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Twinlab Consolidated Holdings, Inc. and Capstone Financial Group, Inc. Announce $57 Million Investment Agreements
Twinlab Consolidated Holdings, Inc. and Capstone Financial Group, Inc. Announce $57 Million Investment Agreements.
About this update from Twinlab Consolidated Holdings, Inc.
[{"type":"text","content":"\n\n\n\nTwinlab Consolidated Holdings, Inc. and Capstone Financial Group, Inc. Announce $57 Million Investment Agreements\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nTwinlab Consolidated Holdings, Inc. and Capstone Financial Group, Inc. Announce $57 Million Investment Agreements\nPR Newswire\nNEW YORK, Oct. 8, 2014\n\n\n\nNEW YORK, Oct. 8, 2014 /PRNewswire/ -- Twinlab Consolidated Holdings, Inc. (\"TLCC\" or the \"Company\") and Capstone Financial Group, Inc. (\"CAPP\" or \"Capstone\") filed Form 8-Ks with the SEC on Monday, October 6 to announce their entry into agreements providing for the investment by Capstone of up to $57 million into TLCC. Effective as of September 30, 2014, TLCC and CAPP entered into a Common Stock Put Agreement, pursuant to which TLCC issued a Series A Warrant to Capstone through which Capstone agreed to acquire $40 million of TLCC Common Stock over the 3-year term of the Warrant, at a cumulative investment rate of no less than $1,111,110 per month, beginning November 15, 2014. TLCC also issued a 3-year Series B Warrant to Capstone allowing Capstone to invest an additional $17 million in the Company.  \n\n\n\"We are proud to announce this significant financial commitment by Capstone Financial Group,\" remarked TLCC CEO Tom Tolworthy. \"This investment represents another measurable milestone for our company following our management-led buyout. We believe Capstone's confidence in our vision of creating accretive value from within our industry is evidenced by its willingness to invest in TLCC as an employee-owned leader in the health and wellness space,\" said Tolworthy.  \n\n\"We see TLCC as a sizable opportunity for us to firmly plant roots in the wellness industry through a company that has founded and led the health supplement space for almost 50 years with core brands like Twinlab and Alvita,\" remarked George Schneider, Capstone's president and chief investment officer. \"Our investment in Tolworthy and his team represents strong confidence in their a...