Staffing 360 Solutions Announces $1.74 Million Registered Direct Offering of Common Stock Priced At-the-Market Under Nasdaq R...
December 30 2020 - 11:20AM
Staffing 360 Solutions, Inc. (NASDAQ: STAF), a staffing company
executing an international buy-integrate-build strategy through the
acquisition of staffing organizations in the United States and the
United Kingdom, today announced that it has entered into securities
purchase agreements with several institutional investors for the
purchase and sale, in a registered direct offering priced
at-the-marked under Nasdaq rules, of 2,662,596 shares of its common
stock at a purchase price of $0.655 per share for gross proceeds of
approximately $1.74 million. The offering is expected to close on
or about January 4, 2021, subject to satisfaction of customary
closing conditions.
The Company intends to use 75% of the net
proceeds from the registered direct offering to redeem a portion of
its outstanding note due September 30, 2022, and 25% of the net
proceeds from this offering to redeem a portion of its Series E
Preferred Stock.
H.C. Wainwright & Co. is acting as sole
book-running manager for the offering.
A shelf registration statement on Form S-3 (File
No. 333-230503) relating to the registered direct offering of the
shares of common stock described above was filed with the
Securities and Exchange Commission (“SEC”) and was declared
effective on April 11, 2019. The offering of the shares of common
stock is being made only by means of a prospectus supplement and
accompanying prospectus that forms a part of the registration
statement. Electronic copies of the final prospectus supplement and
the accompanying prospectus will be filed with the SEC and may be
obtained, when available, from H.C. Wainwright & Co., LLC, 430
Park Avenue, 3rd Floor, New York, NY 10022, by calling (646)
975-6996 or by emailing placements@hcwco.com or at the SEC’s
website at http://www.sec.gov.
This press release shall not constitute an offer
to sell or the solicitation of an offer to buy nor shall there be
any sale of these securities in any state or jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About Staffing 360 Solutions, Inc.Staffing 360 Solutions, Inc.
is engaged in the execution of an international buy-integrate-build
strategy through the acquisition of domestic and international
staffing organizations in the United States and United Kingdom. For
more information, visit www.staffing360solutions.com.
Forward-Looking StatementsThis
press release contains forward-looking statements, which may be
identified by words such as “expect,” “look forward to,”
“anticipate” “intend,” “plan,” “believe,” “seek,” “estimate,”
“will,” “project” or words of similar meaning. Forward-looking
statements are not guarantees of future performance, are based on
certain assumptions and are subject to various known and unknown
risks and uncertainties, many of which are beyond the Company’s
control, and cannot be predicted or quantified, and include, among
others, statements regarding the consummation of the registered
direct offering, the satisfaction of customary closing conditions
related to the registered direct offering and the intended use of
net proceeds from the registered direct offering; consequently,
actual results may differ materially from those expressed or
implied by such forward-looking statements. Such risks and
uncertainties include, without limitation, market and other
conditions; the Company’s ability to retain the listing of its
common stock on the Nasdaq Capital Market; the geographic, social
and economic impact of COVID-19 on the Company’s ability to conduct
its business and raise capital in the future when needed; weakness
in general economic conditions and levels of capital spending by
customers in the industries the Company serves; weakness or
volatility in the financial and capital markets, which may result
in the postponement or cancellation of customer capital projects or
the inability of the Company’s customers to pay the Company’s fees;
the termination of a major customer contract or project; delays or
reductions in U.S. government spending; credit risks associated
with the Company’s customers; competitive market pressures; the
availability and cost of qualified labor; the Company’s level of
success in attracting, training and retaining qualified management
personnel and other staff employees; changes in tax laws and other
government regulations, including the impact of health care reform
laws and regulations; the possibility of incurring liability for
the Company’s business activities, including, but not limited to,
the activities of the Company’s temporary employees; the Company’s
performance on customer contracts; negative outcome of pending and
future claims and litigation; government policies, legislation or
judicial decisions adverse to the Company’s businesses; the
Company’s ability to access the capital markets by pursuing
additional debt and equity financing to fund its business plan and
expenses on terms acceptable to the Company or at all; the
Company’s ability to achieve loan forgiveness under Paycheck
Protection Program; and the Company’s ability to comply with its
contractual covenants, including in respect of its debt agreements,
as well as various additional risks, many of which are now unknown
and generally out of the Company’s control, and which are detailed
from time to time in reports filed by the Company with the SEC,
including quarterly reports on Form 10-Q, reports on Form 8-K and
annual reports on Form 10-K. Staffing 360 Solutions does not
undertake any duty to update any statements contained herein
(including any forward-looking statements), except as required by
law.
Investor Relations Contacts:Harvey Bibicoff,
CEOBibicoff + MacInnis, Inc.(818) 379-8500 x1harvey@bibimac.com
Terri MacInnis, VP of IRBibicoff + MacInnis, Inc.(818) 379-8500
x2terri@bibimac.com
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