Pareteum Corp (NYSEAmerican:TEUM) reported that it has compensated its lender $8.1 million, the remaining amount of its senior secured loan from Corbin Capital and Atalaya Capital Management. The company immediately improves prospects for growth and cash flows by eliminating security interests of the lenders and closing the loan, with its amortization and interest, prior to the prevailing maturity date of December 31, 2018 .
Hal Turner, the Principle Executive Officer and Executive Chairman of Pareteum, expressed that their successful debt closure is one of the major elements of the company turnaround which started in the fourth quarter of 2015. This debt financing package, preliminary implemented by the firm’s previous management, was no longer enhanced for the thrilling growth and value-generating stage of their business plans.
They appreciate the lenders support during the restructuring period. The management also look forward to concentrating on the continued sales growth by making investments in the operations which they project to deliver maximum value for their equity investors.
Pareteum and its subsidiaries offer a complete mobility cloud platform, using security and messaging capabilities for the international Mobile, Enterprise, Software-as-a-Service, IoT and MVNO markets. The firm’s software solutions enable any firm to use the power of a wirelessly connected scenario by offering subscriber management capabilities and seamless connectivity that offers end-to-end control of several connected devices.
Mobile Network Operator consumers include Vodafone, one of the leading mobile operator by consumer count, Zain, one of the major mobile operators in the Middle East, and MVNO clients such as Lebara and Lowi.
In the last trading session, the stock price of Pareteum declined more than 6% to close the day at $1.54. The decline came at a share volume of 13.86 million compared to average share volume of 3.02 million. After the recent decline, the market cap of firm was noted at $47.3 million.