SurgePays Secures $7M Convertible Note to Accelerate Mobile Platform Expansion
TL;DR
SurgePays secures $7 million agreement, $6 million cash, 333,333 share repurchase, $4.00 per share conversion, potential growth and $200 million revenue projection.
SurgePays signed $7 million senior secured convertible note with institutional shareholder, $6 million cash, 333,333 share repurchase, 2% prepayment option, supports LinkUp Mobile and MVNE wholesale platform growth.
SurgePays aims to deliver mobile connectivity and financial services to underserved communities, enabling SIM activations, top-ups, and digital financial services, enhancing national launch and growth prospects.
SurgePays enters $7 million agreement, $6 million cash, 333,333 share repurchase, $4.00 per share conversion, AT&T integration for future growth, potential $200 million revenue by 2025.
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Wireless and fintech company SurgePays has secured a $7 million senior secured convertible note from an existing institutional shareholder, positioning itself for significant growth in the mobile connectivity market. The investment includes $6 million in cash and involves a repurchase of 333,333 shares, with the note convertible into common stock at $4.00 per share.
The two-year financing arrangement includes a prepayment option at a 2% premium and comes on the heels of SurgePays' recent integration with AT&T on April 1. The company plans to use the proceeds to support the national launch of its LinkUp Mobile brand and expand its mobile virtual network enabler (MVNE) wholesale platform.
Management's strategic vision includes ambitious revenue projections, targeting over $200 million in annual revenue and anticipating positive cash flow from operations by the end of 2025. This financial milestone represents a significant opportunity for the company to scale its operations and serve underserved communities through mobile connectivity and financial services.
As both a mobile virtual network operator and enabler, SurgePays leverages a proprietary point-of-sale platform used in thousands of retail locations nationwide. The platform facilitates SIM activations, top-ups, and digital financial services, demonstrating the company's innovative approach to mobile and financial technology.
The convertible note represents a critical strategic investment that could accelerate SurgePays' expansion in the competitive wireless and fintech sectors, potentially creating new opportunities for market penetration and service delivery.
Curated from InvestorBrandNetwork (IBN)
