Edgewater Wireless Systems Inc. (TSXV: YFI) (OTC: KPIFF), a pioneer in AI-powered Wi-Fi Spectrum Slicing silicon solutions, announced today the first closing of its non-brokered private placement financing. The company issued 7,155,879 units at $0.06 per unit for gross proceeds of approximately $429,353, subject to final TSX Venture Exchange approval.
The first close includes participation from a strategic investor in the global semiconductor industry, along with additional investors from the Silicon Catalyst ecosystem. This backing underscores growing Silicon Valley support for Edgewater's patented Spectrum Slicing technology and its PrismIQ product roadmap. Each unit consists of one common share and one warrant exercisable at $0.09 per share for two years.
Andrew Skafel, President and CEO of Edgewater Wireless, stated, 'This first close is an important execution milestone for Edgewater. Securing a strategic investor from the global semiconductor industry, alongside additional support from the Silicon Catalyst ecosystem, reinforces the growing industry interest in Spectrum Slicing and our roadmap for high-reliability, low-latency wireless connectivity.'
Management also participated in the offering, with insiders purchasing 1,000,000 units for $60,000, demonstrating alignment with shareholders. This insider participation constitutes a related party transaction under MI 61-101, but the company is relying on applicable exemptions from formal valuation and minority approval requirements as the fair market value does not exceed 25% of market capitalization.
Proceeds from the offering will be used for semiconductor design, engineering, and product development related to the Spectrum Slicing prototype, as well as general working capital. The company may complete additional tranches depending on market conditions. A cash commission of $2,478 and 41,300 finder's warrants were paid to an arm's length finder in connection with the offering.
All securities issued are subject to a statutory hold period of four months. Edgewater Wireless, a Silicon Catalyst portfolio company, focuses on delivering Wi-Fi quality of service through intelligent congestion mitigation, real-time spectrum allocation, and autonomous optimization. Its Spectrum Slicing platform enables multiple concurrent channels within a single band, supporting more capacity, lower latency, and deterministic performance for critical applications.
