The Atlanta Journal-Constitution, November 9, 2014. APR 16, 2023 /PRNewswire/ -- KORE Group Holdings, Inc. (KORE) announced today that it. It is listed on the NYSE under the symbol KORE, KORE..We announced today that WS) ("KORE" or the "Company"), a global hyperscaler and provider of IoT Connectivity, Solutions and Analytics, a pure-play Internet of Things ("IoT") hyperscaler, had completed its previously announced transactions to refinance its roughly $300 million term loan. With the issuance of a new $185 million five-year term loan by Whitehorse Capital ("Whitehorse") as well as a $150 million strategic investment from Searchlight Capital Partners ("Searchlight Capital Partners, L. (See "Searchlight"). In connection with this transaction, Searchlight has appointed two members to its Board of Directors as part of the transaction
In connection with this transaction, Searchlight has appointed two members to its Board of Directors as part of the transaction
The following transactions have taken place:
It has been our focus over the past several months to reduce our debt and strengthen the Company's balance sheet," said Romil Bahl, president and chief executive officer of KORE.. It is a pleasure to have supportive partners in Whitehorse and Searchlight, who have provided us with the capital needed to achieve the objectives of this company.. There is a lot to be excited about for KORE at the moment, since we have significantly improved our balance sheet by reducing our total debt, extending our maturities, and most importantly, increasing the company's ongoing cash generation and cash position, which results in increased flexibility for the future.. The actions that we have taken, in combination with the involvement of a knowledgeable communications investor in Searchlight, will enable KORE to take advantage of the many exciting growth opportunities that we see in our markets and have greatly enhanced our ability to create long-term shareholder value for our shareholders."
The actions that we have taken, in combination with the involvement of a knowledgeable communications investor in Searchlight, will enable KORE to take advantage of the many exciting growth opportunities that we see in our markets and have greatly enhanced our ability to create long-term shareholder value for our shareholders."
The Searchlight Company makes a strategic investment of $150 million in KORE through the issuance of preferred stock
In addition to investing $150 million in the company, Searchlight Capital has also issued non-convertible preferred stock with a maturity date of ten years and dividend rates of 13 percent per year. Searchlight's affiliate has also been issued penny warrants for the purchase of 11.8 million shares of its common stock. In addition to repaying debt, paying transaction fees, and paying expenses, the proceeds of the Searchlight investment provided KORE with additional cash to use for general corporate purposes.
As 5G networks become more prevalent globally, Searchlight has been looking for the right opportunity to invest in the IoT market, a segment of communications that is growing rapidly and is becoming increasingly strategic as a result. As a result, we are convinced that we have found a best-in-class operating business with an experienced management team in KORE. In the IoT space, KORE has a strong competitive position as well as many exciting opportunities for organic growth as well as growth through acquisitions. It will be a pleasure to work with Romil and his team, along with the Board of Directors of the Company, to drive long-term value creation for all stakeholders," said Andrew Frey, Partner at Searchlight Capital.
It will be a pleasure to work with Romil and his team, along with the Board of Directors of the Company, to drive long-term value creation for all stakeholders," said Andrew Frey, Partner at Searchlight Capital.
The refinancing of a term loan can reduce debt and extend the maturity date of the loan
As a result of the closing of the transaction, KORE has reduced its term loan debt from approximately $300 million to approximately $185 million, resulting in a reduction of its first lien leverage ratio from 5 to 3.Two to three times a week.There is a 2x trailing twelve months (TTM) adjusted EBITDA multiple and the total debt leverage ratio is reduced from 7 to 2.A 3x TTM Adjusted EBITDA to a 5x Adjusted EBITDA.Three times. Whitehorse Capital has provided the company with a senior secured term loan facility of $185 million, with an initial interest rate of the Secured Overnight Financing Rate (SOFR) plus 650 basis points.. With every ten years, the term loan agreement allows for a 25 basis point reduction in the interest rate.A reduction of 5x in KORE's first lien leverage ratio, with a maximum reduction of 50 basis points in KORE's interest rate. Additionally, Whitehorse Capital will hold a $25 million revolving credit facility, which is expected to be undrawn at the time of closing
Additionally, Whitehorse Capital will hold a $25 million revolving credit facility, which is expected to be undrawn at the time of closing
KORE has deleveraged, strengthened its balance sheet, and increased its cash flow flexibility, according to Bahl. As the Company went public over two years ago, KORE has now reached a stronger financial and growth position than at any other time since then. KORE is poised to grow and create tremendous long-term shareholder value over the Decade of IoT, as our strong balance sheet, 80% recurring revenue, and growing global sales pipeline position it well for long-term shareholder growth."
TD Cowen acted as an exclusive financial advisor to the Company in connection with its strategic equity investment. On the refinancing of the Term Loan, UBS Investment Bank acted as an exclusive Debt Advisor. In connection with the refinancing transactions, Kirkland & Ellis LLP acted as the legal advisor to the Company. Searchlight's legal advisor was Wachtell, Lipton, Rosen & Katz, while Whitehorse's legal advisor was Paul Hastings LLP.
KORE - What we do
In addition to delivering mission-critical IoT solutions and services, Kore is a trusted advisor that enables organizations of all sizes to simplify the complexity of IoT. Kore is a pioneer, leader, and trusted advisor in the IoT space. In addition to our deep IoT knowledge and experience, our global reach, purpose-built solutions, and deployment agility, we accelerate and materially impact our customers' business outcomes. For more information, please visit www.korewireless.com.
Searchlight's mission and vision
With a portfolio valued at approximately $12 billion, Searchlight is an international private investment firm with offices in New York, London, Toronto and Miami. In order to maximize value creation for all stakeholders, Searchlight seeks to invest in businesses that will benefit from its long-term capital and strategic support. For more information, please visit www.searchlightcap.com. 
A Cautionary Note Regarding Forward-Looking Statements This press release contains certain statements that are not historical facts, but are forward-looking statements for the purposes of the Safe Harbor provisions under the United States Private Securities Litigation Reform Act of 1995.. Generally, forward-looking statements are accompanied by words such as "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect," "should," "would," "plan," "predict," "potential," "seem," "seek," "future," "outlook," "target," as well as similar expressions that are used to predict or indicate future events or trends or which are not statements of historical facts.. These forward-looking statements include but are not limited to, statements regarding benefits and use of proceeds of the preferred stock investment by Searchlight and the Company's new term and revolving credit facilities, statements relating to the Company's debt, debt maturity, operating cash flow, balance sheet, interest expense, cash position, estimates and forecasts of revenue, margin, adjusted EBITDA and other financial and performance metrics, projections of market opportunity and conditions, potential revenue opportunities in KORE's sales funnel, and related expectations. A number of assumptions have been made in the preparation of these statements, as well as the current expectations of KORE's management.. It is important to note that these forward-looking statements are provided for illustrative purposes only, and they are not intended to be relied upon by any investor or other person as a guarantee, an assurance, a prediction, or a definitive statement of fact or probability.. It is difficult or impossible to predict the outcome of actual events and circumstances, and the outcome will differ from assumptions. KORE is unable to control many of the actual events and circumstances that occur in the real world. These forward-looking statements are subject to a number of risks and uncertainties, including general economic, financial, legal, political, and business conditions and changes in domestic and foreign markets; the potential effects of COVID-19; risks related to the satisfaction of all conditions precedent and closing conditions in the definitive agreements for the term loan and revolving credit facilities and the preferred stock investment; risks related to the rollout of KORE's business and the timing of expected business milestones; risks relating to the integration of KORE's acquired companies, including the acquisition of Twilio's IoT business, changes in the assumptions underlying KORE's expectations regarding its future business; our ability to negotiate and sign a definitive contract with a customer in our sales funnel; our ability to realize some or all of the TCV of customer contracts as revenue, including any contractual options available to customers or contractual periods that are subject to termination for convenience provisions; the effects of competition on KORE's future business; and the outcome of judicial proceedings to which KORE is, or may become a party. It is possible that actual results could differ materially from the results implied by these forward-looking statements if the risks materialize or assumptions prove incorrect. KORE may also be exposed to additional risks that it does not currently know about or believes to be immaterial, which could also cause actual results to differ materially from what is expressed in the forward-looking statements.. Furthermore, forward-looking statements reflect KORE's expectations, plans, or forecasts of future events, as of the date of this press release, and are based on KORE's views and expectations at the time of the press release.. In the event that subsequent events or developments occur, KORE anticipates that these assessments will be altered as a result.. Even though KORE may choose to update these forward-looking statements at some point in the future, KORE specifically disclaims any obligation to do so at any time.. As a result, these forward-looking statements should not be construed as representing KORE's assessment as of any date subsequent to the date on which this press release is published. The forward-looking statements should not be construed as a guarantee of future performance and should not be unduly relied upon
The forward-looking statements should not be construed as a guarantee of future performance and should not be unduly relied upon
 
KORE Wireless is the source of this information
Kore Group Holdings, Inc. (NYSE: KORE, KORE.WS), the global pure-play Internet of Things ("IoT") hyperscaler and provider, is one of the most important players in...
The Kore Group Holdings, Inc. (NYSE: KORE, KORE WS) ("KORE" or "the Company") is a leading global pure-play Internet of Things (IoT) hyperscaler and provider of cloud-based services on the Internet...
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