Chanticleer Holdings, Inc. (Nasdaq:HOTR) (“Chanticleer Holdings” or the “Company”), a business operator focused on expanding the Hooters casual dining restaurant brand in international markets, announces the pricing of an underwritten public offering of 2,444,450 units at an offering price of $4.50 per unit, with each unit consisting of one share of common stock and one warrant to purchase one share of common stock. The units will begin trading on The NASDAQ Capital Market on June 21, 2012 under the symbol “HOTRU”. The common stock and warrants will not be separately transferable for a minimum of 30 days, unless the representatives of the underwriters determine that an earlier date is acceptable, and no later than 45 days from the date of the prospectus. Each warrant will have an exercise price of $5.00 per share, will be exercisable upon separation of the units, and will expire in five years. When separately transferable, the warrants will trade on The NASDAQ Capital Market under the symbol “HOTRW”.
The gross proceeds to Chanticleer Holdings from this offering is expected to be approximately $11 million, before deducting underwriting discounts, commissions, and other estimated offering expenses. Chanticleer Holdings has granted the underwriters a 45-day option to purchase up to 366,667 additional units to cover over-allotments, if any. All of the units in this offering are to be sold by Chanticleer Holdings.
The Company plans to use net proceeds from this offering for investment in Hooters international franchises, pay off existing debt, and for general corporate working capital.
Merriman Capital, Inc. and Dawson James Securities, Inc. acted as joint book runners in this offering.
Chanticleer Holdings is also announcing that, effective, today, its common stock will begin trading on The NASDAQ Capital Market under the symbol “HOTR”. In connection with its listing on the NASDAQ Capital Market, Chanticleer Holding’s common stock will cease trading on the OTC QB.
June 20, 2012