Memphis, Tenn.-based Chadmoore Wireless Group Inc. announced it has signed a letter of intent for a secondary underwriting with Barron Chase Securities of Boca Raton, Fla. Chadmoore said the offering, which is scheduled to take place in the second quarter, will be structured as a unit transaction for equity with the total capital to be raised excluding warrants to be about $7 million. The proceeds will be used to construct additional facilities building out the company’s specialized mobile radio licenses, Chadmoore said. Additionally, Barron Chase will place a $1.5 million bridge financing with all terms of the agreement based on a firm commitment. Chadmoore said it also agreed to an investment banking relationship with Barron Chase to assist in the structuring of future transactions.
California Microwave Inc. reported a 39-percent decrease in net income to $3.6 million, or 23 cents per share, for its fiscal year 1996 second quarter ended Dec. 31. Last year’s second-quarter net income was $5.9 million, or 35 cents per share. The company also reported sales of $116.3 million for the second quarter, down 2 percent from the previous year’s $119.1 million in sales. The company said it expects sales levels to increase with the buildout of personal communications services networks.
Hackensack, N.J.-based PageAmerica Group Inc. announced it has defaulted on a $33 million loan it was required to pay back by Dec. 29. to its bank lenders. PageAmerica had previously announced that the maturity date under its senior secured credit agreement had been amended to Dec. 29, subject to extension if it had a letter of intent to sell assets or a commitment to refinance its indebtedness. PageAmerica said its creditors denied it an extension. The company said its creditors have the right to begin foreclosure proceedings but have not taken any action.
Maury E. Bettis Co., a manufacturer’s representative in the radio communications industry, announced it has transferred ownership to Marvin Japel of Sioux City, Iowa, and Bob Bartnett of St. Louis under a buyout agreement. Japel and Bartnett previously were sales associates with the company. Maury E. Bettis serves distributors, industrial users, cellular and specialized mobile radio carriers and government agencies.
SNET Cellular Inc., a subsidiary of Southern New England Telecommunications Corp., announced it has contracted with AT&T Corp. to supply and install a wireless communications network. AT&T’s Autoplex System 1000 will serve Cellular One subscribers throughout Rhode Island and in Bristol County, Mass., and replace an existing system, SNET said. The network will provide enhanced call quality and offer the latest technologies and services such as fraud protection systems and personal communications services, the company said.
