JEMI FIBRE CORP V.JFI

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[TheRock07]

Vancouver, British Columbia--(Newsfile Corp. - March 11, 2015) - Jemi Fibre Corp. (TSXV: JFI) ("Jemi Fibre" or the "Company") is pleased to announce it has entered into a letter of intent to acquire all of the issued and outstanding shares of Aallcann Wood Suppliers Inc. (the "Transaction"). Aallcann is a post peeling and treatment operation based in Prince Albert, Saskatchewan that produces treated timber products for agricultural markets. It's treatment facility is situated on approximately 180 acres of land and it holds a license for 36,000 cubic meters of Crown annual allowable cut ("AAC").

The letter of intent provides that upon closing of the Transaction, Aallcann will have positive net working capital of approximately $500,000 and Jemi Fibre will pay the shareholders of Aallcann $1.6 million. Following closing, Jemi Fibre will also pay the shareholders of Aallcann $10 for each additional cubic meter of AAC secured for up to nine months following closing of the Transaction.

Mike Jenks, Chairman & CEO, commented "This acquisition is a natural extension of our vertical integration strategy and a low-risk opportunity to add scale to our growing wood processing division. Similar to previous acquisitions, we anticipate applying our industry experience and harvesting capabilities to improve profitability and provide an attractive return on investment".

Completion of the Transaction is subject to conditions in the ordinary course of transactions of this nature, including acceptance by the TSX Venture Exchange. There can be no assurances that the Transaction will be completed.

For further information, please contact:

Brent Lokash, President
Tel: [phone]
Email: [e-mail]

Read more at https://www.stockhouse.com/news/press-releases/2015/03/11/jemi-fibre-corp-enters-into-letter-of-intent-to-acquire-wood-treatment#siUs5DqdCKkc4YLm.99