Chanticleer Files Registration Statement for Rights Offering

CHARLOTTE, N.C., Jan. 7, 2011 /PRNewswire/ -- Chanticleer Holdings, Inc. (OTC Bulletin Board: CCLR), announced today, that it has filed a registration statement with the Securities and Exchange Commission (SEC) related to a proposed public rights offering of up to approximately 2,541,918 warrants.

Under the proposed rights offering, Chanticleer would distribute to holders of record of its common stock one non-transferable subscription right for each share of its common stock held on the record date. Each right would permit the holder to purchase for $0.04 per right, one Class A Offered Warrant entitling the holder to purchase one share of Chanticleer common stock at $5.50, for a period of 5 years following issuance, and one Class B Offered Warrant entitling the holder to purchase one share of Chanticleer common stock at $7.00, for a period of 5 years following issuance. The Offered Warrants underlying the rights are nontransferable following their issuance and through their expiration date.

The proposed rights offering will commence as soon as practicable following the registration statement being declared effective by the SEC. The record, commencement and expiration dates for the proposed rights offering would be determined at the time the registration statement for this offering becomes effective.

Assuming the proposed rights offering would be fully subscribed, the amount raised in the rights offering would be up to $50,838 less expenses related to the offering. The foregoing does not include funds received upon the exercise of the warrants underlying the rights.

A registration statement relating to these securities has been filed with the SEC but has not yet become effective. A copy of the prospectus forming a part of the registration statement may be obtained free of charge at the website maintained by the SEC at www.sec.gov or by contacting the Company’s Secretary at (845) 807-0001. These rights may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of any securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

About Chanticleer Holdings, Inc.

Chanticleer Holdings, Inc. is a publicly traded holding company that is headquartered in Charlotte, NC. It operates two wholly-owned operating subsidiaries: Chanticleer Advisors, an investment manager; and Avenel Ventures, a consulting firm. Additionally, the company owns several minority investments in private companies, including an interest in a convertible note into Hooters of America, Inc. Chanticleer Holdings, Inc. was formed in 2005 as a business development company. In 2008 our shareholders elected to convert to an operating holding company. For further information, please visit www.chanticleerholdings.com.

Cautionary Statement Regarding Forward Looking Information

Statements in this press release regarding the company’s business that are not historical facts are “forward-looking statements” that may involve material risks and uncertainties. The company wishes to caution readers not to place undue reliance on such forward-looking statements, which statements are made pursuant to the Private Securities Litigation Reform Act of 1994, and as such, speak only as of the date made. For a full discussion of risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see the company’s Annual Report on Form 10-K for the most recently ended fiscal year, as well as the company’s Quarterly Report on Form 10-Q for the most recently ended fiscal quarter.

SOURCE Chanticleer Holdings, Inc.

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