Filed Pursuant to Rule 424(b)(3)
Registration No. 333-42766
InnovaCom Inc.
Prospectus Supplement
(To Prospectus Dated August 30, 2000)
You should read this prospectus supplement and the related prospectus
carefully before you invest. Both documents contain information you should
consider when making your investment decision.
On August 31, 2000, we issued a drawdown notice to Jashell Investments
Limited in connection with the common stock purchase agreement dated June 19,
2000, as amended on July 26, 2000, evidencing an equity draw down facility
between us and Jashell Investments Limited. The notice offered to sell up to
$500,000 of our common stock to Jashell Investments Limited based on the formula
in the stock purchase agreement, during the 22 day period beginning on September
1, 2000 and ending on September 28, 2000. During the first 10 days, Jashell
Investments Limited purchased a total of 790,314 shares of our common stock at
an average purchase price of $0.3163 per share. The Average Daily Price of our
common stock as quoted on the OTC Bulletin Board during the Draw Down period was
$0.4275. These purchases resulted in aggregate proceeds of $250,000 being paid
to us by Jashell Investments Limited. Additionally, as part of the purchase,
Jashell Investments Limited received warrants to purchase up to 395,157 shares
of our common stock at an exercise price of $0.3163 per share which were
exercised providing us with an additional $125,000.
The attached prospectus relates to the resale of shares acquired by Jashell
Investments Limited pursuant to the stock purchase agreement and pursuant to the
exercise of warrants held by Jashell Investments Limited. Because Jashell
Investments Limited may sell some or all of these shares, and because there are
currently no agreements, arrangements or understandings with respect to the sale
of any of these shares, we cannot estimate the actual amount of shares that they
will hold after the completion of the offering.
We expect to use the proceeds of this sale of common and upon the exercise
of warrants for cash issued to the Jashell Investments Limited pursuant to this
sale of common stock for working capital.
The date of this prospectus supplement is September 19, 2000.
