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Deveron Signs Definitive Agreement to Acquire Leading Data Analytics Provider Veritas Farm Management

Toronto, Ontario - Deveron UAS Corp. (CSE: DVR) (“Deveron” or the “Company”), is pleased to
announce that it has signed a definitive agreement (the “Agreement”) to acquire all the issued
and outstanding shares of Veritas Farm Management Inc. (“Veritas”) pursuant to an agreement
dated  August 27,  2018 between  Deveron  and  South  West  Ag  Inc. (the  “Vendor”).    The
combination of the resulting entity will create a leading data analytics company providing North
American farmers with access to data driven insights as well as access to Deveron’sleading drone
data network.

Veritas  is  a  data  analytics  company  which  provides  recurring  data  consulting  and  precision
agriculture services to large enterprises and large-scale farmers.  Veritas had unaudited reported
revenue  of  $1,140,845 in  2017,  $1,051,262 in  2016 and  $779,797 in  2015.  The acquisition is
expected to close in Q3 2018. 

“Data,  analytics  and  insights  have always  been  the  driving  factors of  our  vision  in  building
Deveron as a leading drone data company in North America,” commented Deveron’s President
& CEO, David MacMillan.  “Veritas has built an insights business deeply rooted in understanding
the needs of  farmers and what can be implemented on  the  farm  today.  We look  forward  to
growing our mutual customer base by providing complementary product offerings that are all
rooted in increasing yields and reducing costs.”

“Veritas  was  born  out  of  the  need  for  better  management  tools  for  Ontario  farmers.  Drone
imagery  has  become  one  of  the  tools  that  allows  for  better  management  decisions.  This
partnership will enable Veritas to continue to develop and deliver measurable solutions to our
current and growing geographical  footprint of customers, in a way  that is easy  for  farmers  to
implement. Veritas Farm Management has been able to position itself within the Ontario market
in a way that is both strategic and unique. This new relationship with Deveron will only enhance
our ability to execute for our customers.” says Aaron Breimer, Business Manager of Veritas Farm
Management Inc.

The purchase price for the acquisition of Veritas is comprised of a cash payment of $320,000 and
3,750,000 Units (“Units”) of the Company, issued to the shareholders of South West Ag Inc. Each
Unit consists of one common share of the Company (each, a “Common Share”) and one-quarter
of  a Common  Share purchase  warrant at  a  deemed  price  of  $0.18. Each whole warrant shall
entitle the holder to acquire a Common Share at an exercise price of $0.50 per Common Share
for  a  period  of  two  (2) years from  the  closing  of  the  acquisition.  Under  the  terms  of  the
agreement, the Units will be released from escrow in five equal tranches of 750,000 Units, every
three (3) months, with the initial release occurring on the sixth month following the closing of
the acquisition, and the final tranche being released on the eighteenth month after closing. On
completion of the transaction, South West Ag Inc. will own 9.9% of the Company shares.

All securities issued in connection with the acquisition are subject to a hold period of four months
plus a day from the date of issuance and the resale rules of applicable securities legislation.

Source : Deveronuas

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