SAN DIEGO, Dec. 15, 2022 (GLOBE NEWSWIRE) -- Salona Global Medical Device Corporation (“SalonaGlobal”, “SGMD”, or the “Company”) (TSXV:SGMD) announced today its intention to focus on listing on the Nasdaq Capital Market (“Nasdaq”) in 2023. As a first step, Salona Global has changed its fiscal year end to December 31, 2022 with the aim of preparing for a U.S. listing, and has withdrawn the recently announced debenture offering in Canada. Salona will move forward with the process of closing the recently announced acquisition of assets of Biodex Medical Systems, Inc. without participation from the Canadian capital markets.
“I believe our company has sufficient size, growth and scope to start considering a listing on Nasdaq in the U.S. in 2023,” said Salona Global Executive Chairman Les Cross. “To that end, we have elected to change our year-end date to December 31, 2022 as a first step to list on the U.S. capital markets. Given our current valuation, I think we will find a stronger reception in the U.S. capital markets that better understands our industry, management team and prospects. With our achievements in the past 18 months driving revenue growth and gross profit, we plan to leverage pre-existing relationships in the U.S. capital markets we have to attract fundamental, long-term investors. Our financial advisors have a history of working for issuers that have graduated to Nasdaq from the TSXV and they also believe the time is right for us to make the move.”
“I am appreciative of the support we have received from the Canadian capital markets as we built our company,” concluded Mr. Cross. “I am gratified that we were able to build Salona Global with the help of our Canadian partners to a point we can reward them by pursuing a potential listing on Nasdaq and a valuation consistent with our peers. But going forward, I believe the best returns for all our stakeholders will be achieved by moving to a more fundamental capital market for a company like ours.”
“As we look to engage the U.S. capital market participants, we continue our efforts in driving the five engines of revenue and profit growth bringing more momentum to our fast-growing company,” said Salona Global Chief Executive Officer, Luke Faulstick. “2023 looks promising for our plans to close acquisitions, grow organic sales, deliver products in development, add more in-licensing product IP, and execute additional sales distribution agreements.”
For the updates from Salona Global delivered directly to your inbox, signup at http://tinyurl.com/salonaglobalnewsletter.
For more information please contact:
Luke Faulstick
Chief Executive Officer Tel: 1 (800) 760-6826
Email: Info@Salonaglobal.com
AdditionalInformation
There can be no assurance that any acquisition (including the acquisition contemplated herein andthetargetsSalonaGlobaliscurrentlynegotiatingwithinitspipeline)will becompletedorthe timingofanyacquisitions.Completionofanytransactionwillbesubjectto,amongstotherthings, negotiation and execution of definitive agreements, applicable director, shareholder and regulatory approvals.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
Certainstatementscontainedinthispressreleaseconstitute"forward-lookinginformation"within the meaning of the Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. These statements can be identified by the use of forward-looking terminology such as “expects” “believes”, “estimates”, "may", "would", "could", "should", "potential", "will", "seek", "intend", "plan", and"anticipate",and similar expressions asthey relate totheCompany, including:theCompanyclosingtheacquisitiondisclosedherein; the timing and completion of a proposed listing on NASDAQ; the results/benefits of a Nasdaq listing; and the Company closing acquisitions, growing organic sales, delivering products in development, adding more in-licensing product IP, and executing additional sales distribution agreements in 2023.Allstatementsotherthanstatements of historical fact may be forward-looking information. Such statements reflect the Company's currentviewsandintentionswithrespecttofutureevents,andcurrentinformationavailabletothe Company,andaresubjecttocertainrisks,uncertaintiesandassumptions,including:theAcquired Assetsachievingresultsatleastasgoodastheirhistoricalperformance;thefinancialinformation regarding the Acquired Assets being verified when included in the Company’s consolidated financial statements prepared in accordance with GAAP; the Company receiving all necessary approvalsfortheacquisitions;andallconditionstoclosingtheacquisitionoftheAcquiredAssets being satisfied or waived. Salona Global cautions that theforward-lookingstatements contained herein are qualified by important factors that could cause actual results to differ materially from those reflected by such statements. Such factors include but are not limited to the general businessandeconomicconditionsintheregionsinwhichSalonaGlobaloperates;SalonaGlobal notreceivingthenecessaryapprovalstocloseanacquisition;theabilityofSalonaGlobalto executeonkeypriorities,includingthesuccessfulcompletionofacquisitions,businessretention, and strategic plans and to attract, develop and retain key executives; difficulty integrating newly acquired businesses; the ability to implement business strategies and pursue business opportunities; disruptions in or attacks (including cyber-attacks) on Salona Global’s information technology,internet,networkaccessorothervoiceordatacommunicationssystemsorservices; the evolution of various types of fraud or other criminal behavior to which Salona Global is exposed;thefailureofthirdpartiestocomplywiththeirobligationstoSalonaGlobaloritsaffiliates; the impact of new and changes to, or application of, current laws and regulations; granting of permits and licenses in a highly regulated business; the overall difficult litigation environment, including in the United States; increased competition; changes in foreign currency rates; increasedfundingcostsandmarketvolatilityduetomarketilliquidityandcompetitionforfunding; the availability of funds and resources to pursue operations; critical accounting estimates and changes toaccountingstandards,policies,and methodsusedby SalonaGlobal;theoccurrence of natural and unnatural catastrophic events and claims resulting from such events; and risks relatedtoCOVID-19including variousrecommendations,ordersandmeasuresof governmental authoritiestotrytolimitthepandemic,includingtravelrestrictions,borderclosures,non-essential business closures, quarantines, self-isolations, shelters-in-place and social distancing, disruptions to markets, economic activity, financing, supply chains and sales channels, and a deteriorationofgeneraleconomicconditionsincludingapossiblenationalorglobalrecession;as well as those risk factors discussed or referred to in Salona Global’s disclosure documents filed withUnitedStatesSecuritiesandExchangeCommissionandavailableatwww.sec.gov,andwith the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com. Should any factor affect Salona Global in an unexpected manner, or should assumptions underlying the forward-looking information prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking information is expressly qualified in its entirety by this cautionary statement. Moreover, Salona Globaldoesnotassumeresponsibilityfortheaccuracyorcompleteness ofsuchforward-looking information.Theforward-lookinginformationincludedinthispressreleaseismadeasofthedate of thispressreleaseandthe Company undertakesno obligation to publicly update or reviseany forward-looking information, other than as required by applicable law.
