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Blog 'othermfg' » Proxim Corporation Completes First Phase of Capital Structure

SUNNYVALE, Calif., Aug. 2 /PRNewswire-FirstCall/ -- Proxim Corporation , a global leader in wireless networking equipment for Wi-Fi and broadband wireless, today announced that its strategic investors Warburg Pincus and BCP Capital have exchanged $49 million of the secured convertible promissory notes, including accrued but unpaid interest, into shares of Proxim's Series B convertible preferred stock, in accordance with the existing terms and conditions of the secured promissory notes. The exchange relieves the Company from the need to retire the notes at their September 30, 2004 maturity date.

Proxim also announced that it has received $10 million in cash proceeds from the close of the convertible bridge loan financing with Warburg Pincus and BCP Capital, as announced as part of Proxim's capital structure simplification plan on Tuesday, July 27, 2004. Proxim will use the capital infusion from the bridge loan to help expand its market presence and accelerate development efforts in key market areas, including WiMAX and Wi-Fi, and for general working capital purposes.

PRESS RELEASE TMC.net
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