Adds €750,000 Facilities to Support Business Growth
TORONTO, ON and BREDA, THE NETHERLANDS / ACCESSWIRE / September 21, 2023 / Organto Foods Inc. (TSXV:OGO)(OTC:OGOFF)(FSE:OGF) ("Organto" or "the Company"), a leading provider of organic and value-added organic fruit and vegetable products, today announced that it has expanded its financing facilities with the addition of two facilities with a total capacity of €750,000 (approximately CDN $1.05 million). The facilities have been provided to two operating subsidiaries by an established Netherlands-based credit provider.
Highlights:
- New €750,000 facilities add liquidity to operations that were previously not supported by financing facilities.
- Growth capital to support continued business development.
- Increased flexibility and efficiency in working capital management.
- Facilities secured by assets of operating subsidiaries.
Rients van der Wal, Co-CEO of Organto Foods Inc. and CEO of Organto Europe B.V. commented, "As we continue to grow our business with a focus on growth across our entire platform, it is necessary to enhance our capital structure in order to more efficiently manage the growth we are targeting. These new facilities expand our financing capacity, allowing us to exploit growth opportunities. The demand for sustainable, transparent fresh organic fruit and vegetables continues to grow globally, and we are excited to be building our business in this fast-growing category."
Organto is an integrated provider of branded, private-label, and distributed organic and non-GMO fruit and vegetable products serving the growing global demand for healthy and socially responsible foods. Organto operates a strategic and flexible asset-light business model, sourcing products from five continents, and using its certification, supply chain, marketing, and distribution expertise currently brings products to markets across Europe. Organto markets a number of branded product offerings, including its flagship I AM Organic brand along with non-GMO brands ORO and Awesome Fruits. Fast-growing, Organto has realized sixteen consecutive quarters of record revenue growth versus the same quarter in the prior year. Organto's long-term growth strategy is to build an ethics-driven "one-stop-shop" in fresh organic and specialty fruit and vegetable products fueled by a combination of strong internal growth and acquisitions.
ON BEHALF OF THE BOARD,
Steve Bromley
Chair and Co-Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
For more information contact:
Investor Relations
info@organto.com
John Rathwell, Senior Vice President, Corporate Development and Investor Relations
647 629 0018
ABOUT ORGANTO
Organto is an integrated provider of branded, private label, and distributed organic and non-GMO fruit and vegetable products using a strategic asset-light business model to serve a growing socially responsible and health-conscious consumer around the globe. Organto's business model is rooted in its commitment to sustainable business practices focused on environmental responsibility and a commitment to the communities where it operates, its people, and its shareholders.
FORWARD-LOOKING STATEMENTS
This news release may include certain forward-looking information and statements, as defined by law including without limitation Canadian securities laws and the "safe harbor" provisions of the US Private Securities Litigation Reform Act of 1995 ("forward-looking statements"). In particular, and without limitation, this news release contains forward-looking statements respecting Organto's business model and markets; Organto's belief that the new financing facilities will provide additional financial flexibility for future growth opportunities; Organto's belief that demand for sustainable, transparent fresh organic fruit and vegetables continues to grow globally; management's beliefs, assumptions, and expectations; and general business and economic conditions. Forward-looking statements are based on a number of assumptions that may prove to be incorrect, including without limitation assumptions about the following: the ability and time frame within which Organto will execute and implement the Consolidation; Organto's business model will be implemented and product supply will be increased; cost increases; dependence on suppliers, partners, and contractual counter-parties; changes in the business or prospects of Organto; unforeseen circumstances; risks associated with the organic produce business generally, including inclement weather, unfavorable growing conditions, low crop yields, variations in crop quality, spoilage, import and export laws, and similar risks; transportation costs and risks; general business and economic conditions; and ongoing relations with distributors, customers, employees, suppliers, consultants, contractors, and partners. The foregoing list is not exhaustive and Organto undertakes no obligation to update any of the foregoing except as required by law.
SOURCE: Organto Foods Inc.
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