Home / Knowledge / News / Textiles / CRAiLAR closes $5mn private placement debenture offering
CRAiLAR closes $5mn private placement debenture offering
27
Feb '13
CRAiLAR Technologies Inc. is pleased to announce that it has closed its previously announced non-brokered private placement offering (the "Offering") of 10.0% secured, subordinated convertible debentures (the "Debentures") of the Company for aggregate gross proceeds of $5.0 million.

The within Offering has been completed on essentially the same terms as the Company's short-form public offering of convertible debentures previously announced by the Company on August 23, 2012 (the "Previous Debenture Offering") which was combined with an equity private placement of units at the same time. 

Under the Previous Debenture Offering and related equity private placement, the Company sought to raise an aggregate of $18.0 million and closed on approximately $12.5 million of convertible debentures and equity units in September of last year.  The current Offering's aggregate gross proceeds of $5.0 million have now substantially completed the funding goal of the Company's Previous Debenture Offering and equity private placement.  Difference Capital, Global Securities Corporation, Cormark Securities Inc. and Macquarie Private Wealth Inc. acted as finders in connection with the Offering.

"We are very pleased to have fully completed this funding goal," said Ken Barker, CEO of CRAiLAR.  "The completion of this financing is an important step in our company's growth strategy as we now move forward on a more senior listing while we simultaneously prepare to deliver finished fiber at increased capacities from our present manufacturing facility. CRAiLAR in now in a more ideal position for introduction on a more visible and globally accessible platform."

The within Debentures will mature on September 30, 2017 (the "Maturity Date") and will accrue interest at a rate of 10.0% per annum payable semi-annually in arrears on March 31st and September 30th in each year commencing September 30th, 2013.  At the holder's option, the Debentures may be converted into common shares in the capital of the Company (each a "Share") at any time up to the earlier of the Maturity Date and the business day immediately preceding the date specified by the Company for redemption of the Debentures.

The conversion price, subject to adjustment in certain circumstances, will be $2.90 per Share, being a conversion rate of approximately 344.828 Shares for each $1,000 principal amount of Debentures.  The Debentures will not be listed for trading on the TSX Venture Exchange (the "Exchange") or any other public market.

The Company intends to use the net proceeds of the Offering to fund the Company's capital program and for general corporate purposes.

Must ReadView All

Textiles | On 26th May 2017

Lenzing unleashes new eco-friendly fibre

There's a new eco-friendly fibre on the anvil—Austrian speciality...

Apparel/Garments | On 26th May 2017

Benetton seeks approval for FDI in single-brand retail

Global fashion brand Benetton Group, has sought Indian government's...

Apparel/Garments | On 26th May 2017

Walmart to conduct GST workshops for SME suppliers

With the objective of supporting its small and medium-sized (SME)...

Interviews View All

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search