RAMTelecom's Ralph Misener. (Photo by Darren Brown, OBJ)

Satellite services company RAMTelecom Inc. has raised $102,000 in a small private placement.

The Ottawa-based company said it has closed a private placement of 510,000 units at 20 cents each, subject to final TSX Venture Exchange approval.

The funds will be used to support new network solutions for the company's customers.

In connection with the private placement, RAMTelecom CEO Ralph Misener sold 510,000 common shares and used the proceeds to buy the 510,000 units.

The company paid a finder's fee of $8,530.87 plus 40,800 share purchase warrants as part of the financing.

The private placement was the same one announced in early December, for which the company was forced in February to lower its funding targets due to poor market conditions.

"Small-cap companies are taking a bit of a kicking right now as investors adjust their portfolios, so we decided to close for now and revisit it later in the year," said Mr. Misener. "We're in good shape cash-wise, so we're just going to wait for the markets to improve to gain support for our company."

RAMTelecom had said in December that it was planning to raise $2 million through the sale of roughly 7.41 million units priced at 27 cents each to open up new satellite services and conduct major upgrades to its Canadian Satellite Gateway.

However, the company was forced to put those plans on hold when the company failed to generate enough interest in the offering, and RAMTelecom in early February said it would instead be issuing up to three million units at 20 cents each, for up to $600,000.

Mr. Misener said the company plans to look at another private placement later in the year, and it expects to take another look at its Canadian Satellite Gateway upgrade plans at that time.