CUPERTINO, Calif., Jan. 09, 2018 (GLOBE NEWSWIRE) -- Inventergy Global, Inc. (OTCPink:INVT), an intellectual property licensing
and innovation company (“Inventergy” or the “Company”), announced that on December 29, 2017 the Company entered into a Securities
Purchase Agreement (the “Agreement”) with an investment fund (the “Investor”). Pursuant to the Agreement, the Company issued $2.4 million in senior secured convertible (convertible
only on an event of default) redeemable debentures (the “Debentures”) to the Investor. The Agreement
also contemplates the sale of up to an additional $1.6 million principal amount of Debentures by the Company to the Investor, based
upon the performance of the Company. The unpaid principal amount bears interest at 17% per annum, with interest only payments
for six months. Monthly payments of principal begin in July 2018, with such payments increasing in later months such that all
interest and principal is paid 24 months from closing, which occurred on December 29, 2017.
An additional amount of $3.5 million (plus 8% interest per annum) is due to the Investor in 36 months.
For the first 6 months payments will be interest only, and the remaining 30 months will include principle payments.
The Company also agreed to pay a profit sharing fee of $3.5 million payable from future revenues to be received
by the Company from the special purpose entity, INVT SPE LLC. This total amount is fully due and payable in 42 months.
Additional information regarding the Agreement is contained in Inventergy’s Form 8-K filed January 5, 2018 with the SEC.
Joe Beyers, Inventergy CEO, said, “The completion of this financing is an important milestone for the Company. It enables to
repay its existing obligations, and provides general working capital for future operations. In particular, this financing
allows management to increase its focus on future revenue creation.”
The Company focuses on two business opportunities:
1. Inventergy Innovations partners with small companies to help improve their business and intellectual property strategy and
drives license or sale of the partner’s patents, their technology or their entire company. Inventergy earns a share of the
proceeds from any transactions involving these partner companies.
2. Inventergy has rights to INVT SPE LLC, established in April 2017, which is a special purpose entity with 740
telecommunications patents previously owned by Inventergy. Inventergy receives a portion of the net revenues of the INVT SPE
LLC by the license or sale of these patents. On August 2017, the Company announced the results of an independent third party
valuation of Inventergy’s ownership interest of INVT SPE LLC. The valuation determined that Inventergy’s interest had a net
present value of approximately $43 million ($67 million total).
About Inventergy Global, Inc.
Inventergy Global, Inc. is a Silicon Valley-based intellectual property company dedicated to identifying, acquiring and licensing
patented technologies of market-significant technology leaders and small companies. Led by IP industry pioneer and veteran Joe
Beyers, the Company leverages decades of corporate experience, market and technology expertise, and industry connections to assist
Fortune 500 and other technology companies in leveraging the value of their innovations to achieve greater returns. For more
information about Inventergy, visit www.inventergy.com.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains statements, estimates, forecasts and projections with respect to future performance and events, which
constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended. Those statements include statements regarding the intent and belief or current
expectations of the Company and its affiliates and subsidiaries and their respective management teams. These statements may be
identified by the use of words like "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "will," "should,"
"seek" and similar expressions and include any projections or estimates set forth herein. Investors and prospective investors are
cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties,
that actual results may differ materially from those projected in the forward-looking statements.
Contact:
Molly McAuliffe
IR@Inventergy.com
(408) 973-7896
