Company: SONM
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001641172-25-022821
Chunk: 31

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 8
Chunk 31
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 defer any redemptions the Lender could otherwise make during a calendar month, provided, however, that each deferral increases the
outstanding balance of the July Note by 1%.

At
any time following the occurrence of a Major Trigger Event or Minor Trigger Event (each as defined in the July Note), the Lender may
increase the outstanding balance of the July Note by 15% for each occurrence of any Major Trigger Event and 5% for each occurrence of
any Minor Trigger Event (the “Trigger Effect”), provided that the Trigger Effect may only be applied three times with respect
to Major Trigger Events and three times with respect to Minor Trigger Events.

Subject
to certain exceptions described below, if the Company fails to cure a Trigger Event within five (5) trading days following the date of
transmission of written demand notice by the Lender, the Trigger Event will automatically become an Event of Default (as defined in the
July Note). Following the occurrence of any Event of Default, the Lender may, upon written notice to the Company, (i) accelerate the
July Note, with the outstanding balance of the Note following application of the Trigger Effect (the “Mandatory Default Amount”)
becoming immediately due and payable in cash, and (ii) cause interest on the outstanding balance of the July Note beginning on the date
the applicable Event of Default occurred to accrue at an interest rate equal to the lesser of 22% per annum or the maximum rate permitted
under applicable law. However, certain Trigger Events, such as bankruptcy or insolvency, automatically result in an Event of Default,
making the outstanding balance immediately payable at the Mandatory Default Amount without notice.

Security
Agreements

The
Company’s obligations under the Note are secured by all of the Company’s assets, including its intellectual property, pursuant
to a security agreement and intellectual property security agreement entered into by the Company in favor of the Lender on July 11, 2025.
Pursuant to these agreements, the Company granted to the Lender a first-position security interest in all right, title, interest, claims
and demands of the Company in and to certain property including, but not limited to: all equity in all wholly-owned or partially owned
subsidiaries, all goods and equipment and all inventory, and certain patents, trademarks, and other intellectual property, as more fully
detailed therein.

Additional Receivables Financing Agreement

On August 7, 2025, the Company entered into a non-recourse