Cherokee (CHKE) to Offer Common Stock; Announces Preliminary Financial Results
- Top 10 News for 12/2: Crude Rips on OPEC Cut; Starbucks' Schultz Steps Down; Nonfarm Payrolls Flat in Nov.
- Unemployment Rate Drops to 4.6%
- Bond yields slip on U.S. jobs data, euro steady before Italy vote
- Alibaba (BABA) Founder Jack Ma Discuss Plans to Retire; 'I Don't Want to Die at the Office'
- Starbucks Coffee (SBUX) CEO Howard Schultz to Step Down, Appointed Executive Chairman; Kevin Johnson New CEO
Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.
Cherokee Inc. (NASDAQ: CHKE) announced the launch of a public offering of shares of its common stock, announced preliminary financial results for its third quarter fiscal 2017 and provided guidance on the fiscal years ending January 28, 2017 and February 3, 2018.
Launch of Public Offering
Cherokee today announced that it intends to offer and sell, subject to market and other conditions, shares of its common stock in a public offering pursuant to an effective shelf registration statement. Roth Capital Partners is acting as the sole manager for the offering.
Cherokee expects to use the net offering proceeds to fund a portion of the proposed acquisition of Hi-Tec Sports International Holdings B.V. (the “Hi-Tec Acquisition”), as announced today. To the extent that the net proceeds are not applied to the Hi-Tec Acquisition, Cherokee intends to use such proceeds for general corporate purposes.
Preliminary Third Quarter Fiscal 2017 Results
For the quarterly period ended October 29, 2016, Cherokee anticipates revenues of $6.5 million, adjusted EBITDA of $1.6 million and adjusted earnings per share on a fully-diluted basis (“Adjusted EPS”) of $0.08. Revenues were lower from the $8.1 million reported for the three months ended October 31, 2015 primarily as a result of the expected decrease in North American royalty revenues as the Company transitions its focus from Target to its new wholesale licensing partners. As of October 29, 2016, the Company’s cash and cash equivalents amounted to $7.5 million and total debt, comprising long-term debt and current portion of long-term debt, amounted to $17.2 million.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Sonoco (SON) Affirms FY16 Outlook; Guides FY17 EPS Below Views
- Trading Radar for 12/5: GW Pharma (GWPH), KongZhong (KZ) Report
- Mnuchin Wants Fannie (FNMA)/Freddie (FMCC) Out of Government Hands, But Stocks Grossly Overvalued - Keefe, Bruyette & Woods
Create E-mail Alert Related CategoriesEquity Offerings, Guidance
Related EntitiesRoth Capital, Earnings, Definitive Agreement
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!