Earth Alive Enters Into a Letter of Intent for the Acquisition of LFP Solutions
May 20 2014 - 12:09PM
Marketwired Canada
Earth Alive Clean Technologies (CSE:EAC) ("Earth Alive") is pleased to announce
today that it has signed a letter of intent to acquire Montreal-based and
privately owned LFP Solutions Inc. ("LFP Solutions")
LFP Solutions is a leading Canadian distributor of organic growth-assisted
products for the agriculture industry. LFP Solutions services agriculture
clients, both at the retail and industrial levels under white labels, as well as
various brands and trademarks such as Gro4 Organics, SmartPots, CowPots, and
BigBlue sea based fertiliser.
This acquisition will provide Earth Alive with a strategic market launch
platform for its patented microbial fertilizer and the combined entity of Earth
Alive and LFP Solutions will offer one of the largest selections of organic
inputs in Canada. The new product line up will continue to be marketed in
Canada, with a new emphasis and focus on sales to the worldwide agriculture
industry.
As explained by the David Gilmour, Earth Alive's CEO ''This acquisition will
allow Earth Alive to realise three strategic components for its agriculture
business plan. These include an opportunity to gain immediate access to an
existing network of clients in the organic agriculture industry. Secondly, it
will broaden Earth Alive's product offering to this client base, and thirdly,
the merger will combine the expertise of seasoned LFP executives with Earth
Alive's management team for the organic agriculture market." Michael Warren, LFP
Solutions' Founder and President, will now become Earth Alive's Executive Vice
President of its Agriculture business. ''I have full confidence that Michael's
expertise and knowledge of the business will allow him to bring our Agriculture
division to great success on international markets," Gilmour added.
Terms
Earth Alive will purchase all issued and outstanding shares of LFP Solutions in
consideration of $250,000 CAD and the issuance of common shares of Earth Alive
having an aggregate value of $750,000, the whole in accordance with a definitive
share purchase agreement to be entered into between Earth Alive and the seller.
The purchase price is payable in three tranches over a period of two years,
subject to the achievement of sales targets of agricultural products.
All shares issued pursuant to the share purchase agreement shall be subject to a
regulatory four (4) month hold period after each date of issuance.
The proposed transaction is subject to CSE approval and standard closing
conditions, including the approval of the definitive share purchase agreement by
the directors of each of Earth Alive and LFP Solutions as well as the completion
of due diligence investigations to the satisfaction of both parties.
About LFP Solutions
LFP Solutions offers a variety of organic inputs for small and large growers,
both at the retail and industrial levels. All of LFP Solutions' proprietary
products are specialty products directed to the organic gardening and farming
sectors. A strong believer in the simple conviction that a healthy and natural
soil is essential to healthy and sustainable agriculture, Michael Warren, the
President and Founder of LFP Solutions states that ''joining Earth Alive will
allow us to further establish our leadership role in the supply of innovative
and environmentally sustainable farming products".
About Earth Alive Clean Technologies
Earth Alive aims to be a catalyst agent of change, and a key player, in world
markets of environmentally sustainable industrial solutions. Earth Alive works
with the latest innovations in microbial technology to formulate and patent
innovative products that can tackle the most difficult industrial challenges,
once only reserved to environmentally harmful chemicals and additives. The
company is focused on environmental sustainability in 1) dust control for the
mining industry, and 2) the agriculture industry.
Earth Alive exports its products to various world regions to clients such
Barrick Gold, Areva S.A, Dundee Precious Metals, Southern Peru Copper
Corporation, Sol Melia and Iberostar Hotels, Caterpillar Corporation, the
Montreal Biodome, and others.
The CSE has neither approved nor disapproved the contents of this press release.
The CSE does not accept responsibility for the adequacy or accuracy of this
release.
FOR FURTHER INFORMATION PLEASE CONTACT:
Louis Graton
T: 514-249-3134
E: louis.graton@gmail.com
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