30
each. The Closing of the Offering is subject to obtaining all necessary
regulatory approvals.
Route1, which has raised approximately $11.5 million since early 2004,
will use the money for general corporate and working capital purposes to
establish customer support, marketing and distribution channels for its new
Mobi Solution as well as develop follow-on products that exploit its unique
platform technology. The Company unveiled its much-awaited Mobi Solution on
June 9th in Toronto at its Launch Day event sponsored by IBM Canada, Psion
Teklogix, and CNG Solutions.
"We are very excited about the level of interest we have received from
investors and our employees," said John Denham, VP Finance and CFO, Route1.
"We're also pleased with the speed with which we were able to secure this
funding which has allowed us to focus our collective energies on our product
rollout and prospective customers."
Private Placement Details
Each whole Warrant will entitle the holder to acquire one Common Share at
an exercise price of $0.40 per share until the date which is 18 months from
the Closing Date. The Warrants may be repurchased by the Company at $1.00 less
the exercise price of the Warrant subject to 10 day notice to holders. The
Common Shares, the Warrants and the Common Shares issuable upon the exercise
of Warrants are subject to a hold period of not more than four months and one
day from the Closing Date.
About Route1
Route1 was founded with the vision of mobilizing the desktop PC. Drawing
on years of experience in secure wireless applications, Route1 is bridging the
gap between business needs and technology's limitations to deliver its Mobi
Solution. The Company is listed on the TSX Venture Exchange and is
headquartered in Toronto, Ontario with offices in New York, NY. For more
information, visit www.route1.com.
(C) 2005 Route1 Inc. All rights reserved. All other trademarks used are
owned by their respective owners.
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