TEL AVIV, Israel, Feb. 4, 2021 /PRNewswire/
-- SuperCom (NASDAQ: SPCB ), a
global provider of secure solutions for the for the
e-Government, IoT and Cybersecurity sectors, announced today the
closing of a financing with gross proceeds of $7 million to
support the company's growth capital needs.
For the consideration of $7
million in gross proceeds, SuperCom issued a 2-year
unsecured, subordinated promissory note to a certain institutional
investor. The note has a 5% annual coupon and a built-in increase
to the balance of the note by 5% every 6 months, for any portion of
the note which has not been paid down prior to maturity. All
principal and interest accrued is required to be paid in only
one-bullet payment at maturity, and the company has the right to
pre-pay any portion of the note at any time without a pre-payment
penalty. SuperCom has an option at its discretion only, at any time
after 12 months to pay down all or a portion of the note using its
ordinary shares, subject to certain conditions being met.
"We are pleased to have secured this capital, which will support
our emphasis on expected growth in the future. Numerous wins in
government tenders displacing our competition, proprietary
technology introducing new abilities and superior performance, and
a growing need of nations to utilize electronic monitoring and
cyber security technology have positioned us with an opportunity to
scale up and focus more on growth," commented company
President and CEO Arie Trabelsi.
"Whether we're trying to help our customers with public safety,
limiting the spread of Covid-19, or cyber security and identity
protection, we believe staying at the forefront of technology
innovation is essential. Hence we plan to continue making
investments in research and development, as well as investments in
sales and marketing to reach more customers, while delivering
exceptional service and project management to existing customers.
And in turn, we expect to not just maintain, but grow high-margin
recurring revenue streams in the future."
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any of the securities described
herein, nor shall there be any sale of these securities in any
state or jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction.
About SuperCom
Since 1988, SuperCom has been a global provider of traditional
and digital identity solutions, providing advanced safety,
identification and security solutions to governments and
organizations, both private and public, throughout the world.
Through its proprietary e-Government platforms and innovative
solutions for traditional and biometrics enrollment,
personalization, issuance and border control services, SuperCom has
inspired governments and national agencies to design and issue
secure Multi-ID documents and robust digital identity solutions to
its citizens and visitors. SuperCom offers a unique all-in-one
field-proven RFID & mobile technology and product suite,
accompanied by advanced complementary services for various
industries including healthcare and homecare, security and safety,
community public safety, law enforcement, electronic monitoring,
livestock monitoring, and building and access automation.
SuperCom's website is http://www.supercom.com
This press release contains forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended. Statements preceded or followed by or that
otherwise include the words "believes", "expects", "anticipates",
"intends", "projects", "estimates", "plans", and similar
expressions or future or conditional verbs such as "will",
"should", "would", "may" and "could" are generally forward-looking
in nature and not historical or current facts. Examples of these
statements include, but are not limited to, statements regarding
business and economic trends, the anticipated impact of the
COVID-19 outbreak on travel and physical locations and the
anticipated impact of such outbreak on our business and results of
operations. These forward-looking statements are subject to risks
and uncertainties that could cause actual results to differ
materially from the statements made. These risks and uncertainties
include, but are not limited to, the effects of the COVID-19
outbreak, including levels of consumer, business and economic
confidence generally, the duration of the COVID-19 outbreak and
severity of such outbreak, the pace of recovery following the
COVID-19 outbreak, the effect on our supply chain, our ability to
implement cost containment and business recovery strategies; and
the adverse effects of the COVID-19 outbreak on our business or the
market price of our ordinary shares, risks and uncertainties
described under the heading "Forward Looking Statements" in any
report and the risk factors described in our Annual Report on Form
20-F for the year ended December 31,
2019 and our subsequent filings with the U.S. Securities and
Exchange Commission and reports on Form 6-K are uncertain. Except
as required by law, we not undertake any obligation to update or
revise these forward-looking statements, whether as a result of new
information, future events or otherwise, after the date of this
press release.
SuperCom Corporate Contact:
Ordan Trabelsi, President Americas
Tel: +1 212 466 4606
ordan@supercom.com
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SOURCE SuperCom Ltd