LAS VEGAS, March 13, 2017 /PRNewswire/ --
Alkame Holdings, Inc. (OTC: ALKM), a publicly traded health and wellness technology holding company with a focus on patentable, innovative, and eco-friendly products, wanted to take the opportunity to provide you, our valued investors and shareholders, with an update on the progress of the Company and provide the current status of various matters.
As the first quarter of 2017 is coming to an end, our Company, through its wholly-owned subsidiaries have been busy and made incredible progress despite various obstacles.
First allow us to unequivocally state that the Company's financial team is indeed working with the auditors to complete our filings. Our plan is to complete the audits of both 2015 and 2016 simultaneously to minimize the cost and the time necessary to complete the work on all of the filings. Once the audit is completed, we will file the 2015 10-K followed shortly thereafter by each of the 10-Q's in sequence, as required by the SEC, and finally the 2016 Audited statements with the 10K for 2016. While bringing our filing's current is a top priority, a strict timeline cannot be guaranteed as both audits and the three quarterly reports being approved are dependent on the timing of auditor approvals.
As you are undoubtedly aware, we had a few legal actions brought against the company. Some of these we chose to settle, as it was not worth the company's time and expense to prolong the issue (which had already gone on for years and cost us thousands in wasted legal fees). The other issues dealt with various lenders due to our late filings. We are pleased to report that at this time all open legal matters have been resolved and management no longer has to waste its time, efforts or resources on unproductive matters.
We are happy to report that Alkame Holdings, Inc. has been very busy quietly working on several exciting fronts.
The acquisition of Xtreme Technologies has now been fully completed. This was an essential transaction for our company allowing us to take control of the Patents and IP thus permitting unfettered expansion into many different revenue generating applications of the technology and processes. This effort required infusions of capital and short-term convertible notes known which were not always on terms we liked, but none the less, this funding was essential to our long-term strategy. As we worked through the IP & equipment acquisition, turnaround of operations, and the lowering of operating costs, we have simultaneously kept our companies running as smoothly as possible. With the majority of the convertible notes being converted at this point, our balance sheet should begin to show marked improvement from the past. Looking at the bigger picture, now that many of the debt holders have converted at these low levels, we believe that as we move towards wrapping up our turnaround, we will enjoy a much stronger position in the market. While a few notes remain, they are in much 'friendlier hands' which now allows us to better focus on growing our revenues and less time on crisis management.
We recently announced the completion of our financial obligations to our 3(a)(10) settlement. To date, Alkame Holdings has retired roughly $1.8 million in company debt. Management continues to reduce overhead in many areas and is looking at other cost cutting measures to increase profitability. In addition, although management continues to sign employment agreement contracts, they have not yet taken compensation other than minimal expenses. Our 'lean & mean' team has put the company first, and believes wholeheartedly in its success.
Our Alkame 'Kids Water' division has been picked up by one of the largest natural and grocery distributors in the country, and has started to gain retail shelf space in states like FL, TX, IN, IL, and PA so far, and the response has been very positive.
Our Alkame Pets division has been busy as well. We now have two different brand labels, 'Hydro2Pet' and 'Pawz & Clawz'. We have recently begun to explore a potential joint venture partner for these brands. In addition, we have begun to offer private label product to the pet sector once again and recently showcased one of our private label hummingbird nectars on social media.
Our Alkame Aquaculture division has feverishly been seeking out suitable locations to begin our test pilot program after the success of our internal testing showed positive results. We should have some exciting news on this front shortly.
Amazon had a few supply setbacks, mainly due to cash constraints and management's decision to prioritize on whom to supply first. Amazon will be restocked shortly on all sizes, but we have found Azure Standard to be a much more cost effective drop ship solution for the company.
Our 'CBD Co-packer' division has been making tremendous strides. We recently shipped for our first co-branded client, Puration (OTC: PURA), a CBD water that's powered by our Alkame Technology. A second product, a private label Alkaline water, has also been introduced under the Everx brand. We have much more exciting news coming shortly from this division.
Like any new company, we have had growing pains and struggles, but our ability to deal with and overcome one after the other makes us a force to be reckoned with. We are more than confident that our current and future strategic maneuvering, planned segment entries, and our overall strategy are, and will continue, to achieve positive results. Our Company along with all our subsidiaries are very busy on several exciting fronts and we look forward to sharing significant updates and developments with you, our valued shareholders as they become warranted. Stay tuned.
About Alkame Holdings, Inc.
Alkame Holdings, Inc. is a publicly traded health and wellness technology holding company, with a focus on patentable, innovative, and eco-friendly consumer products. The Company's wholly-owned subsidiaries market and distribute enhanced waters utilizing an exclusive patented formula and technology to create enhanced water with several unique properties. The organization is diligently building a strong foundation through the launch and acquisition of appropriate business assets, and by pursuing multiple applications to utilize its Intellectual Property by placement into several emerging business sectors, such as the growing aqua-culture industry, consumer bottled water and RTD products, household pet products, horticulture and agriculture applications, as well as many other various water treatment solutions to both new and existing business platforms.
Disclaimer/Safe Harbor: This news release contains forward-looking statements within the meaning of the Securities Litigation Reform Act. The statements reflect the Company's current views with respect to future events that involve risks and uncertainties. Among others, these risks include the expectation that Alkame will achieve significant sales, the failure to meet schedule or performance requirements of the Company's contracts, the Company's liquidity position, the Company's ability to obtain new contracts, the emergence of competitors with greater financial resources and the impact of competitive pricing. In the light of these uncertainties, the forward-looking events referred to in this release might not occur. These statements have not been evaluated by the Food and Drug Administration. These products are not intended to diagnose, treat, cure or prevent any disease.
For more information, visit http://alkameholdingsinc.com/
SOURCE Alkame Holdings Inc.