DARFORD INTERNATIONAL INC. ANNOUNCES CLOSING OF PRIVATE PLACEMENT
TSX Venture Exchange: "WUF.V"
VERNON, BC, Sept. 10 /CNW/ - Darford International Inc. ("Darford"), is pleased to announce that the Company has completed its previously announced non-brokered private placement (the "Private Placement") of 1,400,000 units (the "Units") at a price of CAN$0.25 per Unit, for total gross proceeds of CAN$350,000. Each Unit is comprised of one common share of Darford (a "Share") and one-half of one non-transferable share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to purchase one additional Share for a period of 12 months from the date of issuance at a price of CAN$0.30. Net proceeds from the Private Placement will be used for the acquisition of capital assets necessary to expand Darford's business, inventory needs in connection with the marketing and development of Darford's new Plus One Movement and Zero/G dog food and working capital requirements. The securities issued or issuable pursuant to the Private Placement are subject to a four month hold period expiring on January 10, 2011.
No finder's fees were paid on this Private Placement.
Further to its news release of May 14, 2010 Darford is also pleased to announce that its current operating line of credit (the revised "Operating Loan") with HSBC Bank Canada ("HSBC") has been increased from $550,000 to $1,700,000. All other terms of the Operating Loan remain the same. It is a condition precedent to the advancement of the HSBC loans and continued availability of such loans, that Darford raise a minimum of $500,000 by debt or equity financing. The Company has raised a further $150,000 by way of a two year, 8% interest only promissory notes. The closing of the Private Placement and the promissory notes meets the condition precedent of the HSBC loan agreement and this matter is now complete.
Darford markets and manufactures treats and food for dogs under its own Darford(R) brand name in Canada and in the United States. Darford also contract manufactures products for well known North American brands.
For more information please visit www.darford.com and www.ilovealldogs.org.
Neither the TSX Venture Exchange nor its Regulation Service provided (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release. The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this news release.
For further information: Allen Szeliga, Chief Financial Officer, Darford International Inc., (250) 545 4430, [email protected]
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