Naturally Splendid Enterprises Ltd. ("Naturally Splendid" or "NSE" or the "Company" ) (FRA:50N)(TSX-V:NSP)(OTC PINK:NSPDF) announces that it has made an application to the British Columbia and Alberta Securities Commission to approve a temporary management cease trade order ("MCTO") under National Policy 12-203 Cease Trade Orders for Continuous Disclosure Defaults ("NP 12-203"), which, if granted, will prohibit trading securities by the Company by the Chief Executive Officer and Chief Financial Officer of the Corporation until such time as the Required Filings (defined below) and all continuous disclosure requirements have been filed by the Company, and the MCTO has been lifted. During the period in which the MCTO is effective, the general public, who are not insiders of the Company, will continue to be able to trade in the Company's listed securities. The MCTO application has been made but there is not guarantee or assurance that the MCTO will be granted
The Company expects it will be unable to file its audited financial statements for the year ended December 31, 2021, and the management's discussion and analysis and related Chief Executive Officer and Chief Financial Officer certificates for this period (collectively, the "Required Filings") before the May 2, 2022 filing deadline (the "Filing Deadline").
The Company's failure to file its Required Filings by the Filing Deadline is due to a combination of factors including the recent resignation of the Company's former auditor Smythe LLP on December 13, 2021.
The Company anticipates that it will be in a position to remedy the default by filing the Required Filings on or about June 30, 2022. The MCTO will be in effect until the Required Filings are filed.
The Company intends to satisfy the provision of the alternative information guidelines set out in sections 9 and 10 of NP-12-203 as long as the Required Filings are outstanding.
Naturally Splendid CFO Mr. George Ragogna states, "It has been a progressive first forty-five (45) days as CFO of Naturally Splendid. In my first month and a half as CFO, I have completed reviews of the financial reporting systems, ongoing operations, as well as the capital build-out required to accommodate the manufacturing of our extensive range of plant-based entrees. Having completed initial reviews, senior management will be implementing strategic plans to optimize shareholder value."
The Company continues to advance our plant-based manufacturing and distribution business by recently extending our agreement with Flexitarian Foods Pty. Ltd., a division of Australia's largest plant-based food manufacturer, from being the exclusive Canadian manufacturer and distributor, to now include exclusive rights to the Plantein trademark in Canada (News Release April 12, 2022). The Plantein trademark, initially established in Australia, is now being exported to regions of the European Union (EU), the United Arab Emirates (UAE) and now across Canada.
Naturally Splendid CFO Mr. George Ragogna reports, "While our core business strategy continues to be aimed towards manufacturing plant-based entrees, including the build-out of new manufacturing and packaging lines, it is fiscally prudent to conduct a review and analysis of existing operations. I am pleased to report that with the involvement of senior management, we have identified significant savings in monthly overheads including a reduction in staffing levels, reduction in certain services as well as implementation of efficiency measures operationally. We will continue to strive to be prudent with our overheads and capital spends while building out our plant-based entrée business and look forward to providing timely updates".
About Naturally Splendid Enterprises Ltd.
Naturally Splendid is a plant-based food manufacturing and technology company that produces and distributes nutritious and delicious plant-based commodity products.
Founded in 2010, the Company operates a Safe Quality Food Level 2 certified food manufacturing facility located just outside Vancouver, BC in Canada, focusing on producing an extensive range of plant-based entrees.
Naturally Splendid has an exclusive 10-year manufacturing and distribution agreement for Canada with a division of Australia's largest plant-based food manufacturer, Flexitarian Foods Pty. Ltd.
In addition to producing the Company's own branded products, Naturally Splendid provides contract manufacturing services and private labeling for a variety of nutritional plant-based food products destined for multiple distribution channels.
The Company has established healthy, functional foods under brands such as Natera Sport™, Natera Hemp Foods™, CHII™, Elevate Me™ and Woods Wild Bar™. The Company launched Natera Plant Based Foods, a line of delicious plant-based meat alternatives for the rapidly growing plant-based market segment.
Naturally Splendid maintains a relationship Plasm Pharmaceutical, a company that has been approved for conducting a phase 2 clinical trial approved by Health Canada for the treatment of COVID-19.
NSE has also developed proprietary technologies for the extraction of healthy omega 3 and 6 oils, as well as a protein concentrate from hemp.
On Behalf of the Board of Directors
Mr. J. Craig Goodwin
Naturally Splendid Enterprises Ltd.
(NSP - TSX Venture; NSPDF - OTC PINK; 50N Frankfurt)
#108-19100 Airport Way
Pitt Meadows, BC, V3Y 0E2
Office: (604) 465-0548
Fax: (604) 465-1128
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. Naturally Splendid cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond Naturally Splendid's control including, Naturally Splendid's ability to compete with large food and beverage companies; sales of any potential products developed will be profitable; sales of shelled hemp seed will continue at existing rates or increase; customers will complete on sales contracts; and the risk that any of the potential applications may not receive all required regulatory or legal approval. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, Naturally Splendid undertakes no obligation to publicly update or revise forward-looking information.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
SOURCE:Naturally Splendid Enterprises Ltd.
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