ST. JOHN’S, Newfoundland, May 07, 2019 (GLOBE NEWSWIRE) -- Kraken Robotics Inc. (“Kraken”) (TSX-V: PNG, OTCQB: KRKNF) discloses today that the filing of its annual financial statements for the fiscal year ended December 31, 2018, the related management’s discussion and analysis and the related officer certifications of the annual filings (collectively, the “2018 Annual Financial Filings”) were not completed by the deadline of April 30, 2019 (the “Filing Deadline”). As a result, after close of markets on May 6, 2019 the British Columbia Securities Commission issued a cease trade order (the “Cease Trade Order”) against the Corporation pursuant to National Policy 11-207 – Failure-to-File Cease Trade Orders and Revocations in Multiple Jurisdictions and its securities have been halted from trading on the TSX Venture Exchange.
Kraken is actively working with its auditors to finalize the 2018 Annual Financial Filings, which the Corporation expects to be completed shortly. The delay has been primarily due to our auditors continuing to finalize their valuation review of our Kraken Power GmbH acquisition (previously announced on January 7, 2019) and the related allocation of the purchase price paid to the various tangible and intangible assets. For context, Kraken completed this acquisition in Q4 2018 on a legal basis (Q3 for accounting purposes) with total consideration paid of approximately $375,000 for a 75% interest. The net carrying amount of intangibles on the Kraken Power acquisition are expected to be approximately $1.4 million as at December 31, 2018.
Once the 2018 Annual Financial Filings are finalized, the Corporation will seek to have the Cease Trade Order revoked. The Corporation will be forthcoming with an update on the 2018 Annual Financial Statements and growth outlook going forward once the required filings have been made.
ABOUT KRAKEN ROBOTICS INC.
Kraken Robotics Inc. (TSX.V:PNG) (OTCQB: KRKNF) is a marine technology company that is dedicated to the production and sale of software-centric sensors and underwater robotic systems. The company is headquartered in St. John’s, Newfoundland with offices in Dartmouth, Nova Scotia; Toronto, Ontario; Bremen & Rostock, Germany; and Boston, Massachusetts. Kraken is ranked as a Top 100 marine technology company by Marine Technology Reporter. For more information, please visit www.krakenrobotics.com, www.krakenrobotik.de, www.krakenpower.de. Find us on social media on Twitter (@krakenrobotics), Facebook (@krakenroboticsinc) and LinkedIn.
Certain information in this news release constitutes forward-looking statements. When used in this news release, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "seek", "propose", "estimate", "expect", and similar expressions, as they relate to the Company, are intended to identify forward-looking statements. In particular, this news release contains forward-looking statements with respect to, among other things, business objectives, expected growth, results of operations, performance, business projects and opportunities and financial results. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such statements reflect the Company's current views with respect to future events based on certain material factors and assumptions and are subject to certain risks and uncertainties, including without limitation, changes in market, competition, governmental or regulatory developments, general economic conditions and other factors set out in the Company's public disclosure documents. Many factors could cause the Company's actual results, performance or achievements to vary from those described in this news release, including without limitation those listed above. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described in this news release and such forward-looking statements included in, or incorporated by reference in this news release, should not be unduly relied upon. Such statements speak only as of the date of this news release. The Company does not intend, and does not assume any obligation, to update these forward-looking statements. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.
Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release, and the OTCQB has neither approved nor disapproved the contents of this press release.
For further information, please contact:
Greg Reid, Chief Financial Officer
(416) 818-9822
greid@krakenrobotics.com
Sean Peasgood, Investor Relations
(647) 955-1274
sean@sophiccapital.com