Desert Control AS: Commercial Update, Financing Review, and Invitation to Capital Markets Day
Desert Control AS ("DSRT" or the "Company"), a leader in soil and water conservation technology, today announces the Company has successfully completed application of the Company's innovative Liquid Natural Clay ("LNC") technology at the Berkeley Country Club in El Cerrito, California. The installation builds on strong commercial traction in the United States as evidenced by a record number of pilots launched during Q1 2026 with momentum that is accelerating into Q2 2026.
The Company expects to complete a total of 26 pilots in the first half of 2026 in crops familiar to LNC like almonds, dates, and grapes, as well as crops new to LNC like pistachios, avocados, and a number of other fruits and vegetables. This number of pilots compares to seven pilots completed in all of 2025.
The Company further announces that the Board of Directors has initiated a Financing Review to evaluate options to strengthen the Company's capital base and support growing commercial traction in the United States.
As part of the Financing Review, the Company will evaluate a range of financing alternatives, including a potential private placement, as well as other equity, debt and strategic funding options. The Company is targeting gross proceeds of approximately USD 15 million, subject to market conditions, board approval,?and any required corporate and regulatory approvals.
The Company intends to use any proceeds raised to support the continued scale up of commercialization and conversion of pipeline to commercial contracts, strengthen its U.S. sales force, design and build additional next-generation production units, and fund other organisation, marketing and R&D activities, as well as for general corporate purposes.
To support this process, the Company has appointed Mossa Capital Partners as its financial advisor. Advokatfirmaet Selmer AS is acting as legal advisor to Desert Control.
As previously communicated, the Company's cash runway is expected to extend to September 2026. The board is therefore initiating this process with the intention of completing a financing transaction prior to September 2026.
The Company has posted an investor presentation to the Investors section of the Desert Control website. Furthermore and in light of the Financing Review, the Company's previously announced FY 2025 and Q1 2026 results presentation on 13 May 2026 will be expanded into a broader Capital Markets Day, during which James Thomas and David Borah will provide a broader and more comprehensive view of Desert Control's strategic priorities, commercial model and long-term growth opportunity.
Important Information
This information is considered to be inside information pursuant to the EU Market Abuse Regulation and is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act. This stock exchange announcement was published by David Borah, Chief Financial Officer of the Company, at the time and date stated above in this announcement.
The distribution of this announcement and other information may be restricted by law in certain jurisdictions. Copies of this announcement are not being made and may not be distributed or sent into any jurisdiction in which such distribution would be unlawful or would require registration or other measures. Persons into whose possession this announcement or such other information should come are required to inform themselves about and to observe any such restrictions.
Matters discussed in this announcement may constitute forward-looking statements. Forward-looking statements are statements that are not historical facts and may be identified by words such as "believe", "expect", "anticipate", "strategy", "intends", "estimate", "will", "may", "continue", "should" and similar expressions. The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions. Although the Company believes that these assumptions were reasonable when made, these assumptions are inherently subject to significant known and unknown risks, uncertainties, contingencies and other important factors which are difficult or impossible to predict and are beyond its control.
The information, opinions and forward-looking statements contained in this announcement speak only as at its date and are subject to change without notice. The Company undertakes no obligation to review, update, confirm, or to release publicly any revisions to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of this announcement.
This announcement is for information purposes only and is not to be relied upon in substitution for the exercise of independent judgment. It is not intended as investment advice and under no circumstances is it to be used or considered as an offer to sell, or a solicitation of an offer to buy any securities or a recommendation to buy or sell any securities of the Company. Neither the Company nor its representatives accept any liability arising from the use of this announcement.
For more information, please contact:
David Borah
Chief Financial Officer
david.borah@desertcontrol.com
About Desert Control
Desert Control develops innovative solutions to enhance soil health, conserve water, and promote ecosystem resilience. Our proprietary Liquid Natural Clay (LNC) allows sandy, fast-draining soils to retain water and nutrients, improving soil health, crop yields, and ecosystem vitality while conserving water. Desert Control provides customized solutions to strengthen sustainability, profitability, and prosperity for agriculture, forests, and green landscapes. In collaboration with partners and clients, we aim to preserve natural resources, enhance food security, and ensure a climate-resilient future.