IRVINE, CA, Sept. 06, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Cannabis Science, Inc. (OTC: CBIS), a U.S. company specializing in the development of cannabinoid-based medicines, announces that it is entering a transition stage as trading of the Company’s shares is halted. Cannabis Science will continue to implement its corporate growth strategy and intends to resolve all outstanding regulatory reporting and filing requirements as it goes through its transition.
“I can confirm that I found out yesterday that the trading of Cannabis Science’s shares has been halted by regulatory authorities - clearly the paperwork states ‘due to the financials not being filed as a fully-reporting issuer’. While this is not a favorable situation, we are already addressing this matter directly with the authorities to protect the interests of our shareholders and stakeholders,” states Raymond C. Dabney, President, C.E.O. and Co-Founder of Cannabis Science.
Over the last few years, Cannabis Science has invested heavily in drug-development, education and economic development initiatives, and is starting to see good results to bring in positive cash flow. The Company will continue to move forward and report these new revenues along with the new partnerships for additional revenues that it intends to generate around the world.
At this point, management believes that it has three options;
1. Option one is for Cannabis Science to continue as a fully-reporting company and to file outstanding quarterly and year-end ‘audited’ financial statements for 2017 and 2018. This option could cost the Company as much as $25,000 per quarterly return, and approximately $50,000 per year-end, audited return.
2. The second option is for Cannabis Science to de-list as a fully-reporting company and move into a ‘non-reporting issuer status’ and file all outstanding, ‘un-audited’ financial statements. The Company would then continue to complete its audits under this status and when completed apply to re-list to fully reporting status again.
3. The third option, as previously announced, is a buyout of Cannabis Science by a new public company via share exchange to provide current Cannabis Science shareholders with shares in this new public company. Cannabis Science’s financial statements would then be audited and filed via this new company.
Management will be discussing this matter with regulatory authorities over the next few days and will decide on the best option for the Company and its shareholders based on discussions with regulatory officials. “I certainly understand some of the best options for our shareholders. We will make sure we are all protected by continuing to build on the momentum from our successful drug development programs, accelerated revenue models, and our international operations growth!” states Mr. Dabney.
“There are certainly a few factors that have contributed directly to the Company’s current position,” added Mr. Dabney. “First, the cost of our lawsuit against San Joaquin County, California has impacted our business dramatically. Those who helped or watched us grow understand the dichotomy; we have amassed well over $500,000 in legal fees and expenses to cover the lawsuit and protect our shareholders and the Company assets. As we previously announced, Cannabis Science, along with plaintiffs including Free Spirit Organics Native American Corporation, American States University, HRM Farms, among others, are seeking full compensation for the wrongfully-seized hemp crop that was being cultivated for research and medicinal purposes, as well as a court order that our legal hemp-growing operation be allowed to resume. Cannabis Science feels it is worth several million US Dollars based on the success of the drug development programs that they were based on in the first place.
“Secondly, our investments in long-term, drug development and other initiatives has required us to recapitalize to meet the funding needs of these projects, as well as to fund ongoing operations. This is an ongoing process,” concludes Mr. Dabney.
While there may be confusion in the markets, Cannabis Science’s foundation is set. Over the last several years, the Company has invested heavily in its drug-development, education, and economic development initiatives. As for drug-development, Cannabis Science has a tremendous pipeline of potential clinical ailment products and is planning to initiate clinical trials this year. Cannabis Science also has a number of products currently available and under development for the state and over-the-counter (OTC) markets. Similarly, Cannabis Science has made considerable progress with its education and economic development programs internationally.
Cannabis Science is the first publicly-traded cannabinoid company on the market and is a leader in the research and development of cannabinoid-based medicines and associated delivery technologies. Cannabis Science and its research collaborators are currently conducting pre-clinical research on cannabinoid-based medicines with plans to transition to clinical trials on a number of products this year. Targeted indications include Lung Cancer, Pancreatic Cancer, Chronic Prostatitis, Obsessive Compulsive Disorder (OCD), Oro-bucco-lingual Dyskinesias, Oxidative Stress, Psychosis, and Post Traumatic Stress Disorder (PTSD). CBIS is also currently in negotiations to license the Company’s U.S. patent number 9,763,991 for the Compositions of Cannabinol (CBN) for Treatment of Various Neurobehavioral Disorders, including Sleep Disorders. CBIS recently announced its drug-development pipeline (www.cannabisscience.com) and the transition into clinical trials as well as other major company initiatives.
About Cannabis Science, Inc.
Cannabis Science, Inc. takes advantage of its unique understanding of metabolic processes to provide novel treatment approaches to a number of illnesses for which current treatments and understanding remain unsatisfactory. Cannabinoids have an extensive history dating back thousands of years, and currently, there are a growing number of peer-reviewed scientific publications that document the underlying biochemical pathways that cannabinoids modulate. The Company works with leading experts in drug development, medicinal characterization, and clinical research to develop, produce, and commercialize novel therapeutic approaches for the treatment for illnesses caused by infections as well as for age-related illness. Our initial focus is on cancers, HIV/AIDS, neurological conditions, and other indications as identified previously. The Company is proceeding with the research and development of its proprietary drugs as a part of this initial focus: CS-S/BCC-1, CS-TATI-1, and CS-NEURO-1, respectively.
This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement containing words such as "anticipate," "seek," intend," "believe," "estimate," "expect," "project," "plan," or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Some or all of the events or results anticipated by these forward-looking statements may not occur. Factors that could cause or contribute to such differences include the future U.S. and global economies, the impact of competition, and the Company's reliance on existing regulations regarding the use and development of cannabis-based drugs. Cannabis Science, Inc., does not undertake any duty nor does it intend to update the results of these forward-looking statements. Safe Harbor Statement. The Private Securities Litigation Reform Act of 1995 provides a 'safe harbor' for forward looking statements. Certain of the statements contained herein, which are not historical facts are forward looking statements with respect to events, the occurrence of which involved risks and uncertainties. These forward-looking statements may be impacted, either positively or negatively, by various factors. Information concerning potential factors that could affect the company is detailed from time to time in the company's reports filed with the Securities and Exchange Commission.
Cannabis Science, Inc.
Mr. Raymond C. Dabney
President & CEO, Co-Founder