Mr. Steve Bromley reports
ORGANTO FOODS EXPANDS FINANCING FACILITIES WITH RABOBANK
Organto Foods Inc.'s European foods operations have expanded their financing facility with Netherlands-based Cooperatieve Rabobank UA to support the growth of the company's business.
Steve Bromley, co-chair and chief executive officer, commented: "We are extremely pleased to have expanded these facilities with Rabobank, a premier bank who has deep roots in the agricultural and foods sectors and our key operational financing partner. We have experienced significant growth in our business as we serve fast-growing healthy eating and healthy living markets, and we believe there are additional significant opportunities to further accelerate this growth into the future," commented Steve Bromley, chief executive officer of Organto Foods. "We've expanded our commercial relationships, supply depth and operational infrastructure over the past year to support continued growth. This is now translating into tangible results as we are now realizing weekly sales in the range of approximately $2-million, reflecting an annual sales run rate of approximately $100-million. With this growth comes the need for expanded operational financing facilities, and, today, we are pleased to announce the expansion of these facilities. This expanded facility will help fund our increasing business and, together with our current strengthened balance sheet, further positions our company for continued growth."
The new financing facility increases the existing four-million-euro flexible financial financing facility to seven million euros. Utilization is based on a percentage of qualified accounts receivable, with potential for additional expansion as the company's business grows further. The facility expires November, 2027, at which time it will renew for one year. Upon each subsequent expiry, the facility will automatically renew again for an additional year unless terminated by either party with three months notice. Any funds borrowed will bear interest at the one-month Euribor rate plus a pre-established margin, and a standby fee will be charged on the average unused portion of the facility. As collateral against any borrowed funds, the company will deposit a total of 630,000 euros into an interest-bearing account with Rabobank.
Rabobank is a leading Dutch co-operative bank with deep roots in the agricultural and food sectors. The bank serves clients globally, focusing on sustainability and providing a full suite of financial services, including commercial and rural banking, as well as asset management. Driven by the mission of "growing a better world together," Rabobank partners with innovative, future-focused businesses throughout the food and agribusiness value chain.
Update on retention of Venture Liquidity Providers Inc.
On March 20, 2026, the company announced that it had engaged Venture Liquidity Providers, a Canadian-based market-making service firm, for market-making purposes. VLP has been engaged to provide market-making services through a registered broker, W.D. Latimer Co. Ltd., commencing on April 1, 2026. The services provided will comply with the applicable policies of the TSX Venture Exchange and other applicable laws. For these services, the company agreed to pay VLP $5,000 per month for an initial term of three months, after which the agreement will automatically renew for successive one-month terms and may be terminated by either party at any time. No performance factors are contained in the agreement, and VLP will not receive shares or options as compensation, and the company and VLP act at arm's length. In the company's March 20, 2026, press release, it was noted that VLP had no present interest, directly or indirectly, in the company or its securities. The company has subsequently been advised that certain principals of VLP hold 90,000 common shares of the company that were acquired on Feb. 23, 2026 (74,000 shares at 90 cents per share), and March 18, 2026 (16,000 shares at 90 cents per share), VLP is a specialized consulting firm based in Toronto, providing a range of services for TSX Venture Exchange-listed issuers.
Update on number of warrants issued related to early warrant exercise program
On Feb. 20, 2026, the company announced the results of its early warrant exercise incentive program. As a result of the incentive program, the company announced it would issue 7.76 million common shares and issue 2,588,667 incentive warrants, with each incentive warrant entitling the holder to acquire one additional common share of the company at an exercise price of $1 per share for a period of one year from the date of issuance. The company hereby confirms that that, due to an administrative error, the actual number of incentive warrants issued was 2,586,653 versus the previously disclosed 2,588,667 reported.
About Organto Foods Inc.
Organto Foods is a Canadian-headquartered company supplying certified organic and fair trade produce to leading international retailers. Organto manages global sourcing, logistics and distribution through an integrated, capital-efficient model that connects growers and consumers with transparency, sustainability and operational excellence.
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