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Abattis Completes Year End Audit and Provides Corporate Update

VANCOUVER, British Columbia, Aug. 09, 2019 (GLOBE NEWSWIRE) -- Abattis Bioceuticals Corp (the “Company” or “Abattis”) (ATT.CN) (ATTBF) announces the filing of its annual financial statements for the year ended September 30, 2018 and is pleased to provide the following comprehensive update on recent developments related to Abattis since the trading of the Company’s common shares (each, a “Share”) was halted on the Canadian Securities Exchange (“CSE”) on February 4, 2019.

Filing of Financial Statements & Trading Halt

After a long process, the Company has finally filed its annual financial statements, the related management discussion and analysis and the certification of the annual filings for the year ended September 30, 2018 (the “Annual Filings”). The Company’s inability to file its annual financial statements for the year ended September 30, 2018 within the 90-day filing deadline required under National Instrument 51-102 – Continuous Disclosure Obligations, resulted in the Company being issued a cease trade order (the “CTO”) by the British Columbia Securities Commission pursuant to Multilateral Instrument 11-103 – Failure to File Cease Trade Orders in Multiple Jurisdictions and the Company’s Shares were halted from trading on the CSE on February 4, 2019.

Following issuance of the CTO and subsequent trading halt, the Company made numerous changes to management and the board of directors and searched for a new audit firm after the Company requested the resignation of its previous auditor Dale Matheson Carr-Hilton Labonte LLP, Chartered Professional Accountants (“DMCL”). Following DMCL’s acceptance to resign, the Company engaged NVS Chartered Accountants Professional Corporation (“NVS”) in June 2019 in order to complete the audit of the Company’s financials for the year ended September 30, 2018. NVS was ultimately selected due to their extensive experience with Canadian public companies and willingness to roll up their sleeves and perform a thorough audit in a timely manner. With the Annual Filings now complete, the Company intends to complete the filing of its interim financial statements for both its Q1 and Q2 by the end of next week.

The Company’s Shares continue to trade on the OTC Market under the trading symbol “ATTBF”.

Pro Natura Acquisition Completed and Expansion of Distributor Base

The Company is also pleased to announce that its wholly-owned subsidiary 1185277 B.C. Ltd. has successfully acquired European-based nutraceutical company, Pro Natura B.V. (“Pro Natura”), as previously disclosed in our news release dated May 21, 2019. The Company remains focused on creating shareholder value and organic growth of this business unit by implementing meaningful cost improvement strategies to optimize operations and boost revenues. The Company is also pleased to report that Pro Natura’s sales have also increased in each month since the company’s acquisition in May of 2019.

Digital Marketing and Notable Collaborations

Further to the relaunch of the Abattis Newsletter (the “Newsletter”), as previously announced on May 21, 2019, the Company has seen a substantial increase in its subscribers and has received positive feedback from its many shareholders and stakeholders. Specifically, the Company has received positive feedback for transparency in providing answers to commonly asked questions received via various communication channels. The Company’s latest Newsletter outlined key global marketing collaborations which the Company believes will drive awareness for Abattis in the capital markets community.

In addition, the Company recently sponsored a research study in partnership with the national not-for-profit organization, MITACS and the University of British Columbia (“UBC”). The study is being led by scientists from the Faculty of Land and Food Systems at UBC and the study’s initial findings have been reported in last month’s Newsletter. Future results, including the impacts of the study, will be delivered in upcoming Newsletters.

Comfort by Vergence

The Company is pleased to announce that it has launched its “cannabinoid without cannabis” nutraceutical, Comfort, through the Company’s wholly-owned subsidiary, Vergence Naturals Ltd. (“Vergence”). Comfort is a new proprietary nutraceutical developed by Vergence to activate the endocannabinoid system and nourish endorphin release in response to chronic pain. Comfort is manufactured in accordance with Canadian Natural Health Products (NHP) monographs and under the US Food and Drug Administration’s (FDA) Current Good Manufacturing Practice (CGMP) regulations. Initial orders for Comfort were predominantly from the Canadian and American markets.

Despite the current cease trade, the Company has been busy advancing optimization strategies to implement across all its divisions to increase long-term shareholder value. This has primarily focused on the integration of its recent acquisition of Pro Natura and the recent product launch of Comfort by Vergence.

“With the filing of the Company’s annual financial statements and the closing of the Pro Natura acquisition, management believes the Company is back on track to continue to its growth through strategic acquisitions and the implementation of long-term optimization plans throughout our various operating divisions,” stated President and CEO of Abattis, Robert Abenante.

“Our refreshed management team, refreshed board of directors, noteworthy partnerships and our revenue generating operating subsidiaries will help restore and accelerate growth as we prepare for trading to resume. We remain devoted to ensuring transparency in everything we do and will keep our stakeholders apprised of any news as we advance operations,” added Mr. Abenante.

About Abattis Bioceuticals Corp.

Abattis is a life sciences and biotechnology company which aggregates, integrates, and invests in cannabis technologies and biotechnology services for the legal cannabis industry developing in Canada. The Company has successfully developed and licensed natural health products, medicines, extractions, and ingredients for the biological, nutraceutical, bioceutical, and cosmetic markets. The Company is also seeking to acquire exclusive intellectual property rights to agricultural technologies to be employed in extraction and processing of botanical ingredients and compounds. The Company follows strict standard operating protocols and adheres to applicable laws of Canada and foreign jurisdictions.

ABATTIS BIOCEUTICALS CORP

Rob Abenante

Robert Abenante, President & CEO

For more information, please visit the Company’s website at: www.abattis.com.

For inquiries please contact (808) 650-3007 or at investors@abattis.com. Abattis’ investor relations are managed by Canada One Communications Inc. (“Canada One”).

About Canada One Communications Inc.

Canada One is a full-service Investor Relations and Marketing company that focuses on both private and public sectors within the Canadian markets. Canada One offers timely responses to all investor inquiries over several mediums and effective, thorough market awareness programs that are specifically designed to maximize exposure and bring value to shareholders. Canada One’s dedicated and experienced team strives to promote client information to the public and educate potential investors on the various developments of its clients. From basic phone-call and email investor correspondence, to full-scale comprehensive marketing packages which includes industry analysis, website development, corporate videos and other marketing programs, Canada One provides a full suite of services that are fully compliant with Canadian securities regulations. Canada One is driven by an uncompromising dedication to provide publicly listed and private companies with across-the-board investor relations and marketing solutions, directly translating these services into organic growth and increased market value of its valued clients.

FORWARD LOOKING INFORMATION

This press release contains forward-looking statements. The use of any of the words including but not exclusive to “anticipate”, “continue”, “estimate”, “expect”, “may”, “will”, “project”, “intends”, “should”, “believe” and similar expressions are intended to identify forward-looking statements. Forward-looking statements in this press release include, but are not limited to, statements regarding: (i) the filing of the Company’s interim financial statements for Q1 and Q2 by the end of next week; (ii) the resumption of trading of the Company’s Shares; (iii) the ability of the Company’s management team, board of directors, partnerships and operating subsidiaries to accelerate growth; (iv) the ability of the Newsletter to drive capital market awareness for the Company; and (v) the Company seeking to acquire exclusive intellectual property rights to agricultural technologies to be employed in extraction and processing of botanical ingredients and compounds. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or result expressed or implied by such forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Additional risk factors are included in the Company’s Management’s Discussion and Analysis, available under the Company’s profile on www.sedar.com. The forward-looking statements are made as at the date hereof and the Company disclaims any intent or obligation to publicly update any forward-looking statements, where because of new information, future events or results, or otherwise, except as required by applicable securities laws.

The CSE (operated by CNSX Markets Inc.) has neither approved nor disapproved of the contents of this news release.