News Release For Immediate Release
February 7, 2019
ASCENT INDUSTRIES PROVIDES UPDATE ON HEALTH CANADA
Vancouver, B.C. – Ascent Industries Corp. (CSE: ASNT) (“Ascent” or the “Company“) announces that it
has received further correspondence from Health Canada (the “Agency”) regarding the suspension and
proposed revocation of the Canadian producer’s licence and dealer’s licence (collectively, the
“Licences”) issued by the Agency to Agrima Botanicals Corp (“Agrima”), a wholly-owned subsidiary of
the Company.
Health Canada has repeated its previous position that the Company has failed to demonstrate that the
suspension, and proposed revocation, of Agrima’s Licenses is unfounded, or that the failures that gave
rise to the suspension were rectified. The Agency re-iterated its concerns that unauthorized activities
with cannabis took place after the Canadian producer’s licence and dealer’s licence were granted to
Agrima, in contravention of the ACMPR and Controlled Drugs and Substances Act (now regulated under
the Cannabis Act). Health Canada has therefore advised that it still intends to revoke the Licenses, and
has given Ascent until February 20, 2019 to make any additional submissions.
Ascent previously launched an investigation into these alleged contraventions of the ACMPR and
Controlled Drugs and Substances Act (now regulated under the Cannabis Act) which is ongoing, including
a forensic analysis of the Company’s books and records.
Should the Company not be successful in its attempt to have the Licences re-instated so that it may
commence operations and generate revenue and cash flow in Canada, the Company’s ability to continue
as a going-concern may be in doubt. As previously disclosed by the Company, a strategic review process
is continuing, with a view to stabilizing the Company’s financial position and maximizing the value of the
Company.
Ascent will provide further updates as available.
