TORONTO, May 8, 2025 /PRNewswire/ - MediPharm Labs Corp. (TSX: LABS) ("MediPharm" or the "Company"), a pharmaceutical company specialized in precision-based cannabinoids, is aware of the dissident proxy circular filed on May 7, 2025 (the "Dissident Circular") by Apollo Technology Capital Corporation ("Apollo").
MediPharm Labs Logo (CNW Group/MediPharm Labs Corp.)
The Dissident Circular outlines Apollo's intention to nominate six individuals for election to MediPharm's board of directors ("Board") at the Company's upcoming Annual and Special Meeting of Shareholders, scheduled for June 16, 2025.
While our full response will be delivered in the coming days, we believe it is important to highlight several immediate concerns regarding Apollo's filing:
No viable plan: Apollo has offered no concrete strategy to create sustainable value for shareholders — only broad criticisms without substance or actionable solutions.
Questionable leadership and track record: The Board has significant concerns about Apollo's leadership, particularly the checkered history and lack of proven success of its lead dissident, Regan McGee, and certain of its proposed nominees.
Meritless and Unspecified Allegations: The allegations of breach of fiduciary duty by directors of the Company are void of detail and without merit. The Company rejects these allegations in the strongest possible terms and cautions shareholders about the falsity of these assertions.
Procedural non-compliance: Most notably, Apollo's advance notice fails to comply with MediPharm's advance notice bylaw and does not contain information that could be material to a reasonable shareholder's understanding of the independence or lack thereof of the proposed nominees. MediPharm has formally notified Apollo's legal counsel of these deficiencies, as required by the By-Law.
MediPharm urges shareholders to take no action at this time. The Company expects to file its detailed Management Information Circular, which will include full details of the Board's recommendations and its comprehensive response to Apollo's claims and proposals.
We remain confident that the current Board and executive leadership team — backed by a proven strategy — are best positioned to continue MediPharm's ongoing transformation, unlock value, and advance the Company's global growth ambitions.
Further updates will be provided in due course.
About MediPharm Labs
Founded in 2015, MediPharm Labs specializes in the development and manufacture of purified, pharmaceutical-quality cannabis concentrates, active pharmaceutical ingredients (API) and advanced derivative products utilizing a Good Manufacturing Practices certified facility with ISO standard-built clean rooms. MediPharm Labs has invested in an expert, research driven team, state-of-the-art technology, downstream purification methodologies and purpose-built facilities for delivery of pure, trusted and precision-dosed cannabis products for its customers. MediPharm Labs develops, formulates, processes, packages and distributes cannabis and advanced cannabinoid-based products to domestic and international medical markets.
In 2021, MediPharm Labs received a Pharmaceutical Drug Establishment License from Health Canada, becoming the only company in North America to hold a commercial-scale domestic Good Manufacturing Practices License for the extraction of multiple natural cannabinoids. This GMP license was the first step in the Company's current foreign drug manufacturing site registration with the US FDA.
In 2023, MediPharm acquired VIVO Cannabis Inc., which expanded MediPharm's reach to medical patients in Canada via Canna Farms medical ecommerce platform, and in Australia and Germany through Beacon Medical Australia PTY Ltd. and Beacon Medical Germany GMBH. This acquisition also included Harvest Medical Clinics in Canada which provides medical cannabis patients with Physician consultations for medical cannabis education and prescriptions.
The Company carries out its operations in compliance with all applicable laws in the countries in which it operates.
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate to, among other things: timing of the annual and special meeting of shareholders, the filing of the management information circular in connection with such meeting, the Company's strategic objectives and growth ambitions, and value creation of the Company. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; the inability of MediPharm Labs to obtain adequate financing; the delay or failure to receive regulatory approvals; and other factors discussed in MediPharm Labs' continuous disclosure filings, available on the SEDAR+ website at www.sedarplus.ca. There can be no assurance that such statements 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 the forward-looking statements and information contained in this news release. Except as required by law, MediPharm Labs assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change.
