UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or Section 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 17, 2015
Inventergy Global, Inc.
(Exact name of registrant as specified in its charter)
| Delaware | 000-26399 | 62-1482176 |
| (State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
|
900 E. Hamilton Avenue #180 Campbell, CA |
95008 |
| (Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code: (408) 389-3510
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation to the registrant under any of the following provisions:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| Item 8.01 | Other Events |
On March 17, 2015, Inventergy Global, Inc. (the “Company”) issued a press release announcing the operational restructuring of the product-based businesses of its wholly-owned subsidiary, eOn Communications Systems, Inc. A copy of the press release is attached to this Current Report as Exhibit 99.1.
The Company claims the protection of the safe harbor for “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. Such forward-looking statements, based upon the current beliefs and expectations of management of the Company regarding, among other things, the business of the Company, are subject to risks and uncertainties, which could cause actual results to differ from the forward-looking statements. The following factors and risks, among others, could cause actual results to differ from those set forth in the forward-looking statements: business conditions in the U.S. and abroad; changing interpretations of generally accepted accounting principles; requirements or changes adversely affecting the business in which the Company is engaged; management of rapid growth; intensity of competition; general economic conditions; the Company’s ability to raise necessary funds; as well as other relevant risks detailed in the Company’s filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. The Company assumes no obligation to update the information contained in this report
| Item 9.01. | Financial Statements and Exhibits. |
| (d) | Exhibits |
| 99.1 | Press Release, dated March 17, 2015 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Dated: March 17, 2015
| INVENTERGY GLOBAL, INC. | |
| By: | /s/ Joseph W. Beyers |
| Name: Joseph W. Beyers | |
| Title: Chief Executive Officer | |
Exhibit 99.1
Inventergy Announces Operational Restructuring of its Product Businesses Designed to Improve Margins, Cash Flow and Earnings Growth
- Product Subsidiary anticipated to be Profitable and Cash Positive in Q2 2015
CAMPBELL, CA—March 17, 2015 - Inventergy Global, Inc. (NASDAQ: INVT) ("Inventergy"), today announced operational restructuring and process improvements for the product-based businesses of its wholly-owned subsidiary, eOn Communications Systems, Inc. (“ECS”), to strategically position the company to increase earnings, reduce costs, improve cash flow and build shareholder value. ECS is managed by its President Stephen Swartz.
The ECS business has three product/service lines:
a) A royalty bearing agreement with a third party for use of a private branch exchange (PBX) business which they had purchased from Inventergy’s predecessor eOn Communications Corporation (“ECC”);
b) A valued-added reseller business of biometric security and access control products; and
c) A new business that provides outsourced sales, marketing and technical support services to business partners in the security products and services industry.
Additionally, as part of the reorganization, ECS announced it has terminated a legacy business that provided distribution services of facility security and access control products. Inventergy inherited this business as part of its June 6, 2014 reverse merger with ECC. In 2014, this legacy business had net operating losses of approximately $35,000 per month. Terminating this legacy business and selling off the remaining inventory and accounts receivables also netted approximately $200,000 in cash for Inventergy. The resources from this legacy business have been redeployed to ECS’s biometric security and access control product line. This business has recently completed its value-add product improvements and these products are now ready for shipment. As a result of all of these changes, Inventergy expects the ECS subsidiary to be profitable and cash positive in Q2 2015.
Joe Beyers, Chairman and CEO of Inventergy, said, “We believe the restructuring of ECS supports our corporate growth strategy and enhances Inventergy’s business by adding additional revenue streams to our core licensing programs. Stephen Swartz has been instrumental in turning ECS into a business with increased operational profit potential. With Stephen at the helm of ECS, it allows the Inventergy management team to focus our energies on driving our core patent licensing, monetization and patent asset acquisition initiatives.”
About Inventergy Global, Inc.
Inventergy Global, Inc. is 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 Global, visit www.inventergy.com.
About eOn Communications Systems, Inc.
eOn Communications Systems, Inc. is a wholly owned subsidiary of Inventergy Global, Inc. It has a branch office located in Corinth, Mississippi and is headed by Stephen Swartz, the former Principal Executive Officer of eOn Communications Corporation and is engaged in the sale and support of security related products and services.
Cautionary Statement Regarding Forward-Looking Statements
This press release includes "forward-looking statements" intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These statements include statements about our plans, strategies, financial performance, prospects or future events and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. These statements may be identified by the use of words like "anticipate", "believe", "estimate", "expect", "intend", "may", "plan", "will", "should", "seek" and similar expressions and include any projections or estimates set forth herein. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by Inventergy and our management team, are inherently uncertain. A more complete description of these risks and uncertainties can be found in our filings with the U.S. Securities and Exchange Commission. We caution you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. We undertake no obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.
For further investor and media information, contact:
Robert Haag
Managing Partner
IRTH Communications
invt@irthcommunications.com
1-866-976-4784