Airspan to Issue New Preferred Stock for Convertible Notes and Cash
February 17, 2014 - BOCA RATON, FL
Airspan Networks Inc., a leading provider of broadband wireless access networks, today announced that it has entered into an agreement with its controlling stockholder, Oak Investment Partners XI, Limited Partnership ("Oak"), pursuant to which it will exchange Subordinated Convertible Promissory Notes held by Oak for new shares of convertible participating Series D Preferred Stock. The exchange transaction will decrease Airspan's total indebtedness by approximately $28.9 million and is currently expected to close in the first quarter of 2014. Following the transaction, Oak will beneficially own 83.6% of the voting power of Airspan's capital stock assuming conversion of all outstanding shares of Preferred Stock and no exercise of outstanding options. This compares with the 76.2% voting power of Oak prior to the transaction computed on the same basis.
The approval of Oak, in its capacity as the sole holder of Airspan's outstanding Series B, Series C and Series D Preferred Stock, is the only stockholder approval required in connection with the exchange transaction. Airspan will mail notice of such approval to shareholders in accordance with Delaware law. Please read such notice when it is available because it will contain important information. The notice and the transaction documents described therein will be available without charge on Airspan's website, www.airspan.com/about-airspan/shareholder-information/, or by writing to Airspan Networks Inc., 777 Yamato Road, Suite 310, Boca Raton, Florida 33431, Attention: Secretary. All information herein is qualified in its entirety by reference to the transaction documents and any further updates regarding the matter will be posted solely on Airspan's website and not by press release.
About Airspan Networks Inc.
Airspan (OTCBB: AIRO) is a leading 4G LTE RAN solution provider, with over 1000 customers in over 100 countries. Airspan is regularly recognized as a leader and pioneer in 4G LTE and broadband wireless technologies. Airspan has an expansive product portfolio, which includes indoor and outdoor Femto and Pico cells, and all-outdoor, compact Micro and Macro base stations, a wide variety of user devices, and advanced core network products. These connectivity solutions operate in bands from 400 MHz up to 6.4 GHz. www.airspan.com.
Oak is the controlling stockholder of Airspan. Airspan is not subject to the informational reporting requirements of the Securities Exchange Act of 1934 and, accordingly, does not file reports, financial statements, proxy statements, information statements or other information with the Securities and Exchange Commission. This press release contains forward-looking statements. All statements, other than statements of historical facts, including statements regarding Airspan's strategy, future operations, financial position, future revenues, projected costs, prospects, plans and objectives of management, may be deemed to be forward-looking statements. The words "anticipates," "believes," "estimates," "expects," "intends," "may," "plans," "projects," "will," "would" and similar expressions or negative variations thereof are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Airspan may not actually achieve the plans, intentions or expectations disclosed in the forward-looking statements contained in this press release and you should not place undue reliance on such forward-looking statements. There are a number of important factors that could cause actual results or events to differ materially from the plans, intentions and expectations disclosed in the forward-looking statements Airspan makes. Investors and others are therefore cautioned that a variety of factors, including certain risks, may affect Airspan's business and cause actual results to differ materially from those set forth in the forward-looking statements. Airspan does not assume any obligation to update any forward-looking statements.