Tranzeo Wireless Technologies Inc.
TSX : TZT

Tranzeo Wireless Technologies Inc.

May 08, 2009 09:00 ET

Tranzeo Announces Financing

PITT MEADOWS, BRITISH COLUMBIA--(Marketwire - May 8, 2009) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Tranzeo Wireless Technologies Inc. (TSX:TZT) ("Tranzeo"), a premier manufacturer of wireless broadband and WiMAX communication systems, today announced that it has filed a preliminary short form prospectus for a commercially reasonable efforts basis agency offering of units (the "Units") to raise gross proceeds of $2.5 million up to a maximum of $4 million (the "Offering"). Each Unit consists of one common share of Tranzeo and one-half warrant, with each whole warrant exercisable into one common share for a period of 24 months (the "Warrant"). The agent for the Offering is Canaccord Capital Corporation (the "Agent").

The issue price per Unit of the Offering and the exercise price of the Warrants will be determined prior to the filing of the final prospectus. The Company has granted the Agent an over-allotment option exercisable in whole or in part no later than 48 hours prior to the Closing to sell that number of additional Units equal to 15% of the maximum Offering.

The Company intends to use the net proceeds of the Offering to reduce debt and for general working capital purposes.

The preliminary short form prospectus has been filed in all provinces in Canada, except Quebec.

These securities have not been registered under the Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States without registration or an applicable exemption from applicable registration requirements in the US. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Tranzeo

Tranzeo Wireless Technologies Inc. (TSX:TZT) leads the wireless broadband industry as a premier manufacturer of high-performance wireless network equipment that allows communities and businesses to communicate without boundaries. Tranzeo's optimum cost effectiveness, premium quality and responsive support have attracted a growing and devoted worldwide following of more than 2,465 dealers and 15 distributors. Tranzeo's full spectrum of point-to-point and point-to-multipoint radios, WiMAX equipment, and mesh network solutions are designed for wireless internet service providers, governments, campuses, military, carriers, enterprise customers, and systems integrators around the globe. Headquartered in British Columbia, Canada, Tranzeo also has offices in San Diego, California and Shannon, Ireland. Visit www.tranzeo.com or phone 1.866.872.6936 for more information.

Tranzeo and the Tranzeo logo are registered trademarks of Tranzeo Wireless Technologies Inc.

Forward Looking Statements

This press release may contain forward-looking statements that involve risks and uncertainties. These forward-looking statements relate to, among other things, plans and timing for the introduction or enhancement of our services and products, revenues, and other expectations. These statements reflect our current expectations and are subject to a number of risks and uncertainties, including, but not limited to, changes in technology and changes in the wireless data communications market.

The TSX does not accept any responsibility for the adequacy or accuracy of this press release.

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