MicroTel --MCTL-- Announces Orbit II Partners, L.P. and Its Affiliate Have Increased Their Beneficial Ownership Interest in MicroTel Common Stock From 5.4% to 14%.Business Editors RANCHO CUCAMONGA, Calif.--(BUSINESS WIRE)--Jan. 25, 2000 MicroTel International Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : MCTL MCTL Military Critical Technologies List MCTL Marine Corps Task List MCTL Multi-Conductor Transmission Line ) (&uot;MicroTel&uot;) today announced Orbit II Partners, L.P. (&uot;Orbit&uot;) and OTAF, LLC, an affiliate of Orbit has increased their beneficial ownership of MicroTel's common stock to an aggregate of 14% as of December 23, 1999. On December 23, 1999, Orbit purchased 34.5 shares of Convertible Preferred Stock Convertible Preferred Stock Preferred stock that includes an option for the holder to convert the preferred shares into a fixed number of common shares, usually anytime after a predetermined date. Also known as "convertible preferred shares". and warrants to purchase 172,500 shares of common stock from existing MircoTel security holders. Orbit, like the Samuel J. Oliva Group, which simultaneously purchased 5 shares of the preferred stock and certain warrants, has agreed to a fixed conversion price on the shares of preferred stock. As of December 23, 1999, Orbit and its affiliate have beneficial ownership of 2,821,485 shares of MicroTel's common stock, including 1,743,285 shares of common stock issuable upon conversion of preferred stock and 322,500 shares of common stock issuable upon the exercise of warrants. Commenting on Orbit's position Carmine T. Oliva, Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. stated, &uot;Orbit is a proprietary options market maker trading firm with forty professionals conducting business on the floor of The American Stock Exchange American Stock Exchange (AMEX) Stock exchange in the U.S. Originally known as “the Curb,” it began as an outdoor marketplace in New York City c. 1850. It moved indoors to its present location in the Wall Street area in 1921. (NY), The Chicago Board Options Exchange Chicago Board Options Exchange (CBOE) A securities exchange created in the early 1970s for the public trading of standardized option contracts. Primary place for the trading of stock options, foreign currency options, and index options (S&P 100, 500, and OTC 250 index) , The Pacific Exchange (San Francisco) and The Philadelphia Stock Exchange Philadelphia Stock Exchange (PHLX) A securities exchange trading American and European foreign currency options on spot exchange rates. . We are please that Orbit II has demonstrated such faith in MicroTel's future by increasing its position significantly.&uot; MicroTel International, Inc. is a holding company for its three wholly owned subsidiaries -- CXR CXR abbr. chest x-ray CXR, n chest x-ray; an image of the thoracic cavity, produced by an irradiation scan of the upper torso. Telcom Corporation in Fremont, CA, CXR, S.A. in Paris, France and Xcel Information Technologies Corporation (XIT) in Rancho Cucamonga, CA. CXR Telcom Corporation and CXR, S.A. design, manufacture and market electronic telecommunication test instruments, wireless and wireline voice, data and video transmission and networking equipment. XIT Corporation designs, manufactures and markets information technology products, including input and display components, subsystem assemblies and power supplies. The Company operates out of facilities in the U.S., France, England and Japan. The statements in this press release relating to matters that are not historical are forward-looking statements which involve risks and uncertainties including, without limitation, economic and competitive conditions in the markets served by the Company affecting the demand for the Company's products, product pricing, market acceptance, access to distribution channels and other risks detailed from time to time in the Company's Securities and Exchange Commission filings. These risks could cause actual results to differ materially from those anticipated or described herein. |
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