Pareteum Corporation (Nasdaq: TEUM), a rapidly growing cloud communications platform company, today announced an offering of up to 255 shares of non-convertible 8% Series C Redeemable Preferred Stock for an aggregate purchase price of up to $20.0 million. The Company expects to receive approximately $5.0 million in gross proceeds from the initial closing rounds, which are expected to be completed by December 20, 2019. Under the agreement, the Company may raise up to an additional $15.0 million in gross proceeds at a purchase price of $100,000 per share. The Company intends to use the net proceeds for working capital, general corporate purposes and growth initiatives.
"We are pleased to complete this financing as it responsibly strengthens our balance sheet and provides capital to execute on our growth strategy," said Mary Beth Vitale, Interim Chairman of Pareteum. "We remain focused on operating the business and delivering outstanding results for our customers. Our unique products and technology offerings continue to drive strong customer demand and we are well positioned to capitalize on a large and rapidly growing market opportunity."
Hoving & Partners S.A., a long-time financial supporter of Pareteum, acted as the investor in the offering, showing confidence in Pareteum, its capabilities and the opportunity ahead.
More information regarding the financing may be found on Form 8-K dated December 16, 2019 on file with the Securities and Exchange Commission.
About Pareteum Corporation:
Millions of people and devices are connected around the world using Pareteum's Global Cloud Communications Platform, enhancing their mobile experience. Pareteum unleashes the power of applications and mobile services, bringing secure, ubiquitous, scalable, and seamlessly available voice, video, SMS/text messaging, and data, media and content enablement to our customers, making worldwide communications services easily and economically accessible to everyone. By harnessing the value of our cloud communications platform, Pareteum serves enterprises, communications service providers, early stage innovators, developers, IoT, and telecommunications infrastructure providers. Pareteum envisions a new mobile communications experience, imagining what is to come, while delivering now. Pareteum currently has offices in North America, South America, Spain, Bahrain, Singapore, India, Indonesia, Germany, Belgium, United Kingdom, Russia, and the Netherlands. For more information please visit: www.pareteum.com.
