DDC Enterprise Ltd. Announces the Closing of $4.8m Loan Restructuring

By: DDC Enterprise Limited via Business Wire

August 23, 2024 at 09:00 AM EDT

and $1.7m private placement to bolster balance sheet

DDC Enterprise, Ltd., (NYSEAM: DDC) (“DayDayCook,” “DDC,” or the “Company”), a leading multi-brand Asian consumer food company, is pleased to announce that the Company has recapitalized its debt obligations and achieved additional funding through the sale of equity in a private placement.

DDC recently completed a transaction with ten creditors to retire $4,800,000 USD of outstanding principal and interest which was converted into Class A Ordinary shares. Additionally, four investors participated in a private placement to purchase approximately $1,700,000 USD of Class A Ordinary shares. The transactions resulted in the issuance of approximately 9,500,000 Class A Ordinary shares.

“DDC is very excited about the support demonstrated from some of our creditors that were enthusiastic about the opportunity to invest in the Company,” said Norma Chu, Chief Executive Officer. “Converting the loans and gaining additional financial support have a meaningful impact on our balance sheet and provide the Company with cash to grow our brands and fund expanded distribution channels.”

The Company expects to use the proceeds from the financing for working capital and other corporate purposes. The offer and sale of the Class A Ordinary shares were made in a transaction not involving a public offering and the securities have not been registered under the Securities Act of 1933, as amended, and may not be reoffered or resold except pursuant to an effective registration statement or an applicable exemption from the registration requirements. The Company reported on a Form 6-K filed with the SEC on June 21, 2024, that it had entered into agreements with the creditors and investors and that the transactions were subject to closing conditions. Those conditions have now been satisfied.

ABOUT DAYDAYCOOK

DayDayCook (NYSEAM: DDC) is on a mission to share the joy of Asian cooking culture with the world, offering a suite of accessible and healthy ready-to-eat, ready-to-cook, and ready-to-heat products that cater to the global palate. DayDayCook has evolved from a culinary content authority to a multi-brand powerhouse, curating a broad range of products that champion authenticity, nutrition, and convenience. The company's growing portfolio includes DayDayCook, Nona Lim, Yai’s Thai, Omsom, MengWei, and Yujia Weng. Follow the Company on LinkedIn.

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements, including, for example, statements about growth and expansion. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. These forward-looking statements are also based on assumptions regarding the Company’s present and future business strategies and the environment in which the Company will operate in the future. Investors can find many (but not all) of these statements by the use of words such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “likely to” or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC.