MusclePharm Closes $4.1 Million Offering of Series D Convertible Stock
The Frost Group, LLC, Headed by Miami Entrepreneur Dr. Phillip Frost,
Was the Lead Investor
DENVER, CO -- (Marketwire) -- 01/28/13 -- MusclePharm Corporation
(OTCQB: MSLP), a nutritional supplement company focused on active
lifestyles, announced today it successfully completed two closings of
a registered direct offering of its Series D Convertible Preferred
Stock. The Frost Group, LLC, headed by Miami entrepreneur Dr. Phillip
Frost, was the lead investor in the offering increasing his position
in the Company by approximately $1.4 million.
At the closings, MusclePharm issued 511,625 shares of its Series D
Convertible Preferred Stock in a registered direct placement of its
shares at a per share price of $8.00. Each share of Series D
Convertible Preferred Stock is convertible into two shares of common
stock, subject to adjustment. The net proceeds to MusclePharm from
the closings were approximately $3.5 million after deducting
placement agent fees and offering expenses.
GVC Capital LLC acted as the lead placement agent for this offering.
The shares described above were registered pursuant to a registration
statement on Form S-1 (File No. 333-184625), which was declared
effective by the Securities and Exchange Commission ("SEC") on
January 16, 2013. A prospectus relating to the offering was filed
with the SEC on January 17, 2013.
This release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities of MusclePharm, nor
shall there be any sale of securities in any state or jurisdiction in
which such an offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction. Any offer will be made only by means of a
prospectus forming a part of the effective registration statement.
Copies of the final prospectus can be obtained at the SEC's website
at http://www.sec.gov or from GVC Capital LLC, 5350 S. Roslyn Street,
Suite 400, Greenwood Village, CO 80111, by calling (303) 694-0862,
Attn: Dick Huebner.
ABOUT MUSCLEPHARM CORPORATION
MusclePharm is a healthy lifestyle company that develops and
manufactures nutritional supplements that address active lifestyles,
including muscle bu
ilding, weight loss and maintaining general
fitness through a daily nutritional supplement regimen. The products
are formulated through a six-stage research process using the
expertise of leading nutritional scientists. MusclePharm's products
are sold to consumers in more than 110 countries and available in
over 10,500 U.S. retail outlets, including Dick's Sporting Goods,
GNC, Vitamin Shoppe and Vitamin World. MusclePharm products also are
sold through more than 100 online channels globally, including
bodybuilding.com, amazon.com and vitacost.com. For more information,
please visit www.musclepharm.com.
This release contains forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities and Exchange Act of 1934, as amended.
Statements that are not a description of historical facts constitute
forward-looking statements and may often, but not always, be
identified by the use of such words as "expects", "anticipates",
"intends", "estimates", "plans", "potential", "possible", "probable",
"believes", "seeks", "may", "will", "should", "could" or the negative
of such terms or other similar expressions. Actual results may differ
materially from those set forth in this release due to the risks and
uncertainties inherent in the Company's business. More detailed
information about the Company and the risk factors that may affect
the realization of forward-looking statements is set forth in the
Company's Annual Report on Form 10-K/A for the fiscal year ended
December 31, 2011, the Company's Quarter Reports on Form 10-Q and
other filings submitted by the Company to the SEC, copies of which
may be obtained from the SEC's website at www.sec.gov. Readers are
cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date hereof. All
forward-looking statements are qualified in their entirety by this
cautionary statement and the Company undertakes no obligation to
revise or update this release to reflect events or circumstances
after the date hereof.
MusclePharm Investor Contact:
The Del Mar Consulting Group, Inc.
Robert B. Prag
Alex Partners, LLC
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