Jones Soda Co. To Raise $3.2 Million In Stock Offering

Jones Soda Co. announced it has entered into a definitive agreement with institutional and accredited investors to sell common stock and warrants in a registered direct offering with gross proceeds of approximately $3.2 million.

"The proceeds of this equity financing will support our cash flow as we continue our mission to increase sales and distribution and improve the bottom line," said Bill Meissner, CEO of Jones Soda in a prepared statement. "We believe that we are headed in the right direction, and these funds, combined with our current cash and our previously announced $2 million credit facility, significantly enhance our financial position and will further enable us to work towards sustainable profitability."

In connection with the offering, the company will issue an aggregate of 6,415,000 shares of common stock and warrants to purchase up to an additional 3,207,500 shares of common stock. The securities will be sold in units at a price of $0.50 per unit, with each unit consisting of one share of common stock and a warrant to purchase 0.5 of a share of common stock. The warrants will have an exercise price of $0.70 per share and are exercisable for a five-year period commencing six months after issuance.

The closing of the offering is expected to occur on or about February 6, 2012, subject to customary closing conditions, at which time the company will receive the cash proceeds and deliver the securities.

Rodman & Renshaw, LLC, a wholly owned subsidiary of Rodman & Renshaw Capital Group, Inc., acted as the exclusive placement agent for the offering.

The common stock and warrants are being offered by the company pursuant to an effective registration statement on Form S-3 filed with the Securities and Exchange Commission (SEC). A prospectus supplement relating to the offering described above will be filed with the SEC.

The securities may only be offered by means of a prospectus. Copies of the prospectus supplement and related prospectus can be obtained directly from Rodman & Renshaw, LLC at or (212) 356-0549, or by mail at 1251 Avenue of the Americas, 20th Floor, New York, NY 10020, or from the SEC's website at