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Amira Nature Foods Ltd. Receives License to Convert Land Use from Factory to Residential Allowing for Monetization

DUBAI, United Arab Emirates--(BUSINESS WIRE)--Jan. 26, 2018-- Amira Nature Foods Ltd (the “Company,” “Amira”) (NYSE: ANFI), a leading global provider of branded, packaged Indian specialty rice, announced that on January 23, 2018 Amira Foods India, Ltd. (“Amira India”) the Company’s subsidiary received approval of a license from the Directorate of Town & Country Planning of Haryana India to monetize 9 acres of its 17 wholly owned acres of real estate property currently used as factory to residential use.

Amira India applied for the license early last year for all 17 acres, and the license for the remaining 8 acres is pending. As previously disclosed, and in connection with the receipt of the license, Amira India will begin the planned process of re-locating its existing manufacturing facility to a new location. Amira’s existing manufacturing facility was opened in 1996 in what, at that time, was a primarily an agricultural area. Today the manufacturing facility is in a residential area surrounded by multi-story apartment buildings. The Company believes that the re-location of the facility will allow it to improve operational effectiveness and flexibility, provides the opportunity to reduce operating costs, and provides the opportunity to realize what the Company believes is significant unrealized value through converting its owned real-estate from commercial to residential use. The Company is currently exploring options to maximize the value of this owned real estate asset.

The conversion of the real-estate asset from factory to residential will require the Company’s existing lenders to amend and/or refinance their existing debt to include the repurposed collateral. The Company has begun those discussion with existing lenders. There can be no assurance the existing lenders will agree to amend or refinance the existing debt on terms acceptable to the Company, and the Company may need to seek additional sources of financing. The Company is actively considering its options with regards to financing.

About Amira Nature Foods Ltd

Founded in 1915, Amira has evolved into a leading global manufacturer, marketer, and distributor of branded packaged specialty rice and other related food products, with sales across five continents around the world. The Company generates the majority of its revenue through the sale of Basmati rice, a premium long-grain variety of rice grown only in the geographically indicated region of the Indian sub-continent, as well as other specialty rice. It sells its products under its flagship Amira brand, as well as other Company owned brands and third party brands. The Company expanded its product offerings in recent years to include other value-add categories such as edible oils and organics. The Company also sells other products such as wheat, barley, legumes, and other produce to large institutional customers. The Company’s fourth generation leadership has built on a rich, century-old legacy and transformed Amira from a local family-run business to a publicly listed, globally focused, packaged food company with a global leadership position in the high growth Basmati rice sector. Amira sells its products through a broad distribution network in both the developed and emerging markets. The Company’s global headquarters are in Dubai, and United Arab Emirates, it also has offices in India, Malaysia, Singapore, Germany, the United Kingdom, and the United States. Amira Nature Foods Ltd is listed on the New York Stock Exchange (NYSE) under the ticker symbol “ANFI.”

For more information, please visit www.amira.net.

Safe Harbor for Forward-Looking Statements

This press release contains statements of a forward-looking nature. This Form 6-K Report contains statements of a forward-looking nature. These statements are made under the “safe. harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by words or phrases such as “may,” “will,” “except,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “future” or other similar expressions. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. There is no assurance that our current expectations and projections are accurate. These forward-looking statements include, but are not limited to:

our goals and strategies;

our operations and expansion plans;

our future business development, results of operations, financial condition and financial statements;

our ability to restructure our existing debt obligations;

our future business development, results of operations, financial condition and financial statements;

our ability to develop our real property for residential use;

our ability to protect our intellectual property rights;

projected revenue, profits, earnings and other estimated financial information;

our ability to maintain strong relationships with our customers and suppliers;

the continued application of the proceeds from our initial public offering (“IPO”);

governmental policies regarding our industry; and

the impact of legal proceedings.

We would like to caution you not to place undue reliance on forward-looking statements and you should read these statements in conjunction with the risk factors disclosed in “Risk Factors” appearing in the Annual Report. Those risks are not exhaustive. We operate in a rapidly evolving environment. New risk factors emerge from time to time, and it is impossible for our management to predict all risk factors, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ from those contained in any forward-looking statement. We do not undertake any obligation to update or revise the forward-looking statements except as required under applicable law.

Source: Amira Nature Foods Ltd

Amira Nature Foods Ltd.
Amy Greene
amy.greene@theamiragroup.com
or
for Amira Nature Foods Ltd.
Katie Turner
katie.turner@icrinc.com



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