BESTON GLOBAL FOOD COMPANY LIMITED (BFC)

Shareholders in this company should consider crystallising a capital loss in 2024/25 by selling their shares. This process is now much easier and quicker. It can be achieved online by entering transaction details here. While, this usually makes good economic sense we recommend you seek professional advice before buying or selling securities, your accountant is probably the best person.

On Friday, 20 September 2024, Administrators were appointed. The Administrators current intention is to continue to trade Beston while an assessment of trading is undertaken and options for its sale and/or recapitalisation are explored. A first statutory meeting of creditors must be held within eight business days after the administration begins and will take place on 2 October 2024 at 12:00pm ACST. Meeting notices setting out the time and location for the first meeting of creditors will be distributed to Beston's creditors in advance of the meeting.

Tim Mableson, James Dampney, Gayle Dickerson and David Kidman of KPMG were appointed as Joint and Several Administrators of the Beston and its wholly owned subsidiary, Beston Pure Dairies Pty Ltd pursuant to Section 436A of the Corporation Act 2001.

The company releases a response to media articles.

The securities of Beston Global Food Company Limited were suspended from quotation at BFC's request on 3 July 2024, pending the release of an announcement regarding funding arrangements. BFC is not in a position to lodge its Preliminary Final Report. BFC's securities will continue to be suspended from quotation by ASX under Listing Rule 17.5, until such time as BFC lodges its Preliminary Final Report and that it is otherwise appropriate for BFC's securities to be reinstated to quotation.

The Company continues to progress discussions and due diligence with a major international dairy company which has provided a non-binding indicative offer relating to Beston's core business of dairy and dairy nutrition. The discussions in relation to this proposal are on-going subject to non-disclosure agreements and are not as yet in a form capable of acceptance. The Board of Beston is of the view that these discussions, if brought to a satisfactory and material conclusion, will provide the best possible outcome for all stakeholders. Such a transaction is necessary for Beston's continued financial viability. Beston is currently not in a position to satisfactorily assess the carrying value of its assets or appropriate impairment charges, and therefore is not in a position to provide an Appendix 4E nor Preliminary Financial Statements. An Appendix 4E and Financial Statements will be provided as soon as possible.

In response to the various corporate actions which have been initiated, the Company has received several non-binding indicative offers in recent months around debt refinancing and equity solutions relating to Beston's core business of dairy and dairy nutrition. Discussions and due diligence have now progressed with a major international dairy company which has a specialisation in dairy nutraceuticals and functional ingredients, and is a globally recognized leader in this field. Beston has been advised that a binding proposal in relation to a commercial arrangement with the company will be received on or before 9 September 2024. The discussions in relation to this proposal are on-going subject to non-disclosure agreements, and are not as yet in a form capable of acceptance. The Board and Management of Beston are of the view that these discussions, if brought to a satisfactory and material conclusion as currently expected, will provide the best possible outcome for all stakeholders.

The company is requesting an extension to its suspension of trading in its securities, as it is unable to announce its funding arrangements yet. The suspension is expected to be extended until the company can make an announcement, which it expects to do before 2 September 2024. Beston is in negotiations on a potential corporate transaction to address its funding needs, and the suspension is expected to be lifted by 2 September 2024.

The company lodges its Quarterly Activities Report & App4C - June 2024.

Sale and Purchase Agreement finalised to complete the divestment of Provincial Food Group by end of July, 2024. Discussions and renegotiations in train on interest received in relation to the Company's Dairy and Dairy Nutrition Businesses. New record year of milk volumes processed but trading conditions remain challenging. Milk Solids Sourcing strategy re-set for FY25, protecting fresh milk sourcing base in South Australia whilst capitalizing on spot procurement actions for Dairy Ingredients to complement production. Shares to remain in suspension until corporate actions on proposals received are confirmed.

Beston is currently in negotiations on alternative funding arrangements to refinance the existing debt and to provide working capital for the funding needs of the Company. Interest has been provided from parties who are currently undertaking due diligence on the Company to determine if a refinancing will be offered as indicated. Such a transaction is necessary for Beston's continued financial viability. The timetable for coming out of suspension is predicated on finalisation of the terms of a potential funding and completion of documentation. The Company expects it will be in a position to provide an update on that funding by 5 August 2024. In Beston's opinion, continued trading of the Company's securities is likely to be materially prejudicial to its ability to seek support from various parties to finalise necessary funding arrangements.

The securities of Beston Global Food Company Limited will be suspended from quotation immediately under Listing Rule 17.2, at the request of BFC, pending the release of an announcement regarding funding and milk supply.

listed entity carried for record purposes only