WeedMD Inc. Granted Management Cease Trade Order
Monday, May 3, 2021, 3:46 PM ET
WeedMD Inc. Granted Management Cease Trade Order
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TORONTO, May 03, 2021 (GLOBE NEWSWIRE) -- WeedMD Inc. (TSX-V:WMD) (OTCQX:WDDMF) (FSE:4WE) ("WeedMD" or the "Company"), a federally licensed producer and distributor of medical-grade cannabis confirmed today that further to its news release dated April 21, 2021, the Company's principal regulator, the Ontario Securities Commission (the "OSC") granted a management cease trade order (the "MCTO") on May 3, 2021, under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203"). Pursuant to the MCTO, the Company's officers and directors, as well as former CFO, Lincoln Greenidge, may not trade in securities of the Company until such time as the Company files its annual audited financial statements, annual management's discussion and analysis and related certifications for the year ended December 31, 2020 (collectively, the "Required Documents"), and the Executive Director of the OSC revokes the MCTO. The MCTO does not affect the ability of other shareholders to trade their securities.
As previously announced, the delay in the completion of the Required Documents is primarily due to certain personnel changes in the Company's finance department, including the resignation of the Company's former Chief Financial Officer, Lincoln Greenidge, tendered on April 13, 2021 and subsequent departure on April 30, 2021. The Company's newly appointed CFO, Beth Carreon is now in full control and maintains complete oversight of the finance department. She is working with WeedMD's appointed auditors to complete the filings of the Required Documents as soon as possible. This delay prevented the Company's officers and directors from preparing WeedMD's regulatory filings in a timely manner.
The Company's Board of Directors and management confirm that they are working expeditiously to file the Required Documents and expect to do so on or about May 28, 2021.
Bi-Weekly Status Report
The Company confirms that since the date of its submission for the MCTO on April 16, 2021 (the "MCTO Notice"): (i) there has been no material change to the information set out in the MCTO Notice that has not been generally disclosed; (ii) there has been no failure by the Company in fulfilling its stated intentions with respect to satisfying the provisions of the alternative information guidelines set out in NP 12-203; (iii) there has not been any other specified default by the Company under NP 12-203; and (iv) there is no other material information concerning the affairs of the Company that has not been generally disclosed.
Until the Required Documents have been filed, the Company intends to continue to satisfy the provisions of the alternative information guidelines specified in NP 12-203 by issuing bi-weekly default status reports in the form of further press releases for so long as the Company remains in default of the financial statement filing requirement. In the event that the Company does not file the Required Documents in a timely manner, the Canadian Securities Regulatory Authorities may impose an issuer cease trade order on the outstanding securities of the Company.