Urban Barns Foods Inc. (URBF)

[nyctraydr]

$6 million Private placement

Urban Barns Announces Proposed Expansion and Up to $6,000,000 Private Placement Offering
Urban Barns Foods Inc.

MONTREAL,(GLOBE NEWSWIRE) -- Urban Barns Foods Inc. (URBF) ("Urban Barns"), an innovative food producer dedicated to growing consistent, healthy and fresh vegetables year round using its proprietary Cubic Farming(TM) method, is pleased to announce that it plans to expand its Quebec operations in order to meet increased customer demand. The company also wishes to announce that, in connection with the proposed expansion, it is seeking to complete a $6 million USD private placement to accredited and strategic investors.

The company's Mirabel, Quebec facility was initially commissioned in March 2014, and since its official grand opening in June 2014, has allowed Urban Barns to serve many prestigious restaurants, hotels, distributors and caterers in the greater Montreal area. The company's produce has generated significant interest in the Toronto, ON and New York, NY areas over the past few months, and the proposed expansion is strategically planned to address those potential markets as well as the March 2015 launch of its previously-disclosed initiative with Sobeys Quebec. Urban Barns shipped its first order to a preferred distributor in Toronto this week and has already agreed to terms with a Manhattan-based supermarket to start selling its fresh produce in 6 to 10 stores beginning in January 2015.

Urban Barns is also pleased to announce that the company's recent efforts with a Montreal-based Kosher certification body have been very positive. Three separate certification-oriented tests have been conducted and completed, with the final test planned for the first week of December 2014.