Charlie's Holdings (OTCQB:CHUC) Secures $2.0 Million Credit Facility with Independent Board Member
Charlie's Holdings (OTCQB:CHUC) has secured a favorable $2 million credit facility from independent board member Michael D. King to support inventory purchases for their successful SBX™ product line. The facility includes three tranches ($1M initial, two $500K subsequent) at 13% interest rate with 12-month terms.
The non-dilutive financing comes as SBX sales exceed expectations in Southeast regions. In consumer testing, Charlie's non-nicotine SBX Disposables were preferred over Juul tobacco-flavored vapes by a 15:1 margin. The credit facility is notably shareholder-friendly, featuring no equity conversion rights or warrants, with King (who owns >2.5% of CHUC) indicating potential for additional funding if needed.
Charlie's Holdings (OTCQB:CHUC) ha ottenuto una favorevole linea di credito da 2 milioni di dollari dall'amministratore indipendente Michael D. King per sostenere l'acquisto di scorte per la linea di prodotti SBX™. La facility prevede tre tranche (1M$ iniziale, due tranche successive da 500K$) al 13% di interesse con scadenza a 12 mesi.
Il finanziamento non diluitivo arriva mentre le vendite di SBX superano le attese nelle regioni sudorientali. Nei test con i consumatori, i dispositivi monouso SBX senza nicotina di Charlie's sono risultati preferiti rispetto agli e-cigarette al gusto tabacco di Juul con un margine di 15:1. La linea di credito è particolarmente favorevole per gli azionisti, senza diritti di conversione in azioni né warrant; King (che possiede >2,5% di CHUC) ha indicato la possibilità di ulteriori finanziamenti se necessario.
Charlie's Holdings (OTCQB:CHUC) ha asegurado una favorable línea de crédito de 2 millones de dólares del miembro independiente de la junta Michael D. King para apoyar compras de inventario de su línea de productos SBX™. La facilidad incluye tres tramos (1M$ inicial, dos tramos posteriores de 500K$) con un tipo de interés del 13% y plazos de 12 meses.
El financiamiento no dilutivo llega mientras las ventas de SBX superan las expectativas en las regiones del sudeste. En pruebas con consumidores, los desechables SBX sin nicotina de Charlie's fueron preferidos frente a los vaporizadores con sabor a tabaco de Juul por un margen de 15:1. La línea de crédito es notablemente favorable para los accionistas, sin derechos de conversión de capital ni warrants; King (que posee >2,5% de CHUC) indicó la posibilidad de financiación adicional si hace falta.
Charlie's Holdings (OTCQB:CHUC)는 독립 이사 마이클 D. 킹으로부터 성공적인 SBX™ 제품 라인의 재고 구매를 지원하기 위해 유리한 200만 달러 신용 한도를 확보했습니다. 이 시설은 세 번의 분할(초기 100만 달러, 이후 각 50만 달러 두 건)로 구성되며 연 13% 금리, 만기는 12개월입니다.
비희석성 자금 조달은 SBX 판매가 동남 지역에서 기대를 웃돌고 있는 가운데 이루어졌습니다. 소비자 테스트에서 찰리의 무니코틴 SBX 일회용 기기는 주울(Juul)의 담배 맛 전자담배보다 15:1 비율로 더 선호되었습니다. 이 신용 한도는 주주 친화적으로 주식 전환권이나 워런트가 없으며, 킹(CHUC 지분 >2.5%)은 필요 시 추가 자금 지원 가능성을 시사했습니다.
Charlie's Holdings (OTCQB:CHUC) a obtenu une facilité de crédit de 2 millions de dollars favorable de la part du membre indépendant du conseil Michael D. King pour soutenir les achats d'inventaire de sa gamme SBX™. La facilité comprend trois tranches (1M$ initial, deux tranches suivantes de 500K$) au taux d'intérêt de 13% avec une durée de 12 mois.
Ce financement non dilutif intervient alors que les ventes de SBX dépassent les attentes dans les régions du Sud-Est. Lors de tests consommateurs, les dispositifs jetables SBX sans nicotine de Charlie's ont été préférés aux vapes goût tabac de Juul par un ratio de 15:1. La facilité de crédit est particulièrement favorable aux actionnaires, sans droits de conversion en actions ni warrants ; King (qui détient >2,5% de CHUC) a indiqué la possibilité d'un financement supplémentaire si nécessaire.
Charlie's Holdings (OTCQB:CHUC) hat eine vorteilhafte 2-Millionen-Dollar-Kreditlinie vom unabhängigen Vorstandsmitglied Michael D. King erhalten, um Lagerbestände für die erfolgreiche SBX™-Produktlinie zu finanzieren. Die Einrichtung umfasst drei Tranchen (1M$ initial, zwei weitere à 500K$) zu einem Zinssatz von 13% mit einer Laufzeit von 12 Monaten.
Die nicht verwässernde Finanzierung erfolgt, während die SBX-Verkäufe in den südöstlichen Regionen die Erwartungen übertreffen. Bei Verbrauchertests wurden Charlies nikotinfreie SBX-Einweggeräte gegenüber Juul-Tabakgeschmack-Vapes mit einem Verhältnis von 15:1 bevorzugt. Die Kreditlinie ist ausdrücklich aktionärsfreundlich, ohne Umtauschrechte in Aktien oder Warrants; King (der >2,5% von CHUC besitzt) deutete an, bei Bedarf zusätzliche Mittel bereitstellen zu können.
- Secured non-dilutive $2M credit facility with favorable 13% interest rate
- SBX product line experiencing strong sales performance in Southeast regions
- Consumer testing shows 15:1 preference over Juul products
- Potential for additional funding from the same investor if needed
- No convertible debt or warrants included in the financing terms
- Relatively high 13% interest rate on the credit facility
- Balloon payment structure could present refinancing risk at maturity
Company-Friendly Facility Will Make Possible Increased SBX™ Inventory Purchases
COSTA MESA, CA / ACCESS Newswire / August 26, 2025 / Charlie's Holdings, Inc. (OTCQB:CHUC) ("Charlie's" or the "Company"), an industry leader in the premium vapor products space, today reported that the Company has signed a very favorable
Early SBX sales in several regions across the Southeast have exceeded Company expectations. Non-nicotine SBX provides a great way for adults who use conventional vape products - or combustible cigarettes - to enjoy the taste and sensation of traditional flavored nicotine products in a distinctive new product that is legal across most of the United States. In a Company-sponsored focus group survey of adult consumers who vape, Charlie's non-nicotine SBX Disposables were preferred over Juul tobacco-flavored vapes 15:1.
In order to both facilitate increased SBX inventory purchases and to fuel the Company's growth in the mass market convenience store channel, Michael D. King, independent Board Member and current owner of more than
Further, if Company sales warrant, Mr. King has indicated his willingness to consider additional loans in coming months.
"We are fortunate to have the problem of requiring more funds to meet market demand for SBX… and we are absolutely determined to grow prudently," explained Henry Sicignano, Charlie's President. "Though most public companies in our position may have initiated a dilutive equity financing… taken on convertible debt… or borrowed at usurious rates offered by private lenders, COO Ryan Stump and I were determined to secure excellent financing terms for Charlie's. Indeed, we believe Mike King's credit facility is exceptionally beneficial to CHUC shareholders."
Michael D. King, independent Board Member and private investor commented, "CHUC has a compelling strategic plan, tangible competitive advantages, and a management team with more skin in the game than any other public company I know. I look forward to CHUC uplisting to a national securities exchange… hopefully at a much higher market cap. Henry and Ryan have my unwavering support."
About Charlie's Holdings, Inc.
Charlie's Holdings, Inc. (OTCQB:CHUC) is an industry leader in the premium vapor products space. The Company's products are sold around the world to select distributors, specialty retailers, and third-party online resellers through subsidiary company Charlie's Chalk Dust, LLC has developed an extensive portfolio of brand styles, flavor profiles, and innovative product formats.
For additional information, please visit Charlie's corporate website at: Chuc.com and the Company's branded online websites: sbxvape.com, CharliesChalkDust.com, enjoypachamama.com, and Pacha.co.
Safe Harbor Statement
This press release contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements regarding the Company's overall business, existing and anticipated markets and expectations regarding future sales and expenses. Words such as "expect," "anticipate," "should," "believe," "target," "project," "goals," "estimate," "potential," "predict," "may," "will," "could," "intend," variations of these terms or the negative of these terms, and similar expressions, are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the Company's control. The Company's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: the Company's ongoing ability to quote its shares on the OTCQB; whether the Company will meet the requirements to up-list to a national securities exchange in the future; the Company's ability to successfully increase sales and enter new markets; whether the Company's PMTA's for its nicotine-containing products will be authorized by the FDA, and the FDA's decisions with respect to the Company's future PMTA's for nicotine products; the Company's ability to manufacture and produce products for its customers; the Company's ability to formulate new products; the acceptance of existing and future products; the complexity, expense and time associated with compliance with government rules and regulations affecting nicotine, synthetic nicotine, products containing nicotine substitutes, and products containing cannabidiol; litigation risks from the use of the Company's products; risks of government regulations; the impact of competitive products; and the Company's ability to maintain and enhance its brands, as well as other risk factors included in the Company's most recent quarterly report on Form 10-Q, annual report on Form 10-K, and other SEC filings. These forward-looking statements are made as of the date of this press release and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Except as required by law, the Company undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in its expectations.
Investors Contact:
IR@charliesholdings.com
Phone: 949-570-069
SOURCE: Charlie's Holdings, Inc.
View the original press release on ACCESS Newswire
FAQ
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