Company: SONM
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001493152-25-020310
Chunk: 126

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 1A
Chunk 126
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our business, results of operations, and long-term value.

A
group of risk factors titled “Risks Related to the Proposed Asset Purchase Agreement and Announced Strategic Initiatives”
shall be added as follows:

The
conditions under the Asset Purchase Agreement to our consummation of the proposed transaction may not be satisfied in the anticipated
timeframe or at all.

Under
the terms of the Asset Purchase Agreement, the consummation of the proposed transaction is subject to customary closing conditions. There
is no guarantee that all closing conditions will be satisfied (or waived, if permitted by the Asset Purchase Agreement and applicable
law). Many of the conditions to consummation of the Asset Purchase Agreement are not within our control, and we cannot predict when or
if these conditions will be satisfied (or waived, if permitted by the Asset Purchase Agreement and applicable law). Difficulties in otherwise
satisfying the conditions may prevent, delay, or otherwise materially adversely affect the consummation of the proposed transaction.

If
an event occurs delaying or preventing the proposed transaction, such delay or failure to complete the proposed transaction may create
uncertainty or otherwise have negative consequences, including the payment to the Buyer an amount equal to the transaction expenses reasonably
incurred by the Buyer and its affiliates, plus a termination fee equal to $1 million, which may materially and adversely affect our sales,
financial condition and results of operations, as well as the price per share for our common stock, and could cause us not to realize
some or all of the benefits that we expect to achieve if the transactions contemplated by the Asset Purchase Agreement are successfully
completed within its expected timeframe.

While
the proposed transaction is pending, we are subject to business uncertainties and contractual restrictions that could disrupt our business.

Whether
or not the proposed transaction is consummated, the proposed transaction may disrupt our current plans and operations, which could have
an adverse effect on our business and financial results. The uncertainties about the effect of the proposed transaction may impact our
ability to retain, recruit, and hire employees and key personnel while the transaction is pending or if it fails to close. We may incur
unexpected costs, charges or expenses resulting from the proposed transaction. Furthermore, we cannot predict how our current customers,
prospective customers and other partners will view or react to the proposed transaction during the pendency or upon consummation of the
proposed transaction. If we are unable to reassure our partners to continue their partnerships or affiliations with us, our revenues,
financial condition