Calyx Enters Into Definitive Agreements To Acquire Cannigistics Agri-Solutions Corp.
September 24, 2014 (Source: Marketwired) — Calyx Bio-Ventures Inc. (TSX VENTURE:CYX) (“Calyx”) is pleased to announce it has entered into definitive agreements to acquire Cannigistics Agri-Solutions Corp. (“Cannigistics”), a company focused on bringing sophisticated, versatile, and flexible technology solutions to advanced indoor agriculture.
Cannigistics is developing an efficient application framework that can help growers and agri-facility managers optimize operational efficiency, regulatory compliance, and production results. Cannigistics is presently designing an enterprise software platform tailored to the medical marijuana industry. With the significant reporting requirements of Health Canada and other global agencies as the medical marijuana industry continues to see legalization and rapidly changing regulation, together with the need for tightly controlled growing conditions, it is essential for enterprise software to track, manage, and enhance grower practices in this fast growing industry.
As the medical marijuana industry emerges, new and sophisticated information requirements are becoming apparent for maximizing yield, facility management, integrated security, packaging, labeling and distribution, logistics and tracking. Additionally, the compliance and record keeping requirements are unprecedented and vital to success in the medical marijuana sector. Cannigistics is positioning to be the industry leader in agri-software solutions through its application management console that provides businesses with advanced controls to all aspects of operations.
“We are very excited to have reached agreement with Calyx to conclude the acquisition of Cannigistics,” said Roger Forde, President and CEO of Cannigistics. “As we launch a scalable enterprise solution for indoor agriculture, and an application specifically targeting the medical marijuana industry, it is ideal to have a company with significant experience in biosciences and agriculture innovation behind us. Our proprietary, easy-to-use product offering will allow growers to obtain metrics, streamline compliance, and identify ways to optimize production, as well as offering the ability to integrate with third party platforms to enhance visibility and control throughout the value chain. The legal marijuana supply industry is seeing substantial investment, and we are focused on becoming the dominant solutions provider to this industry, which is expected to grow to $1.3 billion per year in just Canada alone.”
Under the terms of the acquisition, Calyx will acquire all of the issued and outstanding shares of Cannigistics in exchange for 10,000,000 common shares of Calyx. The terms of the acquisition also provide for up to 3,000,000 additional common shares of Calyx to be issued to the vendors in the future upon the occurrence of certain events, further subject to achieving certain performance milestones. The acquisition remains subject to the approval of the TSX Venture Exchange and other conditions customary for a transaction of this nature.
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Calyx Bio-Ventures Inc. (TSX VENTURE:CYX) Calyx owns a portfolio of proprietary intellectual property with applications in crop enhancement, and has an approximate shareholding of approximately 25% in Agrisoma Biosciences Inc., a company which is producing a non-food energy feedstock crop for biofuel production. The Company has also entered into definitive agreements to acquire all of the outstanding shares of Cannigistics Agri-Solutions Corp., a company that is presently developing an enterprise software platform tailored to advanced indoor agriculture, and specifically the medical marijuana industry. For further information about Calyx, please visit www.calyxbio.com. For additional information about Cannigistics, please visit www.cannigistics.com.
Forward-Looking Statements: This document contains certain forward-looking statements concerning Calyx, as well as other expectations, plans, goals, objectives, information or statements about future events, conditions, or performance that may constitute “forward-looking statements” or “forward-looking information” under applicable securities legislation. Such statements or information involve substantial known and unknown risks and uncertainties, certain of which are beyond Calyx’s control, including the completion of the Private Placement and the delay or failure to receive regulatory approvals.
Such forward-looking statements or information are based on a number of assumptions, which may prove to be incorrect. In addition to other assumptions identified in this news release, assumptions have been made regarding, among other things, timing and completion of the Private Placement, the actual use of proceeds, and the timing of receipt of regulatory approvals.
Although Calyx 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 Calyx 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 Calyx and described in the forward-looking statements or information.
The forward-looking statements or information contained in this news release are made as of the date hereof and Calyx 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 or the TSX Venture Exchange. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement.
This press release shall not constitute an offer to sell, nor the solicitation of an offer to buy, any securities in the United States, nor shall there be any sale of securities mentioned in this press release in any state in the United States in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Raj Shah has professional experience working for over a half a dozen years at financial firms such as Merrill Lynch and First Allied Securities Inc., ... <Read more about Raj Shah>