MONTVALE, N.J.-Geotek Communications Inc. announced that investors affiliated with George Soros were scheduled to purchase about $21 million principal amount of units consisting of 15 percent senior secured discount notes due 2005 and 10-year warrants to purchase shares of common stock of the company at $9.90 a share. Net proceeds to the company are expected to be $10 million.
The purchase is in connection with Geotek’s private placement of $207 million principal amount of such units consummated in July. The Soros Group made previous purchases in 1993 and 1994.
Subscribe now to get the daily newsletter from RCR Wireless News
Geotek is building a frequency-hopping specialized mobile radio network at 900 MHz in various cities throughout the northeastern United States.