BOCA RATON, Fla., Sept. 10, 2013 (GLOBE NEWSWIRE) -- Celsius Holdings, Inc., (Other OTC:CELH) the creator and marketer of Celsius®, the world's first and only negative calorie drink backed by clinical science, today reported that CDS Ventures of South Florida, LLC increased their stake in Celsius Holdings Inc. and extended the debt instrument.
On August 26th, Celsius Holdings, Inc. issued 2,200 shares of a newly created Series C Preferred Stock to CDS Ventures of South Florida, LLC and realized $2,200,000 in gross proceeds from the stock sale. The stock is entitled to receive dividends at a rate of 6 percent per year and is convertible into shares of common stock at a conversion price equal to $0.52 per share. The proceeds from the transaction will be used to repay senior indebtedness.
Celsius Holdings, Inc. also announced that the maturity date of the senior promissory note for $7.45 million under the Company's Senior Credit Facility has been extended from July 12, 2014 to July 12, 2015. In addition, the maturity date of the convertible note for $1.5 million has been extended from September 8, 2014 to September 8, 2015; all other terms remain the same.
"I am pleased with the results over the past two quarters," Mr. Carl DeSantis, chairman and CEO of CDS Ventures of South Florida LLC, stated. "Celsius benefits are meeting the needs of the consumer in the three fastest growing categories in retail." Mr. DeSantis continued, "My confidence in the Celsius brand and the management team could not be stronger."
"Our association with Mr. DeSantis and CDS Ventures, has allowed our team to execute the turnaround initiatives and lay a strong foundation for the future," Mr. Gerry David, president and CEO stated. Mr. David continued, "Mr. DeSantis' track record of success coupled with his passion for Celsius has been an inspiration to our organization."
About Celsius Holdings, Inc.
Celsius Holdings, Inc. (Other OTC:CELH.PK) markets Celsius®, which is backed by science. Celsius is dedicated to providing healthier, everyday refreshment through science and innovation. For more information, please visit www.celsius.com.
This press release may contain statements that are not historical facts and are considered forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements contain projections of Celsius Holdings' future results of operations and/or financial position, or state other forward-looking information. In some cases you can identify these statements by forward-looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," "would," or similar words. You should not rely on forward-looking statements since Celsius Holdings' actual results may differ materially from those indicated by forward-looking statements as a result of a number of important factors. These factors include, but are not limited to: general economic and business conditions; our business strategy for expanding our presence in our industry; anticipated trends in our financial condition and results of operation; the impact of competition and technology change; existing and future regulations affecting our business; and other risks and uncertainties discussed in the reports Celsius Holdings has filed previously with the Securities and Exchange Commission. Celsius Holdings does not intend to and undertakes no duty to update the information contained in this press release.