Cellynx raises $2 million, plans deal to be publicly traded
January 5th, 2008, 6:30 am · Post a Comment · posted by Jan Norman, small-business columnist
Cellynx Inc., an Irvine company that is developing technology to boost cell phone reception inside buildings, has closed equity financing of $2 million as a condition for being acquired by NorPac Technologies in Bellingham, Wash.
As soon as the NorPac transaction closes in March, Cellynx shareholders and management will have majority ownership and operational control of the combined company. NorPac shares are trading around 40 cents on the Over-The-Counter Bulletin Board, a service of the National Association of Securities Dealers.
Such a transaction is a simpler, less expensive way to go public than using underwriters. Representatives of Cellynx and NorPac were not immediately available to comment on the deal.
Cellynx did not identify its newest investors. It has previously received equity investment from Palomar Ventures, a venture capital fund in Irvine. Cellynx will receive $200,000 immediately and the rest of the $1.8 million in stages through March and plans to use the proceeds to get its product to market.
Cellynx’s plug-and-play cell phone signal amplifier is in the prototype stage with patent applications pending approval. The amplifier doesn’t require installation, outside antennas or cables. The company expects to have the product on the market by the end of the year.
