Vecima Sells Some Wireless Spectrum

Vecima Networks' subsidiary YourLink has entered into an agreement to sell a portion of its wireless spectrum assets in the 3.5 GHz band to a Canadian wireless service provider. The transaction is structured in two phases. The first phase includes the purchas...

Vecima Networks' subsidiary YourLink has entered into an agreement to sell a portion of its wireless spectrum assets in the 3.5 GHz band to a Canadian wireless service provider.

The transaction is structured in two phases. The first phase includes the purchase of 16 licences, predominantly in Alberta and Ontario for a purchase price of $8 million. Following the Phase 1 closing, the purchaser will have paid for the option to purchase an additional 20 spectrum licenses in a second phase for a purchase price of up to $11 million on or before Dec. 31.

The agreement also provides the purchaser with a right of first refusal for approximately $1 million on additional spectrum licenses in addition to those subject to the first two phases of the transaction.

The licenses sold in both phases together represent approximately 58% of YourLink's current sub-10 GHz spectrum asset holdings measured on a MHz-POP basis.
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