Surrey-based Russell Breweries Inc. (TSX-V:RB) has retained Vancouver’s Canaccord Genuity Corp. (TSX:CF) in its efforts to raise up to $2 million on the public markets.
Russell plans to offer convertible debentures that will mature 24 months from the date they are issued, which can be converted into common shares at a price of $0.15 per share. The debenture will offer 10% interest per year, payable quarterly.
It also plans to sell special units priced at $0.08 per share consisting of one common share and one share purchase warrant, giving the warrant holder the right to purchase an additional share at $0.15 per share.
The company is one of B.C.’s fastest growing over the past few years, with revenue rising to $6 million in the nine-month period ending March 31, up from $5.2 million in the same period in 2009. Its net loss for the period fell to $1 million, down from $1.7 million.
Last week, the company implemented a new employer share purchase plan, giving employees an opportunity to take an increasing ownership of the company with share acquisitions made from an employee’s biweekly salary payment.
Russell Breweries’ share price range during the past week: between $0.08 and $0.085; 52-week high: $0.19; 52-week low: $0.07.