Company: SONM
Filing Date: 2025-12-05
Form Type: DEFM14A
Source: 0001493152-25-026277
Chunk: 83

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-12-05
Form: DEFM14A
Chunk 83
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 of the Cash Consideration and the ability to respond to unsolicited proposals for  
 competing transactions (as further described in the section titled “Asset Purchase Agreement — Covenants                                
 — No Solicitation” beginning on page 78) would likely result in a sale of the Company at the                                            
 highest price that was reasonably attainable;                                                                                           |

| 53 |

| ● | the challenges facing     
 the Company’s operations: |

| ○ | the                                                                                        
 competitive environment in the space of smartphones and mobile phones, as well as adjacent 
 markets;                                                                                   |

| ○ | the Company’s                                            
 overall strategic position and limited ability to scale; |

| ○ | the Company’s                                                                         
 continued financial losses, including a significant decline in the Company’s revenue; |

| ○ | supply            
 chain challenges; |

| ○ | tariff                                                                                           
 uncertainty and costs and risks associated with manufacturing transitions from China to  Vietnam 
 and Taiwan; and                                                                                  |

| ○ | the significant                                  
 drop in the value of the Company’s common stock. |

| ● | certain vendors extended payment terms pending the Asset Sale,       
 reflecting confidence in post-closing continuity with Social Mobile; |

| ● | the board’s belief                                                                               
 that the Asset Sale was more favorable to our stockholders than any other alternative reasonably 
 available to us and our stockholders, including:                                                 |

| ○ | continuing                                                                                  
 to operate the Legacy Business with a skeleton operating team and/or operating only certain 
 more profitable components of the Legacy Business to extract any remaining financial        
 benefit, which Company management advised was not viable given the Company’s high level     
 of cost and challenges with the international scaling of the Legacy Business; and           |

| ○ | liquidating                                                                                  
 and winding down our operations and making a cash distribution to the Company’s stockholders 
 of any remaining cash:                                                                       |

| ● | this alternative was estimated by the Company’s management and Company’s  
 financial consultants to provide no value on a price per share basis; and |

| ● | the                                                                                        
 amount of post-liquidation cash distributions is difficult to estimate and would depend on 
 the outcome of negotiations with vendors and customers, and indeterminate amounts          
 for disputes with vendors and customers.                                                   |

| ● | the terms of the Asset                       
 Purchase Agreement, including the following: |

| ○ | the                                                                                          
 Company and its legal counsel and financial advisor, acting at the direction of the Special  
 Committee and the board, negotiated the terms and conditions of the Asset Purchase Agreement