BOULDER, Colorado, April 18, 2017 /PRNewswire/ --
Surna Inc. (SRNA) announced the board of directors is adjusting its membership to consist of three independent and two executive directors.
The board has begun its search for an independent financial expert who will serve as the Audit Committee Chair. Effective April 28, 2017, Stephen Keen will resign as both Director of the Board and Director of Technology for Surna. As announced in October 2016, Surna has planned for Mr. Keen's departure coinciding with his increasing leadership of Sterling Pharms, his new cultivation entity that has agreed to provide efficiency and efficacy testing and act as a reference site for Surna's prospective customers. Surna and Sterling Pharms are unaffiliated entities.
Surna's President and Chief Executive Officer Trent Doucet stated, "We thank Stephen for his invaluable contribution to Surna's technology development and congratulate him on following his passion. He is a cannabis cultivation expert, and we are pleased to have formalized our arrangement to work with him and his new venture. Sterling Pharms will install and monitor our water-cooled reflectors, climate control systems, and beta automation and control platform. In addition, Sterling Pharms plans to test Surna products, provide energy efficiency and efficacy data and offer tours to Surna's potential customers. We believe this increased ability to demonstrate and verify our solutions will help us drive long-term sales growth."
According to Stephen and Brandy Keen's Form 4 filing with the SEC, they continue to hold 20,284,669 shares of Surna's common stock. Additionally, the Keens cancelled their 10b5-1 stock plan. Brandy Keen continues to serve on the Board of Directors and as Surna's Vice President of Sales.
Surna Inc. ( http://www.surna.com) develops innovative technologies and products that monitor, control and or address the energy and resource intensive nature of indoor cannabis cultivation. Currently, the company's revenue stream is based on its main product offerings - supplying industrial technology and products to commercial indoor cannabis grow facilities.
Headquartered in Boulder, CO, Surna's diverse engineering team is tasked with creating novel energy and resource efficient solutions, including the company's signature water-cooled climate control platform. The company's engineers continuously seek to create technology that solves the highly specific demands of the cannabis industry for temperature, humidity, light and process control.
Surna's goal is to provide intelligent solutions to improve the quality, the control and the overall yield and efficiency of CEA. Though its clients do, the company neither produces nor sells cannabis.
Forward Looking Statements
This press release contains forward-looking statements regarding the Company's future business expectations, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors including Surna's ability to monetize service components, Surna's support of premium prices for existing products, commercialization of research and development efforts and continued expansion of legal cannabis markets. Other risks and uncertainties include, among others, risks related to new products, services, and technologies, government regulation and taxation, and fraud. In addition, the current global economic climate amplifies many of these risks. More information about factors that potentially could affect Surna's financial results is included in Surna's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and subsequent filings. The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company disclaims any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Statement about Cannabis Markets
The use, possession, cultivation, and distribution of cannabis are prohibited by federal law. This includes medical and recreational cannabis. Although certain states have legalized medical and recreational cannabis, companies and individuals involved in the sector are still at risk of being prosecuted by federal authorities. Further, the landscape in the cannabis industry changes rapidly. What was the law last week is not the law today and what is the law today may not be the law next week. This means that at any time the city, county, or state where cannabis is permitted can change the current laws and/or the federal government can supersede those laws and take prosecutorial action. Given the uncertain legal nature of the cannabis industry, it is imperative that investors understand that the cannabis industry is a high-risk investment. A change in the current laws or enforcement policy can negatively affect the status and operation of our business; require additional fees, stricter operational guidelines and unanticipated shut-downs.
Kirsten Chapman/Becky Herrick
LHA Investor Relations