REG - Chill Brands Group - Proposed Open Offer

Chill BrandsAnnouncement

09/05/2022 07:00

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RNS Number : 7027K  Chill Brands Group PLC  09 May 2022

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018) ("UK MAR"), AS AMENDED BY REGULATION 11
OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.

9 May 2022

Chill Brands Group plc

("Chill Brands" or the "Company")

Proposed Open Offer

 

(London, UK, 9 May, 2022) Chill Brands, the international consumer packaged
goods company, is pleased to announce an update regarding its fundraising
plans.

Following the announcement on Tuesday 26 April 2022 (defined terms as per that
announcement) that the Company had conditionally raised £3,500,000 (before
expenses), an alternative proposal was received by Chill Brands' Board of
Directors (the "Board") on Friday 29 April 2022. Following careful
consideration, the Board has declined the proposal on the basis that it was
not considered commercially viable as it would not provide the Company with
sufficient working capital, or the funds required to resource business
activities that are believed to be in the best interests of Chill Brands and
its shareholders.

Further to feedback received from a number of long-term shareholders, the
Company is pleased to confirm that it intends to follow the previously
announced Fundraising with an open offer to shareholders to raise up to
approximately £484,000 ("Open Offer"), subject to the passing of all
resolutions at the upcoming General Meeting on 12 May 2022 ("Resolutions").
The Open Offer is proposed to be on economically equivalent terms to the
Fundraising and at a 1 for 10 ratio to existing shareholdings.  A further
announcement will be made on the Open Offer following the General Meeting.

Callum Sommerton, Chief Executive Officer, said: "We are pleased to announce
our intention to make this Open Offer to enable our shareholders to subscribe
on equivalent terms as participants in our recent Fundraising. Subject to
approval at our upcoming General Meeting, our recent fundraising activity will
ensure the Company is well capitalised and able to grow. In a world of CBD
lookalike products, we will continue to work to differentiate the Chill brand
from industry competitors as we seek to generate value for all
stakeholders."

-ENDS-

About Chill Brands Group

Chill Brands Group plc (LSE: CHLL, OTCQB: CHBRF) is an international company
focused on the development, production, and distribution of best-in-class
hemp-derived CBD products, tobacco alternatives and other consumer packaged
goods (CPG) products. The Company operates primarily in the US, where its
products are distributed online and via some of the nation's most recognizable
convenience retail outlets. The Group's strategy is anchored around lifestyle
marketing that is designed to enhance the popularity of its products,
channelling visitors to its landmark chill.com website.

Publication on website

A copy of this announcement is also available on the Company's website at
(http://www.chillbrandsgroup.com/) http://www.chillbrandsgroup.com
(http://www.chillbrandsgroup.com/)

Media enquiries:

 Chill Brands Group plc                                  contact@chillbrandsgroup.com
 Allenby Capital Limited (Financial Adviser and Broker)  +44 (0) 20 3328 5656
 Nick Harriss/Nick Naylor (Corporate Finance)

Kelly Gardiner (Equity Sales)

 

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