Company: SONM
Filing Date: 2025-07-07
Form Type: DEFA14A
Source: 0001641172-25-018000
Chunk: 1

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-07-07
Form: DEFA14A
Chunk 1
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 the exclusive structuring agent, manager, bookrunner, and placement agent, entitled to “left” and “highest” placement in all marketing materials relating to the first lien notes.

This structure means that even if Capstone determines the financing conditions are satisfied, it will not itself fund the notes. Rather, it will initiate a solicitation process to identify third-party investors willing to commit to the debt financing, with Capstone serving solely as placement agent—an outcome that remains uncertain and beyond the control of Sonim.

Accordingly, unlike a committed bank credit facility, the financing remains subject to the success of a debt offering following execution of a definitive agreement with Orbic. As a result, there is a significant risk that the contemplated $50 million will not ultimately be funded even if all financing conditions are satisfied.

To the contrary, Sonim is certain that Social Mobile can unilaterally fund the transaction without condition.

How is the value of the Social Mobile deal superior to the Orbic proposal?

What liabilities are being assumed by Social Mobile that would not be assumed by Orbic?

Orbic’s publicly disclosed proposal provides that “Sonim would retain all liabilities other than those under contracts agreed by Orbic.” By contrast, the arrangement contemplated under the Social Mobile LOI states that “the Company’s consolidated current liabilities other than the current portion of indebtedness (including capitalized leases, accrued interest, and prepayment premiums), in each case to the extent included as an ‘assumed liability’ under the Definitive Agreements, each determined in accordance with GAAP,” would be assumed.

While the Company acknowledges that the definitive agreement will ultimately govern the scope of assumed liabilities, the fundamental premise — that Social Mobile would assume a significant portion of the Company’s liabilities — renders its proposal substantially more favorable in terms of economic value.

What are the other conditions besides completing due diligence that makes the Orbic offer “conditional”?

In addition to the completion of due diligence, the commitment letter directly and indirectly includes several other conditions, including but not limited to the following:

| ● | Pledge                                                                                                                              
 of collateral, including a pledge of 100% of the equity interests of the target. Sonim believes this condition cannot be satisfied  
 in an asset sale structure. Sonim assumes this provision may later be substituted with a pledge of 100% of the assets of the target |
| ● | Execution                                                                                                                           
 and delivery of the Financial Documentation                                                                                         |
| ● | “certificate                                                                                                                        
 of pro-forma financial covenant compliance”                                                                                         |
| ● |