May 3, 2010 (FinancialWire) — Soko Fitness & Spa Group, Inc. (OTCBB: SOKF), an operator of fitness centers, beauty salons and spas in China, has closed a non-brokered private placement of 3.125 million shares of common stock at a purchase price of $3.20 per share, yielding gross proceeds of $10 million to Soko.

The offering was made to institutional and accredited investors, including two affiliates of IDG Capital Partners and existing Soko investor Guerilla Capital and its affiliates. The company said that no warrants were issued to the investors in the offering, and no placement agent was utilized.

Soko said it plans to use the proceeds of the offering to accelerate its growth strategy, including the opening of new spa and fitness facilities and the pursuit of strategic acquisitions, as well as for general corporate purposes.

As a result of the financing, Soko said it now expects to open more facilities in calendar 2010 than its previous guidance of seven to nine new facilities planned for the calendar year.

China-based Soko Fitness & Spa Group is an operator of fitness centers and beauty salons and spas in cities in Northeastern China as well as in suburban Beijing.

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