Avidus completes private placement, appoints new president and grants stock options
VANCOUVER, BC and MESA, AZ, June 14, 2013 /PRNewswire/ - Avidus Management Group Inc. ("Avidus" or the "Company") (TSX-V: AVD, OTC: ASNHF) is pleased to announce that, further to its news release dated May 22, 2013, the Company has completed its previously announced non-brokered private placement of 13,030,000 units (the "Units") at a price of $0.05 per Unit for gross proceeds of $651,500 (the "Offering"). Each Unit consists of one common share of the Company (a "Share") and one common share purchase warrant (a "Warrant"). Each whole Warrant entitles the holder to purchase an additional common share (a "Warrant Share") at an exercise price of $0.10 per Warrant Share until June 13, 2016. All securities issued under the private placement are subject to a four-month statutory hold period.
In connection with the Offering, the Company issued a total of 284,800 non-transferrable brokers warrants (the "Broker's Warrants") and paid cash finder's fees equal to $49,240. Each Broker Warrant entitles the holder thereof to purchase one common share of the Company at a price of $0.10 per share for a period of two years. Proceeds from the Offering will be used for general working capital purposes.
The Company is also pleased to announce that effective June 13, 2013, Douglas Ridley has been appointed President of the Company. Mr. Ridley has previously been an advisor to the Company during its turn-around in 2011 and 2012. Doug has over 25 years of experience in network marketing and brings a track record of performance, leadership, and demonstrable results. Doug led another network marketing start-up to $125 million annual sales in less than three years, with $20 million in profit. As a successful distributor Doug led a field organization of over 10,000 people that generated $25 million in annual sales volume.
CEO, Dan Lundell stated, "As an advisor, Doug has been a valuable asset, as President he brings a lifetime of experience, credibility and power, which will be fully leveraged for growth and a long successful future."
Mr. Ridley said, "I'm pleased to be an official part of a great team. Avidus represents a marvelous opportunity for me to bring the sum of my experience and relationships to bear to execute our plans for growth and success. I'm passionate about network marketing, especially done right; and I welcome the challenge to build something special."
Subject to the approval of the TSX Venture Exchange, the Company has granted Mr. Ridley 1,500,000 incentive stock options. 500,000 of such options vest immediately, while the balance will vest quarterly over three years. In addition, the Company has granted 230,000 options to officers and directors, 110,000 options to Sequoia Partners Inc. and 200,000 options to other consultants and employees. The options granted to Sequoia Partners Inc. are for fiscal advisory and investor relations services and are subject to a quarterly vesting schedule in accordance with the policies of the TSX Venture Exchange. All of such options have a five-year term and are exercisable at a price of $0.12 per share.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Avidus Management Group Inc. (www.asantae.com) (TSX-V: AVD, OTC: ASNHF) is a producer and marketer of innovative nutritional products through direct and network marketing channels. The ingredients in Avidus' products have been shown to reduce chronic low-grade inflammation and oxidative stresses which, according to scientific and medical research, are the underlying conditions for most modern epidemic diseases (diabetes, heart disease, obesity, stroke, etc.).
This news release may contain forward-looking statements relating to the Company's operations or to the environment in which it operates. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and may be beyond the Company's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in the Company's regulatory filings. In addition, such statements relate to the date on which they are made and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.
SOURCE Avidus Management Group Inc.