NXT Nutritionals Holdings secures $2.35M financing

NXT Nutritionals Holdings, Inc. (“NXT Nutritionals” or the “Company”) (OTCBB: NXTH), developer and marketer of SUSTA™ Natural Sweetener, the great tasting, all-natural, healthier sweetener, announced today that the Company has secured $2.35 million in financing through a private placement offering (the “Offering”). Proceeds from the Offering will be used for general corporate purposes and to fund further development and marketing of its SUSTA™ products.

“This successful financing demonstrates the confidence that our investors have in the Company, our product and our ability to execute our business plan”

In connection with the Offering, NXT Nutritionals has issued 0% original issue discount senior secured convertible notes (the “Notes”) that are convertible into common shares of the Company and five-year Series C Warrants (the “Warrant”) that are exercisable for common shares of the Company. The principal amount of each Note is 115% of the subscription proceeds received. The Notes and Warrants were sold solely to accredited investors within the meaning of Rule 501 under the Securities Act of 1933, as amended.

“This successful financing demonstrates the confidence that our investors have in the Company, our product and our ability to execute our business plan,” said Michael McCarthy, president and CEO of NXT Nutritionals. "This is an important milestone in our strategy as we continue to raise consumer awareness of the health benefits and the great taste of our all-natural sweetener, SUSTA."

"We have already begun seeing a positive response from our initial marketing efforts and we anticipate that the demand for our SUSTA™ products will continue to increase throughout the U.S. We believe that the additional capital from the private placement will enable us to expand the accessibility of our SUSTA™ products throughout the country and we thank the support of our new and existing shareholders," added McCarthy.