VANCOUVER, British Columbia, September 20, 2022 – CubicFarm® Systems Corp. (“CubicFarms” or the “Company”) (TSX:CUB), a leading local chain agricultural technology company, announced that it has completed the closing of a CAD6.4 million secured revolving term loan (the “Term Loan”) to support business operations (the “Closing”).
The Term Loan amount increased from CAD6.25 million, as previously announced on September 14, 2022, to CAD6.4 million. The Company drew the full amount at Closing.
The lender of the Term Loan also received share purchase warrants (the “Warrants”) in HydroGreen, Inc. (“HGI”), a wholly-owned subsidiary of the Company, to purchase, in aggregate, approximately USD4.8 million of HGI shares at a USD20.0 million pre-money valuation, in accordance with the previous announcement.
About CubicFarms and HydroGreen
CubicFarms is a leading agricultural technology company developing and deploying proprietary ag-tech technologies to enable growers to produce high quality, predictable produce and fresh livestock feed with HydroGreen Nutrition Technology, a division of CubicFarm Systems Corp. The CubicFarms™ system contains patented technology for growing leafy greens and other crops on-site, indoors, year-round.
HydroGreen’s Automated Vertical Pastures™ technology produces high-energy fresh forage at commercial scale 365 days a year using a unique process to sprout grains, such as barley and wheat, in a controlled environment with minimal use of land, labour, and water. Automated Vertical Pastures™ not only provides a superior nutritious feed to benefit the animal, improving feed efficiency, cow health, nutrition, and performance outcomes, but also enables significant environmental benefits to the farm while helping to meet increasing demand for valuable farm-based inset and offset carbon credits.