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Radient Technologies Inc. Reports First Quarter 2019 Financial Results and Provides Corporate Update
EDMONTON, Alberta, Aug. 28, 2018 (GLOBE NEWSWIRE) -- Radient Technologies Inc. (“Radient” or the “Company”) (TSX Venture: RTI) is pleased to announce financial results for the first fiscal quarter ended June 30, 2018 and provide a corporate update. The Financial statements are available on www.SEDAR.com.
The balance sheet of the Company remains strong with a cash balance at June 30, 2018 of approximately $17.6 million, up from $9.9 million during the same period in the previous year. The working capital at June 30, 2018 was $17.4 million. Subsequent to the end of the first fiscal quarter, the Company closed equity financing for aggregate gross proceeds of $34.2 million on July 31, 2018 to add to its existing cash position.
The Company believes it has sufficient capital to execute on its strategic partnership with Aurora Cannabis, which includes scaling up its current manufacturing facility and potential expansion in the newly acquired adjacent properties. The Company will be using its proprietary, industrial-scale extraction platform to process cannabinoid extracts from cannabis and hemp while continuing to make investments in infrastructure, technology and expertise that maintain its rigorous standards for quality, yield, and throughput.
With a strengthened balance sheet, the Company is also well positioned to capitalize on opportunities in the European market. To this end, the Company has begun initial development work for a European extraction facility including site selection, preliminary design, and permitting. Furthermore, the Company continues to evaluate strategic partnerships or acquisitions that could increase shareholder value and diversify the Company’s operations, both in the Cannabis and the Health and Wellness segments.
The Company has submitted its Confirmation of Readiness (“COR”) package to Health Canada to demonstrate its compliance with the ACMPR security requirements. Upon successful completion of the review, the initial ACMPR licence will be granted, which the Company expects to receive prior to October 17, 2018. Upon receipt of the initial ACMPR licence, Radient will be permitted to begin extracting cannabinoids from cannabis biomass at its recently expanded Manufacturing Facility located in Edmonton, Alberta.
Radient has completed the expansion of its Manufacturing Facility located at 4035 101 St. in Edmonton, Alberta. Security detailing and other requirements relating to health & safety codes have been accounted for and are now complete. The installation of production equipment as well as related qualification and process validation are scheduled to occur through the remainder of calendar 2018.
Real Estate Expansion
During the first fiscal quarter, the Company closed real estate transactions relating to the Company’s manufacturing facility and adjacent lands in Edmonton Alberta. These acquisitions allow the Company to add significant extraction capacity as may be required by its partners including Aurora Cannabis Inc. which currently has approximately 570,000 kgs of funded cannabis cultivation capacity.
The Company received its Dealers Licence from Health Canada’s Office of Controlled substances for its research and development laboratory located at 8223 Roper Road in Edmonton in February 2018. The Company has now submitted its Completion of Construction notification to Health Canada, pertaining to its previous application for a Dealer’s Licence for its Manufacturing Facility located at 4035 101 St. in Edmonton. The Office of Controlled Substances will subsequently schedule an inspection of the facility.
Industrial-scale Nicotine Extraction
During June 2018, the Company completed a submission to the US Food and Drug Administration (FDA) to consider the Company’s unique MAP technology as a method to reduce nicotine levels in tobacco. This followed the Company’s filing of a provisional patent application with the U.S Patent and Trademark Office for innovation related to methods to obtain nicotine depleted tobacco, without altering certain desirable properties of tobacco. The Company will be attending the Global Tobacco and Nicotine Forum in London, UK, September 11-14th, 2018 to meet with leaders in the tobacco industry.
Radient extracts natural compounds from a range of biological materials using microwave assisted processing (“MAP™”), a patented technology platform which provides superior customer outcomes in terms of ingredient purity, yield, and cost. From its 23,000 square-foot manufacturing plant in Edmonton, Alberta, Radient serves market leaders in industries that include pharmaceutical, food, beverage, natural health, personal care and cannabis markets. Visit www.radientinc.com for more information.
SOURCE: Radient Technologies Inc.
Denis Taschuk, Chief Executive Officer, firstname.lastname@example.org; (780) 465-1318
Prakash Hariharan, Chief Financial Officer, email@example.com; (780) 465-1318
Forward Looking Information:
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding the growth of the Company’s business operations; the Company’s ability to extract nicotine from tobacco, the Company’s financial results, the Company’s ability to complete the renovations and expansion of its facilities; the timing of receiving the ACMPR licence, the Company’s ability to close its previously announced financings and the Company’s future plans. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Radient, as the case may be, to be materially different from those expressed or implied by such forward-looking information. Although Radient has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Radient does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
NEITHER THE 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.