Urban Tea (NASDAQ:MYT)
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1 Year : From Mar 2019 to Mar 2020
NEW YORK, May 31, 2019 /PRNewswire/ -- Urban Tea, Inc. (the "Company") (NASDAQ: MYT), a premier retailer of specialty teas and baked goods in China, announced today the closing of its previously announced registered direct offering on May 29, 2019 to certain institutional investors of 2,845,000 ordinary shares and warrants to purchase up to 1,809,420 ordinary shares, at a purchase price of $1.62 for one ordinary share and a corresponding warrant, for proceeds of approximately $4.6 million. The warrants will be exercisable immediately following the date of issuance for a period of five years at an exercise price of $1.86 per share.
After deducting the placement agent's commission and other offering expenses payable by the Company, the net proceeds to the Company were approximately $4.1 million. The Company intends to use the net proceeds of the offering for general corporate purposes and working capital.
The securities described above were being offered by the Company pursuant to a "shelf" registration statement on Form F-3 (Registration No. 333-227211), including a base prospectus, previously filed with and declared effective by the Securities and Exchange Commission (SEC) on September 19, 2018. A prospectus supplement and an accompanying base prospectus relating to the offering were filed with the SEC on May 28, 2019 and are available on the SEC's website located at http://www.sec.gov. Electronic copies of the prospectus supplement and accompanying base prospectus may also be obtained from FT Global Capital, Inc., 5 Concourse Parkway, Suite 3000, Atlanta, GA 30328, at 770-350-2698.
FT Global Capital, Inc. acted as the exclusive placement agent for this offering.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction. Any offering will be made only by means of a prospectus, including a prospectus supplement, forming a part of the effective registration statement.
About Urban Tea, Inc.
Urban Tea, Inc. is an emerging specialty tea product distributer and retailer headquartered in Changsha City, Hunan Province, China. Through its wholly owned subsidiary, Shanghai Ming Yun Tang Tea Limited ("Shanghai MYT") which controls Hunan Ming Yun Tang Brand Management Co., Ltd. ("Hunan MYT"), the Company currently market a wide range of trendy tea drinks, light meals, and pastries targeting China's new urban generation in Hunan province. Our products are focused on not only their taste but also their aesthetic presentation and health benefits. Our products are currently being offered via our own stores. We expect to start selling our products in our managed and JV stores in mid-2019. For more information, please visit: ir.h-n-myt.com.
Safe Harbor Statement
This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.
For more information, please contact investor relations:
Ascent Investor Relations LLC
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SOURCE Urban Tea Inc.