Burnaby's MetroBridge Networks International Inc. (TSX-V:MEB) has bought Winnipeg-based WiBand Communications Corp. for $9 million.
The deal is part of the company's growth strategy to acquire similar businesses with strong commercial clientele.
WiBand was founded in 1999 and has about 700 customers. It generates annual revenue of roughly $5 million and EBITDA of $1 million.
MetroBridge plans to pay for the acquisition with $3.5 million in cash and $5.5 million in MetroBridge shares issued over three years. The company will also assume $1.5 million in long-term debt.
The deal, which is subject to customary and regulatory approvals, is expected to close by year's end.
MetroBridge's share price range during the past week: between $0.45 and $0.49; 52-week high: $0.60; 52-week low: $0.31.