HIAWATHA, KS, July 9, 2015 /CNW/ - (TSX: AJX) - AgJunction Inc. ("AgJunction" or the "Company") responded to the trading activity in its shares on the Toronto Stock Exchange today as the Company's stock price traded significantly lower on heavy volume.
The Company has learned that the trading was related to an overseas institutional shareholder that was forced to liquidate a portion of its holdings in order to meet imposed covenants by its home country's regulatory body. Subsequent to the liquidation of the shares, the institutional shareholder has confirmed that it maintains a significant investment in AgJunction.
The Company does not believe that the selling of its shares that took place was related to any recent or expected corporate developments, fundamentals, or outlook.
AgJunction is currently in the process of completing a merger transaction originally announced in a press release issued on March 16, 2015, where AgJunction Inc. ("AgJunction") and Novariant, Inc. ("Novariant") jointly announced that they had entered into an agreement under which AgJunction would acquire Novariant through a Plan of Merger under the Laws of the State of California (the "Merger"). Complete details of the terms of the transaction are set out in the agreement filed by AgJunction under its profile on SEDAR on March 26, 2015.
AgJunction provides innovative hardware and software applications for precision agriculture worldwide. AgJunction holds numerous patents and markets its products and services under leading brand names including Outback Guidance® and Satloc®. AgJunction supports advanced farming practices and enables seamless data connectivity among growers and their agricultural service providers. Headquartered in Hiawatha, Kansas, AgJunction has facilities in Arizona, Winnipeg, and Queensland, Australia. AgJunction is listed on the Toronto Stock Exchange (TSX) under the symbol "AJX." For more information, please go to www.agjunction.com.
Reader Advisory and Note Regarding Forward Looking Information
This press release contains forward-looking information and forward-looking statements (collectively, "forward-looking information") within the meaning of applicable securities laws and is based on the expectations, estimates and projections of management of AgJunction as of the date of this news release, unless otherwise stated. The use of any of the words "expect", "anticipate", "may", "will", "should", "believe", "intends" and similar expressions are intended to identify forward-looking information. In respect of the forward-looking information AgJunction has provided such information in reliance on certain assumptions that it believes are reasonable at this time. Readers should not place undue reliance on such forward-looking information contained in this press release since forward-looking information addresses future events and conditions, such information by its very nature involves inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure of each of AgJunction and Novariant to obtain necessary regulatory, stock exchange and other third party approvals, in a timely manner, or at all. Failure to obtain such approvals may result in the Merger not being completed on the proposed terms, or at all. Readers are cautioned that the foregoing list of factors is not exhaustive. The forward-looking information contained in this press release is made as of the date hereof and AgJunction undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. This press release is for informational purposes only and does not constitute an offer to sell or a solicitation to buy any security which may be referenced herein.
SOURCE Agjunction Inc.
For further information: Rick Heiniger, President and CEO, AgJunction Inc., (785) 742-5130, [email protected]; Cory Pala, Investor Relations, e.vestor Communications Inc., (416) 657-2400, [email protected]