Geyser Announces Financial Results for the 8-months ended March 31, 2019 and the filing of Amended and Restated Interim Financial Statements
Geyser Brands Inc (TSXV:GYSR) (“Geyser Brands” or the “Company”) today released its post-RTO audited financial statements for the 8-months ended March 31, 2019 (the “Annual Financial Statement”) and accompanying management discussion and analysis. The Annual Financial Statement represents the Company’s transitional fiscal year following the Company’s RTO and change in the fiscal year end, as further described in the Notice of Change in Corporate Structure filed on the Company’s profile on SEDAR. Copies of the Annual Financial Statement and corresponding management discussion and analysis are available in full under the Company’s profile on SEDAR at www.sedar.com.
Andreas Thatcher, CEO commented, “We are pleased with our progress in the first 8 months since completing the RTO. Our subsidiary, 0957203 B.C. Ltd. dba Apothecary Botanicals, through its strong management, has been successful in bringing its facility to GMP-compliant standards for manufacturing and processing and in obtaining Health Canada licensing for Cultivation and Standard Processing. The achievement of these milestones represented the foundation necessary for Geyser to extend products into the cannabis space and generate revenues through this highly regulated distribution channel. Geyser took the time necessary to build its compliance framework and is now ready to execute on its strategic plan of building cannabis-led brands that improve everyday lives. We are very excited about the opportunities created by the careful investments made in the past 8 months and look forward to capitalizing on the Canadian cannabis platform we have built.”
The following is select financial information contained in the Annual Finacial Statement, which was prepared in accordance with IFRS as issued by the International Accounting Standard Board and Part 1 of the Chartered Professional Accountants of Canada Handbook – Accounting. All dollar amounts are Canadian, unless otherwise noted.
ONE-TIME NON-OPERATING, NON-CASH LOSS ARISING FROM RTO
On December 20, 2018, the Company (formerly Kanzen Capital Corp.) completed the acquisition of all of the issued and outstanding shares of the private company, Geyser Management Inc. (“Geyser”) and its wholly owned subsidiary 0957102 BC Ltd. (“D&G”) through a reverse takeover arrangement (“RTO”). The share exchange, as further particularlized in the Company’s Filing Statement filed on the Company’s profile on SEDAR, in the RTO gave rise to a non-cash, non-operating loss of $19,712,648 in reflecting the agreed shareholder equity for the transaction.
The fair value of the acquired assets and liabilities assumed is as follows:
As a result, IFRS 2- Share-based Payment is applied to a reverse acquisition when the accounting acquiree does not constitute a business as defined under IFRS 3. This is common when the transaction involves a CPC because the entity is normally a shell company, with no operations, is looking to complete a qualifying transaction over a specified period of time and would not meet the definition of a business.
During the 8-month period, the Company completed equity financing that resulted in total proceeds from private placements of $2,015,140 and $76,500 from the exercise of warrants. The Company intended or intends to use the proceeds of financings to fund the completion of capital projects, potential acquisitions, including partnerships and joint ventures, for research and development, to commercialize the Company’s manufacturing capabilities, and for working capital purposes.
AMENDED INTERIM FINANCIALS
The Company also announces its filing of amended and restated Unaudited Condensed Consolidated Interim Financial Statements for the three and six month periods ending January 31, 2019 (“January Interim Financials”) and corresponding management discussion and analysis for such period.
The January Interim Financials have been revised to correct the accounting treatment of the RTO transaction where it was determined by management, and agreed to by the Company’s auditors, Buckley Dodds LLP, that an accounting error occurred resulting in the overstatement of the Company’s assets and understatement of the Company’s net loss for the period. The share exchange in the RTO transaction falls under the guidance of International Financial Reporting Standard (“IFRS”) 2. The RTO transaction represented a share-based payment, resulting in a non-cash, non-operating loss of $19,712,648 that was incorrectly accounted for in the January Interim Financials as being the purchase of an intangible asset.
The restated January Interim Financials and the corresponding management discussion and analysis for such period are available on the Company’s profile on SEDAR at www.sedar.com. The restated January Interim Financials replaces and supersedes the previously filed January Interim Financials, and the corresponding amended management’s discussion and analysis replaces and supersedes the previously filed corresponding management’s discussion and analysis.
ABOUT GEYSER BRANDS
Geyser Brands Inc. builds health-based hemp CBD consumer products in the nutraceutical, cosmetics, food & beverage and pet sectors world-wide. Geyser Brands owns a Health-Canada approved Licensed Producer (LP) in Port Coquitlam, B.C. that holds cultivation and processing licenses and is anticipating its R & D and sales licenses. Geyser Brands will utilize both of its GMP- licensed facilities in British Columbia for the manufacturing and distribution of its hemp and CBD-based products internationally. For more information, visit Geyser Brands’ website at www.geyserbrands.com.
On Behalf of the Board of Directors
Director and CEO
THIS NEWS RELEASE, PROVIDED PURSUANT TO APPLICABLE CANADIAN REQUIREMENTS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATESSECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS ABSENT REGISTRATION OR APPLICABLE EXEMPTION FROM REGISTRATION REQUIREMENTS.
CAUTIONARY AND FORWARD-LOOKING STATEMENTS
This news release contains forward‐looking statements and forward‐looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward‐looking statements or information. Forward‐looking statements and information are often, but not always, identified by the use of words such as “appear”, “seek”, “anticipate”, “plan”, “continue”, “estimate”, “approximate”, “expect”, “may”, “will”, “project”, “predict”, “potential”, “targeting”, “intend”, “could”, “might”, “should”, “believe”, “would” and similar expressions.
Forward-looking statements and information are provided for the purpose of providing information about the current expectations and plans of management of the Company relating to the future. Readers are cautioned that reliance on such statements and information may not be appropriate for other purposes, such as making investment decisions. Since forward‐looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the risks associated with the marijuana industry in general such as operational risks in growing; competition; incorrect assessment of the value and potential benefits of various transactions; ability to access sufficient capital from internal and external sources; failure to obtain required regulatory and other approvals and changes in legislation, including but not limited to tax laws and government regulations.
CanBud Distribution Corporation Closes 2M Second and Final Tranche of its Oversubscribed Private Placement Offering
CanBud Distribution Corporation (CSE: CBDX) (FSE: CD0) (“CanBud” or the “Corporation”) is pleased to announce that it has closed the final tranche of its oversubscribed non-brokered private placement for aggregate gross proceeds of approximately $4,730,000 (the “Offering”).
The Corporation issued a combined total of 39,409,346 units (each a “Unit“) at price of $0.12 per Unit, with each Unit comprised of one common share in the capital of the Corporation (each a “Common Share“) and one common share purchase warrant (each a “Warrant“). Each Warrant entitles the holder to purchase one additional Common Share at an exercise price of $0.22 within 24 months of the closing of the Offering (the “Warrant Term“), provided, however that if the closing price of the Common Shares on the Canadian Securities Exchange (the “CSE“) (or any such other stock exchange in Canada as the Common Shares may trade at the applicable time) is $0.25 or greater per Common Share for a period of five (5) consecutive trading days at any time after the closing date of the Offering, the Corporation may accelerate the Warrant Term such that the Warrants shall expire on the date which is 30 days following the date a press release is issued by the Corporation announcing the reduced warrant terms.
Thoughtful Brands Inc. (CSE:TBI)(FSE:1WZ1)(OTCQB:PEMTF) (the “Company” or “Thoughtful Brands) announces that the letter of intent with Franchise Cannabis Corp. (“FCC”), previously announced in January, has been terminated. The previously announced European joint venture with FCC will continue and allow the Company to launch and tailor its products to European consumer demands
In connection with termination of the merger transaction with FCC, the Company has agreed to pay FCC $100,000 in cash and to issue FCC 5,000,000 common shares of the Company at a deemed value of $0.05 per share. The common shares will be subject to a four-month-and-one-day statutory hold period in accordance with applicable securities laws.
Mergers and acquisitions (M&A) in cannabis space have helped boost the industry to new levels.
Strategic sale of non-core assets by Lobe adds non-dilutive capital and shareholder value
Lobe Sciences Ltd. (CSE: LOBE) (OTC Pink: GTSIF) (“Lobe” or the “Company”) is pleased to announce, further to its press release dated February 23, 2021, that it has completed the sale to Ionic Brands Corp. (“Ionic Brands”) of Lobe’s non-core cannabis assets relating to Washington-based Cowlitz County Cannabis Cultivation Inc. (“Cowlitz”) held by Lobe’s subsidiary vendor, Green Star Biosciences Inc. (the “Transaction”).
Seattle Area Grocery Chain Metropolitan Market to Begin Carrying KOIOS and Fit Soda on March 22, 2021
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Koios Beverage Corp. (CSE: KBEV; OTC: KBEVF) (the “Company” or “Koios”) is pleased to announce that beginning on Monday, March 22, 2021, Koios’ entire line of canned beverage products will be sold at all locations of Metropolitan Market, an urban format supermarket chain in the Seattle-Tacoma area of Washington State. In Q1 2021, the Company announced multiple placements of its beverage products with regional grocers in markets on the west coast of the United States including Market of Choice in Oregon Jensen’s in Southern California and major natural grocery chain Sprouts Farmers Market which has a substantial west coast presence with over one third of its locations (360+ stores across 23 states) in California as well as Washington State 1 . The Company has also recently announced other developments relating to its expansion efforts being undertaken in 2021 such as an in-house beverage canning facility and distribution agreements with regional and national wholesale partners.