Toronto, Ontario--(Newsfile Corp. - June 29, 2022) - Deveron Corp. (TSXV: FARM) ("Deveron" or the "Company"), a leading agriculture data company in North America, announces that it has granted an aggregate of 388,637 options to purchase common shares of the Company exercisable at a price of $0.55 per common share and expiring on June 29, 2027, to certain officers, directors and employees of the Company. The common shares issuable upon exercise of the options are subject to a four-month hold period from the original date of grant.
In addition, the Company wishes provide an update on its acquisition of the assets of Agri-Labs, Inc. ("Agri-Labs"), a leading soil lab and agronomy company that services Indiana, Michigan, and Ohio (the "Acquisition"). Further to its press release of March 11, 2022, with respect to its purchase of the assets of Agri-Labs, the Company confirms that if on or before March 10, 2023, the gross revenue attributable to the Agri-Labs business exceed the gross earnings before interest, taxes, depreciation and amortization ("EBITDA") of the prior twelve (12) month period, then, in addition to the original purchase price, Agri-Labs shall be entitled to receive an amount equal to twenty percent (25%) of the excess amount (the "EBITDA Earnout") in cash, and such number of common shares in the capital of the Company equal to, at the time of disbursement, the EBITDA Earnout.
Finally, in connection with its previously announced acquisition of the assets of Stealth Ag, Inc. ("Stealth"), as set out in its press releases of May 27, 2021, and August 30, 2021, Stealth has exceeded gross revenues of US$1,000,000 during the fiscal year ending December 31, 2021. As a result of achieving this milestone, the Company is required to make a one-time payment of US$140,000, to be satisfied through the issuance of an aggregate of 330,909 common shares ("Common Shares") in the capital of the Company at a deemed price of $0.55 per Common Share. Pursuant to the policies of the TSX Venture Exchange (the "TSXV") the transaction is treated as a debt settlement and the issuance of the Common Shares remains subject to receipt of all necessary corporate and regulatory approvals, including the approval of the TSXV. All Common Shares issued will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.
About Deveron: Deveron is an agriculture technology company that uses data and insights to help farmers and large agriculture enterprises increase yields, reduce costs and improve farm outcomes. The company employs a digital process that leverages data collected on farms across North America to drive unbiased interpretation of production decisions, ultimately recommending how to optimize input use. Our team of agronomists and data scientists build products that recommend ways to manage fertilizer, seed, fungicide and other farm inputs better. Additionally, we have a national network of data technicians that are deployed to collect various types of farm data, from soil to drone, that build a basis of our best-in-class data layers. Our focus is the US and Canada where 1 billion acres are actively farmed annually.
President & CEO Deveron Corp.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes certain "forward-looking statements" within the meaning of that phrase under Canadian securities laws. Without limitation, statements regarding future plans and objectives of the Company are forward-looking statements that involve various degrees of risk. Forward-looking statements reflect management's current views with respect to possible future events and conditions and, by their nature, are based on management's beliefs and assumptions and subject to known and unknown risks and uncertainties, both general and specific to the Company. Although the Company believes the expectations expressed in such forward-looking statements are reasonable, such statements are not guarantees of future performance and actual results or developments may differ materially from those in our forward-looking statements. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world-wide price of agricultural commodities, general market conditions, risks inherent in agriculture, the uncertainty of future profitability and the uncertainty of access to additional capital. Additional information regarding the material factors and assumptions that were applied in making these forward-looking statements as well as the various risks and uncertainties we face are described in greater detail in the "Risk Factors" section of our annual and interim Management's Discussion and Analysis of our financial results and other continuous disclosure documents and financial statements we file with the Canadian securities regulatory authorities which are available at www.sedar.com. The Company undertakes no obligation to update this forward-looking information except as required by applicable law. The Company relies on litigation protection for forward-looking statements.
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