Lazydays Holdings, Inc. Announces Warrant Exercises

Rhea-AI Summary

Lazydays Holdings, Inc. (NASDAQCM: LAZY) reported an 8-K filing revealing that on March 17, 2021, two institutional investors exercised warrants for 1,005,308 shares, generating approximately $11.3 million in cash proceeds. This transaction applied a 2% discount from the original exercise price of $11.50. CFO Nicholas Tomashot stated this cash boost strengthens the balance sheet and supports ongoing geographic expansion. Lazydays plans to open additional dealerships in multiple states, including Minnesota and Tennessee, while maintaining a robust operational footprint.

Positive

• Generated approximately $11.3 million in cash from warrant exercise.
• Strengthens Lazydays' balance sheet and liquidity for expansion.
• Plans to open multiple new dealership locations, indicating growth strategy.

Negative

• None.

TAMPA, Fla., March 23, 2021 /PRNewswire/ -- Lazydays Holdings, Inc. (NASDAQCM: LAZY) ("Lazydays RV" or "Lazydays") issued the attached 8-K filing disclosing that on March 17^th, 2021, two institutional investors of Lazydays exercised warrants issued in the 2018 PIPE transaction with respect to an aggregate of 1,005,308 shares of the Company's common stock for cash, with cash proceeds to the Company of approximately $11.3 million, pursuant to agreements executed with the Company on such date.  The Company agreed to a discount of approximately 2% off the original warrant exercise price of $11.50.

"This cash exercise of warrants further strengthens Lazydays already strong balance sheet and provides additional funding for us to continue aggressively executing our geographic expansion strategy," stated Nicholas Tomashot, Chief Financial Officer of Lazydays.  "Warrant holders have the option of a cashless exercise of warrants.  In these two cases, we were motivated to give a slight discount to the exercise price because it has a similar dilutive impact as the cashless exercise of warrants, but generates significant cash we can use for growth.   We believe the cash generated from this exercise of warrants, combined with our current cash reserves, the cash generated by our strong business performance and our planned expansion of our credit facility led by M&T Bank provide adequate liquidity and capital to continue to execute our geographic expansion strategy for a significant period of time without relying on access to additional equity capital, " commented Tomashot.

Lazydays currently operates eleven dealerships in Florida (2), Colorado (2), Arizona (2), Minnesota (1), Tennessee (2), and Indiana (2); and operates a dedicated Service Center location near Houston, Texas. It recently announced its intent to add a second dealership location in Monticello, Minnesota, acquire Chilhowee RV Center near Knoxville, Tennessee, acquire Sprad's RV in Reno, Nevada and open dedicated Airstream locations in Ramsey, Minnesota and Knoxville and Nashville, Tennessee.

ABOUT LAZYDAYS RV
As an iconic brand in the RV industry, Lazydays, The RV Authority, consistently provides the best RV sales, service, and ownership experience, which is why RVers and their families become Customers for Life. Lazydays continues to add locations at a rapid pace as it executes its geographic expansion strategy that includes both acquisitions and greenfields.

Since 1976, Lazydays RV has built a reputation for providing an outstanding customer experience with exceptional service excellence and unparalleled product expertise, along with being a preferred place to rest and recharge with other RVers. By offering the largest selection of RV brands from the nation's leading manufacturers, state-of-the-art service facilities, and thousands of accessories and hard-to-find parts, Lazydays RV provides everything RVers need and want.

Lazydays Holdings, Inc. is a publicly listed company on the Nasdaq stock exchange under the ticker "LAZY."

Forward–Looking Statements
This news 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 Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements describe Lazydays future plans, projections, strategies and expectations, including statements regarding Lazydays' expectations for future operating results; its expectations surrounding geographic expansion, including without having to rely on equity capital; its expectations regarding its ability to expand its credit facility on favorable terms; its expectations regarding the impact of its acquisition of its recently acquired dealership in Phoenix, Arizona, Elkhart, Indiana, and Burns Harbor, Indiana; its planned acquisitions in Reno, Nevada and Knoxville, Tennessee; and its greenfield start-ups near Houston, Texas and Nashville, Tennessee, and Monticello, Minnesota; and are based on assumptions and involve a number of risks and uncertainties, many of which are beyond the control of Lazydays. Actual results could differ materially from those projected due to various factors, including economic conditions generally, conditions in the credit markets and changes in interest rates, conditions in the capital markets, the global impact of the pandemic outbreak of coronavirus (COVID-19) and other factors described from time to time in Lazydays' SEC reports and filings, which are available at www.sec.gov. Forward-looking statements contained in this news release speak only as of the date of this news release, and Lazydays undertakes no obligation to update these forward-looking statements to reflect subsequent events or circumstances, unless otherwise required by law.

News Contact:
+1 (813) 204-4099
investors@lazydays.com 

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):

March 17, 2021

LAZYDAYS HOLDINGS, INC.
(Exact Name of Registrant as Specified in its Charter)

Delaware		001-38424		82-4183498
(State or Other Jurisdiction of Incorporation)		(Commission File Number)		(IRS Employer Identification No.)

 

6130 Lazy Days Blvd., Seffner, Florida		33584
(Address of Principal Executive Offices)		(Zip Code)

 

Registrant's telephone number, including area code

(813) 246-4999

N/A
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

	[  ]	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
	[  ]	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
	[  ]	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
	[  ]	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common stock		LAZY		NASDAQ Capital Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company [  ]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [  ]

Item 3.02 Unregistered Sale of Equity Securities.

On March 17, 2021, two institutional investors of Lazydays Holdings, Inc. (the "Company") exercised warrants issued in the 2018 PIPE transaction with respect to an aggregate of 1,005,308 shares of the Company's common stock for cash, resulting in the issuance of 1,005,308 shares of common stock and gross proceeds to the Company of approximately $11.3 million, pursuant to agreements executed with the Company on such date. The above issuances were exempt from registration under the Securities Act of 1933, as amended (the "Securities Act") pursuant to Section 4(a)(2) of such act, and Rule 506(b) thereunder, as issuances made in a private placement to accredited investors.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	LAZYDAYS HOLDINGS, INC.
March 23, 2021	By	/s/ William P. Murnane
Date		William P. Murnane
		Chief Executive Officer

 

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SOURCE Lazydays Holdings, Inc.

FAQ

What financial impact did Lazydays experience from the recent warrant exercise on March 17, 2021?

Lazydays generated approximately $11.3 million in cash from the exercise of warrants by two institutional investors.

What is the stock symbol for Lazydays Holdings?

The stock symbol for Lazydays Holdings is LAZY.

What discount was given on the warrant exercise price?

Lazydays provided a discount of approximately 2% off the original exercise price of $11.50.

How is Lazydays planning to use the cash from the warrant exercise?

Lazydays intends to use the cash to support its ongoing geographic expansion strategy.

What new dealership locations is Lazydays planning to open?

Lazydays plans to open new dealerships in Monticello, Minnesota, and Knoxville and Nashville, Tennessee.