Edmonton, June 4 - Planet Organic Health Corp, Canada's leading organic food and natural products retailer will refocus its aggressive growth plans on its existing divisions, it decided in the wake of a strategic board meeting.
The board meeting followed last month's decision to abandon a planned public market financing because the fully marketed offering of common shares, announced on April 1, 2008, met very weak public market conditions. As a result, the offering could not be completed at a price that appropriately valued the company's internal growth opportunities.
In addition to refocusing and intensifying its expansion energies inwardly, POH is also seeking alternative growth financing.
"We are continuing with the relocation of Mrs Green's commissary to a larger location to service more planned store locations. Planet Organic Markets recently opened their second Ontario location in Vaughan and have signed a lease for a third Ontario store. We will continue with the rebrand of Healthy's to Planet Organic Living.
"Pausing and focusing on existing operations for awhile is always a good step since it allows us to work on integrating and improving what we already have," said Darren Krissie, VP and CFO for POH.
Mr. Krissie said the previously announced deal to purchase the California-based organic food retailer, New Leaf Community Markets, will not proceed because of the decision to abandon the public market financing. However, Mr. Krissie added that the relationship with New Leaf's founders remains strong and today's decisions won't preclude any future business dealings between POHC and New Leaf.
"New Leaf is a fabulous organization and we will be keeping in touch with its President and founder, Scott Roseman, and his team," Mr. Krissie said.
ABOUT PLANET ORGANIC
Planet Organic Health Corp. (TSX-V: POH), is a natural products industry company, comprising manufacturing, distribution and retail. Planet is listed on the TSX Venture Exchange as a Tier One company. Planet operates nine natural food supermarkets throughout Canada under the Planet Organic Market banner and eleven natural food supermarkets in the U.S. under the Mrs Green's Natural Markets banner. The Company also operates 48 natural health outlets under the Sangster's Health Centre banner and eight natural health outlets under the Healthy's & Planet Organic Living banner. Another POHC company, Trophic Canada is the country's leading manufacturer of natural supplements. The Company has a total of 65 stores throughout Canada and 11 in the U.S.