Globecomm Extends Relationship with African Virtual University
Globecomm Systems [Nasdaq: GCOM], a Hauppauge, N.Y.-based provider of satellite-based communications solutions, has extended its relationship with African Virtual University (AVU) with a contract valued at approximately $1.5 million. The new multi-year contract expands the number of sites in the AVU network and includes options for future expansion.
Globecomm has been serving AVU with its SkyBorne content delivery platform for the past two years. The company’s SkyBorne platform uses IP multicast technology to deliver video over IP networks. AVU uses the SkyBorne platform to provide engineering and scientific courses to a number of universities in Africa.
Globecomm announced last month that it had executed definitive agreements for a private placement of equity securities to institutional investors totaling $6.75 million in gross proceeds. The net proceeds, expected to be approximately $6.2 million, will be used for working capital and general corporate purposes, as well as for strategic purposes such as selected acquisitions that may be considered in the future to expand its product and service offerings.