SAN DIEGO — Youngevity International, Inc. announced Yesterday that it received $26 million dollars in Purchase Commitments for its Green Coffee Distribution Business launched in May of last year.
All of the purchase commitments are scheduled to ship in 2015. Youngevity International is a global direct marketer of nutritional and lifestyle products and also a vertically-integrated producer of gourmet coffees for the commercial, retail and direct sales channels,
The Company entered into a Note Purchase Agreement (the “Purchase Agreement”) with two accredited investors, pursuant to which the Company raised in a private placement gross proceeds of $5,050,000 with up to an additional $950,000 of funds possible. For each $100,000 invested investors were issued a Note in the principal amount of $100,000 that bears interest at a rate of eight percent (8%) per year and 30,000 shares of the Company’s Common Stock.
CLR has provided collateral to secure the repayment of the Notes. The Company’s Chairman and CEO, Stephan Wallach, has also personally guaranteed the Company’s obligations under the Notes and this Agreement.
The Company has filed a Current Report on Form 8-K with the Securities and Exchange Commission describing in more detail the terms of the financing and viewers should read such Report in its entirety. The foregoing information should not be construed, and is not intended, as an offer to sell or the solicitation of an offer to buy any of the Company’s securities.
“We have received commitments to purchase 15 million pounds of green coffee all of which we intend to process in our newly acquired and expanded processing plant located in Nicaragua,” said Dave Briskie, Youngevity’s CFO and President of Commercial Development.
“The estimated revenues from these commitments are over $26 million dollars, which we expect to receive between the months of January 2015 through November 2015. Our green coffee distribution business is off to a great start in 2015 and assuming all of these commitments are timely shipped this should be another record year for our coffee operation.”
