Feronia Inc. Enters Into Restructuring Purchase Agreement

GlobeNewsWire- Feronia Inc. (“Feronia” or the “Company”) (TSX-V: FRN) today announces that, further to its announcement on May 22, 2020 and the subsequent third party sale process announced on June 2, 2020, it has today entered into a definitive purchase agreement (the “Purchase Agreement”) with Straight KKM 2 Ltd. (“KKM” or the “Purchaser”) that provides for the acquisition by KKM of the Company’s direct and indirect equity interests in its operating subsidiary, Plantations et Huileries du Congo (“PHC”). 

Larry Seruma, Executive Chairman of Feronia Inc. said: "KKM and its shareholders’ objective has always been to turn PHC into a truly sustainable business, and we look forward to continuing working with CDC, our DFI partners and the DFI’s Independent Complaints Mechanism, as we strive to complete this journey.  

"Through this transaction, PHC will become part of a nimbler and more efficient company and the reduction in administrative and corporate costs will allow more money to be invested on PHC’s operations in the Democratic Republic of the Congo."

Read more: https://www.globenewswire.com/news-release/2020/07/20/2064532/0/en/Feronia-Inc-Enters-Into-Restructuring-Purchase-Agreement.html