Business
Organto Foods Closes $8.0 Million Private Placement Financing
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATE...
About this update from Organto Foods, Inc.
[{"type":"text","content":"Organto Foods Closes $8.0 Million Private Placement FinancingNOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES VANCOUVER, BC, AND BREDA, THE NETHERLANDS / ACCESS Newswire / August 29, 2025 / Organto Foods Inc. (TSXV:OGO)(OTCQB:OGOFF) (\"Organto\" or the \"Company\") is pleased to announce that it has closed its previously announced non-brokered private placement of 16,000,000 units (the \"Units\") of the Company for gross proceeds of $8.0 million (see press releases dated July 31, 2025 and August 19, 2025).The Units were issued at a price of $0.50 per Unit, with each Unit consisting of one common share in the capital of the Company (a \"Common Share\") and one-half common share purchase warrant of the Company (the \"Private Placement\").Each full Warrant entitles the holder to acquire one Common Share (a \"Warrant Share\") at a price per Warrant Share of C$0.75 for a period of 18 months from the closing date of the Private Placement, subject to acceleration.The Warrants are subject to the right of the Company to accelerate the expiry date of the Warrants to a date that is 30 days following dissemination of a news release announcing such acceleration if, at any time, after the closing date, the closing price of the Company's common shares equals or exceeds $1.00 for a period of ten consecutive trading days on the TSX Venture Exchange.All securities issued pursuant to the Private Placement will be subject to a hold period of four months and one day from their date of issuance in accordance with applicable Canadian securities laws, as well as a twelve-month contractual restriction on transfer commencing on the date of issuance and ending on the first anniversary of the date of issuance.The Company has agreed to pay finder's fees on the Private Placement comprised of fees payable in cash of 7.5% of the gross proceeds or $600,000, plus an additional 7.5% of the gross proceeds via the issuance of 1,200,000 common share warrants with an exercise price of $0.50 per common share warrant, exercisable for a period of 18 months from the closing of the Private Placement.Net proceeds from the Private Placement are intended to be used to continue the growth of the Company's organic and fairtrade fruit and vegetable products platform, further develop the Company's technology platform, support gen...