TheNewswire.com - RSS (Sangoma Technologies Corporation)

Sangoma Completes Acquisition of Star2Star

Wed, 31 Mar 2021 10:50:00 MDT

MARKHAM, ONTARIO – TheNewswire - March 31, 2021 – Sangoma Technologies Corporation (“Sangoma”) (TSXV:STC), a trusted leader in delivering cloud-based Communications-as-a-Service (“CaaS”) solutions, today is pleased to announce that it has completed its previously announced acquisition (the “Acquisition”) of all of the shares of StarBlue Inc. (the parent company of Star2Star Communications, LLC, herein “Star2Star”) from Star2Star Holdings, LLC (herein “Holdings”) and Blue Face Holdings Limited (collectively, the “Sellers”). As consideration for the Acquisition, Sangoma will issue an aggregate of 110,000,000 common shares in the capital of Sangoma (the “Sangoma Shares”) at a deemed price of CAD$4.17 per share based on yesterday’s closing price of Sangoma Shares, representing an aggregate price of CAD$458,700,000 (“Share Consideration”), and paid cash consideration of CAD$128,971,168 (US$102,106,855, reduced from US$105,000,000 as a result of initial closing adjustments). 22,000,000 of the Share Consideration (less 869,202 Sangoma Shares representing a holdback for indemnification purposes) were issued on closing of the Acquisition (“Closing”), with the remaining Sangoma Shares to be issued and distributed in quarterly installments commencing on April 1, 2022.

Pursuant to a direction received by Sangoma from the Sellers and an optionholder of StarBlue Inc. entitled to receive the Sangoma Shares issuable on Closing, 480,000 of the Sangoma Shares that were issuable to such parties on Closing out of the 22,000,000 common shares in the capital of Sangoma were instead issued to Q Advisors LLC, a financial advisor engaged by StarBlue Inc. as partial consideration of the fee payable in connection with the Acquisition.

In connection with the Acquisition, Sangoma has also added Norman Worthington, the Chief Executive Officer and Executive Chair of Star2Star, and Marc Lederman, Co-founder and General Partner of NewSpring Capital, an institutional investor in Holdings prior to Closing, to its board of directors. Detailed biographies for the new directors, as well as additional information regarding the Acquisition and Star2Star, are included in Sangoma’s management information circular dated February 26, 2021 and available under Sangoma’s profile on SEDAR at www.sedar.com.

In addition, Sangoma issued 129,198 Sangoma Shares to INFOR Financial Inc. (“INFOR Financial”) as partial consideration of the fee payable to INFOR Financial in respect of financial advisory services rendered in connection with the Acquisition.

The Sangoma Shares issued to Blue Face Holdings Limited, Q Advisors LLC and INFOR Financial on Closing are subject to resale restrictions for four months and one day, expiring August 1, 2021. Holdings and Q Advisors LLC have each entered a 12 month lock-up for the common shares they received on Closing.

Early Warning:

Immediately prior to Closing, Holdings did not own any Sangoma Shares. In connection with the completion of the Acquisition, Holdings received 15,142,778 of the Sangoma Shares issued as part of the Share Consideration at Closing, representing approximately 11.4% of the Sangoma Shares issued and outstanding immediately following Closing. Holdings is also entitled to receive an additional 88,687,156 Sangoma Shares as part of the Share Consideration to be issued following Closing in accordance with the distribution schedule described above. After giving effect to the issuance of all of the Share Consideration, Holdings would own approximately 46.9% of the Sangoma Shares issued and outstanding immediately following Closing.

Holdings is controlled by Old Town Gelato, LLC which is in turn controlled by Norman Worthington. Accordingly, Old Town Gelato, LLC and Mr. Worthington may be deemed to be joint actors of Holdings.

Holdings acquired and will acquire the Sangoma Shares forming part of the Share Consideration as partial consideration for its sale of StarBlue Inc. shares to Sangoma pursuant to the Acquisition. Holdings intends to review its ownership of Sangoma Shares on a continuing basis and may increase or decrease its investment in Sangoma Shares depending upon future market conditions. Holdings may also distribute its Sangoma Shares to its members.

Sangoma’s head office is located at 100 Renfrew Drive, Suite 100, Markham, Ontario. Holdings’ address is 600 Tallevast Road, Suite 202, Sarasota, Florida.

Holdings will file an early warning report under National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues in connection with its acquisition of the Share Consideration. A copy of the early warning report filed by Holdings will be available under Sangoma’s profile on SEDAR at www.sedar.com. The early warning report may also be obtained by contacting Bruce Illes at 941-960-8284.

About Sangoma Technologies Corporation

Sangoma Technologies is a trusted leader in delivering value-based Communications as a Service (CaaS) solutions for businesses of all sizes. Sangoma’s cloud-based Services include Unified Communication (UCaaS) business communications, Meetings as a Service (MaaS), Communications Platform as a Service (CPaaS), Trunking as a Service (TaaS), Fax as a Service (FaaS), Device as a Service (DaaS), and Access Control as a Service (ACaaS). In addition, Sangoma offers a full line of communications Products, including premise-based UC systems, a full line of deskphones and headsets, and a complete connectivity suite (gateways/SBCs/telephony cards). Sangoma’s products and services are used in leading UC, PBX, IVR, contact center, carrier networks, office productivity, and data communication applications worldwide. Sangoma is also the primary developer and sponsor of Asterisk and FreePBX, the world’s two most widely used open-source communication software projects.

Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.

About Star2Star

In an increasingly complex world, businesses need to simplify how they communicate, collaborate, and seamlessly integrate third-party applications into their operations and processes. Star2Star meets that need with its patented cloud-native collaboration platform designed for modern business.

Star2Star has delivered consistently innovative solutions for business communications and collaboration challenges since 2006. Throughout its history, it has demonstrated a commitment to the continuous improvement of cutting-edge technology to anticipate and address the rapidly evolving needs of businesses on the move. The company entered the market in 2007 as one of the limited number of Unified Communications as a Service (“UCaaS”) providers with a cloud platform that combined cloud flexibility with a reliable proprietary network, and the ability to deploy an on-premise voice optimized SD-WAN. Today, Star2Star’s suite of communication and collaboration solutions offers value, reliability, quality, scalability, and the capacity to unify people and processes within an intuitive, cloud-native environment.

Star2Star has been named to such prestigious lists as the Deloitte Technology Fast 500, Inc. 500|5000, Omdia Top 10 UCaaS Service Provider, and Forbes Most Promising Companies. Recognition of its pioneering innovation in the cloud market extends to major industry analyst indicators such as inclusion in the Frost Radar North American Hosted IP Telephony and UCaaS Industry reports and the Gartner Magic Quadrant for UCaaS, Worldwide.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements. When used in this document, the words such as “could”, “plan”, “estimate”, “expect”, “intend”, “may”, “potential”, “should” and similar expressions indicate forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. Forward-looking statements speak only as of the date they are made, and we do not undertake to update these statements other than as required by law. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Such risks and uncertainties include but are not limited to the impact of the recent cyber attack experienced by Sangoma and resulting data breach and other risk factors as disclosed more fully in the management information circular filed by Sangoma on www.sedar.com. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by law.

Readers are directed to the Circular and Sangoma’s filings on SEDAR with respect to additional risk factors relating to the Acquisition.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Announces Results of Its Special Meeting of Shareholders to Approve Its Acquisition of Star2Star

Mon, 29 Mar 2021 16:00:00 MDT

MARKHAM, ONTARIO – TheNewswire - March 29, 2021 – Sangoma Technologies Corporation (“Sangoma”) (TSXV:STC) is pleased to announce that at the special meeting of its shareholders held on March 29, 2021, the shareholders of Sangoma approved the arm’s length acquisition (the “Acquisition”) of all of the issued and outstanding shares of StarBlue Inc. (“StarBlue”) (the parent company of Star2Star Communications, LLC) and the creation of a new “Control Person” (as defined in the policies of the TSX Venture Exchange (“TSXV”)) of Sangoma, being Star2Star Holdings, LLC (“Star2Star”) and/or its largest shareholder Old Town Gelato, LLC (which is controlled by Norman A. Worthington, III, the Chief Executive Officer and Executive Chair of StarBlue).

The Acquisition was approved by 99% of the votes cast by the shareholders of Sangoma at the Meeting. Approximately 78% of the votes entitled to be cast at the Meeting based on Sangoma’s outstanding shares were voted at the Meeting.

Subject to completion of all remaining closing conditions set out in the Acquisition stock purchase agreement dated January 28, 2021, Sangoma expects the Acquisition to close on Wednesday, March 31, 2021.

About Sangoma Technologies Corporation

Sangoma Technologies Corporation is publicly traded on the TSXV (TSXV: STC). Additional information on Sangoma can be found at: www.sangoma.com.

About Star2Star

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements relating to Sangoma that are based on the expectation of Sangoma as well as assumptions made by and information currently available to Sangoma which may constitute forward-looking information under applicational securities laws. When used in this document, the words such as “could”, “plan”, “estimate”, “expect”, “intend”, “may”, “potential”, “should” and similar expressions indicate forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. There is no assurance that the Acquisition referenced herein will proceed as certain conditions must be met before the Acquisition can be completed. Such conditions are set out in the stock purchase agreement between Sangoma, Sangoma Technologies US Inc., StarBlue, Blue Face Holdings Limited Corporation, Star2Star and the Sellers’ Representative, a copy of which has been fined on SEDAR at www.sedar.com. There is no assurance that the required approvals will be received and there is therefore no assurance that the Acquisition will be completed in the time frame anticipated or at all. Forward-looking statements speak only as of the date they are made, and we do not undertake to update these statements other than as required by law. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Such risks and uncertainties include but are not limited to: (i) the failure to complete the Acquisition; (ii) the inability to obtain required consents, permits or approvals, including that of the TSX Venture Exchange; (iii) the impact of the recent cyber attack experienced by Sangoma and resulting data breach and (iv) other risk factors as disclosed more fully in the management information circular filed by Sangoma on www.sedar.com. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by law.

Readers are directed to the Circular and Sangoma’s filings on SEDAR with respect to additional risk factors relating to the Acquisition.

Contacts

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Kingsdale Advisors

North America Toll Free: 1-866-581-1571

Collect Calls Outside North America: 1-416-867-2272

Email: contactus@kingsdaleadvisors.com

Sangoma Reports Q4 and Full Year Results for Fiscal 2020 Annual Revenue Grows by 20% while EBITDA Expands 75% to over $21 million

Tue, 20 Oct 2020 14:45:00 MDT

MARKHAM, ONTARIO – TheNewswire - October 20, 2020 – Sangoma Technologies Corporation (TSX VENTURE:STC) (TSX:STC) (OTC:SAMOF), a trusted leader in delivering cloud-based Communications as a Service (“CaaS”) solutions for companies of all sizes, today announced highlights of its fourth quarter financial results and audited consolidated financial statements for the fiscal year ended June 30, 2020.

Sangoma’s annual revenue was a record $131.4 million, 20% higher than in fiscal 2019, with fourth quarter sales up by 16% year-over-year as well. EBITDA exceeded guidance and was also a record at $21.6 million in fiscal 2020, up 75% from last year.

Click Image To View Full Size

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“I am extremely pleased with the way Sangoma performed this year, especially given how very challenging it has been for everyone during the COVID-19 crisis,” said Bill Wignall, President and CEO of Sangoma. “It is truly gratifying to see the resilience of the business during times like these, by delivering a year with 20% revenue growth and with EBITDA expanding 75% to over $20 million for the first time. While our fourth quarter revenue was slightly softer than our record third quarter, as expected due to the COVID-19 shutdowns, that is mostly in Product sales and its good to see Services revenue holding up, once again exceeding half our sales. Sangoma enters fiscal 2021 with a talented team, a robust business model, a broadening suite of cloud services, a very strong balance sheet, and a healthy acquisition pipeline. There is a lot to be proud of at Sangoma, and I’d particularly like to thank our staff for their strength and commitment during this really difficult year. And I’d also like to express our gratitude to our customers and investors for the ongoing trust they put in Sangoma every day.”

Gross profit was $84.9 million in fiscal 2020, producing gross margin at 65% of revenue for the year, about 4 percentage points better than in 2019.

Operating expenses were $74.8 million in 2020, up 25% from fiscal 2019, reflecting the additional expense consistent with the revenue growth.

EBITDA exceeded 16% of revenue this year and at $21.6 million for fiscal 2020, was up from $12.3 million in the prior year, and above the top end of guidance.

Net income for the year ended June 30, 2020 was $3.9 million, more than double that of fiscal 2019.

Sangoma continues to maintain a strong balance sheet and finished the fiscal year with a cash balance of $27.2 million, which was further supplemented by the $75.6 million equity raise, net of costs, completed in July subsequent to year-end. Working capital closed at $4.9 million as of June 30, and Adjusted Cash Flow from operations at $15.0 million for the year was comfortably above the $13.5 million generated in fiscal 2019.

Outlook for fiscal year 2021

While there continues to be uncertainty regarding the ongoing impact of COVID-19 on business, Sangoma has taken multiple steps in an attempt to appropriately respond to that impact. As we committed to in our Business Update of August 13, Sangoma is today issuing guidance for its fiscal year 2021 that started on July 1, 2020. Revenue is expected to be between $143 and $147 million, and EBITDA is expected to be between $24 and $26 million for the year.

Conference Call

President and CEO, Bill Wignall, Executive Vice President Corporate Development, John Tobia and CFO, David Moore will host a conference call on Tuesday October 20, 2020 at 5.30p.m. Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Sangoma Technologies is a trusted leader in delivering value-based Communications as a Service (CaaS) solutions for businesses of all sizes. Sangoma’s cloud-based Services include Unified Communication (UCaaS) business communications, Meetings as a Service (MaaS), Communications Platform as a Service (CPaaS), Trunking as a Service (TaaS), Fax as a Service (FaaS), Device as a Service (DaaS), Access Control as a Service (ACaaS). In addition, Sangoma offers a full line of communications Products, including premise-based UC systems, a full line of deskphones and headsets, and a complete connectivity suite (gateways/SBCs/telephony cards). Sangoma’s products and services are used in leading UC, PBX, IVR, contact center, carrier networks, office productivity, and data communication applications worldwide. Sangoma is also the primary developer and sponsor of Asterisk and FreePBX, the world’s two most widely used open source communication software projects.

Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Forward-looking statements include, but are not limited to, statements concerning estimates of expected expenditures, statements relating to expected future production and cash flows, and other statements which are not historical facts. When used in this document, the words such as "could", "plan", "estimate", "expect", "intend", "may", "potential", "should" and similar expressions indicate forward-looking statements.

Although Sangoma believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Forward-looking statements are based on the opinions and estimates of management at the date that the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in forward-looking statements. Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in its management's discussion and analysis and annual information form (both available on www.sedar.com) include, but are not limited to risks and uncertainties associated with the COVID-19 pandemic, changes in exchange rate between the Canadian Dollar and other currencies, changes in technology, changes in the business climate, changes in the regulatory environment, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

Sangoma to Release its Fourth Quarter and Full Fiscal Year Audited Results and Hold a Conference Call

Wed, 14 Oct 2020 10:30:00 MDT

MARKHAM, ONTARIO – TheNewswire - OCTOBER 14, 2020 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Communications as a Service solutions for businesses of all sizes, service providers and OEMs, today announced that it expects to release its fourth quarter and full fiscal year 2020 after markets close on October 20, 2020.

In addition, President and CEO, Bill Wignall, EVP Corporate Development, John Tobia and CFO, David Moore will host a conference call on Tuesday October 20, 2020 at 5.30 pm Eastern Standard Time to discuss these results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Sangoma Technologies is a trusted leader in delivering value-based Communications as a Service (CaaS) solutions for businesses of all sizes. Sangoma’s cloud-based Services include Unified Communication (UCaaS) business communications, Meetings as a Service (MaaS), Communications Platform as a Service (CPaaS), Trunking as a Service (TaaS), Fax as a Service (FaaS), Device as a Service (DaaS), Access Control as a Service (ACaaS). In addition, Sangoma offers a full line of communications Products, including premise-based UC systems, a full line of deskphones and headsets, and a complete connectivity suite (gateways/SBCs/telephony cards). Sangoma’s products and services are used in leading UC, PBX, IVR, contact center, carrier networks, office productivity, and data communication applications worldwide. Sangoma is also the primary developer and sponsor of Asterisk and FreePBX, the world’s two most widely used open source communication software projects.

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found by visiting https://www.sangoma.com.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Provides a Business Update

Thu, 13 Aug 2020 15:00:00 MDT

Sales for the full year of Fiscal 2020 are expected to be in the upper-end of guidance and EBITDA will exceed the high-end of our $19-21 million in guidance.

MARKHAM, ONTARIO – TheNewswire - August 13, 2020 – Sangoma Technologies Corporation (TSXV:STC) (OTC:SAMOF) a trusted leader in delivering Communications as a Service solutions for businesses of all sizes, OEMs and Service Providers, today announced a preliminary update to unaudited revenue and EBITDA for its fiscal year 2020, ended June 30, 2020.

“Many of our shareholders seek information about our fiscal year, before the full audit cycle is completed”, noted David Moore, Sangoma’s Chief Financial Officer. “This release is a way for us to provide a business update and accelerate some high level disclosure, given Sangoma will announce our full financial results in October as usual, after the completion of our annual audit. At that point, we will hold a conference call with investors to discuss full results in detail.”

Sales for the fiscal year 2020 are expected to be at the upper end of guidance, between $131 and $132 million. EBITDA is anticipated to exceed previously announced guidance of $19-21 million, and thus is expected to be above $21 million.

“This has been an unusually challenging period globally, so I am pleased that Sangoma has delivered another strong year at the upper end of revenue guidance”, said Bill Wignall, President and CEO of Sangoma. “It is reassuring to see continued momentum in the business during these difficult times, driven by sequential growth in our service revenues (with some modest softening in product sales as anticipated during the peak period of the COVID-19 impact), and EBITDA continuing to expand as well, now expected to exceed $21 million for the year. Subsequent to the end of Fiscal 2020, Sangoma raised over $80 million in gross proceeds via over-subscribed equity offering, to put the company in a strong position despite the global uncertainty. I look forward to sharing full financial results with our shareholders in a few months once our audit is complete, at which time we will provide guidance for Fiscal 2021, as normal.”

As indicated previously, there continues to be uncertainty regarding the full impact, duration and pace of recovery from the COVID-19 pandemic on our operations and markets, due to the evolving nature of the virus and the global economic slowdown (including varied governmental responses which may affect our business and prospects). Despite these uncertainties, Sangoma believes it is very well equipped to weather the storm, and we have taken several proactive steps in an attempt to better manage the challenges of the COVID-19 pandemic. These include:

- Continuing to operate in as close to a 'business as normal' manner, as is possible under these conditions, because we are an "Essential Service" under most all government rulings. We are thus exempt from the forced closures that so many other businesses are subject to. We are proud to continue providing our products and services to so many customers who count upon them, during these challenging times;

- Significant work by our operations teams to ensure that Sangoma is able to maintain supply of all our products and services, uninterrupted, to our valued customers throughout the COVID-19 pandemic;

- Reopening offices around the world as local rules allow while we remain able to operate with employees at home quite effectively;

- Ensuring the company is well positioned, financially, during this crisis. Sangoma has taken prudent, proactive cost control measures as appropriate, we have maintained all principal and interest payments on existing loans, and we raised equity during July as noted, such that the Company is well positioned to continue with its acquisition strategy despite the COVID-19 pandemic. Following completion of the equity raise, we initiated the repayment of the $9.2 million on our swingline and revolver facilities.

About Sangoma Technologies Corporation

Sangoma Technologies is a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, Carriers and service providers. Sangoma’s globally, scalable offerings include both on-premises and cloud-based phone systems, telephony services and industry leading Voice-Over-IP solutions, which together provide seamless connectivity between traditional infrastructure and new technologies. Sangoma’s products and services are used in leading PBX, IVR, contact center, carrier networks and data-communication applications worldwide. Businesses can achieve enhanced levels of collaboration, productivity and ROI with Sangoma. Everything Connects, Connect with Sangoma!

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Forward-looking statements include, but are not limited to, statements concerning estimates of future revenue, expected expenditures, expected future production and cash flows, and other statements which are not historical facts. When used in this document, the words such as "could", "plan", "estimate", "expect", "intend", "may", "potential", "should" and similar expressions indicate forward-looking statements.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in this press release include, but are not limited to the impact of the COVID-19 pandemic, changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and the “Risk Factors” section of our Annual Information Form, as well as those contained in our Base Shelf Prospectus and Prospectus Supplement, each of which is filed under our profile on SEDAR at www.sedar.com. Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

Sangoma Technologies Corporation Announces $60 Million Underwritten Public Offering

Wed, 22 Jul 2020 14:33:00 MDT

MARKHAM, ONTARIO - TheNewswire – July 22, 2020 – Sangoma Technologies Corporation (TSXV:STC) (the “Company” or “Sangoma”) is pleased to announce that it has entered into an agreement with a syndicate of investment dealers led by Cormark Securities Inc. (collectively, the “Underwriters”) pursuant to which the Underwriters have agreed to purchase 26,090,000 Common Shares (the “Common Shares”) from the treasury of the Company, at a price of $2.30 per Common Share for total gross proceeds of approximately $60 million (the “Offering”).

In addition, the Company has granted the Underwriters an option (the “Over-Allotment Option”) to purchase up to an additional 15% of the Common Shares of the Offering on the same terms exercisable at any time up to 30 days following the closing of the Offering, for market stabilization purposes and to cover over-allotments, if any.

The net proceeds of the Offering shall be used to fund any future acquisitions, for debt repayment, and for general corporate purposes.

Closing of the Offering is expected to occur on or about July 30, 2020 and is subject to regulatory approval including that of the TSX Venture Exchange (the “TSXV”).

The Offering will be made by way of a prospectus supplement (the "Prospectus Supplement") to the Company's existing short form base shelf prospectus (the "Base Shelf Prospectus") dated June 29, 2020. The Prospectus Supplement (together with the Base Shelf Prospectus, being the "Offering Documents") will be filed with the securities commissions in all of the provinces of Canada. The Offering Documents will contain important detailed information about the securities being offered. Copies of the Underwriting Agreement and the Offering Documents will be available by visiting the Company's profile on the SEDAR website maintained by the Canadian Securities Administrators at www.sedar.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. This press release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent registration under U.S. federal and state securities laws or an applicable exemption from such U.S. registration requirements.

About Sangoma Technologies Corporation

Sangoma Technologies is a trusted leader in delivering Unified Communications and Unified Communications as a Service (UCaaS) solutions for SMBs, Enterprises, OEMs, Carriers and service providers. Sangoma’s globally scalable offerings also include industry leading Voice-Over-IP solutions, which together provide seamless connectivity between traditional infrastructure and new technologies. Sangoma’s products and services are used in leading PBX, IVR, contact center, carrier networks and data-communication applications worldwide. Businesses can achieve enhanced levels of collaboration, productivity and ROI with Sangoma. Sangoma is the primary developer and sponsor of the Asterisk project, the world’s most widely used open source communications software and FreePBX, the world’s most widely used open source PBX software. Everything Connects, Connect with Sangoma!

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC).

Additional information on Sangoma can be found by visiting https://www.sangoma.com.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities. When used in this news release, the words such as "could", “plan”, “estimate”, “expect”, “intend”, “may”, “potential”, "should” and similar expressions indicate forward looking statements.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements include, but are not limited to risks and uncertainties associated with the COVID-19 pandemic, changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the Company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward- looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Not for distribution to United States newswire services or for dissemination in the United States

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905)474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Announces Grant of Options

Wed, 03 Jun 2020 22:00:00 MDT

Markham, Ontario - TheNewswire - June 3, 2020 - Sangoma Technologies Corporation (TSXV:STC) (the “Corporation” or “Sangoma”), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, both on-premise and in the cloud, today granted a total of 2,381,000 stock options to certain of its officers and employees.

The stock options have an exercise price of $2.20, expire in five years and vest over a period from one year to five years from the date of grant, subject to the policies of the TSX Venture Exchange.

The grant was made under the Corporation’s stock option plan as amended following shareholder approval at the annual and special meeting of the Corporation held on December 19, 2019, and as more fully described in Sangoma's management information circular dated November 15, 2019 available on Sangoma’s profile at www.sedar.com.

About Sangoma Technologies Corporation

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Reports Results for the Third Quarter of Fiscal 2020

Wed, 27 May 2020 14:45:00 MDT

Revenue up 26% to a record high of over $36 million and quarterly EBITDA exceeded $6 million for the first time ever

MARKHAM, ONTARIO – TheNewswire - May 27, 2020 – Sangoma Technologies Corporation (TSX VENTURE:STC) (TSXV:STC), a trusted leader in delivering Communications as a Service solutions for businesses of all sizes, OEMs and Service Providers, today announced highlights of its third quarter unaudited results of fiscal 2020, ended March 31, 2020.

For the third quarter of fiscal 2020, sales were a record $36.31 million, 26% higher than the same quarter in fiscal 2019 and 12% above the immediately preceding second quarter of this year. EBITDA at $6.51 million was an all-time high, and the first time ever that Sangoma has generated more than $6 million of EBITDA in a single quarter.

Click Image To View Full Size

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“I’m pleased to see very solid progress, during a time in which Covid-19 emerged and started to create such significant problems for the world”, said Bill Wignall, President and CEO of Sangoma. As we had shared provisionally on April 30, Sangoma delivered record revenue and EBITDA in our third quarter, despite the complexity COVID-19 introduced. Our services revenue exceeded 50% of our revenue for the first time in our quarter as a result of ongoing growth in our recurring revenue and the inclusion of VoIP Innovations in our results for the full quarter. We navigated the supply chain challenges early in the quarter, meeting virtually all customer shipments around the globe on time, and then re-tooled our company to adapt to working from home and no travel to clients. We continued to innovate in spite of the disruptions from COVID-19, launching a new line of headsets and our Sangoma Meet cloud service for video based meetings, offering it free of charge during the pandemic. And we completed the acquisition of e4, in order to strengthen our commitment to, and sales capabilities in, the open source market. All in all, a strong quarter during turbulent times.”

Gross profit was $23.47 million in the third quarter of fiscal 2020 at a gross margin of 65%, 3% higher than for the same quarter last year and continuing the trend of slightly stronger gross margins as the percentage of Sangoma revenue from services increases.

Operating expenses were $20.09 million in the third quarter of fiscal 2020, $3.86 million higher than last year, due to the inclusion of VoIP Innovations for the full quarter.

For the third quarter of fiscal 2020, EBITDA at $6.51 million was almost twice that in the same quarter last year.

Net income for the third quarter ended March 31, 2020 was $1.70 million, compared to a net income of $1.07 million in the third quarter of fiscal 2019.

Sangoma finished the quarter with cash of $12.55 million, total debt of $45.26 million, and continues to have a healthy balance sheet. Adjusted cash from operations, excluding the impact of the acquisition of VoIP Innovations, was $3.72 million.

Guidance

As indicated in our “Covid Update” on April 30, we committed to updating Fiscal 2020 guidance at the time we released third quarter results. Short term uncertainty continues with the possibility of further disruption in supply chains if a second wave of coronavirus were to emerge, the unpredictability of the global economy, and the inconsistent timing of governments around the world re-opening their economies, all potentially affecting demand by our customers. However, given year-to-date results, and progress to-date in our fourth fiscal quarter, we are confirming our previously issued guidance and expect to generate revenues of $128 - 132 million, and EBITDA of $19 - 21 million.

Conference Call

As previously communicated, President and CEO, Bill Wignall, CFO, David Moore, and EVP Corporate Development, John Tobia will host a conference call on Wednesday May 27, 2020 at 5.30 pm Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Forward-looking statements include, but are not limited to, statements concerning estimates of future revenue, expected expenditures, expected EBITDA, expected future production and cash flows, and other statements which are not historical facts. When used in this document, the words such as "could", "plan", "estimate", "expect", "intend", "may", "potential", "should" and similar expressions indicate forward-looking statements.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in this press release and management's discussion and analysis include, but are not limited to risks and uncertainties associated with the Covid-19 pandemic, changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

Readers are directed to Sangoma’s filings on SEDAR with respect to Management’s Discussion and Analysis of Financial Results for the basis of Sangoma’s reconciliation of EBITDA to net income as calculated under IFRS

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma to Release Its Third Quarter Unaudited Results of Fiscal 2020 and Hold a Conference Call

Mon, 25 May 2020 14:38:00 MDT

MARKHAM, ONTARIO – TheNewswire - MAY 25, 2020 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Communications as a Service solutions for businesses of all sizes, service providers and OEMs, today announced that it expects to release its third quarter unaudited results of fiscal 2020 after markets close on May 27, 2020.

In addition, President and CEO, Bill Wignall, CFO, David Moore, and EVP Corporate Development, John Tobia will host a conference call on Wednesday May 27, 2020 at 5.30 pm Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Provides a Business Update in Response to Covid-19

Thu, 30 Apr 2020 15:17:00 MDT

MARKHAM, ONTARIO – TheNewswire - April 30, 2020 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Communications as a Service solutions for businesses of all sizes, service providers and OEMs, today provided an update on its business operations.

“Given the unprecedented global impact of Covid-19 on so many companies, and the fact that many of our shareholders have been asking for preliminary information about how Sangoma is being affected, we have decided to provide this update covering current business operations and some preliminary financial highlights for our third quarter”, said David Moore, CFO of Sangoma. “Sangoma will announce our full financial results later in May, as usual for the third quarter. This one-time preliminary update, due to the highly unusual global situation these days resulting from the coronavirus, will not set a precedent for other quarters in the future, when we expect to return to normal reporting cadence.”

Third quarter results were in line with our previously announced guidance on February 27th. For the 9-month period ending March 31, 2020, Sangoma’s revenues exceeded $96 million, and third quarter revenues exceeded $36 million. EBITDA exceeded $15 million for the same 9-month period, and $6 million for the third quarter.

“We are extremely proud of these results, which is a testament to the hard work of our employees to continue driving forward during these challenging Covid times”, said Bill Wignall, President and CEO of Sangoma. “We believe that we are well positioned to weather the Covid-19 pandemic given our healthy profitability, positive cash flow, and strong balance sheet. And given our preliminary Q3 results and our operations to date, we are cautiously optimistic that we are on track to meet our previously announced guidance for fiscal 2020 of $128 - $132 million for revenue and $19 - $21 million for EBITDA. However, given the uncertainties introduced by the Covid-19 pandemic, we cannot confirm our full 2020 guidance at this time. Instead, we will provide a formal update to guidance in late May, when we release full third quarter results, at which point we expect to have better visibility regarding the economic recovery in the various countries in which we operate . The entire executive team and board of directors would like to thank our employees, customers, and shareholders for your commitment, and we wish everyone good health during these challenging times.”

There continues to be uncertainty regarding the full impact, duration, magnitude and pace of recovery across our operations and markets, due to the evolving nature of the Covid-19 pandemic, and the global economic crisis (including varied governmental responses which may affect our operations, business and prospects). Despite these uncertainties, as noted, Sangoma believes it is very well equipped to weather the storm, and we have taken several proactive steps in an attempt to better manage the challenges of the Covid-19 pandemic. These include:

- Sangoma continues to operate in as close to a ‘business as normal’ manner, as is possible under these conditions, because we are an “Essential Service” under most all government rulings. We are thus exempt from the forced closures that so many other businesses are subject to. Communications is always critical to business, and even more so with so many companies working remotely. We are proud to continue providing our products and services to so many customers who count upon them, during these challenging times;

- Successfully navigating the substantial impact from coronavirus on global supply chains during January and February. Significant work by our operations teams ensured that virtually no customers were impacted in any material way. Sangoma is now through that phase almost entirely;

- Transitioning to a seamlessly reorganized work-from-home structure in over 20 countries and more than 20 states in the U.S., in order to serve our customers who count upon us every day for mission critical communications. This includes maintaining innovation, as demonstrated by the recent release of Sangoma’s new line of headsets and cloud-based video meeting service called ‘Sangoma-Meet’, both of which are essential parts of a remote worker’s toolset. We are proud to offer Sangoma-Meet free of charge during this pandemic;

- Ensuring the company is well positioned, financially, during this crisis. Sangoma has maintained all principal and interest payments on its existing loans, continues to comfortably meet all debt covenants, and as of the end of April, has over $20 million in cash reserves to take advantage of opportunities that may arise, as well as being fully prepared for any further uncertainties during the Covid-19 pandemic. This includes a proactive draw of $9.2 million on our swingline and revolver facilities during April, to strengthen our balance sheet. We also moved decisively, taking prudent expense mitigation steps to appropriately control discretionary spending, as well as introducing new products and customer-focused initiatives to win new clients in need of enhanced communications during this crisis and to secure our existing customer base. Further details will be provided during our conference call described below.

These are just some of the many actions Sangoma has taken, and the advantages the company has, to withstand the current crisis and be well positioned to come out of it stronger than ever. President and CEO, Bill Wignall, EVP Corporate Development, John Tobia, and CFO, David Moore will host a conference call on Friday May 1, 2020 at 8:00 am Eastern Daylight Time to discuss the fuller set of Sangoma’s responses to the Covid pandemic and to provide shareholders an opportunity to ask questions. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in this press release include, but are not limited to risks and uncertainties associated with the Covid-19 pandemic, changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Reports Results for the Second Quarter of Fiscal 2020

Thu, 27 Feb 2020 15:00:00 MST

Revenue up 10% to a record high of over $32 million and EBITDA exceeds $5 million per quarter for the first time ever

MARKHAM, ONTARIO – TheNewswire - February 27, 2020 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, both on-premise and in the cloud, today announced highlights of its second quarter unaudited results of fiscal 2020, ended December 31, 2019.

For the second quarter of fiscal 2020, sales were a record $32.29 million, 10% higher than the same quarter in fiscal 2019 and 15% above the immediately preceding first quarter of this year. EBITDA at $5.19 million was an all-time high, and the first time ever that Sangoma has generated more than $5 million in EBITDA in a single quarter.

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“I’m pleased to see Sangoma grow from the prior year’s revenue for the twentieth straight quarter and I’m particularly proud to see EBITDA cross the $5 million per quarter mark for the first time”, said Bill Wignall, President and CEO of Sangoma. “Our second quarter had a number of features worth noting including the acquisition of VoIP Innovations to kick off the quarter (which is delivering nicely to our expectations), the really encouraging signs of continued solid growth in our services business, slightly softer demand for our one-time product sales like many companies are seeing these days given events around the globe, and a significant reduction in debt service costs as we locked in half of our loans at a lower interest rate of 4.2%. And subsequent to the end of our second quarter, we entered into an agreement to acquire e4 Strategies, in order to strengthen our sales capabilities in the open source market.”

Gross profit was $21.32 million in the second quarter of fiscal 2020 at a gross margin of 66%, 5% higher than for the same quarter last year and continuing the trend of slightly stronger gross margins as the percentage of Sangoma revenue from recurring revenue continues to increase, bolstered this quarter by the inclusion of the VoIP Innovations acquisition for part of the quarter.

Operating expenses were $19.17 million in the second quarter of fiscal 2020, $2.14 million higher than last year almost entirely from the inclusion of VoIP Innovations early in the quarter.

For the second quarter of fiscal 2020, EBITDA at $5.19 million was more than twice that in the same quarter last year, primarily resulting from the inclusion of VoIP Innovations for part of the quarter, growing services revenue, and the adoption of IFRS 16 at the beginning of this fiscal year.

Net loss for the second quarter ended December 31, 2019 was $1.33 million, including the $2.60 million of acquisition costs, compared to a net loss of $0.27 million in the second quarter of fiscal 2019.

Sangoma finished the quarter with a cash balance of $13.36 million, working capital of $2.03 million and total debt of $43.31 million. Adjusted cash from operations, excluding the impact of the acquisition of VoIP Innovations, was $0.95 million. The lower than usual adjusted cash flow was caused primarily by the elimination of a large contract manufacturer to simplify our supply chain, requiring a temporary build in inventory (as had been previously communicated), together with modest movements in a few working capital items.

Guidance

Given the growing possibility of further disruption in supply chains due to the coronavirus, the increasing uncertainty regarding the global economy and the number of flashpoints around the world, the slightly softer demand for one-time product sales, and the impact of IFRS16, we have decided to revise our guidance. For fiscal 2020, Sangoma is slightly lowering revenue guidance to $128 - 132 million, but is increasing our expected range for EBITDA up to $19 - 21 million.

Conference Call

President and CEO, Bill Wignall, and CFO, David Moore will host a conference call on Thursday February 27, 2020 at 5.30 pm Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Sets Date to Announce Second Quarter Fiscal 2020 Results

Thu, 20 Feb 2020 06:15:00 MST

MARKHAM, Ontario – TheNewswire - February 20, 2020 – Sangoma Technologies Corp (TSXV:STC), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, both on-premise and in the cloud, is scheduled to report its fiscal 2020 second-quarter and year-to-date financial results for the periods ending December 31, 2019 after the market close on Thursday February 27, 2020.

CEO William Wignall will host a conference call to discuss the company's financial results at 5:30 p.m. ET on Thursday February 27. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are invited to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

Replays of the conference call will be made available on the company’s website www.sangoma.com.

About Sangoma Technologies Corporation

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Reports Results for the First Quarter of Fiscal 2020 Quarterly Revenue Up 31%

Thu, 14 Nov 2019 15:09:00 MST

Markham, Ontario – TheNewswire - November 14, 2019 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, both on-premise and in the cloud, today announced highlights of its first quarter unaudited results of fiscal 2020, ended September 30, 2019.

For the first quarter of fiscal 2020, sales were $28.01 million, 31% higher than the same quarter last year and a record for Sangoma’s first quarter. Revenue this quarter was 7% lower than the immediately preceding quarter, reflecting the typically softer first quarter seasonality compared to the prior year’s fourth quarter, and the significant one-time order in the last quarter of fiscal 2019, both of had been previously communicated.

Click Image To View Full Size

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“I am pleased to see revenue once again exceed the prior years quarterly sales for the nineteenth straight quarter”, said Bill Wignall, President and CEO of Sangoma. “And during our first quarter we had a successful, over-subscribed equity raise, to set the scene for the acquisition of VoIP Innovations, LLC (“VI”) during October. The accompanying debt financing also went well, with the transaction subsequently closing just after the end of our first quarter, and the first few of weeks of transition has gone smoothly. We will of course be including VI results from the October 18th acquisition date, in our second quarter financials. Finally, it was also gratifying to see our progress is being recognized in Deloitte’s ranking of Sangoma at number 11 in their Enterprise Fast 15 rank of Canadian companies for 2019.”

Gross profit was $17.48 million in the first quarter of fiscal 2020 at a gross margin of 62%, 4% higher than for the same quarter last year and continuing the trend of slightly stronger gross margins as the percentage of Sangoma revenue from recurring revenue continues to increase.

Operating expenses were $15.88 million in the first quarter of fiscal 2020, higher than last year which had only one month of Digium expenses, and essentially consistent with the immediately preceding fourth quarter of fiscal 2019.

For the first quarter of fiscal 2020, EBITDA at $3.67 million was 46% higher than in the same quarter last year resulting from the inclusion of Digium sales for the full quarter, the operational efficiencies introduced during fiscal 2019 and the adoption of IFRS 16 at the beginning of this fiscal year.

Net income for the first quarter ended September 30, 2019 was $0.91 million compared to net loss of $1.00 million in fiscal 2019 which included the $2.10 million of one-time transaction costs incurred to complete the acquisition of Digium during the first fiscal quarter of 2019.

Sangoma finished the quarter with a cash balance of $33.40 million, working capital of $27.29 and total debt of $21.70 million. Adjusted cash flow from operations, excluding the impact of acquisitions, was $2.96 million.

Conference Call

President and CEO, Bill Wignall, and CFO, David Moore will host a conference call on Friday November 15, 2019 at 12 noon Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Reports Q4 and Full Year Results for Fiscal 2019 Annual Revenue Grows by 91%

Fri, 18 Oct 2019 14:33:00 MDT

MARKHAM, ONTARIO – TheNewswire - October 18, 2019 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, both on-premises and in the cloud, today announced highlights of its fourth quarter financial results and audited consolidated financial statements for the fiscal year ended June 30, 2019.

As previously announced, sales in the fourth quarter of fiscal 2019 were over $30 million, the first time the company has exceeded this threshold. Annual revenue was $109.6 million, 91% higher than the prior year, and another record. For the full year, EBITDA was $12.3 million, the highest in Sangoma’s history and up very significantly from fiscal 2018.

Click Image To View Full Size

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“I am very pleased with both top and bottom line results for the full year, the second consecutive year in which we have approximately doubled in size”, said Bill Wignall, President and CEO of Sangoma. “Early in fiscal 19, we announced guidance of $100 million in sales and $10 million of EBITDA, figures that seemed ambitious at the time. I’m particularly proud of our growing team at Sangoma because not only did we further increase our guidance part way through this fiscal year, we have now finished 2019 by exceeding even those revised estimates. We had previously stated that we expected in fiscal 2020 to reach 13% of revenue, and while our guidance for that year is contained in our important other press release being issued today, it’s gratifying to see us exit fiscal 19 being on track with that metric a quarter early. I’d like to thank everyone at the combined company for their strong commitment during the year and our customers around the globe for the trust they put in Sangoma every day with their mission critical needs.”

Gross profit was $66.8 million in fiscal 2019, producing gross margins of over 60% of revenue for the year.

Operating expenses were $59.8 million in 2019, up from fiscal 2018, reflecting the additional expense consistent with higher revenue and following the Digium acquisition early in fiscal 19.

EBITDA was $12.3 million for fiscal 2019, up from $6.8 million in the prior year.

Net income for the year ended June 30, 2019 was $1.5 million, down from fiscal 2018 due to debt service costs, one-time acquisition expenses, and business integrations costs related to the Digium acquisition.

Sangoma continues to manage its balance sheet prudently and finished the fiscal year with a cash balance of $11.7 million, which was further supplemented by the July equity raise. Working capital is $5.3 million and Adjusted cash flow from operations of $13.5 million was well above the $5.9 million in fiscal 2018.

Outlook for fiscal year 2020

Guidance for fiscal 2020 is contained in the other press release being issued today by Sangoma, covering the acquisition which is being announced simultaneously.

Conference Call

President and CEO, Bill Wignall, and CFO, David Moore will host a conference call on Monday October 21, 2019 at 8.00a.m. Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, changes in technology, changes in the business climate, changes in the regulatory environment, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

Sangoma Announces Preliminary Revenue for Q4/Fiscal 2019. Appoints Gateway for Investor Relations

Thu, 01 Aug 2019 15:57:00 MDT

Fourth quarter sales are expected to be approximately $30.1 million and revenue for the full year of 2019 will be over $109 million, almost double that of fiscal 2018

MARKHAM, ONTARIO – TheNewswire - August 1, 2019 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Unified Communications solutions, both in the cloud and on-premises, and the provider of the two most widely used open source communications software products in the world today announced preliminary unaudited revenue for the fourth quarter of fiscal 2019 ended June 30, 2019.

Sales for the fourth quarter of fiscal 2019 are expected to be approximately $30.1 million, more than 70% above the same quarter last year. Revenue for the full year of fiscal 2019 is expected to be over $109 million, almost twice that of fiscal 2018 and above prior guidance for the year.

“Many of our shareholders seek information about our fourth quarter, before the full audit cycle is completed”, noted David Moore, Sangoma’s Chief Financial Officer. “This release of expected revenue is a way for us to accelerate disclosure on the top line, given Sangoma will announce our full financial results in October as usual, after the completion of our annual audit. At that point, we will hold a conference call with investors to discuss the results in detail.”

“I am very proud of our results this year and pleased that we have finished on a very strong note”, said Bill Wignall, President and CEO of Sangoma. “Sales have continued to grow to the point where we’ve exceeded $30 million in quarterly revenue for the first time, assisted by a significant one-time order this quarter. We are now officially a $100 million revenue company, EBITDA is expanding nicely as expected, our recurring revenue is at an all time high, and we successfully closed the transformative acquisition of Digium in fiscal 2019. I look forward to sharing full fiscal 2019 results with our shareholders in a few months once our audit is complete, at which time we will provide guidance on fiscal 2020. We remind investors of the typical seasonality that we see in our first quarter, the one where revenue is usually lower than the prior year’s fourth quarter, due to the softer summer period.”

In addition, Sangoma is pleased to announce that it has appointed Gateway Investor Relations (formerly Liolios), a leading strategic financial communications and capital markets advisory firm, to provide investor relations and consulting services.

Gateway is a U.S.-based investor relations firm specializing in advising public companies across a broad range of industry classifications. Founded in 1999, the firm provides high-level capital markets consulting, corporate communications, and investor and analyst outreach. The firm is also specifically experienced in helping Canadian companies access and navigate the U.S. capital markets.

Under the terms of the engagement, Sangoma will compensate Gateway USD$8,000 per month, with an initial three (3) month term, which converts to a month-to-month agreement beyond the initial term. No common shares or securities convertible into common shares are being offered to Gateway as part of the engagement.

About Sangoma Technologies Corporation

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

Sangoma Announces Increase to Bought Deal Financing

Mon, 24 Jun 2019 13:26:00 MDT

TheNewswire – June 24, 2019 - Sangoma Technologies Corporation (TSXV:STC) (“Sangoma” or “Company”) is pleased to announce that it has increased the size of its previously announced bought deal offering of common shares with Acumen Capital Finance Partners Limited (“Acumen”) and Cormark Securities Inc. (“Cormark”) (collectively, the “Co-Lead Underwriters”). Sangoma has agreed to issue, and Co-Lead Underwriters have agreed to purchase on a “bought deal” basis an aggregate of 12,910,000 common shares ("Common Shares") at a price of $1.55 per Common Share for an aggregate purchase price of $20,010,500 (the “Offering”) with an option to Acumen and Cormark to purchase an additional 1,936,500 Common Shares (“the “Option”). If the Option is exercised in full, the aggregate gross proceeds of the Offering will be approximately $23,012,075. The net proceeds from the Offering are expected to be used to fund future acquisitions, debt reduction and for general corporate purposes.

The Shares to be issued under the Offering will be offered by way of a short form prospectus in each of the Provinces of Canada other than Quebec and may be offered for sale in the United States to Qualified Institutional Buyers (as defined in Rule 144A under the United States Securities Act of 1933, as amended (the "1933 Act") or another available exemption by way of private placement pursuant to an exemption from the registration requirements of the 1933 Act (collectively, the “Qualifying Jurisdictions”).

The Offering is expected to close on or about July 16, 2019 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including approval of the TSX Venture Exchange and applicable securities regulatory authorities.

About Sangoma:

Notice Regarding Forward Looking Statements

This news release contains forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Sangoma, its subsidiaries, or its affiliates to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Examples of such statements include the anticipated closing and closing date of the Offering and anticipated use of proceeds. The forward-looking statements included in this news release are made as of the date of this news release and Sangoma does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

NOT FOR DISTRIBUTION TO U.S NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Sangoma Announces Bought Deal Financing

Mon, 24 Jun 2019 08:10:00 MDT

MARKHAM, ON / TheNewswire / June 24, 2019 – Sangoma Technologies Corporation (TSXV:STC) (“Sangoma” or “Company”), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, is pleased to announce that it has entered into an agreement with a syndicate of underwriters co-led by Acumen Capital Finance Partners Limited and Cormark Securities Inc. (together, the “Co-Lead Underwriters”), pursuant to which the Co-Lead Underwriters have agreed to purchase, on a “bought deal” basis and subject to regulatory approval, 11,291,000 common shares (the “Shares”) of Sangoma, at a price of $1.55 per Share (the “Offering Price”) and offer them to the public by way of short form prospectus for total gross proceeds of approximately $17.5 million (the “Offering”).

In addition, Sangoma has also granted the Underwriters an over‐allotment option (the “Option”) to purchase up to an additional 1,693,650 Shares (representing 15% of the base Offering) at the Offering Price exercisable in whole or in part up to 30 days after closing of the Offering. If the Option is exercised in full, the aggregate gross proceeds of the Offering will be approximately $20,126,208. The net proceeds from the Offering are expected to be used to fund future acquisitions, debt reduction and for general corporate purposes.

About Sangoma:

Sangoma Technologies is a trusted leader in delivering Unified Communications solutions for SMBs,

Enterprises, OEMs, Carriers and service providers. Sangoma’s globally, scalable offerings include both

on-premises and cloud-based phone systems, telephony services and industry leading Voice-Over-IP

solutions, which together provide seamless connectivity between traditional infrastructure and new

technologies. Sangoma’s products and services are used in leading PBX, IVR, contact center, carrier

networks and data-communication applications worldwide. Businesses can achieve enhanced levels of

collaboration, productivity and ROI with Sangoma. Everything Connects, Connect with Sangoma!

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange

(TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.

Notice Regarding Forward Looking Statements

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Sangoma Reports Results for the Third Quarter of Fiscal 2019

Mon, 27 May 2019 19:45:00 MDT

EBITDA exceeds $3 million in the quarter for the first time

MARKHAM, Ontario / TheNewswire / May 27, 2019 – Sangoma Technologies Corporation (TSX VENTURE:STC), a trusted leader in delivering Unified Communications solutions, both in the cloud and on-premises, and the provider of the two most widely used open source communications software products in the world, today announced highlights of its third quarter unaudited results of fiscal 2019, ended March 31, 2019.

For the third quarter of fiscal 2019, sales were $28.92 million, 78% higher than in the same quarter last year and the seventeenth quarter in a row in which sales have grown from the prior year. For the first time, services revenue exceeded $10 million, continuing to grow in both absolute and relative terms.

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“As we’ve shared previously, our third quarter would begin to show the impact of the integration work undertaken in December, with regards to our latest acquisition of Digium”, said Bill Wignall, President and CEO of Sangoma. “So I’m very pleased to see this quarter’s focus on cost alignment and EBITDA, begin to bear fruit. With spending adjusted in all three of our major cost centers (sales and marketing, R&D, and G&A), we spent about $1 million less in operating expenses, compared to our second quarter, almost exactly as planned. That has produced over $3 million in EBITDA for the first time, up 36% over our second quarter, also as anticipated. And while there remains considerable work to complete the re-configuration of our supply chain as part of the Digium integration, as previously communicated, we still expect that to be finished in the next few months.”

Gross profit was $17.90 million in the third quarter of fiscal 2019, at a gross margin of 62%, ahead of last year and helped by the addition of the Digium business.

Operating expenses were $16.15 million in the third quarter of fiscal 2019, 5% lower than for Q2, reflecting the actions taken in December and bringing the cost structure to the level consistent with going forward EBITDA expectations. Since the last quarterly results, Sangoma COO Tony Lewis has departed the company to pursue other interests and we thank him for his contribution to Sangoma. The COO position will not be replaced, as his duties are being absorbed by other members of the Sangoma executive team.

For the third quarter, EBITDA was $3.26 million, up by 72% over the same period in fiscal 2018.

Net income for the period was $1.07 million, the first time Sangoma has exceeded $1 million in a single quarter since the turnaround commenced in Fiscal 2010.

Sangoma finished the quarter with a healthy cash balance of $7.07 million and has generated $5.60 million of adjusted cash flow from operations to date. As previously communicated, working capital will be higher than normal over the next several months, as Sangoma re-configures its supply chain, consolidates some of its contract manufacturers, and optimizes warehousing facilities during this period.

Outlook for fiscal year 2019

Sangoma expects Q4 revenue and EBITDA to be in line with the Q3 results issued today. As a result, we expect to exceed the previously issued guidance of $100 million in revenue and $11 million in EBITDA for the full year fiscal 2019.

Conference Call

President and CEO, Bill Wignall, and CFO, David Moore will host a conference call on Wednesday May 29, 2019 at 8am Eastern Daylight Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Named to 2019 TSX Venture 50 as a Top 10 Technology Company

Wed, 27 Feb 2019 10:55:00 MST

MARKHAM, ON / TheNewswire / FEBRUARY 27, 2019 – Sangoma Technologies Corporation (TSX VENTURE: STC), a trusted leader in delivering Unified Communications solutions for SMBs, enterprises, OEMs, and service providers both on-premise and in the cloud, today announced that it was named to the 2019 TSX Venture 50 as one of the highest performing companies in the Technology industry sector.

The TSX Venture 50 is a ranking of top performers on TSX Venture Exchange over the last year. The ranking is comprised of ten companies from each of five industry sectors, selected based on three equally weighted criteria: market capitalization growth, share price appreciation, and trading volume. During 2018, Sangoma achieved 155% growth in market capitalization, 67% appreciation in share price, and trading volume of over 22 million.

“It is an honor to be named to the TSX Venture 50 and to join this exclusive group of high-performing industry leaders,” said Bill Wignall, President and CEO of Sangoma. “This serves as confirmation that our growth strategy is positioning our company and our stakeholders for success. 2018 was an important year for Sangoma. We will continue to build upon this momentum in 2019, as we expect to surpass $100 million in revenue for the first time, by delivering even greater value to our customers, partners, and shareholders around the world.”

About Sangoma Technologies Corporation

Sangoma Technologies is a trusted leader in value-based Unified Communications (UC) and UC as a Service (UCaaS) solutions for SMBs, enterprises, OEMs, carriers, and service providers. Sangoma’s Voice over IP offerings include on-premise and cloud-based phone systems, SIP trunking services, and telephony hardware. Sangoma’s products and services are used in leading PBX, IVR, contact center, carrier networks, and data communication applications worldwide. Sangoma is the primary developer and sponsor of the Asterisk project, the world’s most widely used open source communications software, and the FreePBX project, the world’s most widely used open source PBX software. Businesses can achieve enhanced levels of collaboration, productivity, and ROI with Sangoma. Everything Connects, Connect with Sangoma!

Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found by visiting www.sangoma.com.

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com

www.sangoma.com

Sangoma Reorts Results for the Second Quarter of Fiscal 2019 Revenue More than Double that of Last Year, EBITDA up by 89%

Thu, 14 Feb 2019 14:13:00 MST

MARKHAM, ONTARIO / TheNewswire / February 14, 2019 – Sangoma Technologies Corporation (TSX VENTURE:STC), a trusted leader in delivering Unified Communications solutions, both in the cloud and on-premises, and the provider of the two most widely used open source communications software products in the world, today announced highlights of its second quarter unaudited results of fiscal 2019, ended December 31, 2018.

For the second quarter of fiscal 2019, sales were a record $29.22 million, 149% higher than the same quarter last year, already putting Sangoma over $50 million in revenue at the mid year point. This quarter’s results included a full quarter of the most recently completed acquisition of Digium, which closed in September of 2018.

1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.

“We are all thrilled to see sales approaching $30 million for the first time this quarter”, said Bill Wignall, President and CEO of Sangoma. “As anticipated, the Digium transaction is contributing very positively. Integration is progressing well, organization alignment was completed in December, and customers/partners have embraced the combined entity. As evidenced by revenue growing to almost 2.5 times last year, the company has maintained strong sales momentum, even with all the integration focus. And despite most of the cost savings being realized late in the quarter, EBITDA nearly doubled and we now expect to meet the 13% EBITDA target we had projected for fiscal 2020, well ahead of plan, and by Q4 at the latest.”

Gross profit was $17.83 million in the second quarter of fiscal 2019, resulting in gross margin of 61%, which is well ahead of last year.

Operating expenses were $17.03 million in the second quarter of fiscal 2019, but as indicated, these will come down next quarter as the cost savings realized late in this quarter will be in place for all of Q3.

For the second quarter, EBITDA at $2.40 million was up by 89% over the same period in fiscal 2018.

Net loss for the period was $0.27 million, resulting from the one-time integration costs already completed.

Sangoma generated $3.76 million of adjusted cash flow from operations, is already paying down the debt taken on for the Digium transaction, and finished the quarter with a cash balance of $6.79 million.

Outlook for fiscal year 2019

With revenue past the half way mark and adjusted EBITDA ahead of plan, Sangoma now expects to exceed its previously issued guidance of $100 million in revenue and has raised its adjusted EBITDA (excluding one-time costs associated with the Digium acquisition) to $11 million from $10 million.

Conference Call

President and CEO, Bill Wignall, and CFO, David Moore will host a conference call on Friday February 15, 2019 at 12 noon Eastern Standard Time to discuss the quarterly results. The dial-in number for the call is 1-800-319-4610 (International 1-604-638-5340). Investors are requested to dial in 5 to 10 minutes before the scheduled start time and ask to join the Sangoma call.

About Sangoma Technologies Corporation

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.

Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.

# # #

Sangoma Technologies Corporation

David Moore

Chief Financial Officer

(905) 474-1990 Ext. 4107

dsmoore@sangoma.com