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DIAL PAGE AGREES TO SELL $27.8 MILLION IN EQUITY

 GREENVILLE, S.C., May 20 /PRNewswire/ -- Dial Page, Inc. (NASDAQ-NMS: DPGE) today announced it has agreed to sell $27.8 million in a private placement of equity to partnerships affiliated with Boston Ventures Management, Inc. and current Dial Page investors, The Hillman Company, J.P. Morgan Capital Corporation and Fleet Equity Partners.
 Boston Ventures will invest $21,967,500, with the remainder divided among current Dial Page investors. Boston Ventures, a private investment group specializing in media and communications, has made 28 investments totaling approximately $615 million since being founded in 1983.
 "Dial Page, in our view, is an outstanding company," said a Boston Ventures spokesperson. "We particularly like the quality of its management, its customer-oriented, value-added strategy and the strength of its regional position."
 Details of the agreements call for Dial Page to sell 2,204,000 shares of common stock at $12.00 each and 551,000 warrants to purchase common stock at $2.50 per warrant, for a total of $27,825,500. Each warrant will allow the holder to purchase one share of common stock for $13.00 over a five-year term. The shares of common stock will be restricted from public resale for two years, but will be subject to certain registration rights.
 Dial Page stock closed yesterday on the NASDAQ National Market System at $10.25.
 Dial Page will use proceeds from the sale, together with $2.5 million from the company's earlier sale of senior notes, to finance its planned expansion into enhanced specialized mobile radio (SMR), a technology being developed to provide mobile telephone service competitive with cellular service and complimentary to the company's existing paging and messaging business. Dial Page currently provides paging and messaging services across nine southeastern states.
 "This investment will strengthen our balance sheet and create the potential for our company to grow significantly over the next few years," said Jeffrey R. Hultman, Dial Page president and chief executive officer.
 Upon completion of the equity sales, Dial Page will have approximately 9.0 million shares outstanding. Boston Ventures will hold approximately 19.4 percent of the shares and will have two seats on the Dial Page board of directors.
 Consummation of the equity sales is subject to various conditions including state regulatory approvals, a fairness opinion from Alex. Brown & Sons, Inc., and in the case of Boston Ventures, the company's execution of various agreements with respect to SMR acquisitions. Alex. Brown, Dial Page's investment banker, initiated discussions with Boston Ventures and assisted in the negotiations.
 -0- 5/20/93
 /CONTACT: Jeffrey R. Hultman, Chief Executive Officer, or Thomas A. Grina, Chief Financial Officer, Dial Page Inc., 803-242-0234/
 (DPGE)


CO: Dial Page, Inc. ST: South Carolina IN: TLS SU:

SB -- CH008 -- 0931 05/20/93 16:32 EDT
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Publication:PR Newswire
Date:May 20, 1993
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