Australis Capital Announces Management and Board Changes

Rhea-AI Summary

Australis Capital Inc. (CSE: AUSA, OTC: AUSAF) has appointed Harry DeMott as CEO, succeeding Cleve Tzung, who becomes COO. DeMott brings over 30 years of experience in the cannabis, media, and entertainment sectors. He aims to capitalize on the opportunities in the U.S. cannabis industry. Rick Cutler joins as an independent board member, enhancing AUSA's expertise in branded products. The company also announces the resignation of John Dover from the board. AUSA continues to focus on significant opportunities in the cannabis market, with assets including Cocoon Technology and Body and Mind Inc.

Positive

• Appointment of Harry DeMott as CEO strengthens leadership with extensive cannabis experience.
• Rick Cutler joins the board, adding valuable expertise in branded products and corporate development.
• Focus on U.S. cannabis market presents growth opportunities.

Negative

• None.

LAS VEGAS, Nev., Oct. 5, 2020 /PRNewswire/ - Australis Capital Inc. (CSE: AUSA) (OTC: AUSAF) ("AUSA" or the "Company") is pleased to announce the appointment of Harry DeMott as Chief Executive Officer and Rick Cutler as an independent member of the Board of Directors. Board Member since April 2019, Mr. DeMott is taking over the position from Cleve Tzung, who will be moving to the role of Chief Operations Officer.

Mr. DeMott has over 30 years of experience in the U.S. investment community and is a long-time operator and investor in the cannabis, media, sports, and entertainment industries. Mr. DeMott is based in the suburbs of New York City and is the Executive Chairman of Proper, a data-driven platform bringing together consumers, retailers and branded cannabis products, as well as a founding investor of Columbia Care (CCHW: NEO, CCHWF: OTC), a leading multi-state operator. He serves on the advisory board of KinState and is an active investor in the cannabis space.  He is the co-founder of Raptor Ventures I LP, where he has been a General Partner since February 2011.

Mr. DeMott serves as founder and managing partner for Hamerle Investments, a family investment company, focused on cannabis, music, and entertainment companies. Prior to co-founding Raptor Ventures, he served on the Board of Directors of Pandora Media, Inc. from 2006 through its IPO in 2011. Concurrently, he served as senior analyst at Knighthead Capital Management, analyst at King Street Capital Management, and managing member and founder at Gothic Capital Management – a value-focused long short equity fund. During these 16 years, he focused on finding, fostering and investing in disruptive technology companies. He previously spent nine years at First Boston (now Credit Suisse), where he was a director in the equity research division specializing in radio, TV, outdoor advertising and cell towers. During this period, he made the Institutional Investor All-Star research team and was named one of the top stock pickers by the Wall Street Journal. He earned an AB in Economics from Princeton University in 1988 and an MBA in international finance from New York University in 1991.

"I am excited to take the reins at Australis during this unprecedented time of opportunity in the US cannabis business," said Mr. DeMott. "Having witnessed the opportunities firsthand as an investor and operator in the space, I truly believe that the time to invest in and build branded cannabis assets is now. I am very much looking forward to strengthening my working relationship with Cleve, who I have had the pleasure of getting to know over the past few months. With the focus directly back on US cannabis, Cleve's skills as an operator should come to the fore in a way that we have not been able to see heretofore at Australis. I look forward to partnering with him to build the company."

Mr. Cutler is the Vice-President of Corporate Development and Portfolio Analysis at Helen of Troy, a $1.6B global consumer packaged goods company. With over 20 years of marketing and advertising experience, he has led numerous acquisitions and has doubled annual revenue across several business units. Mr. Cutler has deep experience across mergers and acquisitions in private and public companies, identifying strategic acquisitions, and financial modeling. He has successfully led expansion efforts for multi-million-dollar brands. Mr. Cutler earned an MBA from New York University and a BA from Denison University.

"I am extremely excited to have Rick join the board and look forward to working with him to build the Company," said Mr. DeMott. "Having known Rick for well over a decade, I feel confident that he adds a level of experience with branded products that is unmatched at AUSA, and that he will be a valuable addition to the team."

In addition, AUSA announces the resignation of John Dover from the Board of Directors.

"We thank John for his tireless service to the company," said Mr. DeMott. "His dedication to all stakeholders has been evident from the beginning. He has been tough, fair, and above all, a person you want in your corner when times are tough. We will miss him at board meetings, but know that he will continue to work on behalf of the Company."

About Australis Capital Inc. 

AUSA invests in, operates and builds differentiated companies primarily in the cannabis industry. AUSA focuses on significant near and mid-term opportunities with strong return potentials. AUSA's assets include Cocoon Technology, a cloud-based, self-service point of sale kiosk designed for cannabis dispensaries and other highly-regulated industries.  The purpose-built platform features data analytics, privacy, security and regulatory compliance to drive enhanced consumer experience and generate incremental revenue for dispensary owners. AUSA's assets also include Body and Mind Inc., Quality Green, and Folium Biosciences.

The Company's Common shares trade on the CSE under the symbol "AUSA" and on the OTCQB under the symbol "AUSAF".

For further information about AUSA, please visit the website at ausa-corp.com or contact the Company by e-mail at ir@ausa-corp.com.  

ON BEHALF OF THE BOARD OF DIRECTORS

"Harry DeMott"

________________________________
Harry DeMott
Chief Executive Officer

Forward-Looking Information Statement

This news release contains statements and information that, to the extent that they are not historical fact, constitute "forward-looking information" within the meaning of applicable securities legislation. Forward-looking information is based on the reasonable assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect.

Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking information. Accordingly, readers should not place undue reliance on any such forward-looking information. Further, any forward-looking statement speaks only as of the date on which such statement is made. New factors emerge from time to time, and it is not possible for the Company's management to predict all of such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. The Company does not undertake any obligation to update any forward-looking information to reflect information, events, results, circumstances or otherwise after the date hereof or to reflect the occurrence of unanticipated events, except as required by law including securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities.

The CSE has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accept responsibility for the adequacy or accuracy of this release.

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SOURCE Australis Capital Inc.

FAQ

Who is the new CEO of Australis Capital Inc. as of October 2020?

Harry DeMott has been appointed as the new CEO of Australis Capital Inc.

What changes were made to the board of directors at Australis Capital Inc.?

Rick Cutler was appointed as an independent member, and John Dover resigned from the board.

What is the significance of the leadership change at Australis Capital Inc.?

The leadership change aims to strengthen the company's focus on opportunities in the U.S. cannabis industry.

What experience does Harry DeMott bring to Australis Capital Inc.?

Harry DeMott has over 30 years of experience in the cannabis and entertainment sectors, including significant investment roles.

What is the stock symbol for Australis Capital Inc.?

The stock symbol for Australis Capital Inc. is AUSA on CSE and AUSAF on OTC.