VANCOUVER, BC, March 17, 2022 /CNW/ - Freshlocal Solutions
Inc. (TSX: LOCL) (OTC: FLOCF) ("Freshlocal" or the
"Company") is pleased to announce that Prairies Economic
Development Canada ("PrairiesCan") has agreed to provide
funding of $4.4 million (the
"Funding") to the Company's wholly owned subsidiary,
Organics Express Inc., operating as SPUD Alberta, to expand
its operational capacity in Alberta and further enhance its FoodX eGrocery
Management Solution ("eGMS"). The Funding will support
the Company's mission to use technology and innovation to reduce
the overall environmental impact of online grocery sales, with a
focus on reducing food waste and enhancing the local food supply
chain.
The Funding will be delivered in certain prescribed amounts for
a four (4) year period through PrairiesCan's Business Scale-up and
Productivity ("BSP") program. The BSP program supports
high-growth businesses that are scaling up their development of
innovative goods, services or technologies through, repayable
funding to incorporated businesses. The BSP funding is repayable in
monthly interest free instalments over a five (5) year period
starting in January 1, 2026 and
remains subject to the satisfaction of certain customary
conditions. No security or collateral will be taken by PrairiesCan
in connection with the Funding.
"This non-dilutive funding arrangement with PrairiesCan is
an exciting opportunity to enhance our Alberta operations and FoodX technology
capabilities, and to focus on solutions that address an issue as
important as reducing food waste in a meaningful way," said
Freshlocal's Chief Executive Officer, Simon
Cairns. "The Company has a long history of providing
multi-channel grocery services to its Alberta-based customers, and soon we'll be
able to leverage this operational and market experience to
significantly decrease food waste rates to improve the province's
food ecosystem."
For more information about today's funding announcement with
PrairiesCan, please visit:
https://www.canada.ca/en/prairies-economic-development/news/2022/03/calgarys-leading-edge-companies-to-create-more-than-1000-new-jobs-with-scale-up-support-from-the-government-of-canada.html
About Freshlocal Solutions Inc.
Freshlocal is a Vancouver-based
company that is building a leadership position in the provision of
end-to-end grocery e-commerce solutions. The Company operates two
primary businesses, FoodX and eGrocery, both of which support its
corporate mission to innovate food systems for people, planet and
prosperity. Food-X Technologies ("FoodX") is Freshlocal's scalable
end-to-end SaaS-based eGMS which is designed to meet the needs of
large and small grocery retailers while providing profitable unit
economics. The FoodX eGMS is the culmination of over 20 years of
experience in online grocery and the Company's proven track record
of delivering efficiently, sustainably and profitably. The
Company's consumer eGrocery business has expanded into one of
Canada's largest online grocery
companies, with a focus on delivering fresh, local, organic produce
and groceries, along with exceptional customer experiences.
Freshlocal serves the main urban markets in Alberta and British
Columbia through its brick and mortar store locations
operating under the Blush Lane and Be Fresh banners, as well as
through SPUD.ca which is the Company's award-winning online
eGrocery platform. Freshlocal's common shares are listed on the
Toronto Stock Exchange under the symbol "LOCL". Please visit
www.freshlocalsolutions.com.
Notice on Forward Looking Information
Certain statements and information herein, including all
statements that are not historical facts, contain forward-looking
statements and forward-looking information within the meaning of
applicable securities laws. Such forward-looking statements or
information include but are not limited to statements or
information with respect to the the timing of receipt and repayment
of the Funding and the intended use of proceeds therefrom. Often,
but not always, forward-looking statements or information can be
identified by the use of words such as "estimate", "project",
"belief", "anticipate", "intend", "expect", "plan", "predict",
"may" or "should" and the negative of these words or such
variations thereon or comparable terminology are intended to
identify forward-looking statements and information.
With respect to forward-looking statements and information
contained herein, the Company has made numerous assumptions,
including, among other things, assumptions about general business
and economic conditions of the Company and the market in which it
operates. The foregoing list of assumptions is not exhaustive.
Although management of the Company believes that the assumptions
made and the expectations represented by such statements or
information are reasonable, there can be no assurance that
forward-looking statements or information herein will prove to be
accurate. Forward-looking statements and information by their
nature are based on assumptions and involve known and unknown
risks, uncertainties and other factors which may cause actual
results, performance or achievements, or industry results, to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements or information. These factors include, but are not
limited to: risks associated with the business of the Company;
business and economic conditions in the eGrocery industry
generally; the supply and demand for labour and other project
inputs; changes in commodity prices; changes in interest and
currency exchange rates; risks relating to unanticipated
operational difficulties (including failure of technology or
processes to operate in accordance with specifications or
expectations, cost escalation, unavailability of materials and
equipment, government action or delays in the receipt of government
approvals, industrial disturbances or other job action, and
unanticipated events related to health, safety and environmental
matters); changes in general economic conditions or conditions in
the financial markets; changes in laws; risks related to the direct
and indirect impact of COVID-19 including, but not limited to, its
impact on general economic conditions; the ability to obtain
financing as required; and other risk factors as detailed from time
to time. The Company does not undertake to update any
forward-looking information, except in accordance with applicable
securities laws.
SOURCE Freshlocal Solutions Inc.
