Bill Meissner, CEO of Jones Soda, said: “The proceeds of this equity financing will support our cash flow as we continue our mission to increase sales and distribution and improve the bottom line. We believe that we are headed in the right direction, and these funds, combined with our current cash and our previously announced $2m credit facility, significantly enhance our financial position and will further enable us to work towards sustainable profitability.”
In connection with the offering, the company will issue an aggregate of 6,415,000 shares of common stock and warrants to purchase up to an additional 3,207,500 shares of common stock.
The securities will be sold in units at a price of $0.50 per unit, with each unit consisting of one share of common stock and a warrant to purchase 0.5 of a share of common stock. The warrants will have an exercise price of $0.70 per share and are exercisable for a five-year period commencing six months after issuance.
The closing of the offering is expected to occur on or about February 6, subject to customary closing conditions, at which time the company will receive the cash proceeds and deliver the securities.
Source: Jones Soda
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