BOULDER, Colo., Aug. 28 /PRNewswire-FirstCall/ -- Wild Oats Markets, Inc. (Nasdaq: OATS), a leading national natural and organic foods retailer, today announced that it has agreed to sell 4,450,000 shares of its common stock at a purchase price of $11.50 per share pursuant to a registered public offering facilitated on a best efforts basis by J.P. Morgan Securities, Inc. ("JPMorgan") as placement agent. The net proceeds to the company are estimated to be $48,275,000 if all shares are sold. Since the offering is being conducted by JPMorgan on a best efforts basis, it is possible that not all of the shares offered for sale will be sold at the closing, in which case the expected net proceeds would be proportionally reduced. The company expects that this offering will be completed on Tuesday, September 3, 2002.
Wild Oats plans to use a portion of the proceeds of the offering in connection with its aggressive new store development program, under which it proposes to open up to 13 additional stores in 2003, 20 in 2004 and 25 in 2005. In addition, Wild Oats intends to use a portion of the proceeds for remodeling of certain of its 101 existing stores and for the development of information systems and infrastructure aimed at reducing costs and improving operating margins.
A registration statement relating to these securities has been filed with and declared effective by the Securities and Exchange Commission. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any State in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such State. Copies of the prospectus relating to the offering of the common stock may be obtained by contacting J.P. Morgan Securities Inc. at 560 Mission Street, San Francisco California 94105.
About Wild Oats
Wild Oats Markets, Inc. is a nationwide chain of natural and organic foods markets in the U.S. and Canada. The Company currently operates 101 natural foods stores in 23 states and British Columbia, Canada. The Company's markets include: Wild Oats Natural Marketplace, Henry's Marketplace, Nature's - a Wild Oats Market, Sun Harvest and Capers Community Markets. For more information, please visit the Company's website at http://www.wildoats.com .
Risk Factors and Uncertainties
This news release contains forward-looking statements that involve risks and uncertainties. Such forward-looking statements include the timing of the closing of the offering described herein and the number, timing and location of stores that the Company plans to open in the future and the future financial measures and the prospects for favorable growth and performance.
The statements made by the Company are based on management's present expectations, and actual results may differ from the results indicated or otherwise implied by such forward-looking statements due to certain risks and uncertainties including, but not limited to, general economic conditions, the impact of competition in certain regions, as well as other risks detailed from time to time in the Company's SEC filings, including the Annual Report on Form 10-K for the fiscal year ended December 29, 2001, as well as quarterly reports on Form 10-Q. These risk factors may not be an all-inclusive enumeration of the business risks faced by Wild Oats. Investors should recognize that the reliability of any projected financial data diminishes the farther in the future the data are projected.
The statements made by management of the Company and summarized above represent their views as of the date of this press release, and it should not be assumed that the statements made herein remain accurate as of any future date. Wild Oats does not intend to update these statements and undertakes no duty to any person to effect any such update under any circumstances.