NEW YORK--(BUSINESS WIRE)--Oct. 5, 2012--
Vringo, Inc. (NYSE MKT: VRNG) today announced that it has entered into
subscription agreements for the sale of 10,344,998 shares of its common
stock in a registered direct offering at a price of $4.35 per share, for
gross proceeds of approximately $45 million.
The shares were offered directly to five existing institutional
investors without a placement agent or underwriter.
"We are entering court mandated settlement discussions with Google on
Tuesday, and trial is scheduled to begin the following week, on October
16th. Upon closing the financing, the company will have over $55 million
of cash, and Vringo will be in a position of strength. We are pleased
with the confidence our investors have shown in our business plan and
growth strategy," said Andrew Perlman, Chief Executive Officer of Vringo.
The sale and issuance of the shares is expected to close on or about
October 9, 2012, pending NYSE MKT approval.
The sale and issuance of the shares is being made pursuant to a
prospectus supplement dated August 9, 2012 and an accompanying
prospectus dated August 2, 2012, pursuant to Vringo's effective "shelf"
registration statement on Form S-3 (File No. 333-182823), which was
filed with the Securities and Exchange Commission on July 24, 2012 and
was declared effective on August 2, 2012.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities of Vringo, Inc. nor shall
there be any sale of securities in any state or jurisdiction in which
such an offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About Vringo, Inc.
Vringo, Inc. is engaged in the innovation, development and monetization
of mobile technologies and intellectual property. Vringo's intellectual
property portfolio consists of eleven patents, eight of which were
acquired from Lycos, Inc., as well as over twenty patent applications.
Vringo operates a global platform for the distribution of mobile social
applications and services including Facetones® and Video Ringtones which
transforms the basic act of making and receiving mobile phone calls into
a highly visual, social experience. For more information, visit:
This press release includes forward-looking statements, which may be
identified by words such as "believes," "expects," "anticipates,"
"estimates," "projects," "intends," "should," "seeks," "future,"
"continue," or the negative of such terms, or other comparable
terminology. Forward-looking statements are statements that are not
historical facts. Such forward-looking statements are subject to risks
and uncertainties, which could cause actual results to differ materially
from the forward-looking statements contained herein. Factors that could
cause actual results to differ materially include, but are not limited
to: the inability to realize the potential value created by the merger
with Innovate/Protect for our stockholders; our inability to raise
additional capital to fund our combined operations and business plan;
our inability to monetize and recoup our investment with respect to
patent assets that we acquire; our inability to maintain the listing of
our securities on the NYSE MKT; the potential lack of market acceptance
of our products; our inability to protect our intellectual property
rights; potential competition from other providers and products; our
inability to license and monetize the patents owned by Innovate/Protect,
including the outcome of the litigation against online search firms and
other companies; our inability to monetize and recoup our investment
with respect to patent assets that we acquire; and other risks and
uncertainties and other factors discussed from time to time in our
filings with the Securities and Exchange Commission ("SEC"). Investors
and stockholders are also urged to read the risk factors set forth in
the definitive proxy statement/prospectus filed with the SEC on June 21,
2012. Vringo expressly disclaims any obligation to publicly update any
forward-looking statements contained herein, whether as a result of new
information, future events or otherwise, except as required by law.
Source: Vringo, Inc.
Weinstein, 646-532-6777 (o)
Executive Vice President
Caroline L. Platt, 804-788-1414 (o)