LOS ANGELES, Dec. 26, 2017 (GLOBE NEWSWIRE) -- Reed’s Inc. (NYSE American:REED) (“Reed’s” or the “Company”), owner of one of the nation’s leading portfolios of handcrafted, natural beverages, announced today the closing of its rights offering (the “Offering”) of $1.50 per unit and that it raised the full gross proceeds of $14.0 million in the Offering.
Pursuant to the Offering, Reed’s sold 9,333,333 units that consisted of one share of common stock and 1/2 of a warrant. Each whole warrant is exercisable to purchase one share of common stock at an adjusted exercise price of $2.025 per share for three years from the date of issuance.
Investors who participated in the Offering should expect to see shares in their account within the next three business days. Additionally, the balance of funds that were not allocated to the oversubscription of the Offering will be returned to participants via the method funded within the next three business days.
Maxim Group LLC acted as the dealer-manager in the Offering. Questions about the rights offering may be directed to Maxim Group LLC at 405 Lexington Avenue, New York, NY 10174, Attention Syndicate Department, or via email at firstname.lastname@example.org or telephone at (212) 895-3745.
The Subscription Agent for the Offering was Continental Stock Transfer & Trust Company located at 1 State Street, 30th Floor, New York, NY 10004 or telephone (917) 262-2378.
For questions about the rights offering or requests for copies of the prospectus, please contact Okapi Partners, LLC, the Information Agent for the rights offering, at (212) 297-0720 or (888) 785-6617 (TOLL FREE) or at email@example.com.
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor will there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
The rights offering is being made pursuant to Reed’s effective registration statement on Form S-1 (Reg. No. 333-221059) on file with the U.S. Securities and Exchange Commission (the “SEC”). The registration statement was declared effective by the SEC on December 4, 2017. The registration statement is available on the SEC’s web site at http://www.sec.gov. The rights offering is being made only by means of a written prospectus forming part of the effective registration statement. Copies of the written prospectus for the rights offering may be obtained by contacting Okapi Partners, LLC, the Information Agent for the rights offering, at (212) 297-0720 or (888) 785-6617 (TOLL FREE) or at firstname.lastname@example.org.
About Reed’s, Inc.
Established in 1989, Reed’s has sold over 500 million bottles of its category leading natural, handcrafted beverages. Reed’s is America’s #1 selling Ginger Beer brand and has been the leader and innovator in the ginger beer category for decades. Virgil’s is America’s #1 selling independent, natural craft soda brand. The Reed’s Inc. portfolio is sold in over 20,000 retail doors across the natural, specialty, grocery, drug, club and mass channels nationwide. Reed’s Ginger Beers are unique to the category because of the proprietary process of hand brewing its award-winning products using fresh organic ginger combined with natural spices and fruit juices. Reed’s Ginger Beers come in three levels of increasing ginger intensity that deliver a delicious and powerful ginger bite and burn that can only come from fresh ginger root. The Company uses this same handcrafted approach and dedication to the highest quality ingredients in its award-winning Virgil’s line of great tasting, bold flavored craft sodas.
For more information about Reed’s, please visit the Company’s website at: http://www.reedsinc.com or call 800-99-REEDS.
SAFE HARBOR STATEMENT
Some portions of this press release, particularly those describing Reed’s goals and strategies, contain “forward-looking statements.” These forward-looking statements can generally be identified as such because the context of the statement will include words, such as “expects,” “should,” “believes,” “anticipates” or words of similar import. Similarly, statements that describe future plans, objectives or goals are also forward-looking statements. While Reed’s is working to achieve those goals and strategies, actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. These risks and uncertainties include difficulty in marketing its products and services, maintaining and protecting brand recognition, the need for significant capital, dependence on third party distributors, dependence on third party brewers, increasing costs of fuel and freight, protection of intellectual property, competition and other factors, any of which could have an adverse effect on the business plans of Reed’s, its reputation in the industry or its expected financial return from operations and results of operations. In light of significant risks and uncertainties inherent in forward-looking statements included herein, the inclusion of such statements should not be regarded as a representation by Reed’s that they will achieve such forward-looking statements. For further details and a discussion of these and other risks and uncertainties, please see our most recent reports on Form 10-K, Form 10-Q and Form S-1, as filed with the Securities and Exchange Commission, as they may be amended from time to time. Reed’s undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.
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