MINNEAPOLIS, Minn.,
June 14, 2021 /CNW/ - Ceres Global Ag
Corp. (TSX: CRP) ("Ceres" or the "Corporation") a global
agricultural, energy and industrial products merchandising and
supply chain company, announced that it has entered into a
five-year senior secured $50 million
term debt credit facility with the Bank of Montreal ("BMO") that includes a $30 million term loan draw that will be used to
retire the Company's term loan with Bixby Bridge Fund IV, LLC
("Bixby") along with an additional $20
million delayed draw committed term loan that will be used
to fund future growth projects and initiatives. The BMO term debt
credit facility is priced at Libor + 3.5% which is significantly
below the Bixby loan rate of Libor plus 6.0%. All amounts are in
U.S. currency.
"We are pleased to announce this BMO term debt credit facility
that gives us access to more capital at a significantly reduced
price," said Mr. Jay Bierley, Vice
President and Chief Financial Officer at Ceres. "This credit
facility will positively impact our earnings, strengthen our
balance sheet, and provide capital needed to pursue growth and
increase Ceres's competitiveness in the markets in which we
operate. We would also like to thank Bixby for their support in
providing needed capital that helped get us to the position we are
today."
About Ceres Global Ag Corp. (ceresglobalagcorp.com)
Ceres and its subsidiaries ("Ceres") add value across
agricultural, energy and industrial supply chains through efficient
sourcing, storing, transporting and marketing of high-quality
agricultural commodities, value-added products and raw materials.
Leveraging its network of commodity logistics centers and team of
industry experts, Ceres connects farmers to customers around the
world.
Ceres is headquartered in Golden
Valley, Minnesota, and together with its affiliated
companies, operates 13 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. These facilities have an aggregate
grain and oilseed storage capacity of approximately 31 million
bushels.
Ceres has a 50% interest in Savage Riverport, LLC (a joint
venture with Consolidated Grain and Barge Co.), a 50% interest in
Farmers Grain, LLC (a joint venture with Farmer's Cooperative Grain
and Seed Association), a 50% interest in Gateway Energy Terminal
(an unincorporated joint venture with Steel Reef Infrastructure
Corp.), a 25% interest in Stewart Southern Railway Inc. (a
short-line railway located in southeast Saskatchewan with a range of 130 kilometers),
and a 17% interest in Canterra Seed Holdings Ltd. (a Canada-based seed development company).
For more information about Ceres, please visit
www.ceresglobalagcorp.com
SOURCE Ceres Global Ag Corp.