Inseego Corp. announced on January 14 2026 that it had closed a repurchase of all outstanding Fixed‑Rate Cumulative Perpetual Preferred Stock, Series E, eliminating a $42 million liquidation preference from its balance sheet.
The company exchanged the preferred shares for $26 million of consideration, consisting of $10 million in cash, $8 million of its 9.0 % Senior Secured Notes due 2029, and roughly 767,000 shares of common stock. The cash portion will be paid in three equal installments—one‑third at closing, one‑third six months later, and the final third twelve months after closing—while the common shares carry customary registration rights. The transaction was completed at a 38 % discount to the preferred’s liquidation preference, underscoring Inseego’s intent to streamline its capital structure.
By retiring the preferred equity, Inseego reduces long‑term debt obligations and enhances financial flexibility. The elimination of the $42 million preference lowers fixed obligations and improves debt‑to‑equity ratios, positioning the company to fund future growth initiatives in its core Fixed Wireless Access and software platforms. The conversion of Mubadala Capital’s affiliate from a preferred holder to a minority common‑stock shareholder aligns its interests more closely with other shareholders and signals a shift toward a more conventional equity base.
CFO Steven Gatoff said the transaction “is another step in the deliberate work we've been doing to simplify and strengthen Inseego's capital structure. By fully retiring the Preferred Stock at a discount to its aggregate liquidation preference, we are reducing long‑term obligations, further improving the balance sheet and continuing to increase stockholder value.” CEO Juho Sarvikas added that the move “strengthens our ability to execute on our strategy, scale the business, and deliver durable growth for our stockholders.”
Analysts noted that the repurchase created an estimated $16 million of equity value, or about $0.90 per share, by removing a high‑cost preferred instrument. The transaction was viewed as a positive step toward improving credit metrics and reducing financial risk, which aligns with Inseego’s broader debt‑reduction strategy that has included the repayment of $15 million of convertible notes in May 2025 and a $91.5 million conversion of convertible notes to long‑term debt and equity in November 2024.
The repurchase fits into Inseego’s ongoing focus on expanding its Fixed Wireless Access and software services. The company’s Q3 2025 results showed a 14.1 % revenue increase driven by the FWA segment, and the company has been steadily reducing leverage. By eliminating the preferred stock, Inseego frees capital that can be deployed to accelerate product development and market expansion, reinforcing its competitive position in the 5G and fixed‑wireless access space.
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