Chadmoore Wireless Group, Inc.

Client Profile
Chadmoore Wireless Group, Inc. (Ticker: MOOR), the country’s second largest holder of specialized mobile radio licenses, provides wireless dispatch communications service to secondary and tertiary markets throughout the United States. In 1999, Chadmoore generated approximately $6 million in revenue.
Situation
Chadmoore needed to fund its negative cashflow and stakeholders were unwilling to infuse additional capital.
Solution
SSG concurrently explored all of Chadmoore’s strategic alternatives, including a senior debt refinancing, an equity infusion, merger partner and a sale to a strategic acquirer. In August 2000, Nextel Communications, Inc. (Ticker: NXTL) announced its intention to provide bridge financing then subsequently acquire Chadmoore for $130 million, a substantial premium to Chadmoore’s market value prior to the announcement. In addition to acting as financial advisor to Chadmoore, SSG provided the Chadmoore Board of Directors with a fairness opinion as part of the proposed transaction. Upon FCC approval, the transaction closed in February 2002.