NEW YORK-Mobile Telecommunication Technologies Corp. announced that Microsoft Corp. has purchased $25 million of its preferred stock. The sale of $50 million to $60 million in Mtel Cumulative Convertible Accruing Pay In Kind stock by mid-May is a condition of a renegotiated $250 million secured revolving credit facility the company has with its lending banks.
Kleiner Perkins Caufield & Byers, a venture capital firm that is a longstanding investor in Mtel, already has purchased $5 million of the pay in kind stock, said Scott Hamilton, director of investor relations. Mtel is in discussions with additional prospective investors.
Mtel, headquartered in Jackson, Miss., is a wireless messaging company using digital technology and software. In September, Mtel introduced SkyTel 2-Way, which it said is the first two-way narrowband personal communications service messaging that guarantees message delivery and permits subscribers to respond immediately from two-way pagers.
