$2,750,000 Financing
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Delicious Alternative Desserts Ltd.
3/27/00 - Completion Of $2,750,000 Financing
DELICIOUS ALTERNATIVE DESSERTS LTD. ("DD-V") - Completion Of $2,750,000 Financing
DELICIOUS ALTERNATIVE DESSERTS LTD. (the "Company") reported the completion of a private placement of 8% subordinate secured Series II Special Notes (the "Series II Notes") in the aggregate principal amount of $2,750,000.
The Series II Notes were issued to Bank of Montreal Capital Corporation, First Ontario Fund and Royal Bank Ventures Inc. in the aggregate principal amount of $2,750,000 bearing interest at 8% per annum due March 31, 2003. Each Series II Note is convertible into an equivalent principal amount of debentures bearing interest at 8% per annum due March 31, 2003 and four common share purchase warrants (the "Warrants") for each dollar of principal amount. Each of the Warrants are exercisable for one common share of the Company at an exercise price of $0.25 per share in the first year, $0.30 per share in the second year and $0.35 per share in the third year.
The Series II Notes were issued upon the prepayment and cancellation of the 23.5% subordinated secured debentures of the Corporation due March 26, 2001 in the aggregate principal amount of $2,750,000 bearing interest at 23.5% per annum in favour of Bank of Montreal Capital Corporation, First Ontario Fund and Royal Bank Ventures Inc.
As a result of this financing, the interest costs of the Company have been reduced.
The Company is a manufacturer, distributor and marketer of distinctive high-profile brands of Premium and Super Premium ice creams and frozen desserts under such famous trademarks as Ben and Jerry's(tm), Cadbury's(tm), and Stoney Creek. TEL: (905) 662-4934 ext. 255 Ian F.T. Kennedy, FAX: (905) 662-6599
Chief Operating Officer
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