Feronia Inc. Completes Private Placement of Secured Convertible Debentures and Amendment of Existing Debentures

Feronia Inc. completed a private placement of secured convertible debentures and the amendment of existing debentures. With these subscriptions and the principal amount of debentures subscribed for on January 22, 2015, the private placement completes the previously announced secured convertible debenture financing of up to US$16.325 million. Interest on the debentures is 12% per annum, compounded semi-annually, and shall accrue and be payable upon maturity, unless converted earlier. The Debentures will mature on January 22, 2016 and shall be converted or repaid.

The debentures were purchased primarily by CDC Group plc, the UK Government’s Development Finance Institution, and the African Agriculture Fund, through its subsidiary Golden Oil Holdings Limited.

The Canadian dollar equivalent of the principal amount of the debentures is convertible into common shares of Feronia at a rate of C$0.25 per unit. If the Company does not complete an Amended Debt Financing (as such term is defined in the Debentures) prior to December 31, 2015, the conversion price of the debentures shall be reduced to C$0.14 per Common 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 (Corporate Finance) and Aaron Collins (Financial Services).