Brief: Redknee announces standby purchase agreement in furtherance of its strategic plan

Optiva

09/06/2017 12:00

June 9 (Reuters) - Redknee Solutions Inc  RKN.TO - 
    * Redknee announces standby purchase agreement in 
furtherance of its strategic plan 
    * Says is also announcing certain leadership changes in 
connection with restructuring 
    * Redknee Solutions - has entered into a standby purchase 
agreement with wave systems and esw in connection with launching 
of an about us$54 million rights offering 
    * Redknee Solutions Inc - net proceeds of rights offering 
will be used to fund a restructuring of business in furtherance 
of previously announced strategic plan 
    * Says plans to reduce headcount worldwide by approximately 
500 employees 
    * Redknee Solutions - expects that majority of net proceeds 
from rights offering will be used to fund associated employee 
severance payments 
    * Says david charron, chief financial officer, will be 
departing from redknee 
    * Redknee Solutions -  in consideration solely for standby 
commitment, will issue to wave a subordinate voting share 
purchase warrant 
    * Says David Charron will remain in his role as cfo until 
rights offering is closed 
    * Says Anin Basu will assume role of CFO on an interim basis 
    * Says following charron's departure, board will undertake a 
formal search process for a permanent cfo 
 
Source text for Eikon:  ID:nCNWbGCtxa  
Further company coverage:  RKN.TO  
 
 ((bangalore.newsroom@thomsonreuters.com;))