FreshXtend Technologies Corp.

FreshXtend Technologies Corp.

August 17, 2005 09:30 ET

FreshXtend Technologies Corp. Announces New CEO Appointment

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 17, 2005) - Murray Boyte, Chairman FreshXtend Technologies Corporation ("FreshXtend") (TSX VENTURE:FXT) is pleased to announce the appointment of Mr. Francis Ko as Chief Executive Officer effective immediately. Mr. Ko will succeed Mr. Paddy Marra, the current Chief Executive Officer who will remain on the Board as Deputy Chairman. Mr. Marra has been Chief Executive since June 2003.

During this period, FreshXtend under Mr. Marra has carried out a major restructuring exercise whereby it completed a number of asset sales of non-core businesses and developed a strategy as a leading provider of life extension technology to the high growth fresh produce and flower industry. The restructuring program included a major recapitalisation exercise and the introduction of new capital, which has provided FreshXtend with a very sound financial base to pursue its licensing strategy in North America and international markets. FreshXtend has now completed the restructuring phase under the leadership of Mr. Marra who will also continue to provide consulting services particularly in the structuring of FreshXtend's international activities.

FreshXtend's next stage of development will focus on the consolidation of its patented technologies in North America and the expansion of its activities into international markets. FreshXtend in researching a number of international markets believes there are good opportunities for its range of technologies from which a strong and diverse revenue base can be achieved. In this respect, FreshXtend has appointed Mr. Gerard H.G. Post of Zenith Beverage Consulting in Amsterdam as its agent for its range of antioxidant products in Europe.

FreshXtend is in the early stages of negotiation for the application of technologies in Asia including China. With the assistance of the National Research Council of Canada, IRAP Grant, FreshXtend is carrying out research in Asia the results of which are suggesting there is considerable potential for the FreshXtend Freshspan™ product.

In North America, FreshXtend recently announced it had entered into a ten year renewable technology license with Welch Foods Inc. of Concord, Massachusetts to provide FreshXtend's fresh cut fruit technologies and processes for Welch to develop a range of retail fruit products. This license will be extended to other international markets in due course for specific cut fruit applications.

Mr. Ko has had over 30 years experience in the food industry with the Hong Kong based Dairy Farm Group where he has undertaken assignments in Asia and Australia. His background includes the establishing of new start up food production businesses and retail operations in Asia. In addition, he has held senior management positions in supply chain, manufacturing and market development in food sector businesses.

FreshXtend now has the financial base and management resources to maintain an ongoing research and development program to enhance its technologies and tailor them to specific applications for an international client base. This will underpin a market orientated approach to business development in the fast growing fresh produce market in North America and internationally.

Solphen Group Limited

As a final step in the restructuring of FreshXtend, FreshXtend has made a takeover offer for all of the shares that it does not already own in Solphen Group Limited ("Solphen"), a UK holding company that previously owned Scalime France S.A ("Scalime"). FreshXtend sold Scalime to Solphen in mid-2003 and as part of the consideration FreshXtend received 7,700,000 Solphen shares, which represented 28.35% of Solphen's issued capital. Solphen has subsequently sold Scalime and is now a 'cashed up shell'.

FreshXtend has made an offer of:

- One (1) FXT Share fully paid for every 11 Solphen Shares; or

- Half a (0.5) pence (Sterling) per Solphen Share

With two main conditions that acceptances for at least two-thirds of the Solphen shares not already owned by FreshXtend are received and that at least half of the remaining shareholders accept for FreshXtend shares. If acceptances for two-thirds of the remaining shares are received then FreshXtend can proceed to utilize Solphen's compulsory acquisition procedures and compel the remaining Solphen shareholders to accept the offer.

A number of the shareholders in Solphen are also FreshXtend shareholders and undertakings have been received from Gibsbourne Pty Ltd. and John Gunn, two major shareholders in FreshXtend that they will accept the FreshXtend share offer alternative and between them they represent 40.8% of the outstanding shares.

The number of FreshXtend shares to be issued under this Offer will be between 884,517 (if the minimum of 50% of the remaining Solphen Shareholders accepted) and 1,769,034 if all Solphen Shareholders accepted FXT Shares. Thus transaction will have the effect of generating in the order of US$200,000 of net cash for FreshXtend.

The TSXV has yet to approve the issue of the FreshXtend shares until the exact number of shares to be issued are known.

The full Offer Circular is posted on the FreshXtend Website:

For further information please contact:

Mr. Murray R. Boyte
Chairman, FreshXtend Technologies Corp.
Email -
Mobile Phone - 61 418 732831

FreshXtend is a leading provider of life extension technology to the high growth Fresh Produce and Flower Industry and uses its technological leadership to pursue licensing opportunities. The Company's patented technologies naturally place produce in a state of hibernation while it is being shipped, and extends the shelf life of fresh produce, flowers and juices, thereby enabling economic distribution of premium quality vine-ripened fruit and vegetables. The Company has a network of R&D relationships, which include the University of British Columbia and focuses on building features that will appeal to FreshXtend's customers in order to gain a competitive edge in the marketplace. The Company continues to pursue licensing opportunities through grower/processor channels as a way of maximizing the distribution for its technologies.

Trading symbol: FXT (TSX-V)

Manual Listing S & P's Industrial & Int'l, 12g (3)b Exemption: #82-2190

The statements in this news release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Exchange Act of 1934 and are subject to the safe harbour created by these sections. Actual results may differ materially from the Company's expectations.

The TSX Venture Exchange has neither approved nor disapproved the contents of this news release.

Contact Information

  • FreshXtend Technologies Corp.
    R.W. Robinson
    (604)322-0487 (FAX)
    FreshXtend Technologies Corp.
    Perry Lidster, Ph.D.
    (604)322-0487 (FAX)