LOS
ANGELES, July 28, 2023 /PRNewswire/ -- B. Riley
Financial, Inc. (NASDAQ: RILY) ("B. Riley" or the "Company"), a
diversified financial services platform, today announced the
closing of its previously announced underwritten public offering of
2,090,909 shares of common stock (the "Offering"), including
272,727 shares issued in connection with the full exercise of the
underwriter's option to purchase additional shares, at a price of
$55.00 per share. Gross proceeds to
the Company were approximately $115
million, before deducting underwriting discounts and
commissions and offering expenses.
Certain of the Company's officers, directors, and employees
participated in this Offering and have purchased, in the aggregate,
approximately $7 million of shares of
common stock at the public offering price.
Net proceeds to the Company were approximately $108.7 million after deducting underwriting
discounts and commissions, but before expenses. The Company expects
to use the net proceeds of this Offering for general corporate
purposes, including funding future acquisitions and investments,
repaying and/or refinancing indebtedness, making loans and/or
providing guaranty or backstop commitments to clients in the
ordinary course of business, making capital expenditures and
funding working capital. Pending such use, the Company may invest
the net proceeds in short-term interest-bearing accounts,
securities or similar investments.
B. Riley Securities acted as sole book-running manager for the
Offering.
The NBD Group acted as legal counsel to the Company. Duane
Morris LLP acted as legal counsel to the underwriter.
The Offering was made by means of a prospectus. A registration
statement was previously filed by the Company with the SEC and
became effective upon filing on January 28,
2021, and a preliminary prospectus supplement was filed on
July 25, 2023. Copies of the
prospectus supplement and the accompanying base prospectus may be
obtained on the SEC's website at www.sec.gov, or by contacting B.
Riley Securities by telephone at (703) 312-9580, or by emailing
prospectuses@brileyfin.com.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state or jurisdiction in which such offer,
sale or solicitation would be unlawful prior to registration or
qualification under the securities laws of any such state or
jurisdiction.
About B. Riley Financial
B. Riley Financial is a
diversified financial services platform that delivers tailored
solutions to meet the strategic, operational, and capital needs of
its clients and partners. B. Riley leverages cross-platform
expertise to provide clients with full service, collaborative
solutions at every stage of the business life cycle. Through its
affiliated subsidiaries, B. Riley provides end-to-end financial
services across investment banking, institutional brokerage,
private wealth and investment management, financial consulting,
corporate restructuring, operations management, risk and
compliance, due diligence, forensic accounting, litigation support,
appraisal and valuation, auction, and liquidation services. B.
Riley opportunistically invests to benefit its shareholders, and
certain affiliates originate and underwrite senior secured loans
for asset-rich companies. B. Riley refers to B. Riley Financial,
Inc. and/or one or more of its subsidiaries or affiliates.
Forward-Looking Statements
Statements in this press
release that are not descriptions of historical facts are
forward-looking statements that are based on management's current
expectations and assumptions and are subject to risks and
uncertainties. If such risks or uncertainties materialize or such
assumptions prove incorrect, our business, operating results,
financial condition, and stock price could be materially negatively
affected. You should not place undue reliance on such
forward-looking statements, which are based on the information
currently available to us and speak only as of the date of this
press release. Such forward-looking statements include, but are not
limited to, statements regarding the intended use of net proceeds.
Factors that could cause such actual results to differ materially
from those contemplated or implied by such forward-looking
statements include, without limitation, the risks described from
time to time in B. Riley Financial, Inc.'s periodic filings with
the SEC, including, without limitation, the risks described in B.
Riley Financial, Inc.'s 2022 Annual Report on Form 10-K under the
captions "Risk Factors" and "Management's Discussion and Analysis
of Financial Condition and Results of Operations" (as
applicable)and our Quarterly Report on Form 10-Q for the quarter
ended March 31, 2023. These factors
should be considered carefully, and readers are cautioned not to
place undue reliance on such forward-looking statements. All
information is current as of the date this press release is issued,
and B. Riley Financial undertakes no duty to update this
information.
Contacts
Investors
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|
Media
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Mike Frank
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|
Jo Anne
McCusker
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ir@brileyfin.com
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jmccusker@brileyfin.com
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(212)
409-2424
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(646)
885-5425
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SOURCE B. Riley Financial