Lifeist Wellness Inc reported on the impact of a flooding event has occurred in Queensland and New South Wales, Australia, including in Brisbane where the company's wholly-owned subsidiary, Australian Vaporizers Pty Limited (AV) leases a warehouse facility and said it is "confident in AV's ability for a quick and full recovery".
The company said that, thankfully, all members of the AV team are safe and accounted for, though the business did suffer partial loss of inventory and is experiencing business interruption.
Lifeist added that whilst any disruption to any business is not welcome, the AV team is working diligently to resume standard operations as soon as possible and while the near-term impact is still being fully quantified the company said it is confident in AV's ability for a quick and full recovery due to its superior customer service, high repeat customer rate, and the measures already put into place to maintain customer loyalty.
READ: Lifeist Wellness' Cannabis 2.0 Roilty brand wins Canadian LP Brand of the Year award at 2021 ADCANN Awards
Furthermore, it said, AV will take this opportunity to instigate initiatives to optimize operations and set future foundations for continued growth by investigating expansion into new premises.
"First and foremost, my heart goes out to all those affected by the flooding," said Meni Morim, CEO of Lifeist in a statement. "Unfortunate as it is, thanks to our amazing can-do team at AV, this challenge also presents an opportunity to accelerate improvement and growth. The AV team's 'build back better' initiative will see the operation emerge better and stronger and consolidate its position as one of Australia's pre-eminent sellers of vaporizers and smoking accessories."
The company also announced that it intends to release its financial results for the fiscal fourth quarter and full-year ended November 30, 2021, on Friday, March 25, 2022, before the market open.
In addition, Lifeist said it intends to issue an aggregate of 3,481,912 common share, issued at a deemed price of $0.0774, which is equal to the seven-day volume-weighted average per common share for the trading period up to and including March 3, 2022, without a hold period, as payment of the fifth tranche of the remaining base purchase price to the vendors under the share purchase agreement for the acquisition of CannMart Labs Inc.
The issuance is considered to be a shares-for-debt transaction under the policies of the Toronto Venture Exchange (TSX-V) and remains subject to TSX-V approval.
Lifeist leverages advancements in science and technology to build breakthrough companies that transform human wellness.
Its portfolio business units include CannMart, which operates a B2B wholesale distribution business facilitating recreational cannabis sales to Canadian provincial government control boards; CannMart Labs, a BHO extraction facility for the production of high margin cannabis 2.0 products; the CannMart.com marketplace, which provides US customers with access to hemp-derived CBD and smoking accessories; Australian Vapes, Australia's largest online retailer of vaporizers and accessories; Findify, a leading AI-powered search and discovery platform; and Mikra, a biosciences and consumer wellness company seeking to develop innovative therapies for cellular health.
Contact the author at jon.hopkins@proactiveinvestors.com