VCM:CC - Vecima Networks Inc. Announces Termination of Asset Purchase Agreement with Casa Systems Inc. and Cancellation of Subscription Receipts
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
Vecima Networks Inc. (TSX:VCM) (“ Vecima ”) announces that the asset purchase agreement (the “ APA ”) that Vecima’s subsidiary, Vecima Technology Inc. (“ Vecima Technology ”), had entered into with Casa Systems, Inc. (“ Casa ”) and certain of Casa’s subsidiaries to acquire the cable business assets of Casa and such subsidiaries (the “ Cable Business Assets ”) has been terminated. At an auction held on May 29, 2024, Casa designated Vecima Technology as the back-up bidder for the Cable Business Assets. At a hearing before the U.S. Bankruptcy Court for the District of Delaware (the “ Bankruptcy Court ”) on June 4, 2024, the Bankruptcy Court approved the sale of the Cable Business Assets to the successful bidder. The successful bidder has closed the purchase of the Cable Business Assets and the APA has been terminated in accordance with its terms.
The termination of the APA is a Termination Event (as defined in Vecima’s press release dated May 29, 2024) under the subscription receipt agreement entered into among Vecima, Computershare Trust Company of Canada (“ Computershare ”), as subscription receipt agent, and Raymond James Ltd., as sole bookrunner and sole underwriter, (the “ Subscription Receipt Agreement ”). As a result of the Termination Event, and pursuant to the terms of the Subscription Receipt Agreement, subscription receipt holders will have their funds returned by way of cheque from Computershare within three business days of the date hereof and all subscription receipts will be cancelled.
About Vecima Networks
Vecima Networks Inc. is leading the global evolution to the multi-gigabit, content-rich networks of the future. Our talented people deliver future-ready software, services, and integrated platforms that power broadband and video streaming networks, monitor and manage transportation, and transform experiences in homes, businesses, and everywhere people connect. We help our customers evolve their networks with cloud-based solutions that deliver ground- breaking speed, superior video quality, and exciting new services to their subscribers. There is power in connectivity – it enables people, businesses, and communities to grow and thrive. Learn more at www.vecima.com .
Forward Looking Statements
This news release contains “forward-looking information” within the meaning of applicable securities laws. Forward-looking information is generally identifiable by use of the words “believes”, “may”, “plans”, “will”, “anticipates”, “intends”, “could”, “estimates”, “expects”, “forecasts”, “projects” and similar expressions, and the negative of such expressions.
Forward looking information in this news release includes, but is not limited to, any statements respecting: the timing and method of repayment of funds to subscription receipt holders.
The forward-looking statements are based on the current expectations of the management of Vecima and are inherently subject to uncertainties and changes in circumstances and their potential effects and speak only as of the date of such statement. There can be no assurance that future developments will be those that have been anticipated.
A more complete discussion of the risks and uncertainties facing Vecima is disclosed under the heading “Risk Factors” in Vecima’s Annual Information Form dated September 21, 2023, as well as Vecima’s continuous disclosure filings with Canadian securities regulatory authorities available at www.sedarplus.ca . All forward-looking information herein is qualified in its entirety by this cautionary statement, and Vecima disclaims any obligation to revise or update any such forward-looking information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results, events, or developments, except as required by law.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240607440717/en/
Investor Relations: 250-881-1982, invest@vecima.com
Media Relations: bernadette.dunn@vecima.com