Second Cup closes $10M bought deal financing




News Release

SECOND CUP ANNOUNCES CLOSING OF $10 MILLION BOUGHT DEAL OFFERING

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

Mississauga, Ontario – May 8, 2018 – The Second Cup Ltd. (“Second Cup” or the “Company”) (TSX: SCU) is pleased to announce that it has closed its short form prospectus offering, on a bought deal basis. A total of 2,898,600 common shares (the “Shares”) of the Company were sold at a price of $3.45 per Share, for aggregate gross proceeds of $10,000,170 (the “Offering”). Clarus Securities Inc. acted as sole underwriter and bookrunner.
The Company intends to use the net proceeds of the Offering for conversion costs related to its Strategic Alliance Agreement with National Access Cannabis Corp. (“NAC”) and towards potential future business acquisitions.

The Shares have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any U.S. state securities laws, and may not be offered or sold in the United States without registration under the U.S. Securities Act and all applicable state securities laws or compliance with the requirements of an applicable exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Second Cup Coffee Co.™

Founded in 1975, The Second Cup Ltd. is a Canadian specialty coffee retailer operating franchised and company owned cafes across Canada. The Company’s vision is to be the Canadian specialty coffee brand of choice across Canada, committed to superior quality, innovation and profitable growth. For more information, please visit www.secondcup.com or find the Company on Facebook and Twitter.

For further information: Ba Linh Le, Chief Financial Officer, (905) 362-1827 or investor@secondcup.com. Additional information regarding Second Cup including required securities filings are available on our website at www.secondcup.com and on the Canadian Securities Administrators’ website at www.sedar.com; the System for Electronic Document Analysis and Retrieval.