SANTA CLARA, Calif.--(BUSINESS WIRE)--SoundHound AI, Inc. (Nasdaq: SOUN), a global leader in voice artificial intelligence, today announced that it reached an agreement with its lenders to prepay its outstanding $100 million debt in full.
This agreement significantly reduces the early payment costs and enables SoundHound to save over $55 million of interest and fees that would have been due over the remaining duration of the loan. The transaction also frees up approximately $14 million of restricted cash.
After paying off the existing debt, SoundHound has a cash balance of about $180 million and no outstanding debt, giving the company ample flexibility and a strong liquidity position.
“With the massive opportunity to deliver innovative AI around the world, our strong net cash position has meaningfully improved our financial profile," said Nitesh Sharan, CFO at SoundHound AI. “We now have a capital structure free of debt, which will allow us to move even more nimbly to capture the increasing customer demand for our voice AI solutions."
About SoundHound AI
SoundHound AI (Nasdaq: SOUN), a global leader in conversational intelligence, offers voice AI solutions that let businesses offer incredible conversational experiences to their customers. Built on proprietary technology, SoundHound’s voice AI delivers best-in-class speed and accuracy in numerous languages to product creators across automotive, TV, and IoT, and to customer service industries via groundbreaking AI-driven products like Smart Answering, Smart Ordering, and Dynamic Drive-Thru, an AI-powered multimodal food ordering solution. Along with SoundHound Chat AI, a powerful voice assistant with integrated Generative AI, SoundHound powers millions of products and services, and processes billions of interactions each year for world class businesses. www.soundhound.com
