On June 18 Rodobo International ( RDBO) announced today that it has signed an agreement with various institutional investors for the private placement of an aggregate of 1,111,112 shares of its common stock and warrants to purchase 555,556 shares of its common stock for an aggregate purchase price of $3,000,000, or $2.70 per share. The warrants are immediately exercisable following issuance, have a term of exercise of 5 years and an exercise price of $3.50 per share.
The company intends to use the proceeds of the private placement for general corporate purposes, which may include working capital, capital expenditures, acquisitions of new businesses and investments.
Rodman & Renshaw, LLC, a wholly owned subsidiary of Rodman&Renshaw Capital Group, Inc. (Nasdaq: RODM), served as the company's lead placement agent and FT Global Capital, Inc. served as the company's co-placement agent for the transaction.
The institutional investors include:
Whitebox Multi Strategy Partners, L.P
Whitebox Small Cap Long Short Equity Partners, L.P.
CNH Diversified Opportunities Master Account, L.P.
Chestnut Ridge Partners, LP
Iroquois Master Fund Ltd.
The USX China Fund
Empery Asset Master, LTD
Hartz Capital Investments, LLC
Hudson Bay Fund LP
Hudson Bay Overseas Fund, LTD.
Rodman & Renshaw, LLC
Cranshire Capital LP
Freestone Advantage Partners LP
FirsTrust Group, Inc.
A good sign that these funds think Rodobo (RDBO) has potential. I already mentioned in earlier posts that the company has a strong footprint in the expanding dairy market.