Attached files
| file | filename |
|---|---|
| EX-10.1 - STOCK PURCHASE AGREEMENT - MINIM, INC. | zmtp_ex101.htm |
| 8-K - CURRENT REPORT - MINIM, INC. | zmtp_8k.htm |
Exhibit
99.1
Zoom Telephonics Closes $3.4 Million Investment
Boston, MA, May 27, 2020 – Zoom Telephonics, Inc. (“Zoom”
or the “Company”) (OTCQB: ZMTP), a leading producer of
cable modems and other communication products, today announced that
it closed a $3.4 million common stock private investment at $1.52
per share on May 27, 2020. Several of the Company’s existing
investors participated in the financing, including Palm Global
Small Cap Master Fund LP, Zoom’s cofounder Frank
Manning and Zoom’s Executive Chairman Jeremy
Hitchcock.
The Company intends to use proceeds from the offering to fully fund
its multi-year business plan to expand on new products and
geographies. Product expansion is expected to happen across
gateways, bridges, and WiFi mesh products. The Company’s
Board will also analyze and explore the costs and benefits of a
Nasdaq listing as it relates to increased investor awareness,
liquidity, and other factors. Effective as of the closing of the
offering, Mr. Joshua Horowitz and Mr. David Allen will join
Zoom’s Board of Directors. Mr. Allen also participated in the
financing.
Mr. Horowitz is a Portfolio Manager at Palm Management (US) LLC
(“Palm”) overseeing hedge fund and constructive
activist investments. Mr. Horowitz has served as a Director of
three separate Nasdaq traded companies over the past six years. He
served as a director of 1347 Capital Corp (Nasdaq: TFSC) from July
2014 to July 2016, and 1347 Property Insurance Holdings, Inc.
(Nasdaq: PIH) from April 2015 to April 2018. He was also the
Interim Chairman of the Board of Directors at Birner Dental
Management Services, Inc. (OTC: BDMS), the only publicly traded
dental service organization, from June 2018 until the
Company’s sale to Mid Atlantic Dental Partners in January
2019. He currently serves on the Board of Limbach, Inc. (Nasdaq:
LMB), a $500m engineering and construction concern, and is a board
observer at Biomerica, Inc. (Nasdaq: BMRA). Prior to his work with
Palm, Mr. Horowitz worked at Berggruen Holdings and Crossway
Partners, LP. Mr. Horowitz commented, “We are pleased to
increase our investment in Zoom and help the Company execute on its
strategy with the help and guidance of a refreshed Board and a
strong lead shareholder. We see enormous potential in Zoom’s
business as it relates to building an asset light, scalable model
against the backdrop of meaningful shifts in consumer
behavior.”
Mr. Allen is the Vice President, Operations & Strategy at
Oracle. He also worked as Senior Vice President at Dyn where he
oversaw Dyn’s legal team, and was responsible for all aspects
of the company’s legal matters. Prior thereto, Mr. Allen
practiced law at Nixon Peabody LLP. In private practice, he
represented strategic and financial buyers and sellers of publicly
and privately held businesses and served as outside general counsel
to technology companies. Mr. Allen said, “As home networks
become indistinguishable from corporate networks, proven internet
access products are more critical than ever. Zoom Telephonics is
positioned to be a hub for the connected home and the remote
workplace for years to come. I am excited to be part of Zoom's
future.”
Jeremy Hitchcock, commented: “We are delighted to have Palm
increase the size of its investment in the Company and to have Josh
and Dave join our Board. I am excited to work with Josh and Dave as
we all move forward with Zoom’s strategic
plan.”
About Zoom Telephonics
Zoom Telephonics, Inc. (“Zoom”) (OTCQB: ZMTP) is the
creator of innovative Internet access products that dependably
connect people to the information they need and the people they
love. Founded in 1977 in Boston, MA, the company now delivers cable
modems, routers, and other communications products under the
globally recognized Motorola brand. For more information about Zoom
and its products, please visit www.zoom.net and
www.motorolanetwork.com.
MOTOROLA and the Stylized M Logo are trademarks or registered
trademarks of Motorola Trademark Holdings, LLC and are used under
license.
Forward Looking Statements
This release contains forward-looking information relating to
Zoom’s plans, expectations, and intentions. Actual results
may be materially different from expectations as a result of known
and unknown risks, including: the potential increase in tariffs on
the Company's imports; potential difficulties and supply
interruptions from moving the manufacturing of most of the
Company’s products to Vietnam; potential changes in NAFTA;
the potential need for additional funding which Zoom may be unable
to obtain; declining demand for certain of Zoom’s products;
delays, unanticipated costs, interruptions or other uncertainties
associated with Zoom’s production and shipping; Zoom’s
reliance on several key outsourcing partners; uncertainty of key
customers’ plans and orders; risks relating to product
certifications; Zoom’s dependence on key employees;
uncertainty of new product development, including certification and
overall project delays, budget overruns, and the risk that newly
introduced products may contain undetected errors or defects or
otherwise not perform as anticipated; costs and senior management
distractions due to patent-related matters; and other risks set
forth in Zoom’s filings with the Securities and Exchange
Commission. Zoom cautions readers not to place undue reliance upon
any such forward-looking statements, which speak only as of the
date made. Zoom expressly disclaims any obligation or undertaking
to release publicly any updates or revisions to any such statements
to reflect any change in Zoom’s expectations or any change in
events, conditions or circumstance on which any such statement is
based.
Investor Relations Contact:
Jeremy Hellman, Vice-President
The Equity Group Inc.
Phone: 212-836-9626
Email: jhellman@equityny.com