Farmmi, Inc. Proposes to Acquire Brazilian Agricultural Supply Chain Company

Farmmi proposes to acquire 100% of the equity interests in the Target Company. The final acquisition price will be determined based on the fair valuation of the Target Company's equity interests conducted by a qualified independent valuation firm. The acquisition consideration is expected to be paid through the issuance of Farmmi Class A ordinary shares; the number of shares to be issued and other terms will be determined in subsequent definitive transaction documents.

Brazil is a major producer and exporter of agricultural products in the world. Farmmi believes that, if the transaction is completed, the Target Company's local operating foundation and agricultural product trading capabilities in Brazil are expected to create synergies with Farmmi's existing business, helping the Company further connect the South American agricultural product supply side with international markets and enrich the product categories and regional coverage of the Company's global agricultural supply chain.

Yefang Zhang, Chief Executive Officer of Farmmi, commented: "Brazil plays an important role in the global agricultural trade system. The signing of this framework agreement is an important step for the Company in expanding its international agricultural product supply chain network. We look forward to evaluating the potential synergies between the parties in products, channels and markets through professional due diligence, independent valuation and prudent transaction arrangements, and creating new opportunities for the Company's long-term development."

About Farmmi, Inc.

Established in 1998, Farmmi Inc. (Nasdaq: FAMI) is an agricultural products supplier and retailer of edible mushrooms such as Shiitake and Mu Er, as well as other agricultural products. The Company also provides logistics and supply chain services in the United States.

The Company currently has 41,434,077 Class A ordinary shares and 3,873 Class B ordinary shares outstanding.

For further information about the Company, please visit: https://www.farmmi.com. 

Forward-Looking Statements

The foregoing material may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the Company's product development and business prospects, and can be identified by the use of words such as "may," "will," "expect," "project," "estimate," "anticipate," "plan," "believe," "potential," "should," "continue" or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, performance, or achievements. Except as required by applicable law, including the security laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.

For more information, please contact:

Farmmi, Inc.

Investor Relations

Tel: +86-0578-82612876

ir@farmmi.com 

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SOURCE Farmmi, Inc.