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DJ AfriAg Global Plc Update:Expansion of Strategy to include Medical Cannabis

11 July 2018 
                               AfriAg Global PLC 
                      ("AfriAg Global" or the "Company") 
     Update: Expansion of Investment Strategy to include Medical Cannabis 
AfriAg Global PLC, the London listed global food and logistics investment 
group, provides an update on its intention to seek shareholder approval to 
expand its investment strategy to include investments in the developing markets 
for medicinal cannabis derivatives, or related products. 
David Lenigas, AfriAg Global's Chairman commented: 
"The legalised global cannabis industry is a fast-growing sector with many 
international governments now legalising the use of cannabis products for 
medical use. Since out last announcement on this matter, the Company has 
engaged experienced UK legal counsel as part of the process of gaining 
approvals from our regulators to actively engage in this very exciting sector 
and we now in active discussions with leading global experts in the medical 
cannabis field to join our advisory board." 
The Company's expanded investment strategy will include investments in 
companies, projects or products that are either progressing medicinal cannabis 
research and development; producing or cultivating medicinal cannabis; or 
commercialising or marketing medicinal cannabis and its derivatives. AfriAg 
will look to invest in companies and projects in jurisdictions which have 
well-developed and reputable laws and regulation for the research and 
production of medicinal cannabis and in jurisdictions that are signatories to 
the United Nation's conventions on narcotics. 
The Company is likely to be an active investor within this sector and acquire 
control of certain target companies although it may also consider acquiring 
non-controlling shareholdings. The proposed investments to be made by the 
Company may be in either quoted or unquoted securities and made by direct 
acquisition of an interest in companies, partnerships or joint ventures, or 
direct interests in projects and can be at any stage of development. 
Accordingly, the Company's equity interest in a proposed investment may range 
from a minority position to 100 per cent. ownership and a controlling interest. 
The Directors primary objective is to achieve the best possible value over time 
for Shareholders, primarily through capital growth. 
The Board believes that their collective experience, together with their 
extensive network of contacts, will assist them in the identification, 
evaluation and funding of appropriate investment opportunities within the 
medicinal cannabis space. When necessary, other external professionals will be 
engaged to assist in the due diligence on prospective targets and their 
management teams. The Directors will also consider appointing additional 
directors and /or advisors with relevant experience if the need arises. 
There will be no limit on the number of projects into which the Company may 
invest within this space, and the Company may invest in a number of 
propositions or in just one investment, which may be deemed to be a reverse 
takeover pursuant to Rule 58 of the NEX Exchange Rules. The Company may need to 
raise additional funds for these purposes and may use both debt and/or equity. 
It is anticipated that there may be opportunities to spin out businesses 
privately or via IPO where Shareholders may be able to benefit via 
distributions of cash and/or shares and/or rights to subscribe in listings. It 
is anticipated that the Company will hold investments for the medium to long 
term, although where opportunities exist for shorter term gains the Company may 
take advantage of such opportunities. 
If the Company takes a controlling stake, the acquisition could trigger a 
Reverse Takeover under Rule 57 of the NEX Exchange Rules. 
The directors of the Company accept responsibility for the contents of this 
Afriag Global Plc                                     +44 (0)20 7440 0640 
David Lenigas (Executive Chairman) 
Peterhouse Capital Limited                            +44 (0)20 7469 0930 
Guy Miller 
Fungai Ndoro 
Notes to Editors: 
The Company's global distribution footprint has expanded considerably over the 
years, moving and distributing perishable food products by road, air and sea 
for many blue-chip companies around the globe. 
AfriAg Global's 100% owned subsidiary, AfriAg Marketing recorded revenues of GBP 
3.122 million for 2017, with its 40% owned agri-logistics group AfriAg (Pty) 
Limited adding value with its full year revenues growing to GBP14.746 million. 
AfriAg Global's current Investment Strategy: 
AfriAg Global Plc, formerly AfriAg plc, was re-classified as an Investing 
Company and the following investing strategy has been approved by shareholders: 
The Directors intend to seek to acquire a direct and/or an indirect interest in 
businesses involved in agriculture generally and the production, processing, 
logistics and distribution of agricultural produce. 
The Company will initially focus on opportunities in Europe, Africa and the 
Middle East but will consider possible opportunities anywhere in the world. 
The Company may invest by way of purchasing quoted shares in appropriate 
companies, outright acquisition or by the acquisition of assets, including the 
intellectual property, of a relevant business, or by entering into partnerships 
or joint venture arrangements. Such investments may result in the Company 
acquiring the whole or part of a company (which in the case of an investment in 
a company may be private or listed on a stock exchange, and which may be 
pre-revenue), and such investments may constitute a minority stake in the 
company, partnership and/or joint venture in question. The Company will not 
have a separate investment manager. 
The Company may be both an active and a passive investor depending on the 
nature of the individual investments. Although the Company intends to be a 
medium to long-term investor, the Directors will place no minimum or maximum 
limit on the length of time that any investment may be held and therefore 
shorter term disposal of any investments cannot be ruled out. 
There will be no limit on the number of businesses into which the Company may 
invest, and the Company's financial resources may be invested in a number of 
propositions or in just one investment. 
Investments may be in all types of assets and there will be no investment 
restrictions. The Company will require additional funding as investments are 
made and new opportunities arise. The Directors may offer new Ordinary Shares 
by way of consideration as well as cash, thereby helping to preserve the 
Company's cash resources for working capital. The Company may in appropriate 
circumstances, issue debt securities or otherwise borrow money to complete an 
investment. The Directors do not intend to acquire any cross-holdings in other 
corporate entities that have an interest in the Ordinary Shares. 

(END) Dow Jones Newswires

July 11, 2018 02:00 ET (06:00 GMT)