STAMFORD, Conn.-SmartServ Online Inc. announced the completion of a $3.5 million round of financing that includes private placement of common stock and warrants.
In addition, SmartServ has restructured $7 million in vendor financing debt with the Hewlett-Packard Co. in which HP will forgive all outstanding principal and interest in exchange for: the payment of $1 million in cash over the next six months, a warrant to purchase 50,000 shares of SmartServ common stock, and the return of unused HP equipment.
“The new financing and debt restructuring will allow us to continue to build upon our recent momentum and successes,” said Sam Cassetta, chief executive officer of SmartServ, adding that now the company can focus on profitability and enterprise value as well as pursue new business development initiatives.
