Pareteum Enters Mexican Market in a 5 Year $4.5 Million MVNO Agreement
36 Month Contractual Revenue Backlog will increase by $2.7 Million
NEW YORK, NY – PRNewswire – March 8, 2018 – Pareteum Corporation (NYSE American: TEUM), (“Pareteum” or the “Company”), the rapidly growing Cloud Communications Platform company, announced today that it has signed a 5-year contract to provide its Global Cloud Services Platform (GCSP) and Connectivity for roaming, airtime, voice and SMS to a National Mobile Virtual Network Operator who will provide services throughout Mexico. The contracting service provider is a joint venture among a long established social entrepreneur organization and a social capital business focused locally in Mexico, that operates worldwide with a mission aimed at bringing financial inclusion to the most remote and economically disadvantaged regions of the globe. This new agreement in Mexico represents their first-time inclusion of affordable mobile and broadband services.
Pareteum is powering this new customer to build their subscriber revenues with applications addressing: Mobile Money, Mobile Banking, E-Commerce, Education, Healthcare, Financial Inclusion, and Emergency Management. Using the Pareteum Global Cloud solution means that there is no heavy infrastructure or software investment for the JV and more of their investment will go to serving the underserved. Under the terms of the contract, Pareteum will be paid monthly for every subscriber on the platform and additionally for connectivity services. This new brand is expected to go live by the end of Q2 2018 and is further expected to generate $2.7 million over the next 36 months in contractual revenue backlog.
Vic Bozzo, CEO of Pareteum commented, “Last year we set in motion a strategy to acquire customers in every corner of the globe by giving them one simple platform and connectivity in as many places as we could through partnerships with incumbent Mobile Network Operators and Carriers. This latest win is specifically a result of the hard work of our talented sales force and market leading technology with simple interfaces and bundled connections.”
Hal Turner, Executive Chairman and Principal Executive Officer of Pareteum stated, “Our participation in bringing greatly needed communications services to an underserved area is most gratifying. It is the affordability of our Global Cloud Services Platform which is making this possible for social entrepreneurism at its best. The network effect continues with this announcement but even more significant is the recognition that the merging of Connections, relevant new technology delivered through platform as a service, and the power of the cloud to connect anywhere, is creating new streams of revenue for Service Providers, Branded companies, and serving a greatly needed public service.”
The mission of Pareteum Corporation (NYSE American: TEUM) is to connect “every person and everything”. Organizations use Pareteum to energize their growth and profitability through cloud communication services and complete turnkey solutions featuring relevant content, applications, and connectivity worldwide. Our platform services partners (technologies integrated into our cloud) include: HPE, IBM, Sonus, Oracle, Microsoft, and other world class technology providers. All of the relevant customer acquired value is derived from Pareteum’s award winning software, developed and enhanced for many years. By harnessing the value of communications, Pareteum serves retail, enterprise and IoT customers. Pareteum currently has offices in New York, Sao Paulo, Madrid, Barcelona, Bahrain and the Netherlands. For more information please visit: www.pareteum.com.
Forward Looking Statements:
Certain statements contained herein constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may include, without limitation, statements with respect to Pareteum’s plans and objectives, projections, expectations and intentions. These forward-looking statements are based on current expectations, estimates and projections about Pareteum’s industry, management’s beliefs and certain assumptions made by management. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Because such statements involve risks and uncertainties, the actual results and performance of Pareteum may differ materially from the results expressed or implied by such forward-looking statements. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Unless otherwise required by law, Pareteum also disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward-looking statements made here. Additional information concerning certain risks and uncertainties that could cause actual results to differ materially from those projected or suggested in Pareteum’s filings with the Securities and Exchange Commission, copies of which are available from the SEC or may be obtained upon request from Pareteum Corporation.
Contractual Revenue Backlog Definition:
Contractual revenue backlog is measured on a forward looking 36 month snapshot view monthly, and, is generated by each of the Company’s Managed Services, Global Mobility Cloud, and Application Exchange & Developer’s Platform customers. The Pareteum multi-year Software-as-a-Service agreements include service establishment and implementation fees, guaranteed minimum monthly recurring fees, as well as contractually scheduled subscribers, in some cases including subscriber usage, during the term of the agreement, and, their resulting monthly recurring revenue. There can be no assurances that we reach the total revenue backlog. The revenue backlog assumes timing of revenue recognition that may vary from actual results.
Pareteum Investor Relations Contact:
Chief Financial Officer