August 24, 2022 - Vancouver, British Columbia - Clean Seed Capital Group Ltd (“Clean Seed” or the “Company”) (TSX-V: CSX and OTCQB: CLGPF) announces it will be showcasing its SMART Seeder™ MAX-S™ at the US Farm Progress Show, the nation’s largest outdoor agricultural event.
Located in Boone, Iowa, this event boasts over 600 exhibitors and 50,000+ attendees over a three-day period from August 30 to September 1. For over 50 years, the Farm Progress Show has connected farmers and industry pioneers from across the globe. Our team, and the SMART Seeder™ MAX-S™ will be located on second street at the Farm Progress Show.
Our four campaign pillars for SMART Seeder™ MAX in the United States are:
- US Dealer recruitment for the SMART Seeder™ MAX 48/15 – (US configuration – 48 row/ 15” spacing)
- End consumer lead generation and pre-order campaign
- Strategic partnerships with US based Agronomic and Ag Tech Companies
- Educate ‘4R Nutrient Stewardship’ provided by the SMART Seeder MAX™
“We have chosen to feature our flagship model, the SMART Seeder MAX-S™, to the crowds and industry influencers in the United States at this year’s show. MAX-S™ is a full complement SMART Seeder with singulation and fertility in a single pass targeted directly at the US corn and soybean market. The annual crop production values of these two key crops in the US is over US$160B and the annual marketplace for planting and seeding equipment for these crops exceeds US$5B. Our technologies are set to disrupt the US planting and seeding equipment market and will be the leading precision, multi-product, single pass planting technology for the American farmer,” says Colin Rush, president of Clean Seed.
Further to its news release dated July 18, 2022, whereby the Company secured initial production financing of $1,000,000, the Company has now also finalized a non-brokered private placement for gross proceeds of $630,000 for working capital purposes. The private placement includes a $300,000 investment by Ag-West Bio, Saskatchewan’s bioscience industry association, whose mandate is to strengthen the bioeconomy industry in Saskatchewan.
Kyle Adams, Director of Investment and Commercialization with Ag-West Bio states “Ag-West Bio is excited to partner and support Clean Seed Capital in its commercialization efforts. Clean Seed’s innovative technology is a benefit to agricultural producers, and to the whole the agriculture industry, which Ag-West strives to support as Saskatchewan’s bioeconomy catalyst.”
Pursuant to the private placement, the Company will issue two debentures convertible into common shares for gross proceeds of $630,000 (the “Offering”). On a weighted average basis, amounts borrowed bear interest of 8.5% and are convertible into shares at $0.25 per share, subject to the description below. The debentures are not convertible by the holders until August 1, 2023.
Amounts borrowed under debenture one aggregate $300,000, are repayable as interest only on a monthly basis for 12 months, are amortized over 48 months thereafter and mature on August 31, 2027. Amounts borrowed under debenture two aggregate $330,000, are repayable as interest only on a semi-annually basis and mature on August 31, 2025.
The conversion price of debenture one will be the greater of (i) $0.30 per share or (ii) the market price of common shares of the Company, discounted by 30%, to a maximum of $0.60 per share. Both debentures are secured by a general charge against all of the assets of the Company and its subsidiaries.
All securities to be issued pursuant to the Offering will be subject to a regulatory hold period of four months and a day in accordance with the rules and policies of the TSX Venture Exchange and applicable Canadian securities laws, and such other further restrictions as may apply under foreign securities. Closing of the placement is subject to receipt of TSXV approval.
The Company has granted a consultant 500,000 stock options at an exercise price of $0.20 per share until December 31, 2023. The consultant will be working with the Company for business development purposes and to expand market awareness both in Canada and the US as we progress through our fall activities.
ON BEHALF OF THE BOARD
Chairman and CEO
About Clean Seed Capital Group Ltd.
The common shares of Clean Seed Capital Group Ltd. are listed on the TSX Venture Exchange and trade under the symbol “CSX” and are traded on the OTCQB Venture Market under the symbol “CLGPF”.
We are a team of innovators and business management professionals with a proven track record of game changing innovation and production of patented agricultural technologies at an incredibly high level. We pride ourselves as progress facilitators that turn solutions for modern agricultural problem into commercially viable products to fulfill new demand.
Clean Seed’s SMART Seeder™ technologies are revolutionary seeding tools that utilize the unique synergy of sophisticated electronic metering and intuitive software control putting row-by-row variable rate technology at the forefront of agricultural innovation. Our innovations create a new class of highly accurate seeding equipment designed specifically for today’s farmer.
For further information please contact Clean Seed at 604-566-9895 and visit our website at www.cleanseedcapital.com.
About Ag-West Bio
Ag-West Bio is Saskatchewan’s bioscience industry association. The company works as a catalyst for developing partnerships and industry growth in the bioeconomy through investments, aiding strategic alliances, and providing business planning support, regulatory advice, and communications. Funding for Ag-West Bio is provided by the Saskatchewan Ministry of Agriculture and Agriculture and Agri-Food Canada's Canadian Agricultural Partnership (CAP) program. www.agwest.sk.ca
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
This press release is not an offer or a solicitation of an offer of securities for sale in the United States. The common shares of Clean Seed Capital Group Ltd. have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This news release includes certain “forward-looking statements” as defined under applicable Canadian securities legislation. All information and statements contained herein that are not clearly historical in nature constitute forward-looking information, and the words “anticipate”, “estimate”, “believe”, “continue”, “could”, “expects”, “intend”, “plans”, “postulates”, “predict”, “set to”, “will”, “may” or similar expressions suggesting future conditions or events or the negative of these terms are generally intended to identify forward-looking information. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Clean Seed disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.