Several existing investors also contributed to these financings including Ridgewood Capital, OHB Technology, Northwood Ventures and senior management. In this round, OHB Technology invested a further $4 million and thus took a larger share of the equity issue than its pro rata share of the existing investors. Following the completion of the equity issue, OHB will hold a 11% stake in Orbcomm.

"This latest investment, with significant contributions from Pacific Corporate Group, a top-tier firm, further validates the uniqueness of our technology and our ability to bring cost-effective, high-quality infrastructure and asset tracking satellite services to businesses that have assets located anywhere in the world," said Jerry Eisenberg, CEO of Orbcomm.

"This new funding allows us to accelerate our satellite replenishment program in order to support our rapidly growing customer base and offer new products and services. Attracting such high-quality investors reflects their belief in our ability to deliver significant value to our customers, our resellers and our hardware partners."

"Pacific Corporate Group's investment in Orbcomm reflects our strategy of investing in well-managed, established companies that have significant growth potential," said Tim Kelleher, a Managing Director of Pacific Corporate Group.

"We were attracted to this sector by growing recognition of the productivity and security benefits of telemetric and telematic solutions. We expect these technologies to become a commercial imperative in coming years. Orbcomm is a leading player and has positioned itself to rapidly grow its customer base by offering satellite-based global coverage, service reliability and competitive pricing."

Proceeds from the financings will be used primarily to fund Orbcomm's next generation satellite program, which will replenish the existing 30 satellites in Orbcomm's low-earth orbit constellation and upgrade the network's infrastructure over the next few years.

These next generation satellites will have unique features and additional capabilities, which will allow Orbcomm and its partners to offer new products and services. Following the final stages of a competitive bidding process, Orbcomm anticipates signing contracts early in 2006 with vendors who will partner on the first deployment of this satellite replenishment program.

At the beginning of 2005, Orbcomm signed a contract with OHB Technology subsidiary OHB-System for the development and delivery of a satellite bus, integration with the communications payload and the launch of the first of the second-generation Orbcomm satellites known as Orbcomm CDS. Due to be launched in the first half of 2006, this satellite design forms the basis for OHB's offer for further satellites to Orbcomm.

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