Excellent news Clean Seed Capital Group (TSXV: CSX) Enters the United States Market Through New Strategic Alliance and Closure of Associated Investment
Thursday, February 23, 2017
Clean Seed Capital Group (TSXV: CSX) Enters the United States Market Through New Strategic Alliance and Closure of Associated Investment
07:00 EST Thursday, February 23, 2017
(via TheNewswire)
February 23, 2017 / TheNewswire / Vancouver, British Columbia - Clean Seed Capital Group Ltd. ("Clean Seed" or the "Company") (TSX-V: CSX) has entered into a distribution partnership agreement with Torgerson's LLC ("Togerson's") to bring its CX-6 SMART Seeder (TM) technology to the United States through 1) an exclusive dealership arrangement for Montana and North West Dakota 2) the creation of a CX-6 SMART Seeder (TM) demonstration centre and 3) providing a base for further expansion into other key US markets.
Torgerson's is a respected family owned and operated business first established in Ethridge, Montana in 1912. Torgerson's has grown into a 4th generation farm implement dealer with 8 locations throughout the farming belt of Montana. Montana annually plants 20 million acres of crop for commercial production across 28,000 farms. It ranks 1st in the US in dry peas and lentil production, 2nd in the production of barley, and third in wheat production. The annual value of the major crops grown in Montana is $2.2 billion US.
The Company is working with Torgerson's to finalize its distribution plans and to set-up a demonstration program planned for the fall of 2017 and beyond. As part of the dealership agreement, Torgerson's will be purchasing CX-6 SMART Seeder (TM) units to be used for its customer demonstration programs. Torgerson's operates a 12,000 acre family farm which will host the Clean Seed demonstrations.
In parallel with entering into the agreement with Torgerson's, the Company has closed a non-brokered private placement for 3,441,669 common shares ("Shares") of the Company at a price of $0.30 per Share, for gross proceeds of CDN $1,032,500.70 (the "Offering") to facilitate its expansion plans into the United States and ongoing operations in Canada. Both Torgerson's and the Company's recent appointments are strategic participants in the associated investment. There were no finders' fees associated with the private placement. All Shares to be issued pursuant to the Offering will be subject to a regulatory hold period of four months and a day in accordance with the rules and policies of the TSX Venture Exchange and applicable Canadian securities laws, and such other further restrictions as may apply under foreign securities laws.
Graeme Lempriere, CEO of Clean Seed, stated " I would like to welcome the Torgerson family to our growing roster of collaborative partners and investors. This 4th generation family-owned, Case IH farm equipment dealer is a strategic entry point into the United States for our organization. The Torgerson's family values and ethical footing have cemented them as a respected leading dealer network in the region. Their commitment to our program for the CX-6 SMART Seeder(TM), in both financial and operational aspects, is greatly valued and synergistically dovetails with our Canadian distribution partner, Rocky Mountain Equipment.
As the world's attention becomes ever more focused on feeding a growing population, enormous amounts of investment are flowing into agriculture, propelling a technological evolution. Clean Seed takes enormous pride in playing a historic catalytic role.
We predicted that one of the powerful keys necessary to unlock significant progress in precision agriculture would be absolute, precision driven seeding technologies that plant inputs accurately to the square foot. We accomplished just that by designing, patenting and developing the award winning CX-6 SMART Seeder (TM), the world's most advanced seeding technology. The evolution of this technology has been made possible by attracting industry experts and collaborative partners. We look forward to working with our latest partner, Torgerson's, to advance our technology awareness initiatives and to launch our equipment in the USA!"
Brion Torgerson, CEO of Torgerson's, stated "We are excited to partner with Clean Seed! Clean Seed's technologies are the future of farming and is a great partner for our company in driving innovation in crop production. Since 1912 we have been committed to bringing the best technologies to our customers and incorporating those technologies into their practice. With the addition of the CX-6 SMART Seeder, the future of farming will be at Torgerson's!"