SC 13D/A 1 zk74264.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO RULE 13d-1(A) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13d-2(a) SCHEDULE 13D/A (Rule 13d-101) Under the Securities Exchange Act of 1934 (Amendment No. 2) UNITY WIRELESS CORPORATION (Name of Issuer) COMMON STOCK, PAR VALUE $0.001* (Title of Class of Securities) 913347 10 0 (CUSIP Number) CLAL INDUSTRIES AND INVESTMENTS LTD. THE TRIANGULAR TOWER 45TH FLOOR 3 AZRIELI CENTER TEL AVIV 67023 ATTN: CORPORATE SECRETARY TELEPHONE: 972-3-6075794 (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) SEPTEMBER 20, 2007 (Date of Event which Requires Filing of this Statement) If the filing person has previously filed a statement on Schedule 13G to report the acquisition which is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), 13d-1(f), or 13d-1(g), check the following box: [_] * The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page. The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 (the "Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes). * AS SOME OF THE SECURITIES BENEFICIALLY OWNED BY THE REPORTING PERSONS ARE SERIES B CONVERTIBLE NON-REDEEMABLE PREFERRED SHARES, PAR VALUE $0.001 PER SHARE, OF THE ISSUER (THE "SERIES B SHARES"), EACH OF WHICH IS CURRENTLY CONVERTIBLE INTO 1,000 SHARES OF COMMON STOCK, PAR VALUE $0.001 PER SHARE, OF THE ISSUER (THE "SHARES"), OR REFLECT OTHER SECURITIES, SUCH AS NOTES AND WARRANTS, UNLESS THE CONTEXT SUGGESTS OTHERWISE, THE FIGURES IN THIS STATEMENT ARE SHOWN ON AN AS CONVERTED AND AS EXERCISED BASIS AND THE TERM SHARES INCLUDES CONVERTIBLE SECURITIES, NOTES AND WARRANTS. SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Israel Infinity Venture Capital (Corporate General Partner) Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Cayman Island -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 1,249,672 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 1,249,672 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,249,672 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.62%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 384,514 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. See Item 5. 2 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Infinity I Annex Fund (General Partner) Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 7,973,023 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 7,973,023 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 7,973,023 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 3.94%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 2,453,238 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. See Item 5. 3 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON FBR Infinity II Venture Partners Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Bermuda -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 13,812,983 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 13,812,983 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 13,812,983 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.83%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 4,300,501 Shares and debentures convertible into 1,309,156 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. See Item 5. 4 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Clal Venture Capital Fund Management Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 645,291 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 645,291 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 645,291 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.32% -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 50,944 Shares and notes convertible into 594,347 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. See Item 5. 5 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Clal Industries and Investments Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 32,313,528 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 32,313,528 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 32,313,528 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 15.97%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 9,564,535 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 1,725,152 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 6 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Clalit Finance and Investments Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 82,406 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 82,406 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 82,406 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.04% -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 25,356 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. See Item 5. 7 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON RDC Rafael Development Corporation Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 789,497 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 789,497 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 789,427 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.4% -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 62,330 Shares and notes convertible into 727,167 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 8 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Elron Electronic Industries Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 1,073,566 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 1,073,566 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,073,566 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.53% -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 84,756 Shares and notes convertible into 988,810 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 9 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON ECI Telecom Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 353,485 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 353,485 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 353,485 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.17% -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 27,907 Shares and notes convertible into 325,578 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. See Item 5. 10 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Discount Investment Corporation Ltd. ("DIC") -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 1,995,193 * OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 1,995,193 * -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,995,193 * -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.99% -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 157,516 Shares and notes convertible into 1,837,677 Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 11 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON IDB Development Corporation Ltd. ("IDB Development") -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not Applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 34,147,516* OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 34,147,516* -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 34,147,516* -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.88%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 8,821,250 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 3,237,251 Shares. The 34,147,516 Shares include, among others, 54,938 Shares (the "CIEH Shares") beneficially owned by a wholly owned subsidiary of Clal Insurance Enterprises Holdings Ltd. ("CIEH"), a subsidiary of IDB Development, for its own account. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 12 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON IDB Holding Corporation Ltd. -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 34,147,516* OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 34,147,516* -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 34,147,516* -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.88%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON CO -------------------------------------------------------------------------------- * Includes warrants exercisable into 9,753,307 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 3,237,251 Shares. The 34,147,516 Shares include, among others, the CIEH Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 13 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Nochi Dankner -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 34,147,516* OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 34,147,516* -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 34,147,516* -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.88%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON IN -------------------------------------------------------------------------------- * Includes warrants exercisable into 9,753,307 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 3,237,251 Shares. The 34,147,516 Shares include, among others, the CIEH Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 14 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Shelly Bergman -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 34,147,516* OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 34,147,516* -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 34,147,516* -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.88%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON IN -------------------------------------------------------------------------------- * Includes warrants exercisable into 9,753,307 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 3,237,251 Shares. The 34,147,516 Shares include, among others, the CIEH Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 15 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Ruth Manor -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 34,147,516* OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 34,147,516* -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 34,147,516* -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.88%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON IN -------------------------------------------------------------------------------- * Includes warrants exercisable into 9,753,307 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 3,237,251 Shares. The 34,147,516 Shares include, among others, the CIEH Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 16 SCHEDULE 13D CUSIP NO. 913347 10 0 -------------------------------------------------------------------------------- 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Avraham Livnat -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [_] (b) [X] -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) SOURCE OF FUNDS Not applicable -------------------------------------------------------------------------------- 5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [_] -------------------------------------------------------------------------------- 6) CITIZENSHIP OR PLACE OF ORGANIZATION Israel -------------------------------------------------------------------------------- 7) SOLE VOTING POWER 0 NUMBER OF ------------------------------------------------------------- SHARES 8) SHARED VOTING POWER BENEFICIALLY 34,147,516* OWNED BY ------------------------------------------------------------- EACH 9) SOLE DISPOSITIVE POWER REPORTING 0 PERSON WITH ------------------------------------------------------------- 10) SHARED DISPOSITIVE POWER 34,147,516* -------------------------------------------------------------------------------- 11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 34,147,516* -------------------------------------------------------------------------------- 12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] -------------------------------------------------------------------------------- 13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.88%** -------------------------------------------------------------------------------- 14) TYPE OF REPORTING PERSON IN -------------------------------------------------------------------------------- * Includes warrants exercisable into 9,753,307 Shares, debentures convertible into 1,309,156 Shares and notes convertible into 3,237,251 Shares. The 34,147,516 Shares include, among others, the CIEH Shares. ** Based on 202,328,480 Shares outstanding (on an as converted basis) as of August 20, 2007. 17 This Amendment No. 2 amends and supplements the Statement on Schedule 13D, as amended (the "Statement") in respect of the shares of Common Stock, par value $0.001 per share (the "Shares"), of Unity Wireless Corporation (the "Issuer"), filed by Israel Infinity Venture Capital (Corporate General Partner) Ltd., Infinity I Annex Fund (General Partner) Ltd., FBR Infinity II Venture Partners Ltd., Clal Venture Capital Fund Management Ltd., Clal Industries and Investments Ltd., Clalit Finance and Investments Ltd., RDC Rafael Development Corporation Ltd., Elron Electronic Industries Ltd., ECI Telecom Ltd., Discount Investment Corporation Ltd., IDB Development Corporation Ltd., IDB Holding Corporation Ltd., Mr. Nochi Dankner, Mrs. Shelly Bergman, Mrs. Ruth Manor and Mr. Avraham Livnat (collectively, the "Reporting Persons"), with the Securities and Exchange Commission. Capitalized terms used herein but not otherwise defined shall have the meanings ascribed to such terms in the Statement. The following amends and supplements Items 2, 3, 4, 5, 6 and 7 of the Statement. ITEM 2. IDENTITY AND BACKGROUND. The third paragraph of Section 5 in Item 2 of the Statement is hereby amended and replaced in its entirety by the following: Clal Industries and Koor (as defined below) beneficially own approximately 13% and 28% of the outstanding ordinary shares of ECI (as defined below), respectively, and have entered into an agreement regarding, among other things, the voting of their ECI shares. By reason of Clal Industries' interest in ECI, Clal Industries may be deemed to be beneficial owner of, and to share the power to vote and dispose of, the Shares directly owned by ECI. Both Koor and Clal Industries have agreed to sell all of their shareholdings in ECI. The closing of this sale is due shortly. Sections 7, 8, and 11, 12 and 13 in Item 2 of the Statement are hereby amended and replaced in their entirety by the following: (7) RDC Rafael Development Corporation Ltd. is an Israeli company ("RDC"), with its principal office at Building 7b, Industrial Area, Yoqneam 20692, Israel. RDC is engaged in the establishment and development of technology companies for the commercial non-military application of technologies developed by Rafael Armament Development Authority Ltd. RDC owns the Shares directly. DEP Technology Holdings Ltd., an Israeli company ("DEP") and a wholly owned subsidiary of Elron (as defined below), holds 50.1% of the voting power of RDC. (8) Elron Electronic Industries Ltd. is an Israeli public company ("Elron"), with its principal office at the Triangular Tower, 42nd Floor, 3 Azrieli Center, Tel Aviv 67023, Israel. Elron is a high technology operational holding company, and is engaged through affiliates with a group of high technology operating companies in the fields of medical devices, information and communications technology, clean technology and semiconductors. The outstanding shares of Elron are traded on the NASDAQ Global Select Market and on the Tel Aviv Stock Exchange. DIC (as defined below) beneficially owns approximately 48.6% of the outstanding shares of Elron. By reason of Elron's interest in DEP which in turns holds 50.1% of the voting power of RDC, Elron may be deemed beneficial owner of, and to share the power to vote and dispose of, the Shares owned by RDC. The second paragraph of Section 10 in Item 2 of the Statement is hereby amended and replaced in its entirety by the following: DIC owns the Shares directly and by reason of its ownership interest in Elron, may be deemed beneficial owner of, and to share the power to vote and dispose of, the Shares beneficially owned by Elron. In addition, DIC and IDB Development (as defined below) own approximately 45.1% and 9.8% of the outstanding ordinary shares of Koor Industries Ltd., an Israeli public company ("Koor"), respectively. Koor and Clal Industries beneficially own approximately 28% and 13% of the outstanding ordinary shares of ECI, respectively. By reason of DIC's interest in ECI (through Koor), DIC may be deemed to be beneficial owner of, and to share the power to vote and dispose of, the Shares directly owned by ECI. Both Koor and Clal Industries have agreed to sell all of their shareholdings in ECI. The closing of this sale is due shortly. 18 Sections 11, 12 and 13 in Item 2 of the Statement are hereby amended and replaced in their entirety by the following: (11) IDB Development Corporation Ltd. is an Israeli public company ("IDB Development"), with its principal office at the Triangular Tower, 44th Floor, 3 Azrieli Center, Tel Aviv 67023, Israel. IDB Development is an investment company, which, through subsidiaries invests in companies engaged in various sectors of the Israeli economy. The outstanding shares of IDB Development are listed for trading on the Tel Aviv Stock Exchange. IDB Development owns the Shares directly and through its wholly owned subsidiary, Clalit Finance. In addition, IDB Development owns the majority of the outstanding shares of, and controls, Clal Industries and DIC. By reason of IDB Development's control of Clal Industries and DIC, IDB Development may be deemed to be beneficial owner of, and to share the power to vote and dispose of, the Shares beneficially owned by Clal Industries and DIC. (12) IDB Holding Corporation Ltd. is an Israeli public company ("IDB Holding"), with its principal office at the Triangular Tower, 44th Floor, 3 Azrieli Center, Tel Aviv 67023, Israel. IDB Holding is an investment company that, through subsidiaries invests in companies engaged in various sectors of the Israeli economy. The outstanding shares of IDB Holding are listed for trading on the Tel Aviv Stock Exchange. IDB Holding owns the majority of the outstanding shares of, and controls, IDB Development. By reason of IDB Holding's control of IDB Development, IDB Holding may be deemed beneficial owner of, and to share the power to vote and dispose of, the Shares owned beneficially by IDB Development. (13) Mr. Nochi Dankner, whose address is the Triangular Tower, 44th Floor, 3 Azrieli Center, Tel Aviv 67023, Israel. His present principal occupation is Chairman and Chief Executive Officer of IDB Holding; Chairman of IDB Development, DIC and Clal Industries; director of companies. Paragraphs 1, 3 and 4 following Section 16 of Item 2 of the Statement is hereby amended and replaced in its entirety by the following: Nochi Dankner (together with a private company controlled by him) and his sister Shelly Bergman control Ganden Holdings Ltd. ("Ganden Holdings"), a private Israeli company. Ganden Holdings owns, as of September 20, 2007, approximately 49.2% of the outstanding shares of IDB Holding (of which, approximately 11.5% of the outstanding shares of IDB Holding are held directly and approximately 37.7% of the outstanding shares of IDB Holding are held through Ganden Investments I.D.B. Ltd. ("Ganden"), a private Israeli company, which is an indirect wholly owned subsidiary of Ganden Holdings). In addition, Shelly Bergman holds, through a wholly owned company, approximately 7.2% of the outstanding shares of IDB Holding. Ruth Manor controls Manor Holdings B.A. Ltd. ("Manor Holdings"), a private Israeli company which owns, as of September 20, 2007, approximately 11.5% of the outstanding shares of IDB Holding (of which, approximately 1.15% are held directly and approximately 10.34% of the outstanding shares of IDB Holding are held through Manor Investments - IDB Ltd. ("Manor"), a private Israeli company which is controlled by Manor Holdings). Manor also holds directly approximately 0.32% of the outstanding shares of IDB Development. Ruth Manor's husband, Isaac Manor, and their son, Dori Manor, are directors of IDB Holding and IDB Development. 19 Avraham Livnat controls Avraham Livnat Ltd., a private Israeli company, which owns, as of September 20, 2007, approximately 11.5% of the outstanding shares of IDB Holding (of which, approximately 1.17% are held directly and approximately 10.34% of the outstanding shares of IDB Holding are held through Avraham Livnat Investments (2002) Ltd. ("Livnat"), a private Israeli company, which is a wholly owned subsidiary of Avraham Livnat Ltd.). Zvi Livnat, a son of Avraham Livnat, is a director of IDB Holding and IDB Development and Shay Livnat, a son of Avraham Livnat, is a director of IDB Development. ITEM 4. PURPOSE OF TRANSACTION. The third paragraph in Item 2 of the Statement is hereby amended and replaced in its entirety by the following: The Notes, which matured on June 12, 2007, have a conversion price of $0.25 per Share, subject to adjustments. Under the terms of the Notes, the Issuer is not required to make payments to the holders of Notes for as long as such payment is prohibited under the terms of an agreement between the Issuer and Bank HaPoalim, dated June 8, 2006 (the "Bank Agreement"). Pursuant to the Bank Agreement, the Notes beneficially held by the Reporting Persons are currently convertible into Shares. Also, see Item 6 which is incorporated herein by reference. ITEM 5. INTEREST IN SECURITIES OF THE ISSUER. (a), (b) Percentages are based on 202,328,480 Shares outstanding (on an as converted basis), consisting of 168,180,964 Shares outstanding as of August 20, 2007, based on the Issuer's Form 10QSB filed with the SEC on August 20, 2007, and the 34,147,516 Shares (on an as converted and as exercised basis) beneficially owned by the Reporting Persons (in the aggregate). As of September 20, 2007: (1) Infinity I GP is the beneficial owner of 1,249,672 Shares (including Celletra Warrants exercisable into 384,514 Shares) owned by the Infinity I Funds, representing approximately 0.62% of the Shares outstanding (on an as converted basis). (2) Infinity Annex GP is the beneficial owner of 7,973,023 Shares (including Celletra Warrants exercisable into 2,453,238 Shares) owned by the Infinity Annex Fund, representing approximately 3.94% of the Shares outstanding (on an as converted basis). (3) Infinity II GP is the beneficial owner of 13,812,983 Shares (including Celletra Warrants and December Warrants exercisable into an aggregate of 4,300,501 Shares) owned by the Infinity II Funds, representing approximately 6.83% of the Shares outstanding (on an as converted basis). By reason of the relationships among Infinity I LP, Infinity I GP, Infinity Annex GP, Infinity II LP and Infinity II GP (together, the "Infinity Group"), demonstrated by (1) the overlapping directors and partners of the Infinity Funds and (2) their agreement in connection with the designation of directors to the Board of Directors of the Issuer as described in Item 4 above, they may be deemed to constitute a "group" within the meaning of Section 13(d)(3) of the Exchange Act. Consequently, the Infinity Group may be deemed to be the beneficial owners, and to share the power to vote and dispose of, 23,035,678 Shares owned in the aggregate by the Infinity Funds (as described in clauses (1) through (3) above) (the "Infinity Shares"), representing approximately 11.38% of the Shares outstanding (on an as converted basis). Each of these Reporting Persons disclaims the existence of such Infinity Group and disclaims beneficial ownership of all of the Shares, other than those reported hereinabove as being beneficially owned by such Reporting Person. (4) CVCM is the beneficial owner, and shares with Clal Industries the power to vote and dispose of, 645,291 Shares (including Avantry Warrants exercisable into 50,944 Shares and Notes convertible into 594,347 Shares) owned by CVC, representing approximately 0.32% of the Shares outstanding (on an as converted basis). 20 (5) Clal Industries is the beneficial owner, and shares with ECI and CVCM the power to vote and dispose of, 9,277,850 Shares (including Celletra Warrants exercisable into 2,278,412 Shares, Avantry Warrants exercisable into 147,870 Shares and Notes convertible into 1,725,152 Shares) owned in the aggregate by Clal Industries (including its wholly owned subsidiary, Clal Electronics), ECI and CVC, representing approximately 4.58%, of the Shares outstanding (on an as converted basis). Clal Industries disclaims beneficial ownership of the ECI Shares. By reason of the interests of Clal Industries in the Infinity Funds as described in Item 2 of the Statement and the agreement in connection with the designation of directors to the Board of Directors of the Issuer as described in Item 4 of the Statement, it may be deemed to control the Infinity Group. Consequently, Clal Industries may be deemed to be the beneficial owner, and to share with CVCM and the Infinity Group the power to vote and dispose of 32,313,528 Shares owned in the aggregate by Clal Industries, Clal Electronics, ECI, CVC and the Infinity Funds, representing approximately 15.97% of the Shares outstanding (on an as converted basis). Clal Industries disclaims the existence of a "group" within the meaning of Section 13(d)(3) of the Exchange Act and disclaims beneficial ownership of the Infinity Shares. (6) Clalit Finance is the beneficial owner, and shares with IDB Development the power to vote 82,406 Shares and the power to dispose of 25,368 Shares (including Celletra Warrants exercisable into 25,356 Shares) owned by Clalit Finance, representing approximately 0.04% of the Shares outstanding (on an as converted basis). (7) RDC is the beneficial owner, and shares with Elron and DIC the power to vote and dispose, of the 789,497 Shares (including Avantry Warrants exercisable into 62,330 Shares and Notes convertible into 727,167 Shares) owned by RDC, representing approximately 0.4% of the Shares outstanding (on an as converted basis). (8) Elron is the beneficial owner, and shares with RDC and DIC the power to vote and dispose, of the 1,073,566 Shares (including Avantry Warrants exercisable into 84,756 Shares and Notes convertible into 988,810 Shares) owned in the aggregate by Elron and RDC, representing approximately 0.53% of the Shares outstanding (on an as converted basis). (9) ECI is the beneficial owner, and may be deemed to share with DIC and Clal Industries the power to vote and dispose, of the 353,485 Shares (including Avantry Warrants exercisable into 27,907 Shares and Notes convertible into 325,578 Shares) owned by ECI (the "ECI Shares"), representing approximately 0.17% of the Shares outstanding (on an as converted basis). (10) DIC is the beneficial owner, and may be deemed to share with Elron and ECI the power to vote and dispose of, 1,995,193 Shares (including Avantry Warrants exercisable into 157,516 Shares and notes convertible into 1,837,677 Shares) owned in the aggregate by DIC and beneficially owned by Elron and ECI, representing approximately 0.99% of the Shares outstanding (on an as converted basis). DIC disclaims beneficial ownership of the ECI Shares. (11) IDB Development is the beneficial owner, and may be deemed to share with DIC and Clal Industries the power to vote and dispose of, 34,147,516 Shares owned in the aggregate by IDB Development (including its wholly owned subsidiary, Clalit Finance) and beneficially owned by DIC and Clal Industries (including the Infinity Shares), representing approximately 16.88% of the Shares outstanding (on an as converted basis). IDB Development may also be deemed to share the power to vote and dispose of the 54,938 Shares (including Celletra Warrants exercisable into 16,904 Shares) held by Clal Insurance Enterprises Holdings Ltd. and its wholly owned subsidiary (the "CIEH Shares"), for a total of 34,147,516 Shares (including Celletra Warrants exercisable into 8,821,250 Shares, Avantry Warrants exercisable into 277,479 Shares, Avantry Notes convertible into 3,237,251 Shares, Debentures convertible into 1,309,156 Shares and December Warrants exercisable into 654,578 Shares) in the aggregate, representing approximately 16.88% of the Shares outstanding (on an as converted basis). IDB Development disclaims beneficial ownership of all Shares other than the Shares owned by IDB Development and its wholly owned subsidiary Clalit Finance. 21 (12) IDB Holding and the Reporting Persons who are natural persons may be deemed to share the power to vote and dispose of the 34,147,516 Shares beneficially owned by IDB Development, representing approximately 16.88% of the Shares outstanding (on an as converted basis). IDB Holding and the Reporting Persons who are natural persons disclaim beneficial ownership of these shares. Information provided to the Reporting Person indicates that the persons named in Schedules A through J to the Statement did not beneficially own as of September 20, 2007 any Shares. (c) The Reporting Persons have not effected any transactions in the Shares in the past 60 days ending on September 20, 2007, except as set forth above. Information provided to the Reporting Persons indicates that none of the persons named in Schedules A through J to the Statement purchased or sold during the last 60 days ending on September 20, 2007, any Shares. ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDING OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER. On September 20, 2007, Clal Industries, Clal Electronics and CVCM (collectively, the "Sellers") entered into a Sale and Transfer Agreement (the "Purchase Agreement"), whereby the Sellers agreed to sell to Infinity-NSF Fund, L.P., a Cayman Islands exempted limited partnership, all of their securities of the Issuer, consisting of 5,126,416 Shares, Celletra Warrants to purchase 2,278,412 Shares, Avantry Warrants to purchase 119,963 Shares and Notes in the principal amount of $349,893.48 for an aggregate purchase price of $100,000, subject to adjustments specified in the Purchase Agreement. Infinity-NSF is a venture capital fund. Its general partner is Infinity-NSF Partners Ltd., a Cayman Islands exempted company. Messrs. Amir Gal Or and Avishai Silvershatz, partners in Infinity, have an equity interest in, and serve on the board of directors of, Infinity-NSF Partners Ltd. The closing of the Purchase Agreement is subject to customary closing conditions. THE FOREGOING DESCRIPTION OF THE PURCHASE AGREEMENT DOES NOT PURPORT TO BE COMPLETE AND IS SUBJECT TO, AND QUALIFIED IN ITS ENTIRETY BY REFERENCE TO, THE PROVISIONS OF THE PURCHASE AGREEMENT FILED AS EXHIBIT 1 HERETO. ITEM 7. MATERIAL TO BE FILED AS EXHIBITS Schedule A-J: Name, citizenship, residence or business address and present principal occupation of the directors and executive officers (or managing partners, as applicable) of Infinity I GP, Infinity Annex GP and Infinity II GP, CVCM, Clal Industries, Clalit Finance, RDC, Elron, ECI, DIC, IDB Development and IDB Holding Exhibit 1 Sale and Transfer Agreement, dated September 20, 2007 22 SIGNATURES After reasonable inquiry and to the best knowledge and belief of the undersigned, the undersigned certifies that the information set forth in this statement is true, complete and correct. Dated: September 25, 2007 Israel Infinity Venture Capital (Corporate General Partner) Ltd. Infinity I Annex Fund (General Partner) Ltd. FBR Infinity II Venture Partners Ltd. Clal Venture Capital Fund Management Ltd. Clal Industries and Investments Ltd. Clalit Finance and Investments Ltd. RDC Rafael Development Corporation Ltd. Elron Electronic Industries Ltd. ECI Telecom Ltd. Discount Investment Corporation Ltd. IDB Development Corporation Ltd. IDB Holding Corporation Ltd. Mr. Nochi Dankner Mrs. Shelly Bergman Mrs. Ruth Manor Mr. Avraham Livnat BY: CLAL INDUSTRIES AND INVESTMENTS LTD. BY: /s/ Boaz Simons /s/ Yehuda Ben Ezra --------------------------------------- Boaz Simons and Yehuda Ben Ezra, authorized signatories of Clal Industries and Investments Ltd., for itself and on behalf of the other Reporting Persons pursuant to agreement annexed as Exhibit 1 to the Statement. 23 Schedule A Directors and Executive Officers of Israel Infinity Venture Capital (Corporate General Partner) Ltd. (as of November 24, 2006) Citizenship is the same as country of address, unless otherwise noted.

24 Directors and Executive Officers of Infinity I Annex Fund (General Partner) Ltd. (as of November 14, 2006) Citizenship is the same as country of address, unless otherwise noted.

25 Directors and Executive Officers of FBR Infinity II Venture Partners, Ltd. (as of November 14, 2006) Citizenship is the same as country of address, unless otherwise noted.

26 Schedule B Directors and Executive Officers Of Clal Cla Venture Capital Management Ltd. (as of September 20, 2007) Citizenship is same as country of address, unless otherwise noted. Executive Officers: None.

* Dual Citizenship of Israel and the Republic of Germany. 27 Schedule C Directors and Executive Officers Of Clal Industries and Investments Ltd. (as of September 20, 2007) Citizenship is same as country of address, unless otherwise noted.

* British Citizenship ** Israeli and French Citizenship *** Dual Citizenship of Israel and the Republic of Germany. 29 Schedule D Directors and Executive Officers Of CLALIT FINANCE & INVESTMENTS LTD. (as of September 23, 2007) Executive Officers: None

30 Schedule E Directors and Executive Officers of RDC RAFAEL DEVELOPMENT CORPORATION LTD. (as of September 20, 2007) Citizenship is the same as country of address, unless otherwise noted.

31 Schedule F Directors and Executive Officers o f ELRON ELECTRONIC INDUSTRIES LTD. (as of September 20, 2007) Citizenship is the same as country of address, unless otherwise noted.

(*) Dual citizen of Israel and France. 33 Schedule G Directors and Executive Officers o f ECI TELECOM LTD. (as of September 20, 2007) Citizenship is the same as country of address, unless otherwise noted.

35 Schedule H Directors and Executive Officers o f DISCOUNT INVESTMENT CORPORATION LTD. (as of September 20, 2007) Citizenship is the same as country of address, unless otherwise noted.

(*) Dual citizen of Israel and France 37 Schedule I Directors and Executive Officers of IDB Development Corporation Ltd. (as of September 20, 2007) Citizenship is the same as country of address, unless otherwise noted.

(*) Dual citizen of Israel and France. 39 Schedule J Directors and Executive Officers of IDB Holding Corporation Ltd. (as of September 20, 2007) Citizenship is the same as country of address, unless otherwise noted.

(*) Dual citizen of Israel and France. 41

UNITY WIRELESS CORP SC 13D/A