REDWOOD SHORES, Calif.-- March 13, 2006--Wherify Wireless, Inc. (OTCBB:WFYW), a leading developer of wireless location products and services, announced in a Current Report on Form 8-K filed with the Securities and Exchange Commission that the Company entered into agreements with Cornell Capital Partners providing a total of $45 million in debt and equity financing. Pursuant to a Securities Purchase Agreement, Wherify Wireless will issue secured convertible debentures to Cornell Capital Partners and will receive $5 million in gross proceeds.
The debentures are convertible into Wherify Wireless common stock, are secured by the Company's assets, and have a three-year term and accrue interest at 7% per annum. The Company also issued warrants to Cornell Capital for the purchase of 2,500,000 shares of common stock, half at an exercise price of $2.00 and half at an exercise price of $2.25. In addition, the Company signed a Standby Equity Distribution Agreement (SEDA) for $40 million in committed equity capital. Under the SEDA, the Company may at its option issue and sell common stock to Cornell Capital for a total purchase price of up to $40 million subject to maximum of $1 million per week, over a two-year period beginning on the effective date of the registration statement for the shares. Wherify intends to utilize these funds for general working capital purposes. The obligations of Cornell Capital are subject to certain conditions. Additional information regarding this financing is outlined in a Current Report on Form 8-K filed with the Securities and Exchange Commission.
"This infusion of funds will be used to expand our manufacturing capability and to provide for corporate requirements," said Timothy Neher, chief executive officer, Wherify Wireless. "Completing this financing is an important milestone for Wherify as we focus on launching the Wherifone and bringing the benefits of Wherify's Aided-GPS location technology to consumers in North America and around the world."
Concurrent with securing this financing, the Company gave notice of termination of an Investment Agreement with Dutchess Private Equities Fund, L.P., which was announced on February 9, 2006.
Do you have a location-aware application, social location service or other location-sensitive service that you'd like to share with us? Please browse this growing directory of Social location Services and feel free to leave a link to your favorite service! See the Directory HERE
Nokia Dev Summit - Join us in San Francisco, a center of mobile application development,
for two days packed with technical and business sessions, hands-on
coding labs, demos, and networking opportunities. San Fran June 9-10, 2010
The Location Business Summit,
being held on April 28th-29th in Amsterdam - The largest location
conference in Europe features an unrivalled speaker line-up with
executives never seen at a LBS event before. This epic list of 50+
speakers includes the advertising agencies, brand names and mobile
operators the industry demands - Quote 'LBSzone' and register before
March 12th to claim a $350 discount
SocialTech 2010 - SocialTech
2010 brings together the visionaries and experts who are using the
power of social media to transform the way that B2B technology
companies market their products and services. March 25, 2010, San Jose,
CA
The NAVTEQ 2010 Global LBS Challenge Awards Ceremony
will be held during Ignite at O'Reilly Where 2.0. Be among the first to
hear as NAVTEQ announces the winners for the North America region.
Participants will be competing for a global prize pool of $10 million
and growing by showcasing pre-commercial location-enabled apps using
NAVTEQ map data & products. March 30, 2010, during Ignite Where,
7:30pm - 9:00pm, at the Marriott San Jose, CA
WHERE2.0 2010
- Now in its sixth year, the Where 2.0 Conference is where the
grassroots and leading edge developers building location-aware
technology intersect with the businesses and entrepreneurs seeking out
location apps, platforms, and hardware to gain a competitive edge. For
15% use Discount Code: whr10lbs
