Zentek Ltd (ZTEK)

[Kennyjo]

I hate this short shit….
March 8, 2022

Zentek Ltd. (“ZEN” or the “Company”) (TSX-V:ZEN and OTC:ZENYF), a Canadian IP development and commercialization company focused on next-gen healthcare solutions has become aware of certain rumours and allegations being circulated, and categorically refutes the egregious allegation regarding the theft of intellectual property from Graphene Composites Ltd.
On January 29, 2021, the Company was served with a statement claim issued by Graphene Composites Ltd. and is in the process of defending the action, which it considers frivolous and without merit. The Company has considered the allegations as set out in the claim and, in light of the facts, the lack of clarity in the claim, and, based on discussions with the Company’s litigation counsel, the assessment of the merits of the claim and the defenses available to the Company, and the Company’s conclusion is that the risk of the Company suffering loss in respect of the claim is remote, and therefore the Company determined the claim not to be material or constituting ”significant litigation” pursuant to the policies of the TSX Venture Exchange. The Company continues to view this claim as frivolous and will continue to vigorously defend itself against these allegations.

The Company is aware of a 2,904,839 share Consolidated Short Position (less than 3% of total shares outstanding) in the marketplace as of March 1, 2022. Furthermore, the Company believes these false allegations were meant to hurt the Company’s credibility.