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Axia Advises Delphax Technologies on $7 Million Financing
Axia Advisors is pleased to announce that we advised Delphax Technologies, Inc.
(Nasdaq: DLPX), a global provider of high speed digital printing systems, on
their recent $7 million financing with an affiliate of Whitebox Advisors, LLC.
Background
Having worked with Delphax on strategic and capital issues since 2005, helping
them secure financing was a natural evolution of our relationship. "This new
infusion of capital will play an important role in Delphax's long-term growth
strategy," states John Ippolito, Managing Director, Axia Advisors. "In addition
to giving them more resources to exploit the competitive advantages of their
technology, it will reinforce their viability as a technology partner for
leading printing and publishing customers."
Financing
The
transaction was highly complex on several dimensions and required cooperation
among all key capital structure constituents. This included Whitebox, Delphax's
senior lender, and common shareholders who approved the transaction in July.
Adding to the transaction's complexity was the fact that the subordinated
promissory note was issued by Delphax's Canadian subsidiary.
In the
second phase of the transaction, which closed on September 11th, Delphax's
Canadian subsidiary issued a $7 million five-year secured subordinated
promissory note. Delphax issued to Whitebox a warrant to purchase 6.3 million
shares of Delphax common stock (in addition to the warrant to purchase 1.2
million shares in the first phase of the transaction). For a period of one year
after September 11th, Whitebox has the right to buy on the same terms an
additional $1.4 million subordinated note and obtain a warrant for an additional
1.5 million shares.
About Axia Advisors, LLC
www.axia-advisors.com
Axia Advisors, LLC is a leading boutique investment bank that specializes in
developing profitable relationships between buyers, sellers and investors in
industrial technology. Our unique combination of engineering know-how and
hands-on management expertise provides public and private companies with deep
domain expertise, actionable advice and best in class execution. As an affiliate
of Axia Partners, Axia Advisors has been providing middle market industrial
technology clients with strategic advisory, capital raising and M&A services
since 2004.
About Whitebox Advisors,
LLC
www.whiteboxadvisors.com
Whitebox Advisors, LLC is a SEC-registered investment advisor with over $3
billion in assets, headquartered in Minneapolis, MN.
For more information please
contact Axia Advisors, LLC:
John F. Ippolito
Managing Director
(781)273-6062
jippolito@axia-partners.com
John H. Ricketson
Managing Director
(781)273-6062
jricketson@axia-partners.com
MEDIA CONTACT
Lisa A. Maini
myMarketingManager
T (617) 642-7070
lmaini@mymarketingmanager.com
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