Inseego Corp. Secures $25M Credit Facility

TL;DR

Inseego just got a $25M credit line to keep the lights on. Maturity 2027.

AI Summary

Inseego Corp. announced on August 2, 2024, that it entered into a credit agreement for a $25 million revolving credit facility with an initial maturity date of August 2, 2027. This facility, provided by an unnamed lender, is intended to support the company's working capital needs and general corporate purposes. The company also reported on unregistered sales of equity securities, though specific details and amounts were not fully disclosed in this excerpt.

Why It Matters

This new credit facility provides Inseego Corp. with crucial liquidity to manage its operations and pursue strategic initiatives, potentially stabilizing its financial position.

Risk Assessment

Risk Level: medium — While the credit facility provides needed liquidity, the company's financial health and the terms of the agreement, which are not fully detailed, present ongoing risks.

Key Numbers

• $25.0M — Revolving Credit Facility (Provides working capital and supports general corporate purposes.)

Key Players & Entities

• Inseego Corp. (company) — Registrant
• $25 million (dollar_amount) — Revolving credit facility amount
• August 2, 2024 (date) — Date of credit agreement
• August 2, 2027 (date) — Maturity date of credit facility

FAQ

Key Financial Figures

• $0.001 — ch registered Common Stock, par value $0.001 per share INSG Nasdaq Global Select
• $5 million — "Exchange Term Sheet") with a holder of $5 million in principal amount of the Company's ou
• $4.25 million — e Notes that it currently holds for (i) $4.25 million in principal amount of new long-term se
• $11.27 — price of the Exchange Warrants will be $11.27. The Exchange Term Sheet expires on Dec
• $1.46 million — ent with two holders (the "Holders") of $1.46 million in aggregate principal amount of 2025 C
• $11.03 — The Warrants have an exercise price of $11.03 per share of Common Stock, subject to a

Filing Documents

• inseego_8k.htm (8-K) — 34KB
• inseego_ex9901.htm (EX-99.1) — 132KB
• image_001.jpg (GRAPHIC) — 2KB
• 0001683168-24-005338.txt ( ) — 356KB
• insg-20240802.xsd (EX-101.SCH) — 3KB
• insg-20240802_lab.xml (EX-101.LAB) — 33KB
• insg-20240802_pre.xml (EX-101.PRE) — 22KB
• inseego_8k_htm.xml (XML) — 4KB

02. Results of Operations and Financial Condition

Item 2.02. Results of Operations and Financial Condition. The information in "Item 2.02 Results of Operations and Financial Condition" of this Current Report on Form 8-K and in Exhibit 99.1, attached hereto, is furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section. It may be incorporated by reference in a filing under the Exchange Act or the Securities Act of 1933, as amended, only if such subsequent filing specifically references such disclosure in this Form 8-K. On August 7, 2024, Inseego Corp. (the "Company") issued a press release containing preliminary financial results for the quarter ended June 30, 2024. Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. On August 2, 2024, the Company entered into a binding exchange term sheet (the "Exchange Term Sheet") with a holder of $5 million in principal amount of the Company's outstanding 3.25% convertible notes due 2025 (the "2025 Notes"). Pursuant to the Exchange Term Sheet, the holder agreed to exchange the 2025 Convertible Notes that it currently holds for (i) $4.25 million in principal amount of new long-term senior secured notes (the "New Notes"), and (ii) warrants (the "Exchange Warrants") to purchase an aggregate of 180,000 shares of the Company's common stock, par value $0.001 per share ("Common Stock"). The New Notes and the Exchange Warrants to be issued pursuant to the Exchange Term Sheet will be the same as the new long-term senior secured notes and warrants, respectively, to be issued pursuant to the separate binding exchange term sheets previously entered into between the Company and certain other holders of 2025 Convertible Notes, as described in the current report filed by the Company on July 1, 2024, except that the exercise price of the Exchange Warrants will be $11.27. The Exch

02. Unregistered Sales of Equity Securities

Item 3.02. Unregistered Sales of Equity Securities. The information set forth in Item 2.03 of this current report regarding the Exchange Warrants is incorporated by reference into this Item 3.02. In addition, on August 2, 2024, the Company entered into a repurchase agreement with two holders (the "Holders") of $1.46 million in aggregate principal amount of 2025 Convertible Notes, pursuant to which they agreed to repurchase the Holders' 2025 Convertible Notes (including accrued interest thereon) in exchange for (i) an aggregate of 137,533 shares (the "Shares") of Common Stock and (ii) warrants (the "Warrants") to purchase an aggregate of 88,533 shares of Common Stock. Effective as of August 2, 2024, the Company and the Holders consummated the repurchase of the Holders' 2025 Convertible Notes, and the Company issued the Shares and the Warrants to the Holders. The Warrants have an exercise price of $11.03 per share of Common Stock, subject to adjustment for stock splits, reverse stock splits, stock dividends and similar transactions, will expire four years from the date of issuance, are exercisable on a cash basis and are otherwise in substantially the same form as the warrants issued by the Company to certain of its lenders, as summarized and filed as an exhibit to the current report on Form 8-K filed by the Company on July 1, 2024. The Company granted the Holder customary registration rights with respect to the Shares and the shares of Common Stock issuable upon exercise of the Warrants. The Shares, the Warrants and the Exchange Warrants have not been registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or the securities laws of any state or other jurisdiction, and were offered in reliance upon the exemption from registration afforded by Section 4(a)(2) under the Securities Act and/or Regulation D promulgated thereunder and, as applicable, corresponding provisions of state securities laws, which exempt transactions by an issuer not

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits. The following Exhibits are filed with this report: 99.1 Press release, dated August 7, 2024, containing Inseego Corp. preliminary financial results for the quarter ended June 30, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). 2 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Current Report on Form 8-K to be signed on its behalf by the undersigned hereunto duly authorized. Date: August 7, 2024 Inseego Corp. By: /s/ Steven Gatoff Steven Gatoff Chief Financial Officer 3

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