BOSTON, May 24, 2010 (GLOBE NEWSWIRE) -- Converted Organics Inc., an industry leader in the organic fertilizer market, announced today that the Company has entered into a Letter of Intent to acquire R.M. & S.M. Family Farm, LLC of Mosca, CO, including rights to all equipment and intellectual property currently needed to operate the farming business.
The strategic acquisition of R.M. & S.M. Family Farm, with revenue of $1.2 million, provides Converted Organics with the opportunity to continue building a vertically-integrated agricultural portfolio and also adds immediate revenue to the Company. Additionally, the acquisition of the 856 acre farm provides Converted Organics with the ability to conduct large-scale field research and development efforts with its organic liquid fertilizer products on an ongoing basis.
"The acquisition of R.M. & S.M. Family Farm enhances Converted Organics' business portfolio, as well as the capabilities and value of our organic, closed-loop business model. We selected this particular agricultural enterprise for acquisition because we know we can help to improve the profitability of the farm because of our growth trials with potatoes," said Edward J. Gildea, President of Converted Organics. "We hope this farm acquisition, which is part of our mission to involve the Company with businesses that are not only stable but also sustainable, will be the first of many to benefit both the Company and our shareholders."
Converted Organics will transition R.M. & S.M. Family Farm from conventional to organic growing practices and continue the production of commercially desirable crops, such as corn and potatoes.
About Converted Organics
Converted Organics (Nasdaq:COIN) (www.convertedorganics.com) is dedicated to producing high-quality, all-natural, organic soil amendment and fertilizer products through food waste recycling. The Company uses its proprietary High Temperature Liquid Composting (HTLC) system, a proven, state-of-the-art microbial digestion technology, to process various biodegradable food wastes into dry pellet and liquid concentrate organic fertilizers that help grow healthier food and improve environmental quality. Converted Organics sells and distributes its environmentally-friendly fertilizer products in the retail, professional turf management, and agribusiness markets.
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