Village Farms International completes US$49.8 million registered direct offering

On September 10, 2020, Village Farms International, Inc. ("Village Farms") announced that it closed its previously announced U.S. registered direct offering with certain institutional investors for the purchase and sale of an aggregate of 9,396,226 units at a purchase price of US$5.30 per unit for gross proceeds of approximately US$49.8 million. Each unit that was sold consists of one common share of Village Farms and a one-half (0.5) of a warrant to purchase a common share of Village Farms at an exercise price of US$5.80. The warrants will be exercisable beginning on March 10, 2021 and will expire on September 10, 2025. The offering was registered with the U.S. Securities and Exchange Commission (the "SEC") by a prospectus supplement filed under Village Farms' effective shelf registration statement on Form S-3.

Village Farms intends to use up to US$40 million of the net proceeds from this offering to finance a portion of the acquisition of 36,958,500 common shares in the capital of Pure Sunfarms Corp. ("Pure Sunfarms") from Emerald Health Therapeutics, Inc. ("Emerald"), representing 41.3% of the issued and outstanding common shares of Pure Sunfarms and all of the remaining common shares of Pure Sunfarms not held by Village Farms, as announced by Village Farms on September 8, 2020. The remaining net proceeds from this offering are intended to be used for general working capital.

A.G.P./Alliance Global Partners acted as sole placement agent for the offering. Beacon Securities Limited acted as financial advisor for the offering.

Village Farms is one of the largest and longest-operating greenhouse growers in North America, and is leveraging its decades of experience as a large-scale, low-cost intensive agriculture and vertically integrated produce supplier to pursue high-value, high-growth plant-based Consumer Packaged Goods opportunities in cannabis and CBD in North America and select markets internationally.

Further information can be found on Canada Newswire's website here.