Company: SONM
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001641172-25-022821
Chunk: 26

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 8
Chunk 26
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ovenants requiring the Company not to, directly or indirectly (i) solicit, initiate, knowingly encourage,
or knowingly induce any Alternative Transaction (as defined in the Asset Purchase Agreement), (ii) engage in discussions or negotiations
regarding any Alternative Transaction, or (iii) enter into any letter of intent, term sheet, memorandum of understanding, or other agreement
relating to any Alternative Transaction. However, prior to the obtaining of the stockholder approval of the Asset Purchase Agreement
(the “Stockholder Approval”), a customary “fiduciary out” provision allows the Company, under certain specified
circumstances, to provide information to, and participate in discussions and engage in discussions or negotiations with, third parties
with respect to an acquisition proposal if the Company complied with certain notice and other requirements and the board of directors
of the Company (or the Special Committee, as applicable) determines in good faith (in each case after consultation with its outside legal
counsel and financial advisors), taking into account the legal, financial, regulatory and other aspects of such proposal, that such proposal
would be more favorable to the Company’s stockholders from a financial point of view than the consummation of the Asset Purchase
Agreement and is reasonably capable of being consummated (a “Superior Proposal”). Negotiations related to an RTO are expressly
excluded from the no-solicitation covenant.

Closing
Conditions

The
completion of the Asset Purchase Agreement is subject to the satisfaction of certain closing conditions, including (i) the Stockholder
Approval, (ii) accuracy of the representations and warranties of the parties, (iii) the absence of any order, injunction or law prohibiting
consummation of the Asset Purchase Agreement and (iv) receipt by the Company of certain third-party consents. The consummation of the
Asset Purchase Agreement is not subject to any financing condition.

Termination;
Termination Fee

The
Asset Purchase Agreement may be terminated in certain circumstances, including:

    (i)
    by mutual written agreement
    of the parties; 

    (ii)
    by either party if there
    is a non-appealable order of court or a governmental authority prohibiting, enjoining, restricting, or making illegal the transactions
    contemplated by the Asset Purchase Agreement or, if the consummation of the Asset Purchase Agreement is otherwise illegal or prohibited
    by any applicable law (the “Illegality”); 

    (iii)
    by either party if the
    Stockholder