Itafos (TSX-V: IFOS), a portfolio company of Zaff LLC and Pala Investments Limited, has entered into a subscription agreement with Stonegate Agricom Ltd. (TSX: ST), pursuant to which Itafos will indirectly acquire, by way of private placement, 47,500,000 common shares at a price of $0.02 per shares for an investment of $950,000.
Prior to the private placement, Itafos, through its wholly-owned subsidiaries Zaff LP and Zaff 2 LP, had indirect ownership of and control over 154,950,462 common shares of Stonegate, representing approximately 29.6% of the issued and outstanding common shares on an undiluted basis.
Upon completion of financing, Itafos will have indirect ownership of and control over 202,450,642 common shares, representing approximately 35.4% of issued and outstanding shares on an undiluted basis.
Itafos is controlled by Zaff LLC which beneficially owns, or exercises control or direction over 83.04% of Itafos issued and outstanding shares on an undiluted basis. Pala Investments Limited beneficially owns approximately 8.0% of the issued and outstanding shares on an undiluted basis.
UPDATED: financing closed today.
photo credit: Stonegate Agricom