Vancouver, British Columbia–(Newsfile Corp. – April 21, 2021) – CVR Medical Corp (TSXV: CVM) (OTC Pink: CRRVF) (“CVR Medical” or the “Company” or “we“), a Canadian listed and US-based healthcare company in the medical device market is pleased to share a message from Chief Executive Officer (CEO) Michael Rhodes.
After several weeks of negotiation, I am delighted that we have succeeded in agreeing with CVR Global Inc. an amended restructuring agreement. My previous message outlined our intention to gain “total and unincumbered ownership of all intellectual property. Giving us the freedom to apply the non-emitting, non-invasive science and solutions behind the Carotid Stenotic Scan (CSS) to applications beyond the carotid artery. Opening the way for new stand-alone or integrated products in the future.” We have achieved that aim.
We have substantially reduced the up-front cost to the Company for acquiring the intellectual property by maintaining royalty payments. Royalty payments were originally introduced with the June 2018 restructuring agreement for licensing the intellectual property from CVR Global Inc. The new agreement is an acquisition of the intellectual property, eliminating all previous licensing arrangements and removing all future dependance on CVR Global Inc.
With the support of our shareholders, we will create a simpler, more cost-effective business model focused on bringing the best version of the CSS to market with the goal of reducing the incidence of ischemic stroke and exploring future exciting applications of the technology.
Ahead of the next annual general and special meeting of shareholders, I would like to take the opportunity to talk to as many shareholders as possible to explain the details of the restructuring agreement and answer any questions that you may have. Therefore, I encourage you to reach out to me at firstname.lastname@example.org so that we can set up calls appropriately.
About CVR Medical
CVR Medical Corp. is a healthcare company that operates in the medical device industry focused on the commercialization of its disruptive, proprietary Carotid Stenotic Scan device (“CSS“). The CSS is a diagnostic tool that encompasses subsonic, infrasonic, and low frequency sound wave analysis technology. The CSS is a patented device designed to detect and measure carotid arterial stenosis. CVR Medical’s shares are listed on the OTC under the symbol “CRRVF”. The Company is listed for trading under the symbol “CVM”. Additional information regarding the Company can be found in our recent filings with the SEDAR as well as the information maintained on our website at www.cvrmed.com
(signed) Michael Rhodes
Chief Executive Officer
For further information contact:
M.D., President/Director and interim CFO
This press release contains forward-looking information that involves various risks and uncertainties regarding future events related to: trading on and dialogue with the Exchange, communications and negotiations with CVR Global, dialogue with certain advisors, the Proposed Restructuring, the License Agreement, the Review, certain corporate and securities law requirements, raising capital and potential litigation. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements and are not guarantees of future performance of the Company. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a failure or material setback in the Company satisfying the remaining conditions outlined by the TSX-V; (2) a failure of the Company to raise sufficient capital to relaunch the Company; (3) an inability to complete the Proposed Restructuring with CVR Global: (4)a downturn in general economic conditions in North America and internationally; (5)the inherent uncertainties and speculative nature associated with commercialization of technology and the practice of medicine; (6) a change in health regulations; (7) any number of events or causes which may delay or cease commercialization and development of the CSS Device; (8) the risk that the Company does not execute its business plan; (9) the risk of litigation between the Company and certain shareholders and the risk of litigation generally; (10) an inability to retain key employees; (11) an inability to finance operations and growth; (12) compliance with certain corporate and securities law requirements; and (13) other factors that are beyond the Company’s control. These forward-looking statements are made as of the date of this news release and, except as required by law, the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements.
THE TSX VENTURE EXCHANGE INC. HAS NEITHER APPROVED NOR DISAPPROVED THE CONTENTS OF THIS PRESS RELEASE. NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.