MADISON HEIGHTS, MI -- (Marketwired) -- 11/19/14 -- Creative Edge Nutrition, Inc. (PINKSHEETS: FITX), a nutritional supplement company focusing on active lifestyles, today announced that its Board of Directors has approved a plan to spin off CEN Biotech Inc., its Canadian wholly-owned subsidiary, to its shareholders. The parties expect the transaction to take place in the near future.
CEN Biotech Inc. intends to be an independent, publicly-traded company, which will be audited by a registered public accounting firm and fully reporting. It will be led by Mr. Bill Chaaban as Chairman, President and Chief Executive Officer.
All current officers and directors of CEN Biotech Inc. will immediately resign from Creative Edge Nutrition, as Creative focuses its plans and operations on Nutrition under its new Chief Executive Officer, Mr. James Robinson, a noted entrepreneur in the dietary nutrition space.
The decision to spin off CEN Biotech Inc. gives each company, Creative Edge Nutrition and CEN Biotech, the ability to concentrate their respective resources and efforts in their own individual area of specialty. The markets and technologies of each area of specialty are very different. CEN Biotech Inc. will devote its efforts and resources to advance in the area of specialty pharmaceuticals, and Creative Edge Nutrition will devote its efforts and resources on nutrition products.
Upon completion of the spin-off, all shareholders of Creative Edge Nutrition, Inc. will retain their shares in Creative Edge Nutrition while additionally getting shares in CEN Biotech Inc., which will be a new publicly-traded company. The distribution of CEN Biotech Inc. shares will be on a pro rata basis to the Creative Edge Nutrition shareholders based on the number of shares of Creative Edge Nutrition shares owned by each shareholder.
"This is a unique opportunity to combine the legacy, scale and scope of a well-established business while capturing the entrepreneurial energy of a new company to better serve the needs of each." stated CEO Bill Chaaban. "By eliminating the potential conflicts that currently exist between the dynamics created by both sectors, each business will now be positioned for significant vertically integrated growth."
CEN Biotech Inc. plans include working and consulting with leading experts in the field. Chaaban continued, "After a year of discussion with key figures in capital markets, it became apparent that a standalone medical marijuana company was needed. We believe that the new format will better position both companies to capitalize on favorable industry trends, better serve their customers and enhance their growth prospects by operating independently."
The Transfer agent should not be contacted as they have no information to give out regarding the transaction. There can be no assurance that the spinout will ultimately be consummated or of the ultimate timing, including obtaining a trading symbol and Depository Trust Company approval for CEN Biotech Inc., if it is completed.
About CEN Biotech
CEN Biotech, Inc. was established in 2013 as a partially owned subsidiary of Creative Edge Nutrition (OTC Pink: FITX) (PINKSHEETS: FITX) for the sole purpose of supplying the Canadian public with pharmaceutical-grade medical cannabis under the newly established Marihuana for Medical Purposes Regulations (MMPR). CEN Biotech Inc. has submitted a comprehensive application to become a licensed producer (LP) of dried marihuana for medicinal purposes and has received a ready-to-build approval from Health Canada.
http://www.cenbiotechinc.com
About Creative Edge Nutrition, Inc.
Creative Edge Nutrition is a holding company and a Nutritional Supplement Company focused on developing innovative, high quality supplements. The company offers a broad spectrum of capsules, tablets, and powders, as well as science based products in the principal categories of weight management, nutrition challenges, energy and fitness. The Company manufactures under strict GMP guidelines at GMP Certified and/or FDA registered facilities. http://www.cenergynutrition.com and https://www.facebook.com/CenergyNutrition
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