MISSISSAUGA, Ontario – The Second Cup Ltd. (“Second Cup” or the “company”) announced today that as a result of the positive investor response for its previously announced private placement offering of common shares (“Shares”), it has agreed to increase the size of the offering from up to CDN $5.0 million to up to CDN $7.0 million.
In addition, the Company has granted to GMP Securities L.P. (“GMP”), as sole agent, an option, exercisable any time prior to the closing of the offering, to arrange for the purchase of up to an additional 15% of the number of Shares. If the agent’s option is exercised in full, the aggregate gross proceeds of the offering will be $8.1 million.
The size of the offering was increased by agreement between Second Cup and GMP. There are no other changes to the previously announced financing and the upsized portion will be offered on the same terms as the previously announced offering of Shares.
Second Cup intends to use the net proceeds from the issuance of the Shares to support Second Cup’s strategic growth plan including the renovation of company-owned cafés in priority locations, and for general corporate purposes.
