CoinAnalyst Corp. (CSE: COYX) (FSE: 1EO) (the "Corporation") provides this default announcement indicating the Corporation's anticipated failure to file its annual financial statements for the year ended December 31, 2021, related management discussion and analysis and certifications (collectively, the "Financial Statements") before the prescribed filing deadlines.
The reasons for the default in filing of the Financial Statements prior to the required date is due to a combination of factors, including that the Corporation became aware that prior auditor will not able to take on mandate late following which the Corporation initiated immediate search for a new auditor, which took longer than expected as auditors are increasingly hesitant to take on crypto mandates, the hiring and onboarding of new auditor, and delays in audit of the new auditor as it needed to undergo additional procedures.
Considering the foregoing factors, it is the Corporation's submission that the present circumstances warrant the imposition of a management cease trade order ("Management CTO"), rather than a cease trade order ("CTO"), as contemplated under National Policy 12-203 - Cease Trade Order Orders for Continuous Disclosure Defaults ("NP 12-203"). The Corporation has applied for a Management CTO, however there is no assurance that it will be granted.
The Corporation's Financial Statements are required to be filed within 60 days of the prescribed deadline which is July 2, 2022 ("Extended Deadline"). The Corporation's failure to file such within this period may result in the securities commissions or regulators imposing an Issuer Cease Trade Order.
The Corporation has confirmed that it intends to satisfy the provisions of the alternative information guidelines described in NP 12-203 for so long as it remains in default for failure to file the Financial Statements.
The Corporation proposes to remedy the default by diligently working with its auditor to ensure the filing of its Financial Statements by the prescribed timeline herein. The timeframe is ultimately dependent upon the auditor's response and delivery, which the Corporation was expecting to be completed by May 2, 2022, but is now expecting to complete this by the Extended Deadline.
Further, the Corporation confirms that it intends to satisfy the requirements to provide Default Status Reports as prescribed by NP 12-203 so long as it remains in default of its requirements to file its Financial Statements within the prescribed period of time. Should the Corporation fail to file the appropriate Default Status Reports as prescribed by NP 12-203, the securities commissions or regulators may, as a result of such failure, impose an Issuer Cease Trade Order.
The Corporation confirms that it is not subject to any insolvency proceeding as of the date hereof. The Corporation also confirms that there is no other material information concerning the affairs of the Corporation that have not been generally disclosed as of the date herein.
For more information, please contact:
Chief Operating Officer and Director
Phone: + 49 69 2648485 - 20
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/121783