Vecima Closes $4M Non-Core Asset Sale
Jul 13, 2012
(News Release) VICTORIA — Vecima Networks Inc. (TSX:VCM), a Victoria and Saskatoon-based designer and manufacturer in the broadband cable and wireless network infrastructure market, has announced the closing of the sale of 40 acres of non-serviced land in Saskatoon. Net cash proceeds of approximately $4.0 million will result in a gain on sale of approximately $3.6 million.
"This completes another non-core asset transaction and further strengthens an already strong balance sheet. We continue to simplify our operations so that we can focus on product development and revenue growth," says Dr. Surinder Kumar, Vecima's chairman and CEO.
With this sale, Vecima has now sold four non-core real estate holdings over the past two and a half years for net proceeds of $10.5 million. Over the same time frame, the company has also sold approximately $31.5 million of radio spectrum licenses. After these sales, the Company still has approximately $30.0 to $35.0 million in real estate holdings as well as $10.0 to 15.0 million in radio spectrum licenses.