Sprott Resource Corp. Announces Acquisition of Beretta Farms Inc. by
Subsidiary One Earth Farms Corp.
TORONTO, Feb. 19, 2013 /CNW/ - (TSX: SCP) - Sprott Resource Corp. ("SRC" or
the "Company") (TSX: SCP) is pleased to announce that its subsidiary One Earth
Farms Corp. ("One Earth Farms") has acquired Toronto based Beretta Farms Inc.
("Beretta Farms"), a purveyor of hormone free and antibiotic free natural and
organic branded meat products in Ontario and British Columbia.
Beretta Farms was founded 20 years ago by Mike and Cynthia Beretta who,
together with Elvio DelZotto their partner for the last 10 years, have grown
the Beretta natural and organic product range into a market leading brand of
fresh beef, poultry, deli products and meal solutions in the greater Toronto
and Vancouver markets. Beretta Farms products are available to consumers
through selected national grocery chains, leading natural and organic
retailers, direct home delivery, and a specialty catering operation that
provides meals to professional athletes and corporate clients based around the
Beretta product line. In connection with the transaction, Mike Beretta will
join the executive committee of One Earth Farms as the Chief Operating Officer.
Commenting on the transaction, CEO for One Earth Farms, Larry Ruud said, "I am
pleased to welcome Beretta Farms to the One Earth Farms family. Mike and
Cynthia Beretta are market visionaries with a passion for farming and the
marketing of natural and organic meat products. The Beretta Farms supply chain
and consumer brands perfectly complement the One Earth Farms source of beef
from our more than 17,000 animal herd of top quality natural and organic
cattle. With Mike and Cynthia remaining actively involved in the day to day
operation of the business, this combination gives One Earth Farms an
integrated business model and broadens our reach from the farm to the end
consumer where there is increasing interest in naturally raised meats, food
traceability and best practices in animal care."
Mike Beretta added, "Cynthia and I are delighted that we can continue the
growth and evolution of our business through this partnership with One Earth
Farms. The fit between the Beretta brand, our customer base of prestigious
retailers and the organic and natural cattle supply of One Earth Farms make
this joint entity an ideal platform for growth. "
This transaction is the first instance of One Earth Farms' strategy of
vertical integration and branded food products which it is expected will allow
the company to meet the needs of retailers and consumers, while generating
increased margins from an integrated supply chain.
After giving effect to the consideration of cash and common shares in One
Earth Farms paid to the vendors of Beretta Farms, SRC's basic ownership in One
Earth Farms will be approximately 54.3%.
About One Earth Farms Corp.
One Earth Farms is a Canadian based agri-food and consumer products business
dedicated to delivering farm to fork protein products from its cattle and crop
businesses for consumers who are interested in their health and wellbeing.
One Earth Farms operates a series of cattle and grain/oil-seed farms across
the prairie provinces of Canada to support the One Earth Farms' goal of
ensuring absolute food traceability from the farm to the consumer's fork.
One Earth Farms offers natural and organic products in fresh meat proteins,
meal solutions, snack and specialty prepared meals directed towards high
performance athletes. The One Earth Farms products are sold under the brand
names 'Beretta', 'Last Rep' and 'Protein Puck' through home delivery, fitness
establishments, key national chain stores and select regional chains and
independent retailers predominantly in the Ontario/GTA and Vancouver regions.
About Sprott Resource Corp.
SRC is a Canadian-based company, the primary purpose of which is to invest and
operate in natural resources. Through acquisitions, joint ventures and other
investments, SRC seeks to provide its shareholders with exposure to the
natural resource sector for the purposes of capital appreciation and real
wealth preservation. SRC is well positioned to draw upon the considerable
experience and expertise of both its Board of Directors and Sprott Consulting
LP (SCLP), of which Sprott Inc. is the sole limited partner. Pursuant to a
management services agreement between SCLP and SRC, SCLP provides day-to-day
business management for SRC as well as other management and administrative
services. SRC invests and operates through Sprott Resource Partnership
(SRP), a partnership between SRC and Sprott Resource Consulting Limited
Partnership, an affiliate of SCLP which is the managing partner of SRP.
Forward-looking Information and Statements
This news release contains certain forward-looking information and statements
within the meaning of applicable securities laws. The use of any of the words
"expect", "anticipate", "continue", "estimate", "may", "will", "project",
"remain", "should", "believe", "plans", "intends" and similar expressions are
intended to identify forward-looking information or statements. In particular,
but without limiting the forgoing, this news release contains forward-looking
information and statements pertaining to: (i) SRC's basic ownership in One
Earth Farms following completion of the acquisition; (ii) the future growth
and evolution of Beretta Farms; (iii) the ability of One Earth Farms to
capitalize on increasing consumer interest in naturally raised meats, food
traceability and best practices in animal care; (iv) the continued active
involvement of Mike and Cynthia Beretta with Beretta Farms; (v) Mike Beretta
joining the executive committee of One Earth Farms as the Chief Operating
Officer; and (vi) One Earth Farms' strategy of vertical integration and
branded food products and the expectation that such strategy will allow One
Earth Farms to meet the needs of retailers and consumers, while generating
increased margins from an integrated supply chain. Forward-looking
information or statements are based on a number of expectations or assumptions
which have been used to develop such information and statements but which may
prove to be incorrect. Although SRC believes the expectations and
assumptions reflected in such forward-looking information and statements are
reasonable, undue reliance should not be placed on forward-looking information
and statements because SRC can give no assurance that such expectations and
assumptions will prove to be correct. The forward-looking information and
statements included in this news release are not guarantees of future
performance and should not be unduly relied upon. Such information and
statements, including the assumptions made in respect thereof, involve known
and unknown risks, uncertainties and other factors, which may cause actual
results or events to differ materially from those anticipated in such
forward-looking information or statements, including, but not limited to: (i)
uneconomic conditions, operational issues or a change in plans or strategy by
One Earth Farms or Beretta Farms; (ii) changes to market demands; (iii)
changes to the Beretta Farms supply chain and consumer brands; (iv) changes to
One Earth Farms cattle supply; and (v) those risks listed under the heading
"Risk Factors" in SRC's annual information form dated March 27, 2012. Should
one or more of these risks or uncertainties materialize, or should assumptions
underlying the forward-looking information and statements prove incorrect,
actual results, performance or achievements could vary materially from those
expressed or implied by the forward-looking information and statements
contained in this release.
The forward-looking information and statements contained in this news release
speak only as of the date of this news release, and SRC does not assume any
obligation to publicly update or revise any of the included forward-looking
statements or information, whether as a result of new information, future
events or otherwise, except as may be expressly required by applicable
Stephen Yuzpe Chief Financial Officer Sprott Resource Corp. 200 Bay Street,
Suite 2750 Toronto, Ontario M5J 2J2 Tel: (416) 977-7333 Fax: (416) 977-9555
SOURCE: Sprott Resource Corp.
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