April 16, 2019 – Vancouver, British Columbia
Clean Seed Capital Group Ltd. (TSX-V: CSX)(“Clean Seed”) wishes to advise that it will not proceed with the acquisition of Harvest International Inc. (“Harvest International”) of Storm Lake Iowa. During final stages of our due diligence and syndicated financing efforts, the discovery of material changes to the Harvest International business presented new realities. As a result, Clean Seed Executive Management and Board of Directors elected to pause financing activities and allowed the Letter Agreement to terminate as no resolution could be reached to navigate the changes.
While disappointing in the short term, Clean Seed is extremely encouraged by the strength of support offered by its lenders and partners in the public markets along with Farm Credit Canada and Export Development Canada. We will build upon this support as we shift our focus to alternative strategic options and opportunities for the “iron” aspect of our business. Although this transaction will not proceed, Clean Seed and Harvest International remain willing to do business in the future.
Meanwhile, Clean Seed will continue to build on its respected foundation as a technology leader in the agricultural sector with the launch of our SMART Planter™ spring 2019 testing and demonstration program. This program will continue Clean Seed’s momentum in the development of our highly advanced software systems, our revolutionary on board sensor, data and communications network and allow us to trial canola singulation in Western Canada.
We wish Harvest International well as they navigate the future.
Chairman of the Board of Directors and Chief Executive Officer
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”.
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 quickly turn viable concepts and ideas into commercially viable products that can fulfill demand.
The CX-6 SMART Seeder™ is a revolutionary seeding tool that utilizes the unique synergy of sophisticated electronic metering and intuitive software control putting row-by-row six-meter 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 Investor Relations at Clean Seed at 604-566-9895 and visit our website at http://www.cleanseedcapital.com.
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. Forward-looking statements herein include, but are not limited to, statements with respect to completing future events or actions. 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.