CALGARY, June 8 /CNW/ - EarthRenew Organics Ltd. based here announced
today that it has commenced marketing of an equity private placement to raise
proceeds of US$50 - US$75 million.
The company intends to use the net proceeds of this offering to fund the
equity component of its construction of seven WasteRenew(TM) facilities
largely in California, to support a recently-signed marketing and sales
agreement. In addition, the net proceeds will fund the growth of other
business development initiatives in the pipeline and will be used for general
RBC Capital Markets will serve as the company's exclusive financial
advisor with respect to the private placement.
WasteRenew(TM) is a proprietary EarthRenew process that recycles manure,
biosolids and green wastes from livestock producers, municipalities and food
processing industries, and helps reduce customer costs and problems associated
with their green waste disposal. The company's first operational plant using
these patented technologies is situated on a cattle feedlot near Strathmore,
AB, processing large tonnages of manure to make patented, specialty high value
fertilizers for key customers.
"This is the next step in the exciting growth and development of
EarthRenew," said Chief Executive Officer Christianne Carin, who founded the
company in 1999. "Our Organic Matter Fertilizer(TM) products are in high
demand and this funding will help us develop the infrastructure to supply the
market and take advantage of the tremendous opportunities for this business."
Added CFO Mark Kennedy: "Engaging RBC Capital Markets to assist in
executing this capital raising, enhances our position with large institutional
funds and provides reach into the key financial centers."
This announcement does not constitute an offer to sell or a solicitation
of an offer to buy any securities in any state or other jurisdiction or to any
person to whom it is unlawful to make such offer or solicitation. The
securities will not be registered under the United States Securities Act of
1933, as amended, or the securities laws of any state, and subject to certain
limited exceptions, may not be offered or sold or otherwise delivered in the
EarthRenew has developed, patented and implemented revolutionary clean
technologies, which utilize the direct heat from an industrial turbine in a
cooking process, replacing typically used fuel burners. The initial
commercialization of these technologies involves the manufacture of a new
class of proprietary concentrated organic matter fertilizers. Our fertilizer
products include high concentrations of organic matter bundled with organic,
slow release nutrients in a granular form that provide an economic advantage
for all our customers including organic and conventional farmers, as well as
those in care of turf and land repair. Learn more at www.earthrenew.com.
Forward Looking Statement
This news release contains statements regarding expectations, plans or
information about future events, including statements regarding the estimated
amount of proceeds and use of proceeds of the Offering, the buildout of
additional WasteRenew(TM) facilities and demand for products, that may
constitute forward-looking statements or information under applicable
securities legislation. Such forward-looking statements or information are
based on a number of assumptions which may prove to be incorrect. Assumptions
have been made regarding, among other things, demand for products and
Although the Corporation believes that the expectations reflected in such
forward-looking statements or information are reasonable, undue reliance
should not be placed on forward-looking statements because the Corporation can
give no assurance that such expectations will prove to be correct.
Forward-looking statements or information are based on current expectations,
estimates and projections that involve a number of risks and uncertainties
which could cause actual results to differ materially from those anticipated
by the Corporation.
The forward-looking statements or information contained in this news
release are made as of the date hereof and the Corporation undertakes no
obligation to update publicly or revise any forward-looking statements or
information, whether as a result of new information, future events or
otherwise, unless so required by applicable securities laws.
For further information:
For further information: Andrew Edson & Associates, Inc., 89 Bounty
Lane, Jericho, NY, 11753, USA, Andrew Edson, (516) 850-3195,
Andrew@edsonpr.com; EarthRenew Organics Ltd., 1925 - 18th Avenue NE-Suite 201,
Calgary, Alberta, T2E 7TS, Canada, Mark Kennedy, (403) 984-9696,