GLOBE NEWSWIRE -- Kona Grill, Inc. today announced that it has closed on its offering of $1.2 million in aggregate principal amount of 10% unsecured subordinated notes (the ``Notes’’) in a private offering to certain large holders of the Company’s common stock. For each $100,000 issued in Notes, the Company issued to the noteholder three-year warrants to purchase 10,000 shares of the Company’s common stock at an aggregate exercise price per share of $2.29, which was equal to 120% of the five-day average of the closing price of the Company’s common stock during the five trading days prior to the date of issuance. The Company intends to use the net proceeds from the offering to supplement the Company’s operating cash flows and fund capital expenditure requirements.
