Better Choice Company Set to Retire up to $10.4M of Debt Obligations and Majority of Outstanding Warrants
Rhea-AI Summary
Better Choice Company (NYSE: BTTR) announced the retirement of substantial debt obligations and the settlement of litigation with Alphia. The Company will retire $5 million in senior secured debt plus $0.4 million in accrued interest and eliminate $5 million of other indebtedness at a 56% face value reduction within 90 days, saving up to $2.7 million. Additionally, 335,640 outstanding warrants with an $11.44 strike price have been retired. Michael Young, Chairman, highlighted that these actions position the Company for growth and profitability, reinforced by confidence in the leadership team.
Positive
- Retirement of $5 million in senior secured debt plus $0.4 million in accrued interest.
- Elimination of $5 million in other indebtedness with up to $2.7 million in savings if paid within 90 days.
- Retirement of 335,640 outstanding warrants with an $11.44 strike price.
Negative
- None.
News Market Reaction – BTTR
In the trading session that priced this news, BTTR gained 28.99%, reflecting a significant positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Senior Secured Debt of
Additionally 335,640 Outstanding Warrants With
NEW YORK, June 20, 2024 (GLOBE NEWSWIRE) -- Better Choice Company (NYSE: BTTR) (“Better Choice” or the “Company”), a pet health and wellness company, today announced that it has reached an amicable settlement with Alphia, Inc. (“Alphia”) that dismisses the Company’s ongoing litigation with Alphia and results in the retirement of its senior secured debt that includes
Michael Young, Chairman of the Board, commented, “With the retirement of our senior debt, plan to eliminate the majority of our accounts payable, and our extended manufacturing relationship with Alphia, we are now positioned for growth and profitability. We have
About Better Choice Company Inc.
Better Choice Company Inc. is a rapidly growing pet health and wellness company focused on providing pet products and services that help dogs and cats live healthier, happier and longer lives. We offer a broad portfolio of pet health and wellness products for dogs and cats sold under our Halo brand across multiple forms, including foods, treats, toppers, dental products, chews, and supplements. We have a demonstrated, multi-decade track record of success and are well positioned to benefit from the mainstream trends of growing pet humanization and consumer focus on health and wellness. Our products consist of kibble and canned dog and cat food, freeze-dried raw dog food and treats, vegan dog food and treats, oral care products and supplements. Halo’s core products are made with high-quality, thoughtfully sourced ingredients for natural, science-based nutrition. Each innovative recipe is formulated with leading veterinary and nutrition experts to deliver optimal health. For more information, please visit betterchoicecompany.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. The Company has based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Some or all of the results anticipated by these forward-looking statements may not be achieved. Further information on the Company’s risk factors is contained in our filings with the SEC. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
Company Contact:
Better Choice Company Inc.
Kent Cunningham, CEO
Investor Contact:
KCSA Strategic Communications
Valter Pinto, Managing Director
T: 212-896-1254
Valter@KCSA.com
