Canadian ice cream and frozen snacks producer Coolbrands International has announced that its co-founder, co-chairman and director Michael Serruya has acquired, through a holding company, warrants to purchase 5.5m subordinate voting shares in the company.

The company said the purchase was linked to Serruya's acquisition of senior indebtedness of CoolBrands and entry into a related forbearance agreement on 17 November 2006. The exercise price of each warrant is CAD$0.50 (US$0.44), and the term of the warrants is five years from the date of grant.

The warrants represent approximately 9.8% of the subordinate voting shares of CoolBrands and, if converted into subordinate voting shares, would give Serruya direct or indirect ownership or control over approximately 41% of all votes attaching to shares of CoolBrands. In addition, together with other shareholders who are party to a board representation agreement dated 18 March 1998, Serruya would have approximately 56% of the votes attaching to all outstanding shares of CoolBrands, the company said.