Company: SONM
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001641172-25-022821
Chunk: 29

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 8
Chunk 29
---
 estimated offering
expenses payable by the Company. The Company used the net proceeds of the Offering for overall business strategy, for working capital
purposes and for general corporate purposes.

July
Purchase Agreement

On
July 11, 2025, the Company entered into a note purchase agreement (the “July Purchase Agreement”) with Streeterville Capital,
LLC (the “Lender”) pursuant to which the Company issued and sold to the Lender a promissory note in the original principal
amount of $2,755 (the “July Note”).

July
Purchase Agreement

Pursuant
to the terms of the July Purchase Agreement, until all of the Company’s obligations under the July Note and all other transaction
documents are paid and performed in full, the Company agreed to comply with certain covenants, including but not limited to the following:
(i) compliance with its filing requirements under the Securities Exchange Act of 1934, as amended, (ii) maintaining the Company’s
listing on a national securities exchange, and (iii) refraining from making any Restricted Issuances (as defined in the July Purchase
Agreement and described below) without the Lender’s prior written consent, which consent may be granted or withheld in the Lender’s
sole discretion.

Subject
to certain customary exceptions set forth in the Purchase Agreement, Restricted Issuances include the incurrence or guaranty of any debt
obligations other than trade payables in the ordinary course of business, the issuance of any convertible securities in which the number
of shares that may be issued pursuant to a conversion right, or the conversion price, varies with the market price of the Company’s
common stock, the issuance of any securities with reset provisions and the issuance of any securities in connection with Section 3(a)(9)
exchange, a Section 3(a)(10) settlement, or any other similar settlement or exchange. Restricted Issuances do not include ATM facilities,
commercial bank loans or lines of credit, leases, grants pursuant to the Company’s incentive plans, and change-in-control transactions
that result in full repayment of the Note upon consummation.

The
July Purchase Agreement also contains a “most favored nation” clause. Under this provision, for as long as the July Note
remains outstanding, if the Company issues any debt security with more favorable economic terms or conditions not similarly provided
to the Lender, the Company must notify the Lender. At the Lender’s option, such favorable terms will become