Eastside Distilling(US:EAST) Prnewswire·2024-09-04 23:45Transaction Overview - Eastside Distilling Inc (Nasdaq: EAST) has signed a Merger Agreement with Beeline Financial Holdings Inc, a privately-held mortgage technology company [2] - The merger aligns with Eastside's mission to maximize value for stakeholders and achieve growth across multiple sectors [2] - Eastside will issue Beeline shareholders a combination of common and preferred stock as merger consideration [4] Strategic Benefits - Eastside gains access to Beeline's proprietary AI-driven B2C sales tools, enhancing its position in digital mortgage services [5] - Beeline benefits from liquidity for shareholders and growth opportunities in public markets amid favorable real estate financing conditions [5] - The partnership allows Eastside to grow its legacy craft spirits business while entering the mortgage origination and technology sector [1][4] Financial Restructuring - Eastside executed a debt-for-equity exchange and asset sale of Craft Canning + Digital Printing to private investors, eliminating all debt from its balance sheet [3] - The transaction provides Craft with additional growth capital to expand its digital printing business in the Pacific Northwest [3] Industry Impact - Beeline's AI-enhanced platform targets Millennials and Gen Z borrowers, aiming to transform mortgage origination with a cloud-based, go-to-market strategy [6] - The merger positions Eastside as a leader in digital mortgage services, leveraging Beeline's innovative technology [4][5] Company Background - Eastside Distilling Inc is a producer of award-winning craft spirits, including whiskey, vodka, and rum, based in Portland, Oregon [7] - Beeline Financial Holdings Inc is a technology-driven mortgage lender offering a fully digital, AI-enhanced platform, headquartered in Providence, RI [8]