SAN FRANCISCO - Western Transmedia Co., the California franchisee of the Transmedia restaurant charge card program, said it raised net proceeds of $2.2 million through an oversubscribed public stock and rights offering.
With each of the 800,000 units in the offering, an investor got one share of common stock and a warrant to purchase one share of common stock at $4 per share between Dec. 25, 1994, and June 24, 1996. The offering was made to the holders of outstanding common stock purchase warrants, which were issued in July and August 1993 and expire June 24, 1996.
Stuart M. Pellman, president and chief executive, said the success of the offering reflected "investor confidence in the company and its long- term future. Proceeds will be used for expansion of our operations in Orange County, California, as well as for working capital and general corporate purposes."
Western Transmedia has more than 500 participating restaurants in California that offer 25% discounts to about 58,000 cardholders in the state. The company has the Transmedia franchise for the state of Washington and a portion of Nevada, and has an option to purchase the Oregon franchise.