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  • CommerceTel Corp. (MFON) Announces $4.3 Million Financing Deal 0 comments
    Jun 6, 2012 2:09 PM | about stocks: MFON

    CommerceTel, provider of mobile marketing solutions, has completed a private financing arrangement with accredited investors for a total of $4,303,568. The financing involves approximately $2,612,400 in new funds and $1,691,168 principal plus accrued but unpaid interest outstanding under previously issued 10% Senior Secured Bridge Notes that were converted into new notes.

    The company indicated the proceeds will be used to increase sales infrastructure, accelerate technology and IP plans, as well as for prospective corporate development opportunities. Proceeds were also used to repay $186,322 in principal, plus accrued but unpaid interest outstanding as indicated above, in addition to paying off remaining cash consideration related to the Adsparq (Txtstation) and Mobile Visions (Mobivity) asset acquisitions.

    The new notes accrue interest at a rate of 10% per annum, are convertible at the terms of a future qualified equity financing, and are secured by a first priority lien and security interest in all of the company's assets. Additional details regarding the new notes can be found in the Form 8-K filed with the U.S. Securities and Exchange Commission on June 4, 2012. Investors can access this document through the link below:

    http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=8656380

    CommerceTel President and CEO, Dennis Becker, commented on the arrangement: "We are delighted to secure additional capital at a competitive rate. With significant organic and external growth opportunities available to us, we can focus our attention on growing our business. This financing will accelerate investments in our technology and sales infrastructure to capture additional market share and build on our continued organic growth."

    CommerceTel connects brands with their consumers in over 3,000 locations across the country. They are the creator of Mobivity, a cloud-based enterprise-grade platform, and the only system of its kind that allows brands to engage mobile consumers via multiple channels. It is integrated with multiple tier-one PSTN/ IP carriers and micropayment processing facilities, as well as with carrier premium SMS billing systems. Customers include CNN, Disney, Sony Pictures, AT&T, Verizon, and USA Network, along with numerous professional sports franchises, the Golf Channel, and NBC Universal.

    For additional information, visit the company's website at www.CommerceTel.com

    Please see disclaimer on the MissionIR website http://www.missionir.com/disclaimer.html

    Stocks: MFON
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