YDI Wireless has acquired WISP Ricochet Networks for $3 million in cash, 42,105 shares of common stock, and an unsecured note for $300,000

June 30, 2004

1 Min Read

FALLS CHURCH, Va. -- YDI Wireless, Inc. (Nasdaq:YDIW), a leading developer and supplier of broadband wireless solutions, today announced that it has acquired Ricochet Networks, Inc. (Ricochet(R)). Ricochet is a leading mobile Wireless Internet Service Provider (WISP) headquartered in Denver, Colorado. It currently provides high-speed Internet access service in Denver and San Diego. With over 7,000 customers and over 170 square miles of mobile coverage, Ricochet is one of the largest, if not the largest, WISP with a network operating exclusively in license-free frequencies.

The purchase price for the privately-held Ricochet consisted of $3 million in cash, 42,105 shares of common stock of YDI, and an unsecured note for $300,000 payable over three years. The cash came from YDI's working capital. The shares were issued to the Ricochet stockholder in a private placement.

"Although Ricochet has generally operated as a service provider, this is a great match for YDI," stated YDI's Chief Executive Officer Robert Fitzgerald. "With the purchase of Ricochet, YDI further expands the breadth of its product offering with robust mesh technology products operating in the 2.4 GHz and 900 MHz frequencies. We see exciting opportunities to integrate Ricochet's technology, including its portfolio of over 30 patents, with YDI's technology to continue to provide industry-leading products and solutions. We have been very impressed with the stability and quality of Ricochet's mesh technology networks and feel that these offerings will be well received by YDI's service provider customers."

YDI Wireless Inc.

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