Net Income of $39.7 Million in the Quarter Ended June 30, 2017
CUPERTINO, CA -- (Marketwired) -- 08/14/17 -- Inventergy Global, Inc. (OTCQB: INVT) ("Inventergy" or the "Company") today reported net income of $39.7 million, or $2.99 per share ($1.76 on a fully-diluted basis) for the second quarter ended June 30, 2017, compared to a net loss of $2.0 million, or ($0.44) per share in the second quarter ended June 30, 2016. Net income during the second quarter 2017 was favorably impacted by a gain on debt extinguishment of $40.8 million, which resulted from the debt restructuring that the Company previously announced and the related transfer of patents to a special purpose entity, INVT SPE LLC ("INVT SPE").
CEO and Chairman Joe Beyers said, "This past quarter we remained focused on strengthening our corporate and capital structure. These initiatives are important to us as they created financial flexibility that enable us to reinvest in our business to generate greater shareholder returns. As part of the debt restructuring, we obtained a third party independent valuation of Inventergy's ownership interest in INVT SPE. That valuation determined that our ownership interest had a net present value of approximately $43 million which, when combined with the complete elimination of prior debt, goodwill and patent values from our balance sheet, resulted in the gain on debt extinguishment. Operationally, this restructuring also eliminates approximately $1.3 million of our quarterly expenses due to lower interest costs and no further patent maintenance or enforcement costs. We remain very excited about potential IP monetization value from both INVT SPE and from Inventergy Innovations."
Full financial details for the three- and six-month periods ended June 30, 2017 are contained in Inventergy's Form 10-Q filed today with the SEC. A copy is also available on the Company's website at http://ir.inventergy.com/all-sec-filings.
About Inventergy Global, Inc.
Inventergy is a Silicon Valley-based intellectual property company dedicated to identifying, acquiring and licensing the patented technologies of market-significant technology leaders. Led by IP industry pioneer and veteran Joe Beyers, the Company leverages decades of corporate experience, market and technology expertise, and industry connections to assist Fortune 500 companies in leveraging the value of their innovations to achieve greater returns. For more information about Inventergy, visit www.inventergy.com.
Source: Inventergy Global, Inc.