Organto Foods Finalizes Convertible Debenture Settlement

Organto Foods Inc. has completed the settlement of its 8.0% convertible unsecured subordinated debentures with a total face value of C$8,050,000. As part of the agreement, all outstanding debentures were exchanged for 40,250,000 common shares, priced at $0.20 each. This action is aligned with the company's aim to decrease debt and boost equity.

The common shares are under restrictions, being released over a period of 30 months from June 2025. Steve Bromley, Organto's CEO, expressed satisfaction with this strategic move. Post-settlement, Organto's debt is approximately C$2.6 million. Additionally, the restructuring was assisted by Jaluca Limited, which will receive a fee for its advisory services.

Holding consent from 68.89% of debenture holders allowed Organto to proceed without convening a formal meeting. The settlement reflects Organto's ongoing commitment to creating long-term value and strengthening its financial standing.