Attis Industries Provides Restructuring Update


Restructures Prior Equity Financing to Remove Restrictions, Improve Valuation, and Minimize Dilution

MILTON, GA, Aug. 06, 2018 (GLOBE NEWSWIRE) -- Attis Industries Inc. (NASDAQ: ATIS) (the “Company” or “Attis”), a diversified innovation and technology holding company, today announced the restructuring of its Series F Preferred Stock financing completed in February 2018.  As part of the restructuring, the Company executed the closing agreements on a new financing arrangement with a single existing institutional shareholder, which now allows for future long-term financing, increasing the conversion valuation, and reducing potential dilution. 

As a result of such recent agreements, four of the prior Series F Preferred holders were bought out and the conversion rate changed from a variable price to the greater of $0.50 per share or 100% of the lowest closing market price for the 30 days preceding conversion. Additionally, the new holders of the preferred stock have agreed to leakout restrictions limiting the amount of common stock that can be sold upon conversion of the preferred stock. 

“The February 2018 financing served its purpose at a critical time, but it included provisions that put the Company at risk of substantial dilution and restricted its ability to obtain financing, including at higher valuations,” stated, Jeff Cosman, Chief Executive Officer of Attis Industries. “Those features are now gone, paving the way for us to raise capital at higher valuations, evaluate strategic acquisitions, and look to increase revenue and incomeas we implement our plan to build shareholder value by eliminating debt and growing our Healthcare and Innovations units.”

The Company grew its former solid waste business rapidly, but the associated debt load and cash needs became a bottleneck that frustrated the Company’s development of new and potentially more profitable ventures in its newly developed Healthcare and Innovations units. The Company has since sold off its solid waste division, eliminating approximately 90% of the related debt, with $9 million of that debt remaining. Refinancing that debt on cost-effective terms is a primary objective of the Company’s previously announced restructuring plans.  

Cosman continued, “I personally believe that we continue to be negatively impacted by our former businesses and legacy debt and financing costs.  Today, our stock price is nowhere near indicative of the value we are building in our Healthcare and Innovations groups. Another important benefit of the transaction we just completed is that we are now free to refinance that debt on terms that we believe will be accretive to shareholder value. We’re close to doing so thanks to the support of our investors. At the same time, our Healthcare and Innovations teams are making great strides to position our respective businesses for continued growth and anticipated profitability. I’m excited to see the combined effect on shareholder value through the balance of 2018 and beyond.” 

About Attis Industries Inc.
Attis Industries Inc. (NASDAQ: ATIS) is a diversified innovation and technology holding company defined by its commitment to servicing its clients with unwavering respect, fairness, andcare. We are focused on finding and implementing solutions for the resource needs and challenges of our customers with a fundamental objective to seek rewarding solutions through technology and innovation. Our healthcare business centers on creating community-based synergies through collaborations and software solutions. Our innovation business strives to create value from recovered resources. For more information, visit:

Forward-Looking Statements
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is definedin the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “should,” “would” or similar words. You should consider these statements carefully because they discuss our plans, targets, strategies, prospects and expectations concerning our business, operating results, financial condition and other similar matters. These statements are subject to certain risks, uncertainties, and assumptions, including, but not limited to, risks and uncertainties relating to the Company's ability to develop, market and sell products based on its technology; the expected benefits and efficacy of the Company's products and technology; the availability of substantial additional funding for the Company to continue its operations and to conduct research and development, clinical studies and future product commercialization; and, the Company's business, research, product development, regulatory approval, marketing and distribution plans and strategies; the ability of the Company to continue to meet the listing requirements of NASDAQ; the ability of the Company to execute on a business plan that permits the technologies and innovations businesses to provide sufficient growth, revenue, liquidity and cash flows for sustaining the Company’s go-forward business, and the risks identified and discussed under the caption “Risk Factors” in the Attis Annual Report on Form 10-K for the fiscal year ended December 31, 2017, filed with the Securities and Exchange Commission (the “SEC”) on April 16, 2018 and the other documents Attis files with the SEC from time to time.There will be events in the future, however, that Attis is not able to predict accurately or control. Attis’ actual results may differ materially from the expectations that Attis describes in its forward-looking statements. Factors or events that could cause Attis’ actual results to differ materiallymay emerge from time to time, and it is not possible for Attis to accurately predict all of them. Any forward-looking statement made by Attis in this press release speaks only as of the date on which Attis makes it. Attis undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.