Chicken Soup for the Soul Entertainment, which creates and distributes video content under the Chicken Soup for the Soul brand, launched its "best efforts" Regulation A+ IPO on Friday. We will not count the Reg+ offering in our IPO stats.
The Cos Cob, CT-based company plans to raise $10.8 million by offering 0.9 million shares (29% insider) at a price of $12. At that price, it would command a fully diluted market value of $125 million. At its discretion, the company may offer up to an additional 1.6 million primary shares, which would bring the maximum deal size up to $30 million.
Shares are being offered to the public through online brokerage Folio Investing.
Chicken Soup for the Soul Entertainment began operations in 2015 and booked $8 million in sales (10% net margin) for the fiscal year ended December 31, 2016. It plans to list on the Nasdaq under the symbol CSSE. HCFP/Brenner Securities LLC, The Benchmark Company and Weild & Co. are the joint bookrunners on the deal. The offering will terminate on August 31, 2017, subject to extension for up to 90 days.
