Company Update (NASDAQ:HOTR): Chanticleer Holdings Inc Announces Exercise Price for Its Up to $10 Million Rights Offering
Chanticleer Holdings Inc (NASDAQ:HOTR), owner and operator of multiple restaurant brands internationally and domestically, today announces that its Board of Directors has elected to proceed with its rights offering and offer all of its shareholders of record the right but not the obligation to exercise their non-transferable basic subscription rights, which will allow its shareholders of record to acquire additional shares of common stock (the “rights offering”). The Company is commencing the rights offering in order to raise equity capital in a timely and cost-effective manner, while providing Chanticleer’s shareholders the opportunity to participate. The rights offering is being made through a dividend in the form of non-transferable subscription rights to purchase one share of common stock per each share of common stock owned on the record date at an exercise price of $1.35. The dividend of the subscription rights settles T+3, so in order to be considered a shareholder of record, shareholders must own the stock in their brokerage accounts as of 4:00 PM ET on Tuesday, September 1, 2015, which is three trading days before the record date of Friday, September 4, 2015.
The rights offering will also include an over-subscription privilege, which will entitle each rights holder that exercises all of its basic subscription rights in full the right to purchase additional shares of common stock that remain unsubscribed during the subscription period. Both the basic and over-subscription privileges are subject to the availability and pro rata allocation of shares among participants. All basic subscription rights and over-subscription privileges may be exercised during the subscription period of Tuesday, September 8, 2015 through 5:00 PM ET Friday, September 18, 2015 on a pro-rata basis.
The Company recommends that current stockholders consider notifying their broker or financial advisor about the upcoming rights offering to ensure they will maximize their ability to participate in the rights offering. (Original Source)
Shares of Chanticleer Holdings Inc closed yesterday at $1.51. HOTR has a 1-year high of $4.18 and a 1-year low of $1.16. The stock’s 50-day moving average is $2.03 and its 200-day moving average is $2.51.
Chanticleer Holdings Inc operates Hooters franchises internationally and several restaurant and bar concepts domestically. It is engaged in owning and operating fast casual dining concepts domestically and internationally.