Local Wi-Fi technology provider Edgewater Wireless (TSX-V:YFI) has closed the first round of a private placement, raising $940,000, or one-third of its final goal, the company announced Wednesday.
Edgewater will use the investment to increase production for orders relating to its recently announced $4.9 million sale to deliver Wi-Fi and WLAN coverage to several western and central African country through World Affinity Telecom.
“This investment is an integral part of our growth strategy as demand for Edgewater Wireless’ technology increases globally,” stated president Andrew Skafel in a company release. “This investment demonstrates a clear belief in the huge market opportunity for Edgewater Wireless at a time when we are witnessing unprecedented growth and adoption of Wi-Fi technology around the world.”
The company plans to continue to raise funds with the private placement agreement, and will continue to announce financing closings as they occur, the company stated.
Ottawa-based Edgewater Wireless is a wholly owned subsidiary of defence and research and development firm Edgewater Computer Systems Inc.
Its Wi-Fi technology delivers indoor and outdoor broadband services that are available in remote and rural areas because of the technology's extended network coverage.
Last year, the company went public with a reverse takeover by Calgary-based shell company KIK Polymers Inc. in a deal that valued Edgewater Wireless at more than $8 million.