Fusion gets 22.5 million in financing
Nov 05, 2012 (Menafn - TELECOMWORLDWIRE via COMTEX) --Fusion Telecommunications International, Inc. FSNN said it has closed on 22.5 million of financings, composed of 6.03 million in equity, and 16.5 million in term debt.
Fusion raised 6,027,750 through a private placement of investment units consisting of convertible Preferred Securities and warrants to accredited investors, including members of Fusion's board of directors and members of its advisory board. Bradley Woods & Co. served as lead manager, with The Laidlaw Group and Hunter Wise Financial Group participating as co-managers. In addition to the capital raised in the offering, Matthew Rosen, Fusion's chief executive officer and Marvin Rosen, Fusion's chairman, exchanged 824,000 of company obligations for the same investment units sold in the private placement.
Fusion also raised 16.5 million through the issuance of five-year senior notes to Praesidian Capital and Plexus Capital.
Net proceeds from these financings will be used by the company to fund its contemporaneous acquisition of Network Billing Systems, LLC (NBS), advance sales and marketing efforts and for general corporate purposes. NBS is a leading Unified Communications and cloud services provider that generated approximately 26.5 million in revenue in 2011, 95% of which was monthly recurring and contracted, and 4.9 million in adjusted EBITDA.
Fusion is a leading edge Unified Communications and cloud services provider delivering a full suite of advanced communications solutions to customers across the United States and in countries around the world. Praesidian Capital partners with small and mid-sized businesses by providing private debt capital. Plexus manages 255 million and invests in middle market, high growth companies located in the United States.
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