DC Brands International, Inc. announced the signing of a $10,000,000 equity funding facility with Centurion Private Equity, LLC, an institutional investor managed by Roswell Capital Partners, LLC. DC Brands intends to use the funding facility to fund production needs and capacity improvements to aid in its execution of its business model to nationally distribute its HARD Nutrition functional water systems. The funding facility will also be used to support general corporate purposes.
Centurion has committed to purchase for cash consideration, subject to certain conditions and limitations described in the agreement, up to an aggregate of $10,000,000 of DC Brand's common stock. Under the Equity Funding Facility, DC Brands may, at its discretion, periodically sell to Centurion shares of DC Brand's common stock not to exceed $500,000 per put at a price based upon the market price (as defined in the agreement) of DC Brand's common stock.
Additional details on the transaction are available in the company's 8-K filing with the Securities and Exchange Commission.
DC Brands International CEO and President, Richard Pearce said in a prepared statement: "We are excited and pleased to be working with such an experienced and professional team like Roswell. We believe that securing this flexible funding facility will allow us to focus all our efforts on the growth of our company, and help us expand our distribution channels. We are pleased to have in place the necessary means to ensure that we can meet our anticipated operational and growth requirements going forward."
Paul Gorski, senior investment officer at Roswell, added: "We are very excited to be working with DC Brands and look forward to providing them with capital and support to help them achieve their potential in the coming years."
Roswell Capital Partners, LLC is a fund management company focused on private equity investments in small-cap publicly traded securities. Since 1994, its members have served in the Private Equity Markets as the Principal or Investment Banker for over 125 public companies.