Eshbal Signs Binding Agreement and Launches North American Capital Markets Strategy
("Eshbal" or the "Company"), a developer of gluten-free and health-focused food products, is pleased to share a set of strategic steps advancing its commercial and capital markets execution in North America:
the signing of a binding Letter of Intent with GF Nation Brand; and
the formal launch of the Company's investor relations program, including the appointment of a Head of Investor Communications.
Eshbal Signs Binding Letter of Intent to Acquire Gluten Free Nation
Effective June 27, Eshbal entered into a binding Letter of Intent to acquire 100% of the issued and outstanding equity (the "Acquisition") of Starcall Broadcasting LLC dba Gluten Free Nation ("GF Nation"), a Texas-based company specializing in sweet and savory gluten-free baked goods, including cookies, cakes, and buns. GF Nation sells its products across both retail and foodservice channels. The consideration for the Acquisition shall consist of payment in cash and shares of the Company, payable upon closing of the Acquisition, with additional performance-based consideration tied to future revenue performance. Closing of the Acquisition is subject to the parties entering into a definitive agreement, which agreement will contain customary closing conditions. Actual amount of cash payments and number of shares issuable shall be determined after completion of the due diligence process and will be determined on the date of execution and announcement of the execution of the definitive agreement. The Acquisition is subject to the approval of the TSX Venture Exchange.
The Acquisition is intended to expand Eshbal's product offering in North America and unlock commercial synergies by introducing Eshbal's gluten-free products through GF Nation's existing sales and distribution channels.
The Acquisition is considered arm's length, and no finder's fees were paid.
"This agreement supports our continued strategy of combining organic growth with strategic acquisitions to accelerate market entry," said Tomer Bar Meir, CEO of Eshbal. "We're excited about the potential to integrate Gluten Free Nation's product line and leverage its customer relationships to further expand Eshbal's North American presence."
Investor Relations Program Launched with Fairfax Partners Inc.
Effective June 28, Eshbal entered into an agreement with Fairfax Partners Inc., a Vancouver-based investor relations and capital markets advisory firm. The engagement will formally commence upon completion of initial preparations, with Fairfax supporting the Company's public market communications strategy.
Fairfax will lead initiatives aimed at increasing the Company's visibility in the investor community, through a combination of messaging development, digital engagement, and content-driven outreach initiatives.
The initial phase, valued at CAD $20,000 plus GST, may expand—at the Company's sole discretion—into a broader program totaling up to an additional CAD $180,000 plus GST over the next 12 months.
