Bhang Files Annual Financial Statements
Las Vegas, Nevada – June 1, 2022 - Bhang Inc. ("Bhang" or the "Company") (CSE: BHNG) (OTCQB: BHNGF), a global cannabis CPG brand company with an award-winning portfolio of products, is providing an update with respect to its previously announced management cease trade order (the “MCTO”) issued by the Ontario Securities Commission on May 3, 2022. The MCTO was issued in connection with the delay by the Company in filing its annual financial statements, management's discussion and analysis and related officer certifications for the financial year ended December 31, 2021 (collectively, the "Required Filings") before the prescribed deadline of May 2, 2022.
The MCTO was granted pursuant to Bhang's application made under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203"). The Company requested and received an extension relating to the Required Filings for delays primarily due to certain accounting transitions resulting from a change of auditor and moving its accounting functions internally.
On May 31, 2022, the Company filed the Required Filings. The Company expects to file its interim financial statements, management’s discussion and analysis and related officer certifications for the period ended March 31, 2022 in the coming days (the “Interim Filings”). The MCTO will remain in place until after the Interim Filings are filed. The MCTO does not affect the ability of shareholders who are not insiders of the Company to trade their subordinate voting shares in Bhang.
The Company is providing this status update in accordance with NP 12-203. The Company reports that: (i) other than as set out above, there are no changes to the information contained in its default announcement on May 3, 2022 or in subsequent updates that would reasonably be expected to be material to an investor; (ii) the Company is satisfying and confirms that it intends to continue to satisfy the provisions of the alternative information guidelines set out under NP 12-203 and issue bi-weekly default status reports for so long as the MCTO is in effect, which will be issued in the form of a news release; (iii) other than the delay in filing of the Interim Filings, there has not been any other specified default by the Company under NP 12-203 and no such other default is anticipated; and (iv) there is no material information concerning the affairs of the Company that has not been generally disclosed.
Financial, Operating, and Brand Highlights for Fiscal YE 2021
- Expanded Trulieve partnership for manufacturing and distribution in all Trulieve markets, including Florida, Massachusetts, Pennsylvania, and West Virginia
- Trulieve launched Bhang chocolate in Florida and Massachusetts in Q4 2021
- Trulieve replaced its house chocolate brand with Bhang
- Launched collaboration with Jim Belushi and Blues Brothers
- Won our 10th Cannabis Cup for Cookies and Cream in Illinois
- Continued product innovation in new categories with nano-THC including: Bhang High Roller Pre-Roll, Fast Acting Hot Cocoa and Fast Acting Hard Candy
“Fiscal 2021 is one of our most significant and pivotal years to date when it comes to brand awareness and distribution, thanks to the partnerships we secured and extended, collaborative campaigns, and exciting new product launches,” says Jamie L. Pearson, Bhang’s CEO. “… all while continuing to build on the award-winning chocolate our brand is known for internationally.”
Going forward through 2022 and beyond, "our strategy continues to be comprised of three pillars," Pearson says. "Number one: Generate more revenue in existing markets; Two: Expand the Bhang brand to new markets; Three: Innovate excellent new products to increase shelf space and market share.”
Bhang (CSE: BHNG) (OTCQB: BHNGF) is committed to preserving our cannabis legacy by delivering a diverse portfolio of great-tasting products that enhance our customers’ everyday lives. Our extensive portfolio of over 50 master-chef-created cannabis, CBD and lifestyle products includes gourmet chocolates, the Bhang High Roller nano-THC infused pre-roll, Fast Acting Hard Candy, and CBD Hempsticks™. Bhang’s highly-awarded chocolates are among the top-selling edibles in 7 U.S. states and have consistently been the #1 chocolate in Canada. Bhang’s CBD products are globally distributed and are known for being safe, efficacious and delicious. Learn more at www.bhangnation.com and purchase our high-quality CBD products at www.bhangcbd.com.
This press release contains statements that constitute “forward‐looking information” within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of the Company with respect to future business activities. Forward‐looking information is often identified by the words “may,” “would,” “could,” “should,” “will,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “expect” or similar expressions and include information regarding: (i) statements regarding the future direction of the Company; (ii) the ability of the Company to successfully achieve its business and financial objectives; (iii) plans for expansion of the Company into new jurisdictions; and (iv) expectations for other economic, business, and/or competitive factors. Investors are cautioned that forward‐looking information is not based on historical facts but instead reflect the Company’s management’s expectations, estimates or projections concerning the business of the Company’s future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although the Company believes that the expectations reflected in such forward‐looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements. Among the key factors that could cause actual results to differ materially from those projected in the forward‐looking information are the following: changes in general economic, business and political conditions, including changes in the financial markets; in particular, in the ability of the Company to raise debt and equity capital in the amounts and at the costs that it expects; adverse changes in the public perception of cannabis; decreases in the prevailing prices for cannabis and hemp products in the markets that the Company operates in; adverse changes in applicable laws or adverse changes in the application or enforcement of current laws; the cannabis market is highly regulated and those regulations and enforcement priorities of governmental authorities may change; compliance with extensive government regulation and related costs; and other risks described in the Company’s Listing Statement, dated July 9, 2019, and other filings on www.sedar.com. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward‐looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update this forward‐looking information except as otherwise required by applicable law.
Neither CSE nor its Regulation Services Provider accept responsibility for the adequacy or accuracy of this release.
Jamie L. Pearson
President and CEO