RYU Apparel Inc., the athletic apparel brand based in Vancouver, reported the Leone family has increased their equity stake in RYU with an investment of CA$1.5 million, or CA$0.25 per unit, for a total of 6,000,000 Units. Each Unit consists of one common share and one warrant, which entitles the holder to purchase one additional share at a price of CA$0.50 per share for a period of three years.
The Leone family, including Marcello and Patrizia Leone, is recognized as one of the top retail apparel families in North America. Marcelo Leone contributed CA$1 million and Patrizia Leone contributed CA$500,000. Of the gross proceeds, CA$1 million was previously advanced to RYU and has been deployed in the operation of the business, CA$300,000 was used to repay debt and CA$200,000 is intended to be used for general working capital purposes.
Recently, the Leone family sold their retail apparel empire after 29 years and are now focusing their investment and time into RYU. According to a statement, the Leone family “believes in the new direction of RYU and have significantly increased their equity stake. This increased investment demonstrates their confidence that the RYU management team led by Marcello Leone will create a successful brand in the athletic apparel space.”
