Arcadia Resources receives commitments from institutional investors to purchase $11.1 million of securities

Nov 9 2009

Arcadia Resources, Inc. (NYSE Amex: KAD), a leading provider of innovative consumer health care services under the Arcadia HealthCare(SM) brand, today announced that it has received commitments from institutional investors to purchase $11.1 million of securities in a registered direct offering. Under the terms of separate Subscription Agreements with the investors, Arcadia will sell an aggregate of 15,857,141 units. Each unit, which consists of one share of common stock and a warrant to purchase 0.45 shares of common stock, will be sold for a purchase price of $0.70.

The warrants to purchase additional shares will be exercisable at a price of $0.95 per share beginning six months and one day after issuance and will expire five years from the date they are first exercisable. All of the securities were offered pursuant to an effective shelf registration statement. The offering is expected to be consummated promptly upon satisfaction of customary closing conditions, including NYSE Amex LLC approval of the shares offered pursuant to the registration statement and required FINRA approvals.