Vancouver, British Columbia, Canada
May 12, 2020
Clean Seed Capital Group Ltd. (“Clean Seed” or the “Company”) (TSX-V: CSX) announces that, further to its news release of April 2, 2020 regarding its strategic license and investment agreement with US based AMVAC Chemical Corporation (“AMVAC”), the Company has received approval of the TSX Venture Exchange to AMVAC’s private placement with Clean Seed.
AMVAC invested US$2,500,000 through the purchase of 6,250,000 common shares of the Company at a price of US$0.40 per share. The shares will be subject to the usual four-month resale restrictions, expiring August 8, 2020.
As part of this relationship Clean Seed has also licensed AMVAC certain intellectual property rights for a US$2,500,000 upfront fee and an ongoing royalty of certain delivery systems. Clean Seed will provide ongoing development support as the parties may mutually agree to for future growth and diversification opportunities.
The combination of the license and the equity investment brings the total up-front investment made by AMVAC in Clean Seed to US$5,000,000. AMVAC is a subsidiary of American Vanguard Corporation (NYSE: AVD).
The news release of April 2, 2020 can be seen here: Clean Seed AMVAC Release and on SEDAR.
The Company also announces that Mr. Antony Edwards has stepped down from its board of directors due to a conflict of interest. Mr. Edwards will continue to serve as the Company’s intellectual property legal counsel as Partner and Practice Group Leader at Field Law LLP. We thank Mr. Edwards for his service as a director.
Further to our news release on August 7, 2019, the Company has extended the expiry date of 1,980,000 warrants exercisable at $0.50, and the expiry date of the related promissory note, to October 31, 2020. The extension of the warrants have been approved by the TSX Venture Exchange. All other terms and conditions of the warrants and promissory note remain unchanged.
Topics
Species
