Digipath to Acquire Cannabis Technology Firm VSSL Enterprises Ltd.
VSSL CEO Kyle Remenda Appointed Digipath Chief Executive Officer
LAS VEGAS, NV, Sept. 30, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE – Digipath, Inc. (OTCQB: DIGP), is pleased to announce it has entered into a binding letter of intent for the acquisition of VSSL Enterprises Ltd. (“VSSL”), a British Columbia based cannabis genomics, plant sciences and consulting firm. The acquisition is expected to provide Digipath with a wealth of cannabis data, technology and intellectual property, including in excess of a thousand hemp and cannabis genotypes. The letter of intent provides for the acquisition of 100% of VSSL’s outstanding shares of capital stock for consideration consisting of six million shares of Digipath common stock and a cash payment of $200,000, and is subject to the execution of definitive agreements.
VSSL builds predictive tools for the cannabis industry. Whether it’s for a breeder, cultivator or processor, understanding the genetic basis of key traits such as yield, expression of secondary metabolites or disease resistance can provide a competitive advantage to its clients by allowing rapid decision making and process optimization. VSSL uses molecular and bioinformatics tools to deliver unique solutions suited to its customers’ diverse germplasm and business models.
Effective upon signing the letter of intent, VSSL Chief Executive Officer, Kyle Remenda was appointed to serve as Digipath’s Chief Executive officer. Todd Denkin, the former CEO, has resigned his positions with Digipath to pursue other opportunities. Under Mr. Denkin’s leadership, Digipath has become the leading cannabis testing laboratory in Las Vegas, a leader in data analysis and a recognized brand around the country. He will continue to consult with the Company through the end of 2019.
Mr. Remenda is a passionate advocate within the medical marijuana industry. Under Kyle’s leadership, VSSL has become a trusted source of technology and genotype technology and consulting. Before starting VSSL, Mr. Remenda worked in the medical marijuana industry with established legal grow operations in North America. He and the VSSL team bring a wealth of expertise in plant breeding, genetics and production craft.
“Kyle is the right person to lead the next phase in the evolution of Digipath, building on our outstanding pedigree in cannabis technology, vision and experience. With Kyle on board and combining with VSSL, Digipath can move into larger revenue opportunities,” stated Todd Denkin.
“I am excited and grateful to have been selected by the Board of Digipath to take on this unique leadership opportunity,” said Kyle Remenda. “Todd Denkin has done an outstanding job establishing Digipath as a market leader and preparing it for new opportunities. I look forward to working with our incredible team in further delivering industry-defining products and services to drive revenue for both Digipath and its customers, and to enhance the value of our Company for our investors.”
About Digipath, Inc. (OTCQB: DIGP)
Digipath, Inc. supports the cannabis industry’s best practices for reliable testing, data acquisition, formulations, and new canna-tech to the cannabis industry.
Digipath Labs provides pharmaceutical-grade analysis and testing to the cannabis industry to ensure producers, consumers and patients know exactly what is in the cannabis they ingest and to help maximize the quality of its client’s products through analysis, research, development, and standardization.
GroSciences delivers a new approach to canna-tech product development in the cannabis industry and provides for true cannabis cultivar identification for hemp and cannabis operations and law enforcement agencies.
Information about Forward-Looking Statements
This press release contains “forward-looking statements” that include information relating to future events. Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by, which that performance or those results will be achieved. Forward-looking statements are based on information available at the time they are made and/or management's good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in, or suggested by, the forward-looking statements. Important factors that could cause these differences include, but are not limited to: the Company's need for additional funding, the demand for the Company's products, governmental regulation of the cannabis industry, the Company's ability to maintain customer and strategic business relationships, the impact of competitive products and pricing, growth in targeted markets, the adequacy of the Company's liquidity and financial strength to support its growth, and other risks that may be detailed from time-to-time in the Company's filings with the United States Securities and Exchange Commission. For a more detailed description of the risk factors and uncertainties affecting Digipath, please refer to the Company's recent Securities and Exchange Commission filings, which are available at www.sec.gov. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
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