I hope you are having a good summer so far.
Further to my commitment to ongoing communication, there has been a lot going on over the summer for our new leadership team so I thought it would be a good time for an update.
As described at our Vancouver shareholder meeting in June, our new team has been working hard to get the company’s financial house in order, conclude outstanding regulatory issues and refocus our efforts toward the expanding US marketplace.
While there is much more work to do, we are making progress on a number of fronts:
Since becoming your CEO in April, I have spent a significant amount of time reviewing and assessing our company’s US operations. As described during my presentation at June’s meeting, the Nevada and Oregon operations are a particular strength and will be key to our future success. That is why I was pleased to announce two important appointments in July:
- Annabeth Rose is joining the new Management Team to lead our company’s Oregon operations. Annabeth brings 15 years of laboratory experience with expertise in building and leading teams, and establishing sophisticated quality assurance systems. She has over five years in the cannabis industry and was Vice President of the Oregon Cannabis Laboratory Association.
- David Kennedy is joining the new management team to lead our company’s Nevada operations. With 16 years of plant management experience with ConAgra, David brings 28 years of manufacturing management experience and extensive knowledge in new product launches, key certification and licensing. Most recently, David has worked in the Nevada cannabis industry.
Further to previous notices, our Nevada operations are accelerating now that we have successfully resolved the outstanding regulatory issues that our new team inherited in April.
Similarly, in Canada, the regulatory situation our new leadership team inherited in April is behind us. As stated in my previous response to Health Canada’s earlier announcement, all our physical Canadian assets have been sold and we are planning to reinvest proceeds of this divestiture, primarily in the U.S. focused on varied portfolio of edible and CBD products.
Alongside our work to accelerate US operations and wind down outstanding regulatory issues, the company has been working tirelessly to resolve the various financial and contractual challenges our new leadership team inherited in April. Thanks to the excellent work of our Chief Financial Officer Mark Lotz we are continuing to make progress. Completing the delayed financial statements for fiscal 2018 will be a key milestone is emerging from CCAA and returning the shares to trading, hopefully later this year.
As stated during our shareholder meeting in June, many of the financial challenges we have been confronting are very complex and cross multiple jurisdictions. Through our collaborative efforts, we have secured a court approved extension for Ascent to continue work on resolving key CCAA issues. We have an extension to continue in the CCAA process until September 27th.
On June 4th, we published a question and answer document that responded to some of the most common inquiries I have received since becoming CEO in late-April. The question I continue to receive the most is in regards to the company’s plan to resume trading.
As stated previously, while I wish I could give an exact date, it would be impossible today because there are a variety of factors in play that are not completely within our control.
From our point of view, we want to start trading as soon as possible, but we also understand that with the situation the company has been left in, timing depends largely on how successful we are over the next several weeks in resolving the outstanding accounts and financial reviews.
Responding to questions like these are one of the reasons I have worked to adopt a more proactive communication process – so you and our other partners can be more actively engaged and informed.
Please keep the feedback coming! It is greatly appreciated. Watch for more progress reports over the summer that will focus on important issues and current events – including the resumption of trading.
Ascent Industries Corp.
CEO & Director