Vancouver, British Columbia--(Newsfile Corp. - July 31, 2025) - Purebread Brands Inc. (TSXV: BRED) ("Purebread" or the "Company"), applied for a Management Cease Trade Order (the "MCTO") in connection with the delay in filing its audited annual financial statements, the related management's discussion and analysis and CEO and CFO certifications for the financial year ended March 31, 2025 (collectively, the "Required Filings"). Purebread was obligated to file the Required Filings on or before July 29, 2025 (the "Filing Deadline") in accordance with applicable securities laws.
The Company determined that it was unable to meet the Filing Deadline due to a working capital shortfall, which has delayed the engagement of the auditors and in turn the completion of the audit process necessary for the Required Filings ("Default"). As a result, the Company applied for and was granted a MCTO today by the British Columbia Securities Commission under National Policy 12-203 Management Cease Trade Orders.
The Company has since secured loan financing sufficient to cover the audit-related fees and formally engage the auditor. The audit process is now underway and is expected to be completed within the relief period ending on September 29, 2025, as provided under the MCTO.
While the MCTO is in effect, the general investing public will continue to be able to trade freely in the Company's listed common shares. However, the Company's Interim Chief Executive Officer, Chief Financial Officer and such other directors, officers and persons as determined by the applicable regulatory authorities, will not be able to trade the Company's shares. The Company intends to comply with the provisions of the alternative information guidelines as set out in National Policy 12-203 for as long as it remains in default, including the issuance of bi-weekly default status reports, each of which will be issued in the form of a news release.
The Company also confirms that, at the date hereof, there are no insolvency proceedings against it and no other material information concerning the affairs of the Company that has not been generally disclosed as of the date of this press release.
Board Resignations
The Company also announces the resignations of Andrew Barnes and Marija Radulovic-Nastic from its Board of Directors.
"On behalf of Purebread and our stakeholders, I would like to thank Andrew and Marija for their service and counsel during a critical stage in our development," said Amrit Maharaj, Interim Chief Executive Officer. "We are grateful for their support and insights, and we wish them continued success in their future endeavours."
About Purebread Brands Inc.:
Purebread is a leader in fast-casual café/bakeries in British Columbia, driving retail expansion in vibrant communities across Canada and beyond. Purebread is committed to crafting exceptional food experiences and making a positive impact on the communities it serves.
For more information and for an updated investor presentation, please visit www.purebreadbrands.com
Purebreads Brands Inc.
Amrit Maharaj, Interim Chief Executive Officer
(604) 889-5865
info@purebread.ca
Neither the TSX Venture Exchange 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.
Cautionary Note Regarding Forward-Looking Information
This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". This information and these statements, referred to herein as "forward-looking statements", are not historical facts, are made as of the date of this news release and include without limitation, statements regarding: the Company's Proposed Private Placement; management expectations that it will miss the filing deadline for the Required Filings and the Company's ability to file the Required Filings within the time period described herein; discussions of future plans, estimates and forecasts and statements as to management's expectations and intentions.
These forward-looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things: the Company being unable to execute its business plans as intended; the Company being unable to file the Required Filings in the proposed timeframe; the Company being unable to complete the Proposed Private Placement; recent market volatility; and the state of the financial markets for the Company's securities.
Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/260910
SOURCE: Purebread Brands Inc.
