TORONTO, Nov. 28, 2016 /CNW/ - Ceres Global Ag Corp.
(TSX:CRP) ("Ceres") announced today that VN Capital Fund C, LP
("VN") has given notice of its intention to exercise in full the
warrants that were issued to it in connection with Ceres' rights
offering that closed at the end of 2014. In connection with
the exercise, VN will pay to Ceres an aggregate exercise price of
C$7.3 million, and in exchange
will receive 1,250,000 common shares of Ceres.
Warrants for an additional 833,334 common shares of Ceres were
issued in connection with the rights offering and will expire on
December 4, 2016, unless
exercised.
After giving effect to the anticipated exercise of the warrants
by VN, and assuming that none of the remaining warrants are
exercised, VN will own approximately 42.96% of the issued and
outstanding common shares of Ceres.
About Ceres Global Ag Corp.
(ceresglobalagcorp.com)
Headquartered in Minneapolis, Ceres Global Ag Corp. is focused
on two primary businesses: a Grain Storage, Handling and
Merchandising unit; and a Commodity Logistics unit.
Ceres operates in two business units, one of which is a grain
storage, handling, and merchandising unit anchored by a collection
of nine (9) grain storage and handling assets in Minnesota, New
York, Saskatchewan and
Ontario having aggregate storage
capacity of approximately 43 million bushels as at June 30, 2016, including 5.4 million bushels of
idle capacity.
Ceres' Commodity Logistics unit is focused on the development of
a Commodity Logistics Centre in Northgate, SK. The Northgate
Commodities Logistics Centre is a state-of-the-art grain,
agriculture services and oilfield supplies transloading site.
Ceres also has a 25% interest in Stewart Southern Railway Inc.,
a short-line railway with a range of 130 kilometres that operates
in south-eastern Saskatchewan, and
a 17% interest in Canterra Seeds Holdings, one of Canada's leading seed companies, with a full
product portfolio of leading-edge varieties in cereals, pulses,
oilseeds, corn, soybeans and specialty crops.
Cautionary Notice: This news release contains "forward-looking
information" within the meaning of applicable Canadian securities
legislation and United States
securities laws. The forward-looking information contained in this
news release relates to the anticipated exercise of the warrants by
VN, the receipt by Ceres of the aggregate exercise price and the
issuance of common shares of Ceres to VN, and is based on receipt
by management of a written notice from VN of its intention to
exercise the warrants. Forward-looking information is subject
to a variety of risks, uncertainties and other factors that could
cause actual events or results to differ materially from those
anticipated in the forward-looking information. The key assumptions
upon which this forward-looking information is based relate to the
ability of VN to execute on the exercise of the warrants in a
timely manner, and that VN will decide to follow through on its
intention to complete such exercise. These assumptions are
based on factors and events that are not within the control of
Ceres, and there is no assurance that they will prove to be
correct. Factors that could cause actual results to vary materially
from results anticipated by such forward-looking information
include, among others, risks related to the ability of VN to fund
the exercise price and deliver the original warrant certificate to
Ceres in a timely manner. Although Ceres has attempted to
identify important factors that could cause actual actions, events
or results to differ materially from those described in
forward-looking information, there may be other factors that cause
actions, events or results that are not anticipated, estimated or
intended. There can be no assurance that forward-looking
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Ceres undertakes no obligation to update
forward-looking information if circumstances should change, except
as required by applicable securities laws. The reader is cautioned
not to place undue reliance on forward-looking information.
SOURCE Ceres Global Ag Corp.