Vegalab Inc., Announces Acquisition of Major Packing and Cold Storage Facility in Lindsay, California
Vegalab Fruit Processing and Packing Capacity to Increase to Over $150 Million
Lindsay, CA, Nov. 15, 2018 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Vegalab, Inc. ("the Company"), (OTCQB: VEGL), today announced the acquisition, subject to a lease option agreement that runs through November 1, 2019, of a major fruit packing facility in Lindsay, California. Situated on 9.4 acres in California’s San Joaquin Valley, the facility consists of over 260,000 square feet of working space, including three packing lines, approximately 32,000 square feet of cold storage, 12 degreening rooms, and a 6 bay shipping area. The facility will dramatically increase the Company’s current capacity to process and pack fruit, and Vegalab’s management team believes the acquisition will increase the Company’s overall fruit processing capacity to over US $150 million annually. Current capacity at the facility is approximately 200 bins per hour.
David Selakovic, CEO of Vegalab, said, “With the current capacity at our existing Vegalab Produce facility unable to meet the demand from our domestic and international buyers for premium quality, and premium priced citrus, management has been systematically evaluating packing facilities to add to our portfolio. The Lindsay, California facility is major acquisition in an ideal location. Being in California’s San Joaquin Valley citrus belt, where Vegalab recently acquired the Tuttle Cross Dock and Warehouse, the property is centrally positioned in one of the best fruit growing ecosystems in the United States. While touring the plant, we recognized how well-designed it is to seamlessly combine highly efficient fruit processing with the ability to rapidly ship product to our domestic and international customers. We intend to continue to build out our infrastructure and integrate our properties while efficiently increasing the Company’s annual sales.”
About Vegalab, Inc.
Vegalab, Inc. is the exclusive distributor in North and South America of a line of all-natural, biologically derived pesticides, fertilizers, and specialty agricultural products. Vegalab’s pesticides are highly effective against targeted organisms, non-toxic to beneficial organisms, and safe for the environment. Vegalab’s products support a healthy soil biome and are cost competitive with synthetic chemicals that do just the opposite. The Company operates in two segments of the food industry. The Agronomy Business involves the manufacture and distribution of all-natural crop protection, crop health, and soil enhancement products; the Packing Business involves the operation of citrus packing facilities.
Safe Harbor for Forward-looking Statements
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “should,” “would” or similar words. You should consider these statements carefully because they discuss our plans, targets, strategies, prospects and expectations concerning our business, operating results, financial condition and other similar matters. These statements are subject to certain risks, uncertainties, and assumptions, including, but not limited to, risks and uncertainties relating to the Company’s ability to develop, market and sell products and services, based on its technology; the expected benefits and efficacy of the Company’s products, services and technology; the availability of additional funding for the Company to continue its operations and to conduct research and development, and future product commercialization; and, the Company’s business, research, product development, regulatory approval, marketing and distribution plans and strategies; the ability of the Company to execute on a business plan that permits the technologies and innovations businesses to provide sufficient growth, revenue, liquidity and cash flows for sustaining the Company’s go-forward business, and the risks identified and discussed under the caption “Risk Factors” in the Vegalab Annual Report filed with the Securities and Exchange Commission (the “SEC”) and the other documents Vegalab files with the SEC from time to time. There will be events in the future, however, that Vegalab is not able to predict accurately or control. Vegalab’s actual results may differ materially from the expectations that Vegalab describes in its forward-looking statements. Factors or events that could cause Vegalab’s actual results to materially differ may emerge from time to time, and it is not possible for Vegalab to accurately predict all of them. Any forward-looking statement made by Vegalab in this press release speaks only as of the date on which Vegalab makes it. Vegalab undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
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Released November 15, 2018