Attached files
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EX-4.1 - EX-4.1 - MAD CATZ INTERACTIVE INC | a59292exv4w1.htm |
EX-10.2 - EX-10.2 - MAD CATZ INTERACTIVE INC | a59292exv10w2.htm |
8-K - FORM 8-K - MAD CATZ INTERACTIVE INC | a59292e8vk.htm |
EX-10.1 - EX-10.1 - MAD CATZ INTERACTIVE INC | a59292exv10w1.htm |
EXHIBIT 99.1
MAD CATZ ANNOUNCES APPROXIMATELY $12.2 MILLION PRIVATE
PLACEMENT FINANCING
PLACEMENT FINANCING
- Proceeds and Credit Facility Borrowings to be Used to
Repay the Outstanding Convertible Note -
Repay the Outstanding Convertible Note -
San Diego April 18, 2011 Mad Catz® Interactive, Inc. (Mad Catz) (AMEX/TSX: MCZ)
announced today that it has received securities purchase agreements from accredited investors for
the private placement of approximately 6.35 million shares of its common stock at $1.92 per share
and warrants to purchase approximately 2.54 million additional shares of its common stock. The
warrants to purchase additional shares will be exercisable at a price of $2.56 per share for 5
years commencing six months and one day following their issue date. The Company plans to file a
registration statement with the Securities and Exchange Commission to permit the resale of the
shares and shares underlying the warrants. Roth Capital Partners served as exclusive placement
agent for the transaction.
The net proceeds of the private placement along with borrowings under the Companys credit facility
will be used to repay in full the $14.5 million of principal and $0.2 million interest on the
convertible notes payable issued in November 2007 as partial consideration of the Companys
acquisition of Saitek. The note carries an interest rate of 7.5% and is convertible into Mad Catz
common shares at $1.42 per share. The Company recently made a voluntary repayment of $8.0 million
on the convertible note, funded through borrowings under its credit facility, leaving an
outstanding balance of approximately $6.7 million. The Company intends to repay the balance of the
convertible note outstanding and reduce borrowings under its credit facility with the proceeds of
the private placement.
Darren Richardson, Mad Catzs President and Chief Executive Officer, stated, We appreciate the
confidence that investors have shown in Mad Catz and are extremely pleased with the success of the
offering. The private placement will allow us to retire a significant liability from our balance
sheet, reduce interest expense, and improve our liquidity position to support the further growth of
our business.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy
securities. The securities offered and sold in the private placement have not been registered under
the Securities Act of 1933, as amended, or any state securities laws, and may not be offered or
sold in the United States absent registration, or an applicable exemption from registration under
the Securities Act and applicable state securities laws.
The offering is expected to be consummated
by April 22, 2011, subject to customary closing conditions.
About Mad Catz Interactive, Inc.
Mad Catz is a leading global provider of innovative products for the interactive entertainment
industry. Mad Catz develops and markets accessories for videogame systems and PCs under its Mad
Catz (casual gaming), Saitek (simulation), Cyborg (pro gaming), Eclipse (home and office), Tritton
(gaming audio) and V-Max (flight simulation) brands. Mad Catz also operates e-commerce and content
websites for videogame and PC products under its GameShark brand, develops, manufactures and
markets proprietary earphones under its AirDrives brand, and publishes and distributes video/PC
games. Mad Catz distributes its products through most of the leading retailers offering
interactive entertainment products and has offices in North America, Europe and Asia. For
additional information please go to www.madcatz.com, as well as www.store.gameshark.com, www.saitek.com, www.cyborggaming.com,
www.eclipsetouch.com, www.trittontechnologies.com, www.gameshark.com and www.airdrives.com.
Track Mad Catz via the following social media:
Facebook® Page:
|
http://www.facebook.com/MadCatzInc | |
Twitter® Page:
|
http://twitter.com/MadCatzInc | |
YouTube® Channel:
|
http://www.youtube.com/MadCatzCompany |
Contact: |
||
Darren Richardson, Allyson Vanderford
|
Joseph Jaffoni, Norberto Aja, Jim Leahy | |
Chief Executive Officer, Interim CFO
|
Jaffoni & Collins Incorporated | |
Mad Catz Interactive, Inc.
|
212/835-8500 or mcz@jcir.com | |
619/683-9830 |
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