Kona Grill announced that Steve Schussler resigned as co-CEO and the Board of Directors to focus on his ongoing commitments to his existing restaurant concepts developed through Schussler Creative. Marcus Jundt will remain as the company's CEO.
Kona Grill announced that its board appointed Marcus Jundt and Steven Schussler as co-CEOs of the company. Marcus Jundt is one of the founders of the Kona Grill concept and previously served as the company's CEO from 2006 to 2009. Steven Schussler is the founder of several successful concepts, among the most noticeable are Rainforest Cafe, T-Rex Cafe, Yak & Yeti, The Boathouse, and others. Both Messrs. Jundt and Schussler are currently directors of the Company.
Kona Grill price target raised to $5 from $4 at Lake Street. Lake Street analyst Chris Krueger raised his price target for Kona Grill to $5 citing continued margin improvement following the company's better than expected Q2 results. The analyst believes visibility should improve as 2018 plays out and reiterates a Buy rating on the shares.
Kona Grill announced that its board appointed Jim Kuhn to succeed Berke Bakay as President and CEO. Bakay was appointed as executive chairman of the board and will remain with the company in a strategic role.
Kona Grill announced that it has entered into securities purchase agreements with Nanyan Zheng and Berke Bakay, the company's president and CEO, to raise approximately $5.6M through the issuance of 3,144,258 shares of common stock at a per share purchase price of $1.785, which represents a 5% premium to the closing bid price on May 1, 2018. The closing of the offering is anticipated to occur on or around May 4, 2018. In conjunction with the transaction, Mr. Zheng was appointed to the company's board of directors as Vice-Chairman. Along with Mr. Zheng's involvement with the company, Alex and his partners intend to expand the Kona Grill brand into China through a master franchise agreement. The company intends to use the net proceeds from the offering to pay required debt payments due in 2018 and for general corporate purposes. Under an agreement with the investors, the Company has agreed to file a registration statement with the Securities and Exchange Commission covering the resale of the shares of common stock to be issued to the investors. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities. There shall not be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Reports Q4 revenue $42.5M, one estimate $42.7M. Q4 same-store sales decreased 6.5%, including an estimated 0.5% impact from the temporary closure of the company's Puerto Rico restaurant as a result of Hurricane Maria.