Filing Pursuant to Rule 424(b)(2)
Registration Statement No. 333-92591
PROSPECTUS SUPPLEMENT
(to Prospectus dated December 9, 1999)
4,444,444 Shares of Common Stock
and 2,222,222 Purchase Warrants
WaveRider Communications Inc.
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You should read this prospectus supplement and the accompanying prospectus
carefully before you invest. Both documents contain information you should
consider when making your investment decision.
See "Risk Factors" beginning on page 3 of the prospectus to read about
factors you should consider before buying shares of the common stock.
Plan of Distribution
We are offering 4,444,444 shares of our common stock and 2,222,222 purchase
warrants to Groome Capital.com Inc. ("Groome"), who is the underwriter pursuant
to this prospectus supplement. The common stock and purchase warrants will be
purchased at a negotiated purchase price of $6,000,000. We will pay to Groome
$480,000 and 444,444 underwriters' warrants as commission in conjunction with
this sale of our common stock. We have agreed to indemnify Groome against
liabilities, including liabilities under the Securities Act of 1933.
Use of Proceeds
The net proceeds to us from this offering will be $5,520,000. We plan to
use the net proceeds for general corporate purposes, including:
- - Repaying any amounts payable under our term loan;
- - Repaying our obligations as they become due;
- - Financing capital expenditures; and,
- - Working Capital.
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Market for Our Common Stock
On December 17, 1999, the last reported sales price of our common shares on
the OTC Bulletin Board was $1.5312 per share. Our common stock is listed on the
OTC Bulletin Board under the symbol "WAVC".
As of December 15, 1999 and before the issuance of shares pursuant to this
prospectus supplement, we have 50,473,510 shares of common stock outstanding.
Legal Matters
Certain legal matters with respect to the common stock offered hereby will
be passed upon for us by Foley, Hoag & Eliot, LLP of Boston, Massachusetts.
General
You should rely only on the information provided or incorporated by
reference in this prospectus supplement and the prospectus. We have not
authorized anyone else to provide you with different information. You should not
assume that the information in this prospectus supplement is accurate as of any
date other than the date on the front of these documents.
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The Securities and Exchange Commission and state securities regulators have
not approved or disapproved these securities, or determined if this prospectus
is truthful or complete. Any representation to the contrary is a criminal
offense.
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The date of this prospectus supplement is December 20, 1999
