Novatel Wireless Receives Increase to Revolving Line of Credit
November 17 2015 - 4:24PM
Novatel Wireless, Inc. (Nasdaq:MIFI), a leading global provider of
solutions for the Internet of Things (IoT), including
software-as-a-service (SaaS) solutions for the fleet telematics
market, today announced that Wells Fargo Bank has increased the
Company's five-year senior secured revolving credit facility to $48
million (the "Revolver"). The Company currently has no amounts
drawn down on the Revolver.
The Revolver initially closed on October 31, 2014 with a $25
million maximum capacity, and provides the Company with capital
flexibility for its growth initiatives and general corporate
purposes. The Company may borrow funds under the Revolver with
interest payable monthly at a base rate determined by using the
daily three month LIBOR rate, plus an applicable margin of 3.00% to
3.50% depending on the Company's liquidity as determined on the
last day of each calendar month. The Company currently has no
amounts drawn down on the Revolver.
"The acquisitions of DigiCore and FW have changed the game for
Novatel Wireless. We now plan to complete our transformation
by integrating our businesses, bringing discipline and focus to our
product development efforts, and driving increased revenues in
highly-profitable IoT software and services," stated Sue Swenson,
Chair and CEO of Novatel Wireless. "I am pleased that Wells Fargo
remains a strong partner of the Company, with confidence in our
business strategy and a willingness to ensure that we have ample
working capital at an attractive financing rate to expand our
global presence in the IoT and SaaS fleet telematics market."
About Novatel Wireless, Inc.
Novatel Wireless, Inc. (Nasdaq:MIFI) is a leading global
provider of solutions for the Internet of Things (IoT), including
software-as-a-service (SaaS) solutions for the fleet telematics
market. The Company's product lines include the
CTrack™ fleet and vehicle telematics platform, Feeney
Wireless (FW) IoT consulting services, appliances and device
management solutions, along with Novatel Wireless's MiFi®
intelligent mobile hotspots and modems, embedded modules,
mobile tracking solutions, and asset tracking and
monitoring solutions. These innovative products
and solutions provide anywhere, anytime communications and
analytics for consumers and businesses of all sizes, with
approximately 155,000 subscribed fleet vehicles for Ctrack among
the Company's 510,000 global subscribers. Novatel Wireless is
headquartered in San Diego,
California. http://www.novatelwireless.com. @MiFi
(Twitter)
MiFi is a registered trademark of Novatel Wireless,
Inc. - the creators and patent holder of MiFi technology.
Cautionary Note Regarding Forward-Looking
Statements
Certain statements in this press release may constitute
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements relate to a variety of matters, including, without
limitation, statements related to the ability of Novatel
Wireless to expand its addressable markets and drive growth in
service revenue and broaden its customer base as a result of the
acquisition of DigiCore, and other statements that are not purely
statements of historical fact. These forward-looking statements are
made on the basis of the current beliefs, expectations and
assumptions of the management of Novatel Wireless and are
subject to significant risks and uncertainty. Investors are
cautioned not to place undue reliance on any such forward-looking
statements. All such forward-looking statements speak only as of
the date they are made, and Novatel Wireless undertakes
no obligation to update or revise these statements, whether as a
result of new information, future events or otherwise. These
forward-looking statements also involve many risks and
uncertainties that may cause actual results to differ materially
from what may be expressed or implied in these forward-looking
statements. For a further discussion of risks and uncertainties
that could cause actual results to differ from those expressed in
these forward-looking statements, as well as risks relating to the
business of Novatel Wireless in general, see the risk
disclosures in the Annual Report on Form 10-K of Novatel
Wireless for the year ended December 31, 2014, and in
other filings made with the SEC by Novatel
Wireless (available at www.sec.gov).
©2015 Novatel Wireless, Inc. All rights reserved. The Novatel
Wireless name and logo are trademarks of Novatel Wireless, Inc.
CONTACT: Media Contact
Anette Gaven
(619) 993-3058
agaven@nvtl.com
Investor Relations Contact:
Michael Sklansky
(858) 431-0792
msklansky@nvtl.com
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