posted
BLUETREE WIRELESS DATA Quick Quote: BTW 0.17 (Even)
BlueTree Wireless Data Signs Global Partnership With Sony Ericsson Mobile Communications 9/27/05
MONTREAL, Sep. 27, 2005 (Canada NewsWire via COMTEX) -- Blue Tree Wireless Data Inc. (TSX Venture: BTW and BTW.WT.R), a leading provider of wireless modems and software solutions for the rapidly-growing M2M (Machine-to-Machine) market, today announced it has entered into a global partnership agreement with Sony Ericsson Mobile Communications (SEMC) to develop, manufacture and sell the successor wireless modems to SEMC's very successful GM and GT Series modems. The partnership also well positions BlueTree for future collaborations with Sony Ericsson on subsequent generations of wireless M2M solutions.
Under terms of the agreement, BlueTree will incorporate SEMC's radio frequency (RF) technology to provide the design, development, manufacturing, sales and support of SEMC's next generation GSM modem expected to replace its current GM and GT Series modems. Global annual sales of SEMC's current modem portfolio are expected to reach 40,000 units in 2005.
"Sony Ericsson is a worldwide leader in mobile communications and we are delighted to partner with them to grow the M2M market," said Karl Hantho, CEO of BlueTree Wireless Data. "We believe that this collaboration with SEMC solidifies our position as a leader in the M2M space and presents our business with significant growth opportunities through accessing new applications, new vertical markets and additional geographic reach".
Hantho added, "This is a highly strategic move for our company as we strive to focus on our core competencies, accelerate our ability to bring new products and solutions to market, and to bring added focus to our customers- both existing and new. We will apply the right resources and focus to support and grow the existing customer base as we expand our addressable market by virtue of the improved functionality of the new modems and our greater geographic reach.
Mr. Hantho enumerated other benefits of the partnership, including:
- Introduction and access to a global network of engaged, competent and knowledgeable RF module and modem distributors, - Establishment of a Strategic RF Technology Partner providing greater visibility into technology roadmaps and earlier access to technology, enabling accelerated development and commercialization of new products, - Improved manufacturing efficiencies and access to lower cost offshore manufacturing, - Enhanced Telemetry offering for increased market access and opportunities to further broaden our portfolio leveraging SEMC RF technology
In connection with this transaction, BlueTree expects to raise capital through a private placement for a minimum of $350,000 and a maximum amount of $2,000,000 and a rights offering of up to $1,500,000. The price for both the private placement and the rights offering will be $0.15 per Unit, subject to approval of such price by the TSX Venture Exchange. Each unit will be comprised of one common share and one half of one warrant, with one full warrant being exercisable into one common share at a price of $0.225 per share. BlueTree has already received, between private placement subscriptions from third parties and notices of intention from significant shareholders, commitments to participate in either the private placement or the rights offering aggregating $1,050,000. The foregoing is subject to approval from the TSX Venture Exchange and other applicable regulatory authorities.
BlueTree plans to use the proceeds, from the private placement and rights offering, to fund the development of new products and the expansion of its business into Europe as well as to maintain projected working capital levels from the Sony transaction.
Conference Call
The Company will hold a conference call today at 4:00 p.m. (Eastern Time) to discuss this announcement. Those interested should call (514) 807-8791 (Montreal or overseas) or 1-800-796-7558 (elsewhere in North America).
Those unable to participate can hear a recording of the call by dialling 1-877-289-8525 and entering the code 21154330(pound key) on the telephone keypad. This recording will be accessible from 6:00 p.m. (ET) on Tuesday, September 27, 2005 until 11:59 p.m. (ET) on Tuesday, October 4, 2005.
Forward-looking Statements
The statements in this report relating to matters that are not historical facts are forward-looking statements and are subject to important assumptions, risks and uncertainties, including, but not limited to, general business and economic conditions, the condition of the financial markets and the other risks and uncertainties detailed in Management's Discussion and Analysis and the risks factors described in our annual report for the year ended December 31, 2004.
About BlueTree Wireless Data
BlueTree Wireless Data, Inc. is a leading developer and manufacturer of wireless modems and software solutions for commercial and industrial applications. BlueTree Wireless' CDMA & GSM based modems are designed to operate on cellular networks worldwide enabling M2M applications in the public safety, fleet management, field service, SCADA and telemetry markets. BlueTree Wireless is publicly traded, under the symbol BTW, on the Canadian (TSX) Venture Exchange.
BlueTree Wireless Data has its main offices located in Montreal, Quebec and Reston, Virginia. Please visit www.BlueTreeWireless.com for more information.
About Sony Ericsson Mobile Communications
Sony Ericsson Mobile Communications serves the global communications market with innovative and feature-rich mobile phones, accessories, PC-cards and M2M solutions. Established as a joint venture by Ericsson and Sony in 2001, with head quarters in London, the company employs 5,000 people worldwide, including R&D sites in Europe, Japan, China and America. For more information, please visit site: www.SonyEricsson.com/m2m
The TSX Venture Exchange does not accept responsibility for the adequacy
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
