[DATELINE]Radient Technologies Inc. (TSXV: RTI) ("Radient" or the "Company") provides a business update and a default status report in accordance with the alternative information guidelines set out in National Policy 12-203 - Management Cease Trade Orders ("NP 12-203").
Sales of the Company's hydrocarbon concentrate and cannabis pre-roll products continue to improve and the Company is receiving repeat-customer orders and positive product reviews. In the period following the Company's June 27, 2022 announcement of hydrocarbon commercial production and pre-roll sales growth, the Company has shipped over $1 million of hydrocarbon products and pre-roll products to its customers. The Company expects sales of these products to continue but will require sufficient working capital to facilitate this growth. The Company is in discussions with its lenders and potential investors regarding its immediate working capital requirements.
MCTO Status Update
On July 26, 2022, the Company announced that it applied for a management cease trade order ("MCTO") with the applicable securities regulatory authorities in Canada on the basis that the Company would be unable to file its audited annual financial statements for its financial year ended March 31, 2022 and the related Management's Discussion and Analysis and Certifications by the Chief Executive Officer and Chief Financial Officer (collectively, the "Required Filings") by the applicable filing deadlines (the "Original Announcement") due to unexpected delays the Company's auditor is experiencing in connection with its audit of Tunaaaa Xtracts Inc. ("Tunaaaa"), a company acquired by the Company in early 2022.
The MCTO was issued on August 3, 2022 and prohibits trading in securities of the Company, whether direct or indirect, by the Company's Chief Executive Officer and Chief Financial Officer. The issuance of the MCTO generally does not affect the ability of persons who have not been directors, officers or insiders of the Company to trade in their securities.
The Company's management continues to work diligently to facilitate the completion by the auditor of its audit of Tunaaaa so that the Company can complete the Required Filings as soon as possible. Management now anticipates, but cannot assure, that the Required Filings will be filed by September 29, 2022.
Other than as set out herein, the Company confirms that (a) there have been no changes to the information contained in the Original Announcement that would reasonably be expected to be material to an investor, (b) there has been no failure by the Company in fulfilling its stated intentions with respect to satisfying the provisions of the alternative information guidelines under NP 12-203, (c) there has not been any other specific default by the Company under NP 12-203, and (d) there is no other material information concerning the affairs of the Company that has not been generally disclosed.
The Company confirms it will continue to satisfy the provisions of the alternative information guidelines set out in NP 12-203 so long as it remains in default of the requirement to file the Required Filings.
Radient is a commercial manufacturer of diverse, novel and high-quality cannabis extracts and packaged products. Radient develops specialty products and ingredients that contain a broad range of cannabinoid and terpene profiles while meeting the highest standards of quality and safety. Radient is focused on innovation with expertise in formulations and technologies offering unique solutions in the cannabis and wellness space. RadientInc.com
For more information, please contact:
Harry Kaura, CEO & Director
Ph: 780 465 1318
Cautionary Note Regarding Forward-Looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding sales of hydrocarbon concentrate and cannabis pre-roll products, the duration of the MCTO, and the Company's ability to make the Required Filings prior to September 29, 2022. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Radient, as the case may be, to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; risks associated with operation in the cannabis sector; and other risks inherent in the cannabis industry. Although Radient has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Radient does not undertake to update any forward-looking information, except in accordance with applicable laws.
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