UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): May 8, 1998
The CHALONE Wine Group, Ltd.
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(Exact Name of Registrant as Specified in Charter)
California 0-13406 94-169731
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(State or Other Jurisdiction of (Commission (IRS Employer
Incorporation) File Number) Identification No.)
621 Airpark Road
Napa, California 94558
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(Address of Principal Executive Offices (Zip Code)
Registrant's telephone number, including area code 707-254-4200
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Item 5. Other Events.
The Chalone Wine Group, Ltd. (the "Company") recently completed the
issuance of 828,571 shares of its common stock upon the exercise by the
principal holders of all the Company's issued and outstanding $7.00 warrants
issued pursuant to that certain Common Stock Purchase Agreement dated March 29,
1993 (the "1993 Warrants").
All of the shares issued on the exercise of the 1993 Warrants have
been, or will be, issued pursuant to an exemption from the registration
requirements of federal and state securities laws and, consequently, the
certificates representing the shares bear an appropriate restrictive legend. The
terms of the 1993 Warrants provide all warrantholders with certain registration
rights. The Company has received notice that certain warrantholders intend to
demand registration of 185,714 shares of the Company's common stock received on
the exercise of the 1993 Warrants. The Company believes that no other
warrantholders intend to exercise registration rights. The Company anticipates
filing a registration statement to effect the foregoing registration in June
1998 at its cost. The shares registered thereby may be resold into the trading
market for the common stock of the Company anytime after the registration
statement is declared effective by the Securities and Exchange Commission,
pursuant to the prospectus included therewith.
Since December 31, 1997 the Company has received gross proceeds of
$5,799,997 from the exercise of the 1993 Warrants. The Company anticipates using
such proceeds for the reduction of existing short-term indebtedness and working
capital.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
The CHALONE Wine Group, Ltd.
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(Registrant)
By: /s/ William L. Hamilton
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William L. Hamilton
Executive Vice President, Chief Financial
Officer, and Director
Dated: May 8, 1998
