FERONIA INITIATES SHAREHOLDER RIGHTS PLAN
TORONTO, ONTARIO – June 3, 2011: Feronia Inc. (“Feronia” or the “Company”) (TSX-V: FRN) announced that its Board of Directors has adopted and implemented a shareholder rights plan agreement (the “Rights Plan”). The Rights Plan helps to ensure the fair treatment of Feronia’s shareholders in connection with any takeover bid for shares of the Company.
The Rights Plan provides Feronia’s board and shareholders with additional time to evaluate any unsolicited takeover bids and provides the board with adequate time, where appropriate, to seek out alternatives to maximize shareholder value. The Rights Plan is effective immediately and is subject to acceptance by the TSX Venture Exchange and approval by shareholders at the annual and special meeting of Feronia shareholders to be held on June 17, 2011.
The Rights Plan has not been instituted in response to any anticipated takeover bid, but rather as a general planning measure. A copy of the Rights Plan can be viewed on SEDAR at www.sedar.com.
About Feronia Inc.
Feronia Inc. is a large-scale commercial farmland and plantation operator in the Democratic Republic of the Congo (“DRC”). The Company uses modern agricultural practices to operate and develop its oil palm plantations and arable farming business division. Feronia believes in the immense agricultural potential of the DRC for high-quality foodstuffs and edible oils given its ideal climate, excellent soil and highly skilled and experienced workforce. Feronia’s management team is comprised of senior agriculturalists with extensive experience in managing both plantations and large-scale mechanized farming operations in emerging markets. Feronia is committed to sustainable agriculture, environmental protection and providing support for local communities. For more information please refer to the Company’s website at www.feronia.com.
Except for statements of historical fact contained herein, the information in this press release constitutes “forward-looking information” within the meaning of Canadian securities law. Such forward-looking information may be identified by words such as “plans”, “proposes”, “estimates”, “intends”, “expects”, “believes”, “may”, “will” and include without limitation, statements regarding the Rights Plan. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, the failure to obtain shareholder approval for the Rights Plan and regulatory risks. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.