PARETEUM CORPORATION (NYSEMKT:TEUM) Files An 8-K Entry into a Material Definitive AgreementItem 1.01 Entry into a Material Definitive Agreement.
On March 30, 2017, Pareteum Corporation (the “Company”) entered into an agreement (the “Agreement”) with Saffelberg Investments NV (the “Holder”) to which the Company and the Holder amended the terms of, redeemed or effected conversion, as the case may be, of certain convertible promissory notes (the “Note(s)”) and warrants (the “Warrant(s)”) previously issued by the Company to the Holder.
to the Agreement, the Company and the Holder agreed to modify certain terms of the Notes whereby (i) the principal amount of one Note, in the initial amount of $723,900, will be increased by ten percent (10%) and subsequently converted into 530,860 shares of common stock, par value $0.00001 per share (the “Common Stock”), of the Company and (ii) the Company will immediately repay in cash another Note in the principal amount of $350,000, plus interest of $59,304.20.
The Agreement also provides (i) for a ten percent (10%) increase in the number of shares of Common Stock issuable upon the exercise of a Warrant, exercisable for an initial amount of 96,520 shares of Common Stock, as well as a change in the exercise price of the Warrant to $1.87 per share, (ii) a change in the exercise price of a second Warrant for 80,000 shares of Common Stock to $1.87 per share and an extension of the expiration date to August 31, 2021, and (iii) a change in the exercise price of a third Warrant for 40,000 shares of Common Stock to $1.87 per share and extension of the expiration date to August 31, 2021. Further, the provisions contained in all of the Warrants granting the Holder anti-dilution protection, and re-pricing and cashless exercise provisions have also been removed to the Agreement.
Item 3.02 Unregistered Sales of Equity Securities.
The information set forth in Item 1.01 of this Current Report on Form 8-K concerning the Agreement is incorporated herein by reference. The issuance of the shares of the Company’s common stock under the Agreement is to an exemption from registration under Section 4(a)(2) and Regulation D of the Securities Act.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
10.1 Agreement, dated March 30, 2017
About PARETEUM CORPORATION (NYSEMKT:TEUM)
Pareteum Corporation, formerly Elephant Talk Communications Corp., is an international provider of mobile networking software and services. The Company and its subsidiaries provide a mobility cloud platform, utilizing messaging and security solutions for the global mobile, mobile virtual network operator (MVNO), enterprise and Internet of things (IoT) markets. It is engaged in providing communications technology. ET Software DNA 2.0 is the Company’s intelligent mobile service platform. Its platform hosts integrated information technology (IT) or Back Office and Core Network functionality for mobile network operators (MNOs), MVNOs, and mobile virtual network enablers (MVNEs) and mobile virtual network aggregators (MVNAs) on an outsourced software as a service (SaaS), platform as a service (PaaS) and infrastructure as a service (IaaS) basis. Its virtual mobile platform solutions for MNOs and MVNOs feature Software Defined Networking and Network Functions Virtualization technologies. PARETEUM CORPORATION (NYSEMKT:TEUM) Recent Trading Information
PARETEUM CORPORATION (NYSEMKT:TEUM) closed its last trading session down -0.09 at 1.03 with 225,823 shares trading hands.