NEW YORK, March 2, 2020 /PRNewswire/ -- Pareteum
Corporation (Nasdaq:TEUM), a rapidly growing cloud
communications platform company, today announced the issuance of
$3.75 million shares of
non-convertible 8% Series C Redeemable Preferred Stock at a
purchase price of $100,000 per share,
which is part of the Company's previously announced offering of up
to $20.0 million shares of
non-convertible 8% Series C Redeemable Preferred Stock. The current
round is incremental to the $5.0
million previously closed and the round was again led by the
company's largest shareholder group. The Company intends to use the
net proceeds for working capital, to progress its financial
restatements as well as for general corporate purposes and growth
initiatives.
"This financing agreement further strengthens our balance sheet
and provides capital to continue to execute on our restatement and
growth, while delivering global cloud communication services to our
customers," said Bart Weijermars, Interim Chief Executive Officer
of Pareteum. "Our products have significant traction in the market
and we are pleased with the continued momentum. We remain focused
on operating the business and are positioned to capitalize on a
large and growing market opportunity."
More information regarding the financing may be found on Form
8-K dated March 2, 2020 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.
Forward Looking Statements:
Certain statements contained herein constitute "forward-looking
statements" as defined by the Private Securities Litigation Reform
Act of 1995. Such statements may include, without limitation,
statements with respect to Pareteum's plans and objectives,
projections, expectations and intentions. These forward-looking
statements are based on current expectations, estimates and
projections about Pareteum's industry, management's beliefs and
certain assumptions made by management. Readers are cautioned that
any such forward-looking statements are not guarantees of future
performance and are subject to certain risks, uncertainties and
assumptions that are difficult to predict. Because such statements
involve risks and uncertainties, the actual results and performance
of Pareteum may differ materially from the results expressed or
implied by such forward-looking statements. These risks include,
among other things (1) the Company's ability to complete the
offering as described herein, (1) the ability to complete the
restatement of the affected financial statements and address any
material weaknesses, the timing of the completion of necessary
restatements, interim reviews and audits by the Company's
independent registered public accounting firm, (2) risks relating
to the substantial costs and diversion of personnel's attention and
resources deployed to address the restatement of the affected
financial statements and internal control matters, (3) the
risk of litigation or regulatory action arising from the
restatement of the affected financial statements, (4) the timing of
the review by, and the conclusions of, the Company's independent
auditor regarding the restatement, (5) the ability of the Company
to remediate any material weaknesses in internal control over
financial reporting, (6) potential reputational damage that the
Company may suffer as a result of the restatement of the affected
financial statements, (7) the impact of the restatement of the
affected financial statements on the value of the Company's common
stock, and (8) the risk that the filing of the restatement of the
affected financial statements will take longer than anticipated.
Given these risks and uncertainties, readers are cautioned not to
place undue reliance on such forward-looking statements. Unless
otherwise required by law, Pareteum also disclaims any obligation
to update its view of any such risks or uncertainties or to
announce publicly the result of any revisions to the
forward-looking statements made here. Additional information
concerning certain risks and uncertainties that could cause actual
results to differ materially from those projected or suggested in
Pareteum's filings with the Securities and Exchange Commission,
copies of which are available from the SEC or may be obtained upon
request from Pareteum Corporation.
Media Inquiries:
Press@pareteum.com
Investor Relations Contact:
+1 646-810-2182
Investor.relations@pareteum.com
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SOURCE Pareteum Corporation