Issuer:
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NaviSite, Inc. | |
Security:
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8,654,349 shares of common stock. | |
Over-Allotment Option:
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1,298,151 shares of common stock. | |
Public Offering Price:
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$4.50 per share. | |
Trade Date:
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January 19, 2007. | |
Settlement Date:
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January 24, 2007. | |
Underwriting Commissions:
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$2,434,036. | |
Use of Proceeds:
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NaviSite will not receive any proceeds from the sale of shares by the selling stockholders in this offering. Any proceeds received by NaviSite in connection with the exercise of warrants to purchase common stock by the selling stockholders will be used for general corporate and working capital purposes. | |
Selling Stockholders:
|
Several of the selling stockholders have reduced the number of shares offered by them or have declined to participate in the offering. The percentage ownership in the table below is based on 29,324,529 shares of common stock outstanding as of December 29, 2006 and applicable Securities and Exchange Commission rules. |
Shares of | ||||||||||||||||||||||||
Number of Shares of Common | Common Stock | Number of | ||||||||||||||||||||||
Stock Beneficially Owned | Number of | Beneficially Owned | Shares | |||||||||||||||||||||
Prior to the Offering | Shares of | After the Offering | Offered | |||||||||||||||||||||
Name of Selling | Common Stock | Pursuant to | ||||||||||||||||||||||
Stockholder | Number | Percent | Being Offered | Number | Percent | Over-Allotment | ||||||||||||||||||
Atlantic Investors, LLC |
18,496,602 | 60.2 | % | 2,140,123 | 16,356,479 | 52.8 | % | 1,260,651 | ||||||||||||||||
Hewlett-Packard Financial Services Company |
4,416,592 | 15.1 | % | 4,416,592 | | | | |||||||||||||||||
SPCP Group, L.L.C. |
2,636,200 | 8.2 | % | 187,500 | 2,448,700 | 7.3 | % | 28,125 | ||||||||||||||||
SPCP Group III LLC |
878,733 | 2.9 | % | 62,500 | 816,233 | 2.6 | % | 9,375 | ||||||||||||||||
Waythere, Inc. |
2,247,634 | 7.7 | % | 1,847,634 | 400,000 | 1.3 | % | |
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Lock-ups:
|
The number of shares of common stock available for sale in the public market is limited by restrictions under federal securities law and under lock-up agreements that the members of NaviSites Board of Directors, its executive officers and the selling stockholders have entered into with the underwriters. Lock-up agreements with NaviSites directors and executive officers will restrict holders of approximately 2,300,000 shares of NaviSites common stock from selling, pledging or otherwise disposing of their shares for a period of 90 days after the date of the prospectus relating to this offering without the prior written consent of CIBC World Markets Corp. and Thomas Weisel Partners LLC. Lock-up agreements with the selling stockholders, other than Waythere, Inc. and SPCP Group, L.L.C. and SPCP Group III LLC, will restrict them from selling, pledging or otherwise disposing of an aggregate of approximately 23,000,000 shares of NaviSites common stock for a period of 270 days following the date of the prospectus relating to this offering, except that 90 days after the date of the prospectus relating to this offering, the lock-up will no longer apply to a total of 1,000,000 shares of common stock held by each selling stockholder and 180 days after the date of the prospectus relating to this offering, the lock-up will no longer apply to a total of 2,000,000 shares of common stock held by each selling stockholder. A lock-up agreement with Waythere, Inc. restricts it from selling, pledging or otherwise disposing of an aggregate of approximately 2,200,000 shares of NaviSites common stock for a period ending on the earliest of (a) January 31, 2007; (b) the date on which NaviSite notifies the selling stockholders that it is no longer contemplating consummating an offering prior to January 31, 2007; and (c) the date on which this offering is consummated. A lock-up agreement with SPCP Group, L.L.C. and SPCP Group III LLC restricts them from selling, pledging or otherwise disposing of an aggregate of approximately 3,500,000 shares of NaviSites common stock for a period of approximately 180 days beginning December 15, 2006. However, CIBC World Markets Corp. and Thomas Weisel Partners LLC may, in their sole discretion, release all or any portion of the common stock from the restrictions of the lock-up agreements at any time. Upon the expiration of the lock-up agreements, approximately 20,000,000 shares of NaviSites common stock previously covered by the lock-up agreements, including 400,000 shares held by Waythere, Inc. that are not being sold in this offering, will be eligible for sale into the public market under Rule 144 of the Securities Act of 1933, as amended. | |
Underwriters:
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CIBC World Markets Corp. Thomas Weisel Partners LLC |
|
CUSIP:
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63935M 20 8 |
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