Feronia Inc. Completes Private Placement of Secured Convertible Debentures

Feronia Inc. completed a private placement of secured convertible debentures. Interest on the debentures is 12% per annum, compounded semi-annually, and shall accrue and be payable upon maturity, unless converted earlier. The debentures were purchased primarily by CDC Group Plc, the UK Government’s Development Finance Institution.

The Canadian dollar equivalent of the principal amount of the debentures is convertible into units of Feronia at a rate of C$0.80 per unit. Each unit consists of one common share in the capital of the Company and one transferable common share purchase warrant. Each warrant shall be exercisable into one common share at an exercise price of C$0.80 per share for a period of five years from the closing date. If the Company does not complete a Qualifying Debt Financing (as such term is defined in the debentures) prior to September 30, 2015, the conversion price of the debentures shall be reduced to C$0.45 per unit and the exercise price of the warrants shall be reduced to C$0.45 per share.

Feronia Inc. is a large-scale commercial farmland and plantation operator in the Democratic Republic of the Congo. The Company uses modern agricultural practices to operate and develop its oil palm plantations and arable farming business division. Feronia is committed to sustainable agriculture, environmental protection and providing support for local communities

A&B represented Feronia with a team comprised of Richard Kimel, Rebecca Kacaba, Chris Berrigan, Daniel Everall (Corporate Finance) and Aaron Collins (Financial Services).