Stock Sale Boosts Riviera
Riviera also granted warrants for the investors to purchase additional stock, which would generate additional capital for the company.
“Our ability to secure additional working capital through the successful completion of this private equity placement underscores confidence in our new approach to stamping die management,” said Kenneth Rieth, chairman and CEO. “The proceeds from this offering will provide the necessary working capital to secure future large-scale programs and continue the growth of Riviera.”
In connection with this financing, Riviera issued five-year warrants for 335,792 shares of common stock. The exercise price for 167,896 shares is $5.07 per share and another 167,896 shares are set at $5.53 per share. If the warrants are exercised in full, Riviera would realize another $1.8 million in cash proceeds.