(Comprising a US$ 7.2M Private Placement and renegotiation of US$ 10.3M Existing Debt Facilities)
London-based investment bank, ARC Associates, acted as Joint Placement Agent in raising US$ 7.2m preferred series equity financing for Sonim Technologies Inc (“Sonim”), a US leading provider of ruggedized mobile phones. In conjunction, ARC Associates also advised Sonim on the extension of its €7.96m ($10.3m) revolving credit and mezzanine debt facilities.
Sonim, www.sonimtech.com, is a leading provider of premium-quality submersible, ruggedised mobile phones designed and engineered specifically for people who work and play outdoors or in industrial environments. Sonim’s product suite feature outstanding craftsmanship, extreme resilience and an industry-leading unconditional three year guarantee that has redefined consumers' expectations of rugged technology.
As Joint Placement Agent to Sonim, ARC Associates has supported the Company throughout the whole placement process from identifying suitable equity investors, transaction structuring, investor due diligence, negotiating key terms of the financing through to transaction completion.
The equity capital raised will be used to finance Sonim’s growing ruggedised handset business and to introduce new handset products into selected regions throughout the world over the next 1-2 years.
ARC has also renegotiated an extension of the €7m revolving credit facility provided by Investec Bank plc to December 2011. The original revolving facility was put in place in 2007 and was due to expire in June 2010. The expiry date of the €0.96m outstanding mezzanine facilities was extended by a 6 month period to December 2010.
“ARC Associates continues to demonstrate its fundraising capabilities and execute transactions in a professional and timely manner and in a very challenging environment said Bob Plaschke of Sonim Technologies. ARC Associates has again delivered by completing an extremely important fundraising event that will underpin the business’s growth going forward”.
“Sonim is at a growth stage with innovative and exciting new products ready to be launched in 2010. The fundraising round will continue to assist the business in its growth aspirations as it seeks to penetrate both existing and new markets around the world” said John Allen, Chairman of ARC Associates.
ARC Associates is a specialist investment bank and advisory firm serving the telecommunications, media and technology (TMT) industries, along with the financial services, renewable energy and property sectors.
Contacts:
John Allen
ARC Associates
Ph: +44 20 7614 4007
Pa-jaa@arcassociates.com
Bob Plaschke
Sonim Technologies
Ph: + 1 650-303-0520
Bob.Plaschke@sonimtech.com