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dELiA*s to use notes sale proceeds for working capital

19 Jun '14
1 min read

dELiA*s, Inc., an omni-channel retail company primarily marketing to teenage girls, announced that it has received stockholder approval for an amendment to its certificate of incorporation to increase the number of authorized shares of common stock. 
 
This will allow the Company to use $24.1 million in proceeds from the sale of secured convertible notes that occurred on February 18, 2014 through the conversion of the secured convertible notes into series B convertible preferred stock. The Company intends to use the proceeds for working capital and general corporate purposes.
 
Tracy Gardner, Chief Executive Officer, commented, “We are pleased to have received stockholder approval for this amendment, which allows us to improve our capital structure. This will give us additional financial flexibility as we continue to execute our turnaround strategy. We believe that there is great long-term potential for the Company and are working diligently to transform dELiA*s into a customer-centric teen brand.”
 
Janney Montgomery Scott LLC acted as the sole placement agent for the private placement transaction.
 
About dELiA*s, Inc.
dELiA*s, Inc. is an omni-channel retail company primarily marketing to teenage girls. It generates revenue by selling apparel, accessories, and footwear to consumers through its website, direct mail catalogs and mall-based retail stores.
 

dELiA*s

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