Deveron Announces Expected Delay in Completing Annual Filings and Update on Annual and Special Meeting of Shareholders
Deveron Corp. (TSXV: FARM) announces an expected delay in filing its Annual Filings for the financial year ended June 30, 2024, due by October 28, 2024. The Ontario Securities Commission (OSC) denied the company's application for a voluntary management cease trade order and will impose a failure-to-file cease trade order (FFCTO) shortly after the deadline.
The delay is attributed to additional expenses and financing delays caused by a shareholder requisition for an annual and special meeting. Deveron expects to remedy the default within two months. The company reminds shareholders to vote at the upcoming annual and special meeting on October 25, 2024, where important matters will be addressed, including director elections, stock option plan approval, and a proposed share consolidation.
Deveron Corp. (TSXV: FARM) annuncia un ritardo previsto nella presentazione delle sue Dichiarazioni Annuali per l'anno fiscale chiusosi il 30 giugno 2024, la cui scadenza è fissata per il 28 ottobre 2024. La Commissione dei Valori Mobiliari dell'Ontario (OSC) ha negato la richiesta dell'azienda per un'ordinanza di cessazione volontaria del commercio gestita dalla direzione e imporrà un ordine di cessazione del commercio per mancata presentazione (FFCTO) poco dopo la scadenza.
Il ritardo è attribuito a spese aggiuntive e ritardi nel finanziamento causati da una richiesta da parte degli azionisti per un'assemblea annuale e straordinaria. Deveron si aspetta di risolvere il default entro due mesi. L'azienda ricorda agli azionisti di votare all'imminente assemblea annuale e straordinaria del 25 ottobre 2024, dove saranno trattati importanti argomenti, tra cui le elezioni dei direttori, l'approvazione del piano di opzioni sul titolo e una proposta di consolidamento delle azioni.
Deveron Corp. (TSXV: FARM) anuncia un retraso esperado en la presentación de sus Declaraciones Anuales para el año fiscal que finalizó el 30 de junio de 2024, cuyo plazo es el 28 de octubre de 2024. La Comisión de Valores de Ontario (OSC) rechazó la solicitud de la empresa para una orden de cesación de operaciones voluntaria y pronto impondrá una orden de cesación de operaciones por falta de presentación (FFCTO) poco después de la fecha límite.
El retraso se atribuye a gastos adicionales y retrasos en la financiación causados por una solicitud de los accionistas para una reunión anual y especial. Deveron espera remediar la falta dentro de dos meses. La empresa recuerda a los accionistas que voten en la próxima reunión anual y especial el 25 de octubre de 2024, donde se abordarán asuntos importantes, incluidas las elecciones de directores, la aprobación del plan de opciones sobre acciones y una propuesta de consolidación de acciones.
Deveron Corp. (TSXV: FARM)는 2024년 6월 30일 종료된 회계연도에 대한 연례 보고서 제출이 예상보다 지연될 것이라고 발표했습니다. 이 보고서는 2024년 10월 28일까지 제출해야 합니다. 온타리오 증권 위원회(OSC)는 회사의 자발적인 경영 중단 명령 신청을 거부했으며, 마감일 이후 곧 미제출 중단 명령 (FFCTO)을 부과할 것입니다.
지연은 주주들의 연례 및 특별 회의 요청으로 인한 추가 비용 및 자금 조달 지연에 기인합니다. Deveron은 2개월 이내에 문제를 해결할 것으로 예상하고 있습니다. 회사는 주주들에게 2024년 10월 25일에 열리는 연례 및 특별 회의에서 투표할 것을 상기시키며, 이 회의에서는 이사 선출, 주식 옵션 계획 승인 및 제안된 주식 통합 등의 중요한 사항들이 논의될 것입니다.
Deveron Corp. (TSXV: FARM) annonce un retard attendu dans le dépôt de ses Dépôts Annuels pour l'exercice financier se terminant le 30 juin 2024, qui doit être soumis d'ici le 28 octobre 2024. La Commission des valeurs mobilières de l'Ontario (OSC) a refusé la demande de l'entreprise pour une ordonnance de cessation volontaire du commerce et imposera bientôt une ordonnance de cessation du commerce pour défaut de dépôt (FFCTO) peu après la date limite.
Le retard est attribué à des dépenses supplémentaires et à des retards de financement causés par une demande d'actionnaires pour une assemblée annuelle et extraordinaire. Deveron s'attend à remédier à ce défaut dans les deux mois. L'entreprise rappelle aux actionnaires de voter lors de l'assemblée générale et extraordinaire à venir le 25 octobre 2024, où des enjeux importants seront abordés, y compris les élections des administrateurs, l'approbation du plan d'options d'achat d'actions et une proposition de consolidation des actions.
Deveron Corp. (TSXV: FARM) kündigt eine erwartete Verzögerung bei der Einreichung ihrer Jahresberichte für das am 30. Juni 2024 endende Geschäftsjahr an, die bis zum 28. Oktober 2024 fällig sind. Die Ontario Securities Commission (OSC) hat den Antrag des Unternehmens auf eine freiwillige Handelsstop-Anordnung abgelehnt und wird shortly nach dem Ablauf der Frist eine Handelsstop-Anordnung wegen Nichteinreichung (FFCTO) erlassen.
Die Verzögerung wird auf zusätzliche Kosten und Finanzierungsverzögerungen zurückgeführt, die durch eine Aktionärsanfrage für eine ordentliche und außerordentliche Hauptversammlung verursacht wurden. Deveron erwartet, den Verstoß innerhalb von zwei Monaten zu beheben. Das Unternehmen erinnert die Aktionäre daran, bei der bevorstehenden ordentlichen und außerordentlichen Hauptversammlung am 25. Oktober 2024 abzustimmen, bei der wichtige Themen behandelt werden, darunter die Wahlen der Direktoren, die Genehmigung des Aktienoptionsplans und ein vorgeschlagener Aktienteilungsplan.
- Settlement agreement reached with Requisitioning Shareholder
- Final tranche of financing completed on September 16, 2024, providing working capital
- Company expects to remedy the filing default within two months
- Expected delay in filing Annual Filings beyond October 28, 2024 deadline
- Failure-to-file cease trade order (FFCTO) to be imposed by OSC
- Trading of company shares will be halted while FFCTO is in effect
- Additional expenses incurred due to shareholder requisition
- Delays in completing financing
Toronto, Ontario--(Newsfile Corp. - October 18, 2024) - Deveron Corp. (TSXV: FARM) ("Deveron" or the "Company"), announces that the Ontario Securities Commission (the "OSC") has denied the Company's application for a voluntary management cease trade order (the "MCTO") under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203") as the Company does not meet the criteria for an MCTO.
The Company filed the application for a voluntary MCTO with the OSC due to an anticipated delay in filing its audited annual financial statements (the "Financial Statements"), the related management discussion & analysis for the financial year ended June 30, 2024, and the CEO and CFO certificates, all as required by National Instrument 51-102 - Continuous Disclosure Obligations ("NI 51-102") and National Instrument 52-109 - Certification of Disclosure in Issuers' Annual and Interim Filings (collectively, the "Annual Filings"). The Annual Filings are required to be filed by October 28, 2024 (the "Filing Deadline"). As a consequence of the anticipated delay in completing the Annual Filings, the OSC will impose a failure-to-file cease trade order (the "FFCTO") against the Company shortly after October 28, 2024, which will remain in effect until the Annual Filings are completed. While the FFCTO is in effect, no shares of the Company will be traded.
The anticipated delay in the preparation and filing of the Annual Filings is due to a requisition for an annual and special meeting received from a shareholder (the "Requisitioning Shareholder") of the Company (see press release dated June 24, 2024) which causes the company to incur additional expenses and delayed the financing of the Company. As a result of delays in completing a financing, the Company was unable to engage its auditors to audit the Financial Statements. The Company and the Requisitioning Shareholder entered into a settlement agreement (the "Settlement Agreement") on August 14, 2024, as amended (see press release dated August 15, 2024) and completed the final tranche of a financing on September 16, 2024 (see press release dated September 16, 2024) which provided the Company with working capital to engage its auditors. The Company is working diligently with its auditor and is expecting to remedy the anticipated default within the next two months.
In addition, the Company reminds its shareholders to vote at its upcoming annual and special meeting of its shareholders to be held on Friday, October 25, 2024 (the "Meeting"). The management information circular (the "Circular") and related materials were filed on the Company's profile on www.sedarplus.ca on October 1, 2024, and were mailed to the shareholders on or about October 3, 2024.
At the Meeting, shareholders will be voting for the following items of business: (i) to appoint the auditors of the Company; (ii) to elect the directors of the Company, including Mr. Ron Patterson the initial nominee of the Requisitioning Shareholder; (iii) to approve and confirm the stock option plan of the Company; (iv) to approve a proposed consolidation of the Company's common shares on the basis of up to five (5) issued common shares for one (1) new common share; and (v) the approval of the Requisitioning Shareholder as a control person pursuant to the Settlement Agreement, which ratifies certain terms of the Settlement Agreement including:
The Requisitioning Shareholder having the right to have one nominee serve on the board of directors of the Company until the later of: (i) the 2025 annual meeting of shareholders; or (ii) the repayment of certain promissory notes (the "Promissory Notes") issued to the Requisitioning Shareholder and 2733105 Ontario Inc. (the "Outside Date"), and, upon the occurrence of certain specified events, the replacement of Albert Contardi (or his successor) with an additional nominee to the board of directors, as outlined in Sections 4, 5, and 6 of the Settlement Agreement (collectively, the "Nomination Rights"); and
The Settlement Parties agreed to certain negative covenants outlined in Section 8 of the Settlement Agreement to limit the Company from taking certain actions relating to, among other things, certain financings, acquisitions and dispositions, changes to the management of the Company or its subsidiaries, or material changes in the business of the Company or its subsidiaries, without the approval of at least four directors (the "Negative Covenants").
If the creation of the control person is not approved at the Meeting, certain terms contemplated by the Settlement Agreement would not become effective, including but not limited to the Nomination Rights and the implementation of the Negative Covenants. If these items are not approved at the Meeting, the Requisitioning Shareholder would not have the right to appoint an additional nominee to board of directors of the Company in the event of a default under the Promissory Notes and management of the Company would not have any restrictions on its activities, providing it with greater flexibility to pursue financings, various transactions and any changes to the management of the Company and its subsidiaries.
The Circular contains the Statement of Executive Compensation required by Form 51-102F6 of NI 51-102 (the "Statement of Executive Compensation") for the financial years ended June 30, 2024 and 2023. The Statement of Executive Compensation for the financial year ended December 31, 2022 is contained in the management information circular of the Company dated June 19, 2023, which can be found on the Company's profile at www.sedarplus.ca.
At the Meeting, shareholders of the Company will be presented with the audited annual financial statements for the financial year ended June 30, 2023. As a result of the delay in completing the Annual Filings, the Financials Statements will not be presented at the Meeting.
For further details on the Settlement Agreement and the Meeting, shareholders of the Company are encouraged to review the Circular and Settlement Agreement on the Company's profile at www.sedarplus.ca.
About Deveron: Deveron is an agriculture technology company that uses data and insights to help farmers and large agriculture enterprises increase yields, reduce costs and improve farm outcomes. The company employs a digital process that leverages data collected on farms across North America to drive unbiased interpretation of production decisions, ultimately recommending how to optimize input use. Our team of agronomists and data scientists build products that recommend ways to better manage fertilizer, seed, fungicide, and other farm inputs. Additionally, we have a national network of data technicians that are deployed to collect various types of farm data, from soil to drones, that build a basis of our best-in-class data layers. Our focus is the US and Canada where 1 billion acres of farmland are actively farmed annually.
For more information and to join our community, please visit www.deveron.com/investors or reach us on Twitter @Deveron.
David MacMillan
Chief Executive Officer
dmacmillan@deveron.com
Tel: 647-963-2429
This news release includes certain "forward-looking statements" within the meaning of that phrase under Canadian securities laws. Without limitation, statements regarding future plans and objectives of the Company are forward-looking statements that involve various degrees of risk. Forward-looking statements reflect management's current views with respect to possible future events and conditions and, by their nature, are based on management's beliefs and assumptions and subject to known and unknown risks and uncertainties, both general and specific to the Company. Although the Company believes the expectations expressed in such forward-looking statements are reasonable, such statements are not guarantees of future performance and actual results or developments may differ materially from those in our forward-looking statements. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world-wide price of agricultural commodities, general market conditions, risks inherent in agriculture, the uncertainty of future profitability and the uncertainty of access to additional capital. Additional information regarding the material factors and assumptions that were applied in making these forward-looking statements as well as the various risks and uncertainties we face are described in greater detail in the "Risk Factors" section of our annual and interim Management's Discussion and Analysis of our financial results and other continuous disclosure documents and financial statements we file with the Canadian securities regulatory authorities which are available at www.sedarplus.ca. The Company undertakes no obligation to update this forward-looking information except as required by applicable law. The Company relies on litigation protection for forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/227140
FAQ
Why is Deveron (TSXV: FARM) expecting a delay in its Annual Filings?
What consequences will Deveron (TSXV: FARM) face for the delayed Annual Filings?
When is Deveron's (TSXV: FARM) annual and special meeting of shareholders?
What key items will shareholders vote on at Deveron's (TSXV: FARM) upcoming meeting?
