Tranzeo Wireless Technologies Inc.

Tranzeo Wireless Technologies Inc.

March 24, 2011 18:31 ET

Tranzeo Wireless Technologies Inc. Announces Closing of Non-Brokered Unit Private Placement for Gross Proceeds of $1.85 Million

PITT MEADOWS, BRITISH COLUMBIA--(Marketwire - March 24, 2011) -


Tranzeo Wireless Technologies Inc. (TSX:TZT) ("Tranzeo" or the "Company") is pleased to announce that it has closed a non-brokered private placement (the "Private Placement") of units (the "Units"). Tranzeo issued a total of 6,165,000 Units at a price of $0.30 per Unit for gross proceeds of $1.85 million in connection with the Private Placement. Each Unit consists of one common share of Tranzeo (a "Common Share") and one common share purchase warrant (a "Warrant"), with each Warrant entitling the holder to purchase one Common Share at a price of $0.40 for a period of 24 months from the date of issuance. In the event that the Common Shares trade at a closing price on the TSX of greater than $0.70 for a period of 10 consecutive trading days at any time after the date that is four months from the date of issuance, then Tranzeo may accelerate the expiry date of the Warrants by giving notice to the Warrant-holders, and in such case the Warrants will expire on the 30th calendar day after the date on which such notice is given by Tranzeo. The securities underlying the Units will be subject to a four-month hold period. A cash finder's fee of up to 5% of the gross proceeds of the Private Placement attributable to finders will be paid by Tranzeo in connection with the Private Placement.

Tranzeo will use the net proceeds of the Private Placement to fund the general corporate activities of the Company and to repay the short-term liabilities.

"This financing will assist the Company in moving more aggressively on WiMAX and WiFi opportunities in India and other regions where we are seeing demand for our products," said James Tocher, President and CEO of Tranzeo. "In addition, we are increasing our sales and technical support capability in India in response to the contracts we have recently been awarded."

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

About Tranzeo Wireless Technologies Inc.:

Tranzeo Wireless Technologies Inc. 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 16 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 Jose and San Diego, California and Shannon, Ireland. Visit or phone 1.866.872.6936.

Forward-Looking Statements

Certain statements in this Press Release, including statements regarding product deliveries, constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws. These statements are subject to certain assumptions, risks and uncertainties. Readers are cautioned not to place undue reliance on such statements. Actual results, performance, achievements or developments of Tranzeo may differ materially from the results, performance, achievements or developments expressed or implied by such statements. Risk factors that may cause the actual results, performance, achievements or developments of Tranzeo to differ materially from the results, performance, achievements or developments expressed or implied by such statements can be found in the public documents filed by Tranzeo with Canadian securities regulatory authorities, which are available at Tranzeo assumes no obligation to update or revise any forward-looking statements or forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by law.

These securities have not and will 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.

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

Contact Information