Village Farms International today announced it has entered into securities purchase agreements for the purchase and sale of 7,500,000 common shares of the company in a registered direct offering. The offering follows a series of meetings conducted with Village Farms management and two new institutional capital partners which created considerable interest in a direct investment that was not previously being contemplated.
“We believe that today’s announcement reflects an extraordinary statement of confidence in our future by well renowned U.S. institutional investors who clearly recognized our expanding leadership position and competitive advantages across Europe and North America," said Village Farms CEO Michael DeGiglio in a statement. "While our balance sheet does not require a capital infusion, we took this opportunity as we believe it will enhance the strength of our cap table and welcome institutional capital partners of very high caliber who will support our future growth. We’re proud to see increasing institutional interest ahead of expected further regulatory progress, and believe this represents a tremendous endorsement of Village Farms.”
The offering is expected to result in gross proceeds of approximately $15 million before deducting placement agent fees and other Offering expenses. Net proceeds from the offering are intended to be used for working capital and general corporate purposes, and the company continues to expect that it will grow its cash balance through positive operating cash flow during the remainder of 2026.
