Odd Burger Launches Odd Stock Program and Doubles Franchises Under Development
Odd Burger Corporation has launched the Odd Stock Program, an innovative franchising initiative that enables franchisees to waive their franchise fees by investing an equivalent amount in the Company through a private placement or purchasing shares on the open market. This new approach aims to significantly enhance franchise unit growth, with expectations of ten more locations in Canada and two international projects. The program has already drawn $495,000 in investments, surpassing the $355,000 in franchise fees collected for FY2022. Odd Burger's initiative stands out by allowing franchisees to directly benefit from the Company's success.
- Launch of the Odd Stock Program facilitates franchise fee waivers through direct investment, promoting franchise growth.
- Anticipated expansion of ten new Canadian franchises and two international projects.
- Initial investments of $495,000 exceed previous year's franchise fee income of $355,000.
- None.
LONDON, ON, Feb 16, 2023 /PRNewswire/ - Odd Burger Corporation (TSXV: ODD) (OTCQB: ODDAF) (FSE: IA9) ("Odd Burger" or the "Company") is pleased to announce that it has launched an innovative franchising initiative called the Odd Stock Program which allows franchisees to become eligible to have their entire franchise fee due to the Company's subsidiary franchisors waived by investing an equivalent amount into the Company through a private placement or, with the consent of Odd Burger, acquire shares on the open market. The program allows franchisees to use the full amount they would otherwise be required to pay as a franchise fee to the Company's subsidiary franchisors to purchase Odd Burger Common Shares, turning that amount into an investment, instead of a cost. The Company launched this program last month through its private placement, and anticipates that it will result in a significant increase in the number of franchise units under development. The Company expects that recent investments eligible under the Odd Stock Program will result in ten additional franchised locations in Canada and two additional international development projects.
The Odd Stock Program is one of the first of its kind in the franchise industry and redefines how franchise fees are utilized. Traditionally, franchise fees are an additional expense added to the already high cost of entry into a franchise system. Furthermore, franchisors often pay 50
"We see an incredible opportunity to revolutionize the entire franchise industry," says James McInnes, CEO and Co-Founder of Odd Burger. "Franchisees are some of the largest investors in any franchise system, and the Odd Stock Program now gives franchisees the ability to benefit from the overall success of the Company and unite franchisee and franchisor like never before so that everyone is truly working towards the same goals."
The initial launch of the Odd Stock Program included eight participants in the Company's private placement, investing an aggregate of
At the discretion of Odd Burger, Common Shares purchased to qualify for the Odd Stock Program may be required to be held by the person(s) that purchased them for up to 12 months from the date of acquisition. If shares are sold or disposed of before the end of any imposed hold period, the entire franchise fee that was conditionally waived will be immediately due and payable in cash to the Company's respective subsidiary franchisor (i.e., either Odd Burger Franchise Inc. in Canada or Odd Burger Franchise (US) Inc. in the United States).
Odd Burger Corporation is a chain of company-owned and franchised vegan fast-food restaurants as well as a food technology company that manufactures and distributes a line of plant-based protein and dairy alternatives to foodservice channels under the brand Preposterous Foods. Odd Burger restaurants operate as smart kitchens, which use state-of-the art cooking technology and automation solutions to deliver a delicious food experience to customers craving healthier and more sustainable fast food. With small store footprints optimized for delivery and takeout, advanced cooking technology, competitive pricing, a vertically integrated supply chain along with healthier ingredients, Odd Burger is revolutionizing the fast-food industry by creating guilt-free fast food. Odd Burger Corporation is traded on the TSX Venture Exchange under the symbol ODD, on the OTCQB under ODDAF, and the Frankfurt Stock Exchange under IA9. For more information visit https://oddburger.com.
Caution Regarding Forward-Looking Information
This press release contains forward-looking statements that involve a number of risks and uncertainties, including statements that relate to among other things, the Company's strategies, intentions, plans, beliefs, expectations and estimates, and can generally be identified by the use of words such as "may", "will", "could", "should", "would", "likely", "expect", "intend", "estimate", "anticipate", "believe", "plan", "objective" and "continue" and words and expressions of similar import. Forward looking information contained or referred to in this news release includes statements relating but not limited to:, the impact of the development agreement in the areas discussed; the expected future expansion of Odd Burger locations and the number of franchises and the benefits the Company expects to derive therefrom; as well as the number of retail outlets to be opened and the Canada and Franchises in the United States discussed herein. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties, and undue reliance should not be placed on such statements. Certain material factors or assumptions are applied in making forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. Important factors that could cause actual results to differ materially from expectations include but are not limited to: financing risk, general business and economic conditions (including but not limited to currency rates); changes in laws and regulations; legal and regulatory proceedings; and the ability to execute strategic plans. The Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements contained in this document, whether as a result of new information, future events or otherwise, except as required by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this press release.
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SOURCE Odd Burger Corporation
FAQ
What is the Odd Stock Program launched by Odd Burger Corporation on February 16, 2023?
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