Organto Foods Inc. Completes Private Placement

Organto Foods Inc., a Canadian company involved in the distribution of organic and non-GMO fruit and vegetable products, announced the successful closure of a private placement of shares. On April 16, 2024, the company finalized the sale of 5,750,000 common shares priced at CDN $0.10 each, totaling proceeds of CDN $575,000. This transaction was first publicized on April 15, 2024.

Steve Bromley, Chair and Co-CEO of Organto, heavily participated in this round, purchasing 5,150,000 shares, representing a major part of the transaction. This move classifies the transaction as a related party transaction under Multilateral Instrument 61-101, yet exemptions from formal valuation and minority shareholder approval were applied due to the amounts involved. Post-transaction, Bromley's ownership increased to 18.40% of the company's common shares on a non-diluted basis.

The privately placed shares are subject to a hold period expiring on August 17, 2024. Organto intends to apply the funds from this placement towards essential working capital needs.