Speedus.com and Nextlink Sign $40M Pact
Nextlink Communications Inc., Bellevue, WA, a provider of local and long distance telecommunications services and Speedus.com Inc., New York, a telecommunications and broadband Internet hardware and software equipment manufacturer, have signed agreements under which Nextlink will purchase two million shares of Speedus.com's common stock at $10 per share for a total equity investment of $20 million.The stock purchase requires Speedus.com to use its best efforts to cause a Nextlink representative to be elected to Speedus.com's board of directors.
Speedus.com has also agreed, subject to required Federal Communications Commission approvals, to allow Nextlink to lease and later to be given $20 million worth of Speedus hardware, but this will not impact Speedus.com's Internet Broadband Broadcast System or on the Company's future business plans.
