(TheNewswire)
Vancouver, British Columbia - TheNewswire – Gnomestar Craft Inc. (CSE:GNOM ) (CNSX:GNOM.CM) ( FWB:1JV1) (" Gnomestar " orthe " Company ") announced today that, as aresult of delays in completion of its audit, the Company has not filedits annual fina o ncialstatements and accompanying management's discussion and analysis forthe fiscal year ended March 31, 2021 (the " Annual Filings ")by July 29, 2021, being the date that such filings are due underapplicable Canadian securities law requirements. The Company has applied for, and has been granted, amanagement cease trade order (the " MCTO ") by theBritish Columbia Securities Commission.
The reason for the default is that there has been adelay in the interpretation of IFRS treatement for a subset of itsinventory that remains unsold but in the hands of third partyre-sellers at the period end. The underlying contract changedmaterially supsequnt to the period end and its auditors, Dale MathesonCarr-Hilton Labonte LLP, are researching the appropriate treatment butare undable to complete the audit in a timely manner.
The Company currently expects to file the AnnualFilings on or before August 20, 2021 and will issue a news releaseannouncing completion of such filings at such time. Until the Companyfiles the Annual Filings, it will comply with the alternativeinformation guidelines set out in National Policy 12-203 – Management Cease TradeOrders for issuers who have failed to complywith a specified continuous disclosure requirement within the timesprescribed by applicable securities laws. The guidelines, among otherthings, require the Company to issue bi-weekly default status reportsby way of a news release so long as the Annual Filings have not beenfiled.
During the MCTO, the general investing public willcontinue to be able to trade in the Company's listed common shares.However, the Company's interim chief executive officer and chieffinancial officer will not be able to trade in the Company'sshares.
About Gnomestar Craft Inc.
About Gnomestar Craft Inc.
Gnomestar Craft Inc. (CSE: GNOM) is a Craft cannabiscompany, producing the highest quality hand trimmed proprietarycultivars grown in its 12,000 sqft indoor Delta, BC. Facility.
For further information pleasecontact:
Mark Lotz, Chief Executive Officer and CFO
Gnomestar Craft Inc.
Email: mark@vodis.ca
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