Shares of AgTech company AgriFORCE Growing Systems Ltd (NASDAQ:AGRI) are surging Thursday after the company announced a binding letter of intent to acquire tissue culture propagation company Deroose Plants NV.
The net purchase price is expected to be approximately $69 million, representing approximately $46.4 million for the Deroose business on a cash and debt free basis and $22.6 million for the company's IP portfolio.
"With the Deroose acquisition, we see opportunities to capitalize on a variety of business synergies," said Ingo Mueller, CEO of AgriFORCE.
The acquisition is expected to strengthen AgriFORCE’s integrated AgTech business model and enable further growth and expansion across multiple locations.
AgriFORCE is dedicated to transforming modern agricultural development through its proprietary facility design and automated growing system.
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AGRI 52-Week Range: $1.12 - $8.45
AgriFORCE shares were up 104.7% at $3.46 at time of publication.
Photo: stevepb from Pixabay.
