SOURCE: Norsat International Inc.

February 17, 2006 14:46 ET

Norsat Board Approves US$3 Million Financing

VANCOUVER, BC -- (MARKET WIRE) -- February 17, 2006 -- Norsat International Inc. (TSX: NII) (OTC BB: NSATF) announced today that its Board of Directors has approved the terms of a private placement financing for gross proceeds of approximately US$3 million. The private placement is subject to regulatory approval, and is anticipated to close by the end of February 2006.

The private placement calls for the sale of 1,021,744 units at US$3.00 per unit. Each unit consists of 4 common shares and 3 common share purchase warrants. Each warrant has an exercise price of US$0.75 and a term of two years.

The net proceeds of the private placement will be used for working capital, including in connection with the commercialization and production of Norsat's latest line of portable satellite systems, the Norsat GLOBETrekker™.

This news release does not constitute an offer to sell or the solicitation of any offer to buy, nor will there be any sale of these securities in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such province, state or jurisdiction.

The common shares, units and any securities which may be issued thereunder have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the U.S. or for the account or for the benefit of a U.S. person except in certain transactions exempt from the registration requirements of the United States Securities Act of 1933.

About Norsat International, Inc.

Norsat International Inc. designs, engineers and markets intelligent satellite solutions for high-speed data transmission. For more than 25 years, Norsat has built a strong reputation in the field of satellite technology by providing its customers with innovative products and has now sold over 2.5 million products in 87 countries. Norsat's latest innovations include the Norsat OmniLink™ and GLOBETrekker lines of portable satellite terminal products that provide rapidly deployable broadband satellite data and video connectivity in areas where traditional communications infrastructure is insufficient, damaged, or non-existent. Additional information is available at www.norsat.com. Additional investor information is available through email at communications_investorrelations@Norsat.com or by phone, 1-604-292-9000 or toll-free in Canada and the U.S., 1-888-667-7281.

Forward-Looking Statements

Statements in this news release relating to matters that are not historical fact are forward-looking statements based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. Factors that could cause or contribute to such differences include, but are not limited to general economic conditions, changes in technology, reliance on third party manufacturing, managing rapid growth, global sales risks, limited intellectual property protection and other risks and uncertainties described in Norsat's public filings with securities regulatory authorities.

Contact Information

  • More Information Contact

    Norsat International, Inc.
    Communications & Investor Relations
    Norsat International Inc. Operations Location

    Toll-Free: 1-888-667-7281
    Tel: 604-292-9000
    Fax: 604-292-9011

    E-mail: Email Contact

    300 - 4401 Still Creek Drive
    Burnaby, British Columbia
    Canada V5C 6G9
    www.norsat.com