(TheNewswire)
TheNewswire - March 2, 2023 - Molecule HoldingsInc. (CSE:MLCL) (“ Molecule ” or the “ Company ”), a Canadiancraft-focused cannabis beverage production company, today announcesthat, further to its press release on February 10, 2023 and February28, 2023 (together, the “ DefaultAnnouncement ”), on March 1, 2023, the Ontario SecuritiesCommission (the “ OSC ”), asthe Company’s principal regulator, granted the Company’spreviously-announced application for the issue of a management ceasetrade order (the “ MCTO ”)under National Policy 12-203 – Management Cease Trade Orders (“ NP 12-203 ”).
The Company has been delayed in filing its annual financial statements(the “ 2022 Annual FinancialStatements ”), management’s discussion and analysis andrelated officer certifications for the financial year ended October31, 2022 (collectively, the “ AnnualFilings ”). As previously announced, the Company applied forthe MCTO as a result of the Company having had unpaid audit fees withrespect to the audit for the financial year ended October 31, 2021.The unpaid amounts with respect to the previous year’s audit feesdelayed the beginning of the audit process for the 2022 AnnualFinancial Statements, however, the unpaid amounts have since been paidand the audit process for the 2022 Annual Financial Statements has nowbegun with the Company’s auditors.
The Company is working closely with its auditor and expects to filethe Annual Filings as soon as possible, and in any event no later thanApril 28, 2023 (the “ FilingDeadline ”).
During the MCTO, investors will continue to be able to trade in common shares in the capital of the Company (the“ Common Shares ”) listed onthe Canadian Securities Exchange (the “ CSE ”). However, the Company’sChief Executive Officer and Chief Financial Officer and such otherdirectors, officers and persons as determined by the applicable regulatory authorities will not be able to trade in the Common Shares, nor will the Company be able to,directly or indirectly, issue securities to or acquire securities froman insider or employee of the Company until such time as the Annual Filings and all continuous disclosure requirements have been filed by the Company, and the MCTO has beenlifted.
Until the Company files its Annual Filings, it intends to comply withthe alternative information guidelines set out in NP 12-203,including the issuance of bi-weekly default status reports in the formof news releases, for as long as the Company remains in default.
The Company confirms as of the date of this news release that therehave been no changes to the information contained in the DefaultAnnouncement, there is no insolvency proceeding against it, and othermaterial information concerning the affairs of the Company that hasnot been generally disclosed. As required under Canadian securitieslaws, the Company will provide a further update on or about March 16, 2023 .
For further information, pleasecontact:
André Audet, Chairman and Co-Founder
Phone: 1 (888) 665-2853 x101
Email: andre@molecule.ca
About Molecule Holdings Inc.
Molecule is a licensed producer dedicated to creating cannabis-infusedbeverages for the Canadian market. We produce leading, top-qualitydrinks to provide opportunity and choice to people seeking aconvenient and social way to consume cannabis. Molecule is focused ongrowing both our portfolio, and the overall cannabis beverage market.We want to ensure people have the best opportunity to find exactly theproduct and experience they thirst for.
Neither the CSE nor its regulationservices provider accepts responsibility for the adequacy or accuracyof this press release.
Cautionary Note RegardingForward-Looking Statements
This press release containsstatements that constitute “forward-looking information”(“forward-looking information”) within the meaning of theapplicable Canadian securities legislation. All statements, other thanstatements of historical fact, are forward-looking information and arebased on expectations, estimates and projections as at the date ofthis news release. Any statement that discusses predictions,expectations, beliefs, plans, projections, objectives, assumptions,future events or performance (often but not always using phrases suchas “expects”, or “does not expect”, “is expected”,“anticipates” or “does not anticipate”, “plans”,“budget”, “scheduled”, “forecasts”, “estimates”,“believes” or “intends” or variations of such words andphrases or stating that certain actions, events or results “may”or “could”, “would”, “might” or “will” be taken tooccur or be achieved) are not statements of historical fact and may beforward-looking information. In disclosing the forward-lookinginformation contained in this press release, the Company has madecertain assumptions. Forward-looking information in this press releaseinclude statements related to the Company’s ability to complete theaudit and file the Annual Filings; the timing for completion andfiling of the Annual Filings, if at all; the Company’s ability tocomply with the provisions set out in NP 12-203; and the Company’sability to produce cannabis-infused beverages for the Canadianbeverage market to provide opportunities for people to consumecannabis. In disclosing the forward-looking information contained inthis press release, the Company has made certain assumptions.
The Company’s actual results coulddiffer materially from those anticipated in this forward-lookinginformation as a result of regulatory decisions, competitive factorsin the industries in which the Company operates, prevailing economicconditions, and other factors, many of which are beyond the control ofthe Company. Specifically, there are risks that: the Annual Filingsmay not be completed on the terms and timing described herein or atall; or the Company does not comply with the provisions set out in NP12-203. Additional risk factors can also be found in the Company’scurrent MD&A, which has been filed on SEDAR and can be accessed atwww.sedar.com.
The Company believes that theexpectations reflected in the forward-looking information arereasonable, but no assurance can be given that these expectations willprove to be correct and such forward-looking information should not beunduly relied upon. Any forward-looking information contained in thisnews release represents the Company’s expectations as of the datehereof and is subject to change after such date. The Company disclaimsany intention or obligation to update or revise any forward-lookinginformation whether as a result of new information, future events orotherwise, except as required by applicable securitieslegislation.
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