Xybernaut Raises $11 Million of Equity Capital
Successful Private Placement Expands Institutional Ownership
FAIRFAX, Va.--(BUSINESS WIRE)--Nov. 30, 2001--Xybernaut® Corporation (Nasdaq:XYBR - news), the leader in mobile/wearable computing and wireless communications, today announced that it had raised more than $11 million in equity capital through a $9.2 million private placement of common stock with institutional investors and a $2.0 million exercise of warrants issued in connection with previous financings.
The placements were structured as sales of common stock at a fixed price per share without reset or re-pricing provisions and were priced at approximately 16% below prevailing market price for the common stock prior to concluding the transactions. The institutions also received callable warrants to purchase stock that would raise an additional $3.5 million for the company if fully exercised.
``With this placement, Xybernaut continues to demonstrate its ability to raise capital under a variety of market conditions,'' stated Edward G. Newman, chairman, president and CEO of Xybernaut. ``As institutional investors continue to show confidence in the company's future, we are also working with a number of sources to provide additional strategic capital to fund our expected growth.''
About Xybernaut Corporation
Xybernaut Corporation is the leading provider of wearable/mobile computing hardware, software and services, bringing communications and full-function computing power in a hands-free design to people when and where they need it. Headquartered in Fairfax, Virginia, Xybernaut has offices and subsidiaries in Europe (Germany) and Asia (Japan). Visit Xybernaut's Web site at www.xybernaut.com.
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 (the ``Act''). In particular, when used in the preceding discussion, the words ``plan,'' ``confident that,'' ``believe,'' ``scheduled,'' ``expect,'' or ``intend to,'' and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Such risks and uncertainties include, but are not limited to, market conditions, the availability of components and successful production of the Company's products, general acceptance of the Company's products and technologies, competitive factors, timing, and other risks described in the Company's SEC reports and filings.
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Contact:
Xybernaut Corporation
John Moynahan, 703/631-6925
investorrel@xybernaut.com
or
The Wall Street Group
Ron Stabiner, 212/888-4848
rstabiner@thewallstreetgroup.com |
