Deal sells 9% three-year convertibles along with three-year warrants
By Devika Patel
Knoxville, Tenn., Oct. 18 - Rick's Cabaret International, Inc. completed a $4.53 million convertible debenture private placement on Oct. 15, according to an 8-K filed Friday with the Securities and Exchange Commission.
The 9% debenture is convertible into common shares at $12.50 per share. The note matures in three years and may be redeemed.
Investors also received warrants for 72,400 common shares. Each warrant is exercisable at $12.50 until Oct. 15, 2016.
The strike price and conversion price are a 4.52% premium to the Oct. 14 closing share price of $11.96.
Rick's is a Houston-based operator of adult nightclubs.
| Issuer: | Rick's Cabaret International, Inc.
|
| Issue: | Convertible debentures
|
| Amount: | $4,525,000
|
| Maturity: | Three years
|
| Coupon: | 9%
|
| Conversion price: | $12.50
|
| Call: | Yes
|
| Warrants: | For 72,400 shares
|
| Warrant expiration: | Oct. 15, 2016
|
| Warrant strike price: | $12.50
|
| Settlement date: | Oct. 15
|
| Stock symbol: | Nasdaq: RICK
|
| Stock price: | $11.96 at close Oct. 14
|
| Market capitalization: | $111.19 million
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
