Aqua Bio Technology ASA (the "Company") has on 13 August 2019 received a decision from the Norwegian Financial Supervisory Authority (the "NFSA") related to the Company's prospectus dated 13 February 2019. In the prospectus, it was stated that the auditor's statement regarding the annual accounts for 2017, issued by the Company's previous auditor, EY, had been issued without qualifications. However, the auditor's statement for 2017 did in fact include qualifications related to depreciations of the value of the inventory in the Company's subsidiary Kilda Biolink AS, and further the value of the shares in Kilda Biolink and receivables against Kilda Biolink.
Consequently, the prospectus contained incorrect information with regards to the auditor's statement. This incorrect information was unfortunately included in the prospectus due to an oversight in the preparation of the prospectus and not due to an intentional act by the Company. The annual accounts and the auditor's statement for 2017 were incorporated by reference into the prospectus, and correct information was available in those documents.
In the decision, the NFSA imposes a violation fee of NOK 300,000.
The Company disagrees with the factual background for the qualification given by the auditor, as we are of the opinion that there is no basis for the depreciations that were requested by EY. The Company would also like to iterate that its current auditor considers that there are no grounds for the depreciations requested by EY.
Given the size of the violation fee, the Company currently expects to submit a complaint over the decision.
For further information, please contact Edvard Cock, chairman, telephone +47 415 04 004 or eco@clp.no.
Aqua Bio Technology (ABT) is developing and commercializing sustainable biotechnology for use in skin care products. ABT's cosmetics ingredients are highly effective and they provide the cosmetics industry with natural alternatives to traditional ingredients. ABT is also marketing and distributing natural skin care products developed by partners towards consumers and professional users. Aqua Bio Technology is listed on the Axess market of the Oslo Stock Exchange.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.