Stryve Foods, Inc. (“Stryve” or “the Company”), (NASDAQ:SNAX), an emerging healthy snack and eating platform disrupting traditional consumer packaged goods (“CPG”) categories, and a leader in the air-dried meat snack industry in the United States, today announced that it has entered into securities purchase agreements with institutional investors for the issuance and sale in a private placement transaction priced at-the-market under Nasdaq rules of 10,294,118 shares of Class A common stock (the “Common Stock”) or, in lieu of Common Stock, pre-funded warrants (the “Pre-Funded Warrants”), and accompanying warrants (the “Warrants”) immediately exercisable to purchase up to 10,294,118 shares of Common Stock for a period of five years at an exercise price of $3.60 per share (the “Offering”). The Common Stock and Warrants will be sold at a combined purchase price of $3.40. The Company expects to receive gross proceeds from the Offering of approximately $35.0 million before deducting placement agent fees and estimated offering expenses.
A resale registration statement relating to the Common Stock and the shares of Common Stock issuable upon the exercise of the Pre-Funded Warrants and the Warrants will be filed with the Securities and Exchange Commission (the “SEC”) within fifteen (15) days of the date hereof.
Craig-Hallum Capital Group LLC is acting as the exclusive placement agent for the Offering. Northland Capital Markets is serving as a financial advisor to the Company.
The Offering is expected to close on or about January 11, 2022, subject to the satisfaction of customary closing conditions.
The Company intends to use the net proceeds from the Offering for working capital to support near term growth, capital expansion projects, including potentially increasing manufacturing capacity and adding manufacturing capabilities by building or procuring other manufacturing facilities and making other process improvements, and general corporate purposes, including marketing and sales initiatives and potentially repaying debt.
The securities sold in the Offering have not been registered under the Securities Act of 1933, as amended, or state securities laws and may not be offered or sold in the United States absent registration with the SEC or an applicable exemption from such registration requirements.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities in this offering. There shall not be any sale of these securities in any state or jurisdiction in which such offering, sale, or solicitation would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
