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CEN Biotech Inc., a Wholly-Owned Subsidiary of Creative Edge Nutrition, Inc. Completes Spin Off Announces Bill Chaaban, President and CEO
ACCESS Newswire
BEVERLY HILLS, CA and LAKESHORE, ON / ACCESSWIRE / September 24, 2015 / Creative Edge Nutrition, Inc. (FITX), a nutritional supplement company focusing on active lifestyles, announces an update to its shareholders.
On September 23, 2015, the Board of Directors of Creative Edge Nutrition, Inc. ("FITX") approved the spinoff of its wholly-owned subsidiary, CEN Biotech, Inc. ("CEN"), to the shareholders of FITX. CEN is involved in the prospective medical marijuana business and is attempting to obtain the necessary license and approval under the Marijuana for Medical Purposes Regulations in Canada. CEN has completed the construction of its production facility, and is prepared to immediately begin production of medical marijuana once all licenses and approvals are obtained.
Shareholders of FITX, as of the close of business on November 30, 2015 will receive 1 share of CEN Biotech, Inc. common stock for every 700 common shares of FITX owned on the record date of November 30, 2015. The total shares of CEN will be 7,000,000 which is comprised of 6,900,000 common shares and 100,000 preferred shares. CEN is currently planning to have its shares traded on the OTC Markets QB. FITX will continue to trade on the OTC Markets Pink.
CEN engaged Thayer O' Neal, CPAs to perform the company audit. This audit is now complete and the audited financial statements are included in a Form 10 filed with the Securities and Exchange Commission on September 23, 2015. Thayer O' Neal is a full service public accounting firm which provides professional accounting, auditing and tax services to a number of publicly and privately held companies.
The Company will issue a comprehensive press release shortly outlining the status of its pending litigation and other efforts seeking to overturn Health Canada's arbitrary denial of its license to produce medicinal marijuana. The Company is also continuing its endeavors to procure a detailed and meaningful zoning designation of its Lakeshore, Canada properties, consistent with the town council's initial holding that CEN Biotech's properties had "the correct zoning". The fact of proper zoning is memorialized in the minutes of Lakeshore's town Council meeting of November 7, 2013. The Company remains strongly committed to its pursuit of justice in procuring its license to produce. The spinoff is a testament of CEN Biotech's confidence in its ability to execute to its original strategy and obtain all licensing and approvals necessary. Despite the continued and unjustified bashing from press and stock short sellers, CEN Biotech remains fully committed to its shareholders and its business plan.
Bill Chaaban, President and CEO of CEN stated, "I am very pleased and excited to have our audit complete. We have met a milestone in our companies' history by spinning off the medical marijuana and hemp venture into its own publicly-traded company as we stated in the past. This spinoff will allow us to focus on executing to our business plan while FITX will focus on the sport nutrition and beverage markets. I am confident of James Robinson's ability to run FITX and very happy with his progress to date in his launch of Giddy Up beverages. James has supported CEN throughout his tenure as President and CEO of FITX. We look forward to future successes of both companies."
In respect to his executive employment contract, Bill Chaaban has waived two years of salary and cancelled the addendum to his employment contract which would have allowed debt conversion to FITX or CEN Biotech shares.
James Robinson, CEO Creative Edge Nutrition added, "It has been a long and thorough process to compete the spin-off of CEN Biotech into a separate company and reward shareholders of Creative with CEN shares. Now FITX can focus on the energy drink market and strategically launch with regional and national suppliers. I am confident that Bill will continue to lead CEN Biotech with the utmost transparency and integrity as he has in the past. This is a win for our shareholders."
About CEN Biotech
CEN Biotech, Inc. was established in 2013 as a partially owned subsidiary of Creative Edge Nutrition (FITX) for the sole purpose of supplying the Canadian public with pharmaceutical-grade medical cannabis under the newly established Marihuana for Medical Purposes Regulations (MMPR). CEN Biotech Inc. has submitted a comprehensive application to become a licensed producer (LP) of dried marihuana for medicinal purposes and has received a ready-to-build approval from Health Canada. http://www.cenbiotechinc.com, info@cenbiotechinc.com
About Creative Edge Nutrition, Inc.
Creative Edge Nutrition, Inc., is a holding company and a Nutritional Supplement Company focused on developing innovative, high quality supplements and energy drinks. The company offers a broad spectrum of capsules, tablets, and powders, as well as science based products in the principal categories of weight management, nutrition challenges, energy and fitness. The Company manufactures under strict GMP guidelines at GMP Certified and/or FDA registered facilities. www.CenergyNutrition.com, http://www.drinkgiddyup.com
Company Disclaimer
As a "penny stock" Company, within the meaning of federal and state securities law, Creative Edge Nutrition, Inc. may not avail itself of the Safe Harbor provisions as identified in the Private Securities Litigation Reform Act of 1995. However, Creative Edge Nutrition, Inc. provides the following disclaimer and warning to protect our shareholders, prospective investors and the public at large by alerting them to the risks and uncertainties involved with any investment, and the need to perform their own due diligence and assessment.
This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to financial results and plans for future development activities, and are thus prospective. Forward-looking statements include all statements that are not statements of historical fact regarding intent, belief or current expectations of the Company, its directors or its officers.
Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control. Actual results may differ materially from those projected in the forward-looking statements. Among the factors that could cause actual results to differ materially from those indicated in the forward-looking statements are risks and uncertainties associated with the Company's business and finances in general, including the ability to continue and manage its growth, competition, global economic conditions and other factors discussed in detail in the Company's periodic filings with the Security and Exchange Commission.
