Mavenir Systems, a provider of software-based networking solutions,announced the repayment of the outstanding balance of $15.0 million plus accrued interest on March 5, 2014 on its 2013 subordinated loan facility, using funds received in its recent Initial Public Offering (“IPO”). This facility bore interest at 12%, or $1.8 million per year in cash interest payments.

Additionally, Mavenir amended its current debt facility with Silicon Valley Bank to reduce the interest rate on the term loan and to extend the term to five years from three years, and modify the financial covenants. Total borrowing capacity under the facility was increased by approximately $12.5 million. No material changes were made to the revolver portion of the facility. The amendment was entered into on March 6, 2014.

“This amendment is a result of our recent IPO and continued growth. We anticipate this repayment and amendment will substantially reduce our financing costs, freeing funds for ongoing investments in new product development and market expansion,” said Terry Hungle, Chief Financial Officer, Mavenir Systems.

“Helping our innovative clients increase their probability of success is what we strive to do every day,” said Robert Sureck, Senior Market Manager for Silicon Valley Bank in Texas. “We’re thrilled to be able to build on our relationship with Mavenir as it continues to grow and prosper.”

Mavenir is a leading provider of software-based communications solutions that enable mobile service providers to deliver high-quality internet protocol (IP)-based voice, video, rich communication and enhanced messaging services to their subscribers globally.