What's Going On With SuperCom Shares Thursday?

SuperCom Ltd. SPCB shares are trading higher on Thursday after the company announced its raising capital in order to pay down debt and ultimately support its growth strategy.

What To Know: SuperCom announced Thursday its issuing 100,000 shares, priced at $43.74 per share, in order to pay down $4.37 million of its debt.

Additionally, SuperCom secured an extension of the debt maturity date to Dec. 31, 2028, with a significant modification to its payment structure. Instead of ongoing monthly payments, the company will pay both interest and principal in full at maturity.

This debt paydown, which completes a 32% reduction in SuperCom’s total outstanding debt over the past year, combined with the extension of the maturity date and other favorable terms, is anticipated to provide the company with increased free cash flow to support its growth strategies over the next four years.

“After winning more than 15 national projects in Europe in recent years and rapidly expanding into the U.S. market with entry into 6 new states since the summer of 2024, we are well positioned to capitalize on unique opportunities with high expected returns on investment,” said Ordan Trabelsi, President and CEO of SuperCom.

“By securing more favorable terms and increasing free cash flows, we are better equipped to reach our long-term growth objectives and drive long-term value for our stakeholders.”

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SPCB Price Action: At the time of writing, SuperCom stock is trading 32.1% higher at $17.71, according to data from Benzinga Pro.

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