ROTH Capital Partners Acts as Sole Placement Agent
for Radisys Corporation (NASDAQ: RSYS)
in its $17 Million Senior Notes Financing

   

For more information please contact:

Investment Banking
David Enzer
Managing Director
(310) 445-5868
denzer@roth.com

Equity Capital Markets
Aaron Gurewitz
Head of Equity
Capital Markets
(949) 720-5703
agurewitz@roth.com
 
Nazan Akdeniz
Senior Vice President
(949) 720-5740
nakdeniz@roth.com
 
Lou Ellis
Senior Vice President
(949) 720-5739
lellis@roth.com

Transaction Information
Radisys Corporation (NASDAQ: RSYS), a global leader of open telecom solutions, has completed a $17 million financing with Hale Capital Partners and also entered into a newly established $20 million asset-backed line of credit agreement with Marquette Business Credit, a subsidiary of UMB Bank. The senior notes carry an interest rate of Prime plus 5.75%, with amortization not scheduled to begin until August 2018.

“Securing this additional capital provides us with increased flexibility, enabling us to more meaningfully focus on our Software and Services business,” said Brian Bronson, Radisys President and Chief Executive Officer. “Importantly, execution on our re-focused business strategy will position Radisys to deliver non-GAAP gross margins of over 40% and drive non-GAAP operating expenses below $40 million in 2018. Taken together, we expect these measures to result in more consistent profitability and positive cash flow, while also maintaining the capability to execute on growth opportunities across the business.”

Martin Hale, Jr., CEO of HCP, commented, "We are excited to become a strategic partner to Radisys. The Company is in a favorable position to capitalize on the fundamental changes underway in terms of how telecommunication networks are built. Additionally, Radisys’ unique portfolio of telecom software and services expertise can be a key enabler for communication service providers implementing 5G and next-generation open source solutions at the edge of the network. We look forward to working closely with the Board and management team to create significant value for all Radisys stakeholders."

ROTH Capital Partners acted as the Sole Placement Agent and Financial Advisor on the Transaction.

About Radisys Corporation
Radisys (NASDAQ: RSYS) helps communications and content providers, and their strategic partners, create new revenue streams and drive cost out of their services delivery infrastructure. Radisys’ hyperscale software defined infrastructure, service aware traffic distribution platforms, real-time media processing engines and wireless access technologies enable its customers to maximize, virtualize and monetize their networks. For more information, please visit www.radisys.com.
(Source: Company Press Release | 1/4/18)

About ROTH Capital Partners
ROTH Capital Partners, LLC (ROTH), is a relationship-driven investment bank focused on serving emerging growth companies and their investors. As a full-service investment bank, ROTH provides capital raising, M&A advisory, analytical research, trading, market-making services and corporate access. Headquartered in Newport Beach, CA, ROTH is privately-held and employee owned, and maintains offices throughout the U.S. For more information on ROTH, please visit www.roth.com.

Date of Announcement: 1/9/18

The material, information and  facts discussed in this announcement other than the information regarding ROTH Capital Partners, LLC ("ROTH") and its affiliates, are from sources believed to be reliable, but are in no way guaranteed to be complete or accurate. This announcement should not be used as a complete analysis of any companies, securities or topics discussed herein. Additional information is available upon request. This is not, however, an offer or solicitation of the securities discussed. Any opinions or estimates in this announcement are subject to change without notice. An investment in any security based on this announcement may involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Additionally, such investments may involve a high degree of risk and may not be suitable for all investors. No part of this announcement may be reproduced in any form without the express written permission of ROTH. Copyright 2018.