- Deveron Corp. (FARM) has agreed to acquire the assets of Agri-Labs, Inc.
- The acquisition will provide Deveron with greater access to the 39.7 million acres of farmland in Indiana, Michigan, and Ohio
- Deveron will pay a combination of cash and shares over the first two anniversaries following the transaction
- Agri-Labs Inc is a digital consulting company for the agricultural industry
- Deveron is an agriculture technology company that uses data to help farmers and large agriculture enterprises increase yields, reduce costs and improve outcomes
- Deveron Corp. (FARM) opened trading at C$0.61 per share
Deveron Corp. (FARM) has agreed to acquire the assets of Agri-Labs, Inc.
The acquisition adds a leading agriculture service provider to Deveron’s national soil network and provides greater access to the 39.7 million acres of farmland in Indiana, Michigan, and Ohio. Agri-Labs’ unaudited 2021 revenue was US$664K and EBITDA was US$240k
Tony Covely, owner of Agri-Labs commented on the transaction.
“I am very excited to announce that Agri-Labs has joined the Deveron family. Deveron’s soil ecosystem and nationwide network of soil technicians creates the only scalable and streamlined solution that can support any size operation from local farm to multi-billion-dollar enterprise.”
David MacMillan, Deveron’s President and CEO added,
“Tony is a great leader in sampling, analytics, and lab work in Midwest United States. Agri-Labs provides a unique opportunity, as this acquisition allows Deveron to execute on its vertical integration strategy by adding a production soil lab into our soil ecosystem and expands our US footprint. By acquiring Agri-Labs we take another step towards our vision of creating a vertically integrated, digital soil ecosystem to provide a streamlined and scalable solution to all our clients, from the local farmer to the international agricultural enterprise.”
Deveron will pay Agri-Labs an initial cash payment of US$420,000 and US$210,000 on each of the first two anniversaries of the transaction. Deveron will also issue US$180,000 in shares upon receipt of TSXV approval and an additional US$90,000 of shares on each of the first two anniversaries of the transaction.
Agri-Labs Inc is a digital consulting company for the agricultural industry in Indiana, Michigan, and Ohio. The laboratory processes around 45,000 soil samples per year.
Deveron is an agriculture technology company that uses data to help farmers and large agriculture enterprises increase yields, reduce costs and improve outcomes.
Deveron Corp. (FARM) opened trading at C$0.61 per share.
