Diversified Restaurant Holdings Announces Pricing of its Public Offering of Common Stock
July 20 2018 - 9:28AM
Business Wire
Diversified Restaurant Holdings, Inc. (“DRH” or the “Company”)
(NASDAQ:SAUC), one of the largest franchisees for Buffalo Wild
Wings® (“BWW”) with 65 stores across five states, today announced
the pricing of its previously announced underwritten registered
public offering of 6 million shares of its common stock at a public
offering price of $1.00 per share, including 700,000 shares offered
by a certain selling stockholder, for total Company gross proceeds
of $5.3 million. DRH also granted the underwriter an option for a
period of 30 days to purchase up to an additional 450,000 shares of
its common stock to cover over-allotments, if any. The offering is
expected to close on or about July 24, 2018, subject to the
satisfaction of customary closing conditions.
DRH intends to use the net proceeds from the offering for
working capital and general corporate purposes, which may include
repayment of debt.
Dougherty & Company LLC is acting as the sole managing
underwriter for the offering.
The offering is being made pursuant to a shelf registration
statement on Form S-3 (File No. 333-225457) that was filed with the
U.S. Securities and Exchange Commission (the “SEC”) and became
effective on July 5, 2018. A preliminary prospectus supplement and
accompanying prospectus relating to and describing the terms of the
offering were filed with the SEC on July 19, 2018 and may be
obtained by visiting the SEC’s website at www.sec.gov or by
contacting Tony Felling, Head of Sales, Dougherty & Company
LLC, 90 South Seventh Street, Suite 4300, Minneapolis, Minnesota
55402, by telephone at (612) 317-2123 or by email at
tfelling@doughertymarkets.com. The final terms of the offering will
be disclosed in a final prospectus supplement to be filed with the
SEC.
This press release does not constitute an offer to sell or
solicitation of an offer to buy any securities in the offering. Nor
shall there be any sale of these securities in any state or
jurisdiction in which such offering, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any such state or jurisdiction.
About DRH
Diversified Restaurant Holdings, Inc. is one of the largest
franchisees for Buffalo Wild Wings with 65 franchised restaurants
in key markets in Florida, Illinois, Indiana, Michigan and
Missouri. DRH’s strategy is to generate cash, reduce debt and
leverage its strong franchise operating capabilities for future
growth. The Company routinely posts news and other important
information on its website at
http://www.diversifiedrestaurantholdings.com.
Safe Harbor Statement
Some of the statements contained in this news release may
constitute “forward-looking statements” within the meaning of the
Federal Private Securities Litigation Reform Act of 1995. These
statements reflect the current views of our senior management team
with respect to future events, including our financial performance,
business and industry in general. Statements that include the words
“expect,” “intend,” “plan,” “believe,” “project,” “forecast,”
“estimate,” “may,” “should,” “anticipate,” and variations of such
words and similar statements of a future or forward-looking nature
are intended to identify such forward-looking statements. We intend
for our forward-looking statements to be covered by the safe harbor
provisions for forward-looking statements contained in the Private
Securities Litigation Reform Act of 1995, and we set forth this
statement in order to comply with such safe harbor provisions.
Forward-looking statements involve known and unknown risks and
uncertainties and are not assurances of future performance.
Accordingly, there are or will be important factors that could
cause our actual results to differ materially from those indicated
in these statements, including, among others, the risks and
uncertainties disclosed in our annual reports on Form 10-K,
quarterly reports on Form 10-Q and other filings made with the
Securities and Exchange Commission. Any forward-looking statements
you read in this news release reflect our views as of the date of
this news release with respect to future events and are subject to
these and other risks, uncertainties, and assumptions relating to
our operations, results of operations, growth strategy, liquidity
and this offering. You should carefully consider all of the factors
identified in this news release that could cause actual results to
differ.
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version on businesswire.com: https://www.businesswire.com/news/home/20180720005252/en/
Investors and MediaKei Advisors LLCDeborah K. Pawlowski,
716-843-3908dpawlowski@keiadvisors.com
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