RiceBran Technologies: Sells Milling Facility

Tomball / TX. (rbt) RiceBran Technologies, a global leader in the development and manufacture of nutritional and functional ingredients derived from rice and other small and ancient grains for human food, nutraceutical, pet care and equine feed applications, announced that it has sold its Golden Ridge rice mill located in Wynne, Arkansas for USD 2.15 million.

The divestiture is expected to, based upon third quarter 2023 results, further narrow RiceBran’s projected annual net loss by approximately USD 1.5 million while not jeopardizing the estimated USD 54.4 million in federal and USD 46.0 million in state net operating loss carryforwards that the Company had amassed as of December 31, 2022.

«This sale eliminates cash and working capital drags on the business’ profitability, streamlining operations while preserving the Company’s net operating loss carryforward assets,» said Executive Chairman Eric Tompkins in February. «We continue to own and operate MGI, our barley and oats mill located in East Grand Forks, Minnesota. This transaction is the advancement of the strategic restructuring process undertaken by the Board of Directors. Today, RiceBran has streamlined its business and balance sheet, eliminating unprofitable operations. We can now shift our attention to RiceBran’s future, as we explore a more sustainable way to take advantage of our tax assets and public listing to create value for shareholders.»

Q3-2023: Board continues to review strategic initiatives and alternatives

RiceBran Technologies, an innovator in the development and manufacture of nutritional and functional ingredients derived from rice, barley and oats, in late December 2023 announced financial results for the third quarter ended September 30, 2023. Executive Chairman Eric Tompkins: «The Board of Directors continues to advance a strategic review, with the goal of creating a more sustainable organization that can better capitalize on the benefits of a public listing and the significant carryforward tax assets that have been accumulated. The divestiture of our stabilized rice bran business during the second quarter was the first step in this ongoing process.» Q3-2023 Financial and Operational Overview:

Balance Sheet: Total cash was USD 466,000 at the end of 3Q23 down from USD 3.9 million at the end of 4Q22, after repayments of USD 3.0 million on the Company’s factoring, line of credit and long-term debt and finance lease liabilities.