Better Choice Company (BTTR) Closes $ 17.8 Million Insider Funding to Grow

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Better Choice Closes $ 17.8 Million Insider Funding to Expand Fast-Growing Ecommerce, Direct to Consumers and International Channels

Better Choice Company (OTCQB: BTTR) (“Better Choice” or “the Company”), an animal health and welfare company, today announced the closing of a 17.8 Series F funding. millions of dollars. As part of this funding, management and board members funded approximately $ 11 million.

“We are all very excited to reach this crucial point in Better Choice’s capital structure,” said Michael Young, Chairman of the Board and key investor in Series F funding.

– PUBLICITY –

“I have been actively investing in Better Choice for over two years, after watching it grow to become the global multi-channel player it is today. Positive secular trends in the pet industry have never been stronger and I believe Better Choice is extremely well positioned in e-commerce, DTC and Asia to take advantage of the market opportunity. “

The company expects to generate approximately $ 45 million in revenue in 2020, of which approximately $ 30 million of its sales are expected to be generated online, which includes the sale of products to e-commerce retailers such as Chewy and Amazon as well as direct-to-consumer sales. through the company’s online web platform. Direct-to-consumer sales are expected to represent around $ 13 million in sales, with strong recurring revenue. Industry-wide, online sales of pet products grew from 22% of sales in 2019 and is expected to exceed 30% of total sales in 2020.

International sales, which are sold through domestic distributors, have increased significantly and are expected to generate $ 10 million in 2020. The company expects further growth in 2021 of around 50% based on current quarterly figures in its main target markets, which include China, Korea and Japan.

The capital of the increase will be deployed to significantly reduce the Company’s outstanding term loan, which is expected to reduce the Company’s monthly cash interest by approximately $ 110,000. The increased flexibility of the balance sheet will allow the Company to invest growth capital in its direct-to-consumer sales platform, to continue its international expansion, particularly in Asia, and to seek opportunities for potential mergers and acquisitions.

Young added, “Following the completion of our Series F financing, management, board and insiders will own over 50% of the company on a fully diluted basis. Given our current market cap relative to our peers, which trade up to 10x + earnings, vs BTTR at

“Our companion animal business continues to outperform our internal forecasts and we are delighted to be well positioned in a rapidly changing macroeconomic environment,” said Werner von Pein, CEO. “The Covid-19 pandemic has accelerated the shift to online shopping in the pet industry. With approximately 65% ​​of our sales at Better Choice expected to be generated online, we have taken advantage of this rapidly changing momentum by building a repeat customer base. In addition, we expect many positive results from our business in Asia, especially as we continue to increase our exports to China. “

Pursuant to the financing, investors received units consisting of a Series F convertible preferred share of the company, which are convertible into common shares of the company at a value of $ 0.50 per common share, and a bond of subscription for a period of six years, the number of common shares of the company into which this series F preferred share is convertible at an exercise price of $ 0.75 per share (a 50% premium over the initial conversion price of the Series F preferred shares).

For a more detailed description of the Offer and its associated terms, please refer to Form 8-K filed by the Company on October 2, 2020.

About Better Choice Company

Better Choice Company Inc. is a growing animal health and welfare company committed to leading the industry’s shift towards pet products and services that help dogs and cats live better lives. healthier, happier and longer. We take an alternative, nutrition-based approach to animal health to conventional dog and cat food offerings and position our brand portfolio to benefit from the prevailing trends in the increasing humanization of animals and attention. of consumers on health and well-being. We have a proven track record of decades of successful selling trusted animal health and welfare products and we leverage our established digital footprint to provide pet parents with the knowledge to make informed decisions. on the health of their animal. We sell most of our dog food, cat food and treats under the Halo and TruDog brands, which respectively focus on providing sustainably sourced kibble and canned foods derived from real whole meat, as well as lightly processed raw dog food and treats. For more information, please visit https://www.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 far as they concern us, are intended to identify forward-looking statements. The Company has based these forward-looking statements in large part on our current expectations and projections regarding future events and financial trends that we believe could affect our financial condition, results of operations, business strategy and needs. financial. Some or all of the results anticipated by these forward-looking statements may not be achieved. Further information on the company’s risk factors can be found 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 vary may appear from time to time and it is not possible for us to predict all of them. The Company assumes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.

Company contact:

Better Choice Company, Inc.
Werner von Pein, CEO

Investor contact:

RedChip Companies, Inc.
Dave gentry
407-491-4498
dave@redchip.com

The Post Better Choice Company (BTTR) Closes $ 17.8 Million Insider Funding To Grow First Appeared On Marijuana Stocks | Cannabis investments and news. Roots of an infant industry. (TM).

COMTEX_372209140 / 2683 / 2020-10-02T09: 28: 04

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