LOS ANGELES, Dec. 18, 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, all-natural beverages, today announced that it has been informed by John Bello, chairman of Reed’s board of directors and founder of SoBe (sold to Pepsi in 2001 for $370 million), that he intends to participate for up to $400,000 of the rights offering.
Chairman Bello commented, “Reed’s is ready to re-establish its rightful place as a prominent and dominant force in the craft beverage marketplace. We are well positioned with on trend superior products, a committed and experienced team, and with sufficient resources we believe that we will make Reed’s a powerhouse sales and marketing company. Reed’s is primed for accelerated growth and I am excited to be a part of it.”
Additional Details About the Rights Offering:
On December 11, 2017 the Company announced that it has adjusted the subscription price and related pricing information for its previously announced rights offering. The subscription pricing is now fixed at $1.50 per unit, with each unit consisting of one share of common stock and 1/2 of a warrant. Each right entitles the holder to purchase one unit at the adjusted fixed subscription price of $1.50 per unit, composed of one share of common stock and 1/2 of a warrant, with each whole warrant 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. The subscription rights are non-transferrable and may only be exercised during the subscription period. The subscription period for the rights offering commenced on December 5, 2017. We have extended the expiration time for the rights offering to 5:00 PM Eastern Time, on Tuesday, December 19, 2017.
If exercising subscription rights through a broker, dealer, bank or other nominee, rights holders should promptly contact their nominee and submit subscription documents and payment for the units subscribed for in accordance with the instructions and within the time period provided by such nominee. The broker, dealer, bank or other nominee may establish a deadline before December 19, 2017, by which instructions to exercise subscription rights, along with the required subscription payment, must be received.
All record holders of rights that wish to participate in the rights offering must deliver a properly completed and signed subscription rights statement, together with payment of the subscription price for both basic subscription rights and any over subscription privilege election for delivery no later than 5:00 PM Eastern Time on December 19, 2017 to the Subscription Agent:
Continental Stock Transfer & Trust Company
1 State Street- 30th Floor
New York, NY 10004
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 firstname.lastname@example.org.
Maxim Group LLC is acting as the dealer-manager in the offering. Questions about the rights offering may also be directed to Maxim Group LLC at 405 Lexington Avenue, New York, NY 10174, Attention Syndicate Department, or via email at email@example.com or telephone at (212) 895-3745.
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.
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.
About Reed’s, Inc.
Established in 1989, Reed’s has sold over 500 million bottles of its category leading all-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, all-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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