Cadiz completes financing transaction

Cadiz announced that it has completed a financing transaction that significantly strengthens its financial position and provides the Company with liquidity to accelerate development of its water supply projects in Southern California. The financing includes a new $20M loan to fund operations and capital expenses associated with development of the Company’s water supply projects and extends all debt maturities to 2027. The transaction, led by the Company’s largest shareholder, Heerema International Group Services, received strong support from the Company’s existing lenders and shareholders. With the completion of this transaction, the Company has a solid financial foundation backed by its lead strategic investor with a substantial capital base committed to the long-term growth of the Company. Cadiz owns 45,000 acres of land in the Mojave Desert with 2.5 million acre-feet of water supply, 1 million acre-feet of water storage capacity and more than 200 miles of pipeline assets that stretch across Southern California. In 2022, the Company also acquired ATEC Water Systems, a producer of specialized groundwater filtration systems. The additional $20 million loan provided by Heerema will carry a 7% PIK coupon and be convertible into Cadiz common stock at a price of $5.30 per share.