VANCOUVER, British Columbia, Oct. 11, 2018 /PRNewswire/ -- Lifestyle Delivery Systems Inc. (CSE: LDS), (OTCQX: LDSYF), (Frankfurt: LD6, WKN: A14XHT) ("LDS" or the "Company") announces that on October 5, 2018, directors of the Company authorized release of 2,100,000 common shares which were held in escrow subject to satisfying certain financial milestones set out under the terms of the Company's escrow agreements with the former shareholders of Canna Delivery Systems Inc. ("Canna"). In addition, the Company issued 108,333 finder's shares pursuant to its December 16, 2014, Finder's Fee Agreement.
Under the terms of the escrow agreements, a total of 7,800,000 common shares ("Performance Shares") issued to the former shareholders of Canna (the "Performance Shares") were held in escrow, subject to release upon the Company achieving certain financial milestones by September 30, 2018 (as amended on June 28, 2018). The milestone to release the final 2,100,000 Performance Shares and issue 108,333 finder's shares was USD$1,000,000 in cumulative gross revenue from the Company's operations.
As announced by CSPA Group, Inc. ("CSPA") on October 9, 2018, CSPA earned in excess of CAD$900,000 in gross revenue during the month of September 2018. Under the management agreement between the Company and CSPA, the Company is entitled to a 75% share of gross proceeds. As such, at September 30, 2018, the Company's gross cumulative revenue surpassed USD$1,000,000 milestone required for release of the escrowed shares.
Of 2,100,000 Performance Shares which were released on October 5, 2018, 840,000 Performance Shares are held by the Company's CEO, Brad Eckenweiler.
About Lifestyle Delivery Systems Inc.
Lifestyle Delivery Systems Inc. is a technology company that licenses its technology to a state-of-the-art production and packaging facility located in Southern California. The Company's technology produces infused strips (similar to breath strips) that are not only a safer, healthier option to any other form of delivery but also allows for inclusion of a wide spectrum of ingredients from over the counter medications to homeopathic, nutraceutical, vitamins and supplements. The technology provides a new way to accurately meter the dosage and assure the purity of selected product. From start to finish, the production process, based on the Company's technology, tests for quality and composition of all the ingredients used in each and every strip which results in a delivery system that is safe, consistent and effective.
On behalf of the board of directors of Lifestyle Delivery Systems Inc.
CEO & Director
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Cautionary Disclaimer Statement:
The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. The Company cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among other things: risks and uncertainties relating to the Company's limited operating history and the need to comply with environmental and governmental regulations. In addition, marijuana remains a Schedule I drug under the United States Controlled Substances Act of 1970. Although Congress has prohibited the US Justice Department from spending federal funds to interfere with the implementation of state medical marijuana laws, this prohibition must be renewed each year to remain in effect. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward looking information. Except as required under applicable securities legislation, The Company undertakes no obligation to publicly update or revise forward-looking information.
SOURCE Lifestyle Delivery Systems Inc.