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As filed with the Securities and Exchange Commission on May 22, 2014
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
AMENDMENT NO. 1 TO
FORM 40-F
o REGISTRATION STATEMENT PURSUANT TO SECTION 12 OF THE SECURITIES EXCHANGE ACT OF 1934
OR
ý ANNUAL REPORT PURSUANT TO SECTION 13(a) OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended February 28, 2014
Commission file number: 001-34491
DRAGONWAVE INC. | ||||
Canada | 4812 | Not Applicable |
411 Legget Drive, Suite 600, Ottawa, Ontario, Canada, K2K 3C9
(613) 599-9991
(Address and Telephone Number of Registrant's Principal Executive Offices)
Copies to:
Corporation Service Company
2711 Centerville Road, Suite 400
Wilmington, Delaware, 19808
(800) 927-9800
(Name, address (including zip code) and telephone number
(including area code) of agent for service in the United States)
Securities registered or to be registered pursuant to Section 12(b) of the Act:
Title of Each Class: | Name of Each Exchange On Which Registered: The NASDAQ Stock Market LLC Toronto Stock Exchange |
Securities registered or to be registered pursuant to Section 12(g) of the Act: N/A
Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act: N/A
For annual reports, indicate by check mark the information filed with this form:
ý Annual Information Form | o Audited Annual Financial Statements |
Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the annual report: As at February 28, 2014, 58,008,746 common shares of the Registrant were issued and outstanding.
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days.ý Yeso No
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).ý Yeso No
DragonWave Inc. ("we", "us", "our", the "Company" or the "Registrant") is a Canadian issuer eligible to file its annual report pursuant to Section 13 of the Securities Exchange Act of 1934, as amended, or the Exchange Act, on Form 40-F pursuant to the multi-jurisdictional disclosure system of the Exchange Act. We are a "foreign private issuer" as defined in Rule 3b-4 under the Exchange Act. Our equity securities are accordingly exempt from Sections 14(a), 14(b), 14(c), 14(f) and 16 of the Exchange Act pursuant to Rule 3a12-3.
The Registrant is filing this Amendment No. 1 (this "Amendment") to the Registrant's annual report on Form 40-F dated May 14, 2014 (as amended hereby, the "Form 40-F") for the sole purpose of submitting its Annual Information Form for the year ended February 28, 2014, and Form 52-109F1 Certificates of Annual Filings, filed as Exhibit 99.1 and Exhibits 99.5 and 99.6, respectively. No other changes have been made to the Form 40-F. This Amendment speaks as of the original time of filing the Form 40-F and does not modify or update in any way disclosures made in the Form 40-F except as expressly set forth herein.
This annual report on Form 40-F shall be incorporated by reference into the Registrant's Form S-8, SEC File No. 333-167806, filed on June 25, 2010.
This annual report on Form 40-F and the documents incorporated herein by reference, contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. Such forward-looking statements or forward-looking information include, but are not limited to statements with respect to strategic plans and corporate goals and objectives.
Forward-looking statements, which involve assumptions and describe the future plans, strategies and expectations of the Company, are generally identifiable by use of the words "may", "will", "should", "continue", "expect", "anticipate", "estimate", "believe", "intend", "plan" or "project" or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements include, without limitation, statements regarding strategic plans, and corporate goals and objectives. There can be no assurance that forward-looking statements will prove to be accurate and actual results such as the goals and objectives of the Company's compensation programs for executives and directors, performance, achievements or developments and future events could differ materially from those expressed or implied in such statements. The following are some of the important risk factors relating to DragonWave and its business that could cause actual results, performance, achievements or developments to differ materially from those discussed in the forward-looking statements:
- •
- ability to successfully complete and integrate acquisitions of products or businesses, including the integration of microwave transport business of Nokia into our existing product lines and businesses and other risks associated with acquisitions;
- •
- reliance on Nokia and our ability to maintain and grow our relationship as a preferred strategic supplier to Nokia;
- •
- reliance on a small number of customers for a large percentage of revenue;
- •
- ability to implement our ongoing program of operating cost reductions;
- •
- dependence on the development and growth of the market for high-capacity wireless communications services;
- •
- intense competition from several competitors;
- •
- competition from indirect competitors;
- •
- a history of losses;
- •
- dependence on the ability to develop new products and enhance existing products;
- •
- ability to successfully manage growth;
- •
- dependence on establishing and maintaining relationships with channel partners;
- •
- dependence on DragonWave's ability to manage its workforce and recruit and retain management and other qualified personnel;
- •
- quarterly revenue and operating results which are difficult to predict and can fluctuate substantially;
- •
- a lengthy and variable sales cycle;
- •
- impact that general economic weakness and volatility may be having on customers;
- •
- disruption resulting from economic and geopolitical uncertainty;
- •
- currency fluctuations;
- •
- exposure to credit risk for accounts receivable;
- •
- pressure on DragonWave's pricing models from existing and potential customers as a result of competition;
- •
- the allocation of radio spectrum and regulatory approvals for DragonWave's products;
- •
- the ability of DragonWave's customers to secure a license for applicable radio spectrum;
- •
- changes in government regulation or industry standards that may limit the potential market for DragonWave's products;
- •
- reliance on suppliers, including outsourced manufacturing, third party component suppliers and suppliers of outsourced services;
- •
- risks related to DragonWave's ability to manage the risks related to increasingly complex engagements with its channel partners and end-customers;
- •
- ability to protect its own intellectual property and potential harm to DragonWave's business if it infringes the intellectual property rights of others;
- •
- risks associated with software licensed by DragonWave;
- •
- risks associated with a possible change in our tax status or assessment by domestic or foreign tax authorities;
- •
- exposure to risks resulting from its international sales and operations, including the requirement to comply with export control and economic sanctions laws;
- •
- product defects, product liability claims, or health and safety risks relating to wireless products;
- •
- risks associated with our outstanding warrants and the impact that the terms of such warrants on our ability to raise capital and to undertake certain business transactions;
- •
- risks associated with the possible loss of DragonWave's foreign private issuer status; and
- •
- risks and expenses associated with DragonWave's common shares, including large fluctuations in the trading price, and being a public company.
In particular, forward-looking statements relating to the acquisition and integration by DragonWave of the microwave transport business of Nokia and our renewed operational framework with Nokia announced on April 10, 2013 are based on certain assumptions including:
- •
- the successful implementation of the renewed framework, including sales growth from Nokia as a result of the renewed framework; and
- •
- DragonWave's ability to obtain operating cost reductions through measures including consolidation and rationalization of the business acquired from Nokia, migration to new contract manufacturers, and optimization of DragonWave's logistical framework to reduce overhead costs related to hardware sales.
Other risks relating to Nokia, identified by Nokia Corporation are set out in Nokia Corporation's annual report on Form 20-F for the year ended December 31, 2013 under item 3D "Risk Factors".
2
Although we have attempted to identify factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements and forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Forward-looking statements and forward-looking information are based upon management's beliefs, estimates and opinions at the time they are made and we undertake no obligation to update forward-looking statements and forward-looking information if these beliefs, estimates and opinions or circumstances should change, except as required by applicable law. There can be no assurance that forward-looking statements and forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements and information. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information.
The list above is not exhaustive of the factors that may affect our forward-looking statements and forward-looking information. Some of the important risks and uncertainties that could affect forward-looking statements and forward-looking information are described further in the exhibits attached to this annual report on Form 40-F. In light of these risks, uncertainties and assumptions, the forward looking events discussed in this annual report on Form 40-F and the documents incorporated herein by reference, including, without limitation, our published financial guidance, may not occur.
Our AIF for the fiscal year ended February 28, 2014 is filed as Exhibit 99.1 and incorporated by reference in this annual report on Form 40-F.
3
Pursuant to the requirements of the Exchange Act, the Registrant certifies that it meets all of the requirements for filing on Form 40-F and has duly caused this annual report to be signed on its behalf by the undersigned, thereto duly authorized.
DRAGONWAVE INC. | ||||
By: | /s/ RUSSELL FREDERICK | |||
Name: | Russell Frederick | |||
Title: | Chief Financial Officer | |||
Date: May 22, 2014 |
| | | | Incorporated by Reference | ||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Exhibit No | Exhibit Title | Filed Herewith | Previously Filed | Form | Exhibit No. | File No. | Filing Date | |||||||||||||
23.1 | Consent of Independent Registered Public Accounting Firm of Ernst & Young LLP dated May 14, 2014 | X | ||||||||||||||||||
31.1 | Certification of Principal Executive Officer required by Rule 13a-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, dated May 22, 2014 | X | ||||||||||||||||||
31.2 | Certification of Principal Financial Officer required by Rules 13a-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, dated May 22, 2014 | X | ||||||||||||||||||
32.1 | Certification of Chief Executive Officer pursuant to 18 USC. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, dated May 22, 2014 | X | ||||||||||||||||||
32.2 | Certification of Chief Financial Officer pursuant to 18 USC. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, dated May 22, 2014 | X | ||||||||||||||||||
99.1 | Annual Information Form for the year ended February 28, 2014 | X | ||||||||||||||||||
99.2 | Audited consolidated financial statements and notes thereto for the years ended February 28, 2014 and February 28, 2013 | X | ||||||||||||||||||
99.3 | Management's Discussion and Analysis for the year ended February 28, 2014 | X | ||||||||||||||||||
99.4 | Press Release dated May 8, 2014 — DragonWave Announces Financial Results for Fourth Quarter and Full Fiscal Year 2014 | X | ||||||||||||||||||
99.5 | Form 52-109F1 Certificate of Annual Filings (Chief Executive Officer) | X | ||||||||||||||||||
99.6 | Form 52-109F1 Certificate of Annual Filings (Chief Financial Officer) | X | ||||||||||||||||||
101 | Interactive Data File | X |
EXPLANATORY NOTE
INCORPORATION BY REFERENCE
FORWARD-LOOKING STATEMENTS
ANNUAL INFORMATION FORM
SIGNATURES
EXHIBIT INDEX