Chicken Soup for the Soul Entertainment Announces Pricing of $21 Million of Notes Due 2025

COS COB, Conn., July 13, 2020 (GLOBE NEWSWIRE) -- Chicken Soup for the Soul Entertainment Inc. (Nasdaq: CSSE) (the “Company”), one of the largest operators of streaming advertising-supported video-on-demand (AVOD) networks, today announced the pricing of its underwritten public offering of an aggregate principal amount of $21 million 9.5% Notes due 2025 (“Notes”). In addition, the Company has granted the underwriters a 30-day option to purchase up to $3.15 million of additional Notes to cover overallotments, if any. The Notes will be issued in minimum denominations of $25.00 and integral multiples of $25.00. The offering is expected to close on or about July 17, 2020. The Notes are expected to begin trading on Nasdaq under the symbol “CSSEN” within 30 days of the original issue date. The Notes will not be convertible into or exchangeable for any of the Company’s other securities.

Interest payments will be made quarterly in arrears on March 30, June 30, September 30, and December 30 each year, beginning September 30, 2020. The Company can redeem the Notes, in whole or in part, at any time on or after July 31, 2022 or upon a change of control at the redemption price of par plus accrued interest. The Notes are rated BBB by Egan-Jones Ratings Company.

The Company intends to use the net proceeds from this offering to repay the outstanding principal and interest owed under the Company’s commercial loan facility with Patriot Bank, N.A. as well as for general corporate purposes.

Ladenburg Thalmann & Co. Inc. and National Securities Corporation, a wholly-owned subsidiary of National Holdings, Inc. (Nasdaq: NHLD) are acting as joint bookrunning managers of the offering.  The Benchmark Company and Northland Capital Markets, are acting as lead managers.

The offering is being made pursuant to a registration statement on form S-1 (SEC File No. 333-239198) (“Registration Statement”) declared effective by the Securities and Exchange Commission on July 10, 2020 and a preliminary prospectus thereto. A final prospectus relating to the offering will be filed with the Securities and Exchange Commission. When available, copies of the final prospectus may be obtained electronically from the Securities and Exchange Commission at www.sec.gov or from any of the underwriters, including the offices of: