DuSolo Announces Bridge Loan Facility and Board Restructuring

DuSolo Fertilizers Inc. (TSXV:DSF) announced today at it’s annual meeting of shareholders that it’s largest shareholder, Tembo Capital Mining Fund, has agreed to provide DuSolo with a C$750,000 bridge loan facility. This loan will allow DuSolo to increase it’s cash position in response to a lower than planned sales revenue, which is the result of a longer than anticipated rainy season.
As quoted in the press release:

The longer than expected rainy season and the delayed government subsidies to farmers have contributed to depressed demand for agricultural fertilizers in the early part of this year’s planting season. The purpose of the Bridge Loan is to provide funds for DuSolo’s Bomfim Phosphate Project in Brazil and for general working capital purposes. The Bridge Loan carries an interest rate of 10% per annum and will have a term of three months.

As a result of these discussions with the company’s major shareholders and to facilitate the Bridge Loan, DuSolo’s Board has been reconstituted as follows: each of Shane Brown, Matthew Hornor, Livia Mahler and Brett Sandler have resigned as directors of DuSolo effective as of today and will not stand for re-election at the Meeting as contemplated by the management information circular of the Company dated July 9, 2015 (the “Circular”). Eran Friedlander will remain as a director of DuSolo.

At the Meeting, management of the Company will put forward a resolution to reduce the size of the Board to 4 members and Peter Ruxton, Darren Bowden, David Farrell and Eran Friedlander will be the nominees proposed by management to be elected as directors of the Company for the ensuing year.
Mr. Darren Bowden has more than 22 years experience in developing and managing mines. Most recently, he was the Vice President of Operations of Nyrstar USA Inc., where his responsibilities were focused on the day to day operations, and strategic development and optimization of the company’s mining portfolio, which includes 7 underground mining projects in 6 countries. Prior to Nyrstar, Mr. Bowden was with Glencore for 6 years, working in nickel, coal and prior to that spent time in silver, lead, zinc and copper/gold mines working for various companies. He has also held positions with Anglo Coal Australia. Mr. Bowden received his BE (Civil, Honours) from the University of New South Wales, Australia, and is completing his MBT from the same institution. He is also a graduate of the Australian Defense Force Academy.
Mr. David Farrell is President of Davisa Consulting, a private consulting firm working with junior to mid-tier global mining companies. He has 20 years of corporate and mining experience, and has negotiated, structured and closed more than US$25 billion worth of M&A and structured financing transactions for junior and mid-tier natural resource companies. Prior to founding Davisa, Mr. Farrell was Managing Director of Mergers & Acquisitions at Endeavour Financial, and a lawyer at Stikeman Elliott. Mr. Farrell serves as a director of both Fortuna Silver (TSX:FVI)(NYSE:FSU) where he sits on the audit, compensation, and corporate governance committees, and Northern Vertex Mining (TSX VENTURE:NEE) where he sits on the audit and compensation committees. He graduated from the University of British Columbia with a B.Comm. (Honours, Finance) and an LL.B. and was called to the bar in both British Columbia and England.

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