BG Staffing reports Q1 revenue of $40.9m & $636.5k equity placement
The company also announced that it expects to enter into subscription agreements with certain investors to sell an aggregate of 636,500 shares of its common stock in a registered shelf offering for gross proceeds of approximately $7,000,000, before deducting placement agent fees and estimated offering expenses. The shares are being offered at a price of $11.00 per share.
Taglich Brothers, Inc. is acting as exclusive placement agent for the offering. National Securities Corporation is acting as the qualified independent underwriter for the offering.
The Company intends to use all of the funds to reduce debt. The closing of this offering is expected to occur on or about May 6, 2015, subject to satisfaction of customary closing conditions.
L. Allen Baker, Jr. president and CEO, said, "This financing allows us to continue to execute on our proven business model of organic growth and accretive acquisitions. During the first quarter this year we completed our latest acquisition which diversified our reach into the accounting and finance market. We continually seek appropriate acquisitions which would broaden our service offerings and/or geographic footprint in the U.S."