Shares will begin trading on The Nasdaq Capital Market under the ticker symbol “ICCT” on August 28, 2023
iCoreConnect to receive $18.8 million in proceeds to accelerate future growth
iCoreConnect Inc. (OTCQB: ICCT) (“iCore” or the “Company”), a leading cloud-based software and technology company focused on increasing workflow productivity and customer profitability through its enterprise and healthcare workflow platform, today announced the closing of its previously announced business combination with FG Merger Corp. (“FGMC”) (Nasdaq: FGMC), a special purpose acquisition corporation. The common stock of the combined company, which will operate as iCoreConnect Inc., is expected to commence trading on The Nasdaq Capital Market under the ticker symbol “ICCT” on August 28, 2023.
ICCT shares on the OTC Market will be converted into shares of common stock in the combined company. Every 29.84 shares of iCore outstanding prior to the closing will receive one share of the combined company.
Robert McDermott, who will remain CEO of iCoreConnect, stated, “This business combination and uplisting to the NASDAQ provides us with capital to accelerate our growth to a rapid pace and expand our reach to new markets as we work to meet the significant demand for our critical solutions across the healthcare industry. Our mission is to address significant pain points in dental and medical practices through the utilization of our cutting-edge products and technology, which results in increased efficiency and profitability for our customers. As we enter a new phase of growth, we look forward to continuing to serve our customers and creating long-term value for all stakeholders.”
Wes Schrader, CEO of FGMC, and Larry Swets, Chairman of FGMC, jointly commented, “We are pleased with the closing of this transaction and are excited to see Robert and the rest of his team execute their growth strategy going forward. We believe the capital from this transaction will serve as a catalyst to unlock the Company’s growth potential and have the utmost confidence in Robert’s ability to maximize it.”
Since announcing the proposed business combination in January 2023, iCore has expanded its product offering of its cloud-based platform and grown its subscriber count by over 14%, with even more substantial growth anticipated from multiple wins among enterprise-level customers. The Company also added to its many partnerships with state and medical associations and bolstered its Board of Directors with the addition of three new members.
iCore continues to expect to achieve its previously stated fiscal year 2023 revenue forecast of approximately $17 million with annualized recurring revenue (ARR) at the end of 2023 of approximately $29 million (calculated as December 2023 revenue multiplied by twelve).
Shares of FGMC common stock will be exchanged for convertible preferred stock of the combined company. The convertible preferred stock has a 12% coupon (payable in cash or paid-in-kind for the first 24 months after the close of the transaction and cash thereafter) and offers downside protection for the first 12 months after the close of the business combination (the conversion price will be reset based on the trading price of ICCT common stock after one year).
The Business Combination was approved by FGMC’s stockholders at its special meeting held on August 18, 2023.
Advisors
ThinkEquity served as financial advisor to FG Merger Corp. in connection with the business combination. Loeb & Loeb LLP served as legal advisor to FGMC. ArentFox Schiff LLP served as legal advisor to iCoreConnect.
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