Top Shelf International Holdings Ltd has executed a binding term sheet for a $5 million sale and leaseback deal of its farmland and structural improvement assets at its agave farm in Queensland, excluding the distillery plant, equipment, and agave plants, with proceeds aimed at working capital and debt reduction.
The transaction, subject to shareholder approval, involves a 10-year lease with an option to extend for 5 more years and a repurchase option for the company, and is part of a capital strategy that retains the company's control over its agave agronomy and distillery operations.
ASX Code : TSI