By Sheri Kasprzak
New York, Aug. 31 - Viper Powersports Inc. said it has completed two private placements for $18.9 million.
The company raised $15 million from a standby equity distribution agreement with Cornell Capital Partners, LP.
Under the two-year agreement, Cornell may buy shares of Viper at a 4% discount to the current market price. Viper may only sell up to $500,000 in shares in any draw.
Also, the company sold 1 million shares at $3.90 each.
Bathgate Capital Partners was the placement agent for the stock offering.
In other news, Viper said it plans to submit an application to list its stock on the Archipelago Exchange.
The proceeds from the financing round will be used to launch the company's motorcycle product line.
Based in Minneapolis, Viper Powersports makes custom motorcycles and associated products.
Equity agreement
| Issuer: | Viper Powersports Inc.
|
| Issue: | Standby equity distribution agreement
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| Amount: | $15 million
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| Price: | 4% discount to current market price
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| Tenor: | Two years
|
| Warrants: | No
|
| Investor: | Cornell Capital Partners, LP
|
| Settlement date: | Aug. 31
|
| Stock price: | $6.50 at close Aug. 30
|
|
|
| Stock
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| Issuer: | Viper Powersports Inc.
|
| Issue: | Stock
|
| Amount: | $3.9 million
|
| Shares: | 1 million
|
| Price: | $3.90
|
| Warrants: | No
|
| Placement agent: | Bathgate Capital Partners
|
| Settlement date: | Aug. 31
|
| Stock price: | $6.50 at close Aug. 30
|
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