First Avenue nets $93 million, Teligent deal nears close

First Avenue Networks, broadband wireless spectrum leasing firm, announced it has raised $93.3 million through a sale of equity securities to more than 20 institutional investors. The company also said that its acquisition of Teligent’s assets will close by Dec. 31, the pending deal having received approval from the FCC.

In the financing move, First Avenue Networks sold 12,870,000 shares of common stock priced at $7.25 per share. The company plans to use the net proceeds for its mobile backhaul network initiatives, and to develop fiber extension facilities for targeted metropolitan markets. The funds also will be used for debt repayment and general corporate purposes, according to a company statement.

Regarding the Teligent deal, the FCC has approved the request to transfer the ownership of 24 GHz licenses from Teligent to First Avenue Networks. The acquisition was first proposed in July. Upon closing the deal, First Avenue Networks will hold about 600 MHz of spectrum at 24 GHz and 39 GHz in the top 75 U.S. markets.