Weed Drinks Maker Jones Soda Closes First Tranche Of Private Placement Offering, Here's Where The Money Would Go

Jones Soda Co. JSDA JSDA announced on Monday that it has closed the first tranche of a previously announced private placement offering of its units for aggregate gross proceeds of $3,013,960.

What Happened

The offering is composed of one common share in the capital of the company and one‐half of one detachable share purchase warrant.

The weed-infused drinks innovator first announced a private placement of up to 7.5 million units for 40 cents per unit, for a total gross proceeds of $3 million earlier in July, only to increase the size of its private placement shortly after. According to a July 11 press release, Jones Soda said it will issue up to 10 million units of the company for $0.40 per unit, for aggregate gross proceeds of $4 million.

Following the upsizing of the offering, Jones Soda announced that it intends to issue up to a maximum of 12. 5 million of its units for $0.40 per unit, for aggregate gross proceeds of up to $5 million, according to a subsequent press release.

Read Also: Cannabis-Infused Innovator Jones Soda Co. Partners With Street League Skateboarding In Multi-Year Deal

Why It Matters

The Seattle-based company said it intends to use the net proceeds of the offering to support growth and for general corporate purposes.

What's Next

The company said it expects to close a second tranche of the offering on or about July 31, 2024.

JSDA Price Action

Jones Soda shares closed Friday's market session trading 0.41% lower at $0.489 per share.

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