Forbidden Foods secures commitments for $1.08 million

Forbidden Foods has announced it has received firm commitments to raise $1.08 million through a share placement, which will support its expansion plans in the United States.

The $1.08 million (before costs) was through 30.42 million shares issued at $0.0355 per share. An additional 1:3 rights issue to eligible shareholders will also be undertaken, with as many as 34.47 million new, fully-paid ordinary shares issued at $0.0355, raising approximately $1.22 million (before costs.)

Forbidden Foods said that the new capital would be deployed for purposes including expanding its manufacturing and inventory management to meet demand from US customers, as well as growing the Blue Dinosaur brand in the US.

It acquired Blue Dinosaur, a maker of health food bars, last year for $4 million. Forbidden Foods announced this month that it had achieved the first sample purchase of Blue Dinosaur products to a US retailer.

“Over recent months, the Company has worked diligently to establish  its US manufacturing base and build a solid distribution footprint,” said Forbidden Foods CEO Marcus Brown in a statement on Thursday. 

“This new funding will allow Forbidden Foods to  expedite growth in the US market and leverage these operations with a view to unlocking increased value for shareholders.”

Picture credit: Forbidden Foods