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NORWALK, Conn., Jan. 06, 2025 (GLOBE NEWSWIRE) -- Reed’s, Inc. (OTCQX: REED) (“Reed’s” or the “Company”), owner of the nation’s leading portfolio of handcrafted, natural ginger beverages, today announced the closing of a securities purchase agreement for a private investment in public equity (“PIPE”) financing. The transaction, which closed on December 30, 2024, generated gross proceeds of $10 million.
Pursuant to the terms of the securities purchase agreement, the Company sold an aggregate of approximately 14.7 million shares of its common stock at a price of $0.68 per share. The issuance price reflected a premium to the closing stock price on December 30, 2024.
“This financing marks another important step in advancing our growth strategy and creating long-term value for our shareholders,” said Norman E. Snyder, Jr., CEO of Reed’s. “The additional capital will support our efforts to invest in personnel and marketing resources, pursue accretive M&A opportunities and strategic partnerships, and expand internationally, all of which we believe will accelerate our growth. With a strengthened balance sheet and optimized cost structure, we are looking forward to executing on our goal of returning Reed’s to sustainable growth and profitability in 2025.”
For more information, please reference the Company’s 8-K filed today, January 6, 2025, with the Securities and Exchange Commission.
About Reed's, Inc.
Reed’s is an innovative company and category leader that provides the world with high quality, premium and naturally bold™ better-for-you beverages. Established in 1989, Reed's is a leader in craft beverages under the Reed’s®, Virgil’s® and Flying Cauldron® brand names. The Company’s beverages are now sold in over 45,000 stores nationwide.
Reed’s is known as America's #1 name in natural, ginger-based beverages. Crafted using real ginger and premium ingredients, Reed’s portfolio includes ginger beers, ginger ales, ready-to-drink ginger mules and hard ginger ales. The brand has recently successfully expanded into the zero-sugar segment with its proprietary, natural sweetener system.
Virgil's® is an award-winning line of craft sodas, made with the finest natural ingredients and without GMOs or artificial preservatives. The brand offers an array of great tasting, bold flavored sodas including Root Beer, Vanilla Cream, Black Cherry, Orange Cream, and Cola. These flavors are also available in five zero sugar varieties which are naturally sweetened and certified ketogenic.
Flying Cauldron® is a non-alcoholic butterscotch beer prized for its creamy vanilla and butterscotch flavors. Sought after by beverage aficionados, Flying Cauldron is made with natural ingredients and no artificial flavors, sweeteners, preservatives, gluten, caffeine, or GMOs.