Alliance Grain Traders Income Fund
TSX VENTURE : AGT.UN

June 19, 2008 16:02 ET

Alliance Grain Traders Income Fund Announces C$15 Million Private Placement Financing

TORONTO, ONTARIO--(Marketwire - June 19, 2008) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

Alliance Grain Traders Income Fund (the "Fund") (TSX VENTURE:AGT.UN) is pleased to announce that it has entered into an agreement with a syndicate of agents led by Wellington West Capital Markets Inc. and including Genuity Capital Markets and First Republic Capital Corp. (collectively the "Agents"), to sell by way of a private placement on a "best efforts" basis up to 970,000 units (the "Units") at a price of $15.50 per Unit (the "Issue Price") for aggregate proceeds of approximately $15 million (the "Offering").

The Fund plans to use the net proceeds of the Offering for acquisitions, working capital and general corporate purposes.

The Units will be subject to a four month statutory hold period from closing. The Offering is scheduled to close on or about July 16, 2008 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange.

The securities being offered have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer to sell or the solicitation of an offer to purchase securities in the United States.

About the Fund

The Fund is an income trust which derives its income from the operations of its operating subsidiary, Alliance Pulse Processors Inc. ("Alliance"). Alliance is engaged in the business of sourcing and processing (cleaning, splitting, sorting and bagging) specialty crops, primarily for export markets. The Fund's companies in Canada, U.S. and Australia handle the full range of pulses and specialty crops including lentils, peas, chickpeas, beans and canary seed through six processing plants.

Cautionary Statements

Certain statements in this press release are forward-looking statements. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable by the Fund at the time or preparation, may prove to be incorrect.

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Fund (including its operating subsidiaries) to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, the actual results of harvests, fluctuations in the price of lentils and other crops, failure of plant, equipment or processes to operate as anticipated, accidents, or labour disputes, risks relating to the integration of acquisitions or to international operations, as well as those factors referred to in the section entitled "Risk Factors" in the prospectus of the Fund dated December 30, 2004 which is available on SEDAR at www.sedar.com, and which should be reviewed in conjunction with this document. Although the Fund has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.

Contact Information

  • Alliance Pulse Processors
    Murad Al-Katib
    President and CEO
    (306) 525-4490
    Email: trade@saskcan.com