NuRAN Announces Update on Revocation of Cease Trade Order

Rhea-AI Summary

NuRAN Wireless Inc. has filed amended audited financial statements for the year ended December 31, 2021, addressing inventory discrepancies in its African operations. These amendments follow complications in inventory monitoring, resulting in a modified auditor's opinion initially. A physical inventory count conducted in May 2022 enabled the auditor to issue an unmodified opinion. The amended reports include a minor adjustment of $23,034. Following these changes, the British Columbia Securities Commission is expected to revoke a cease trade order, allowing shares to resume trading on the CSE.

Positive

• Amended reports led to an unmodified audit opinion, improving the company's financial standing.
• Expected revocation of the cease trade order allows for the resumption of trading, providing liquidity to shareholders.

Negative

• Initial modified audit opinion indicates previous oversight in inventory management.
• Complicated inventory monitoring may raise concerns about operational efficiency.

QUEBEC, QC / ACCESSWIRE / June 27, 2022 / NuRAN Wireless Inc. ("NuRAN" or the "Company") (CSE:NUR)(OTC PINK:NRRWF) (FSE:1RN), announces that is has filed amended audited financial statements for the year ended December 31, 2021 (the "Financial Period") together with an amended management's discussion and analysis ("MD&A") for the year ended December 31, 2021 (together the "Amended Financial Reports"). The financial statements and related MD&A for the Financial Period were amended for the following reasons:

• As at December 31, 2021, the Company held inventories in its African subsidiaries in various locations including in transit, on-site generating revenues or in inventory waiting to be deployed. The fact that the inventories are located in remote regions in Africa or in transit has complicated the monitoring to be carried out by the Company. Since the auditor had not been able to audit the inventory count as at December 31, 2021 and due to the absence of sufficient and appropriate audit evidence, the auditor issued a modified opinion on the Company's previously filed auditor's report dated May 2, 2022.
• The Company has since carried out the necessary reconciliations in order to identify the categories in which inventories should be recognized and to identify their location. Also, the Company was able to do a physical count as at May 23, 2022. This allowed the auditor to have access to updated inventory lists and they were able to attend and audit the physical inventory count and provide an unmodified opinion in the audit report accompanying the amended financial statements for the Financial Period.
• In connection with the foregoing inventory count the Company included a minor adjustment in the Amended Financial Reports of $23,034 resulting from the Cameroon physical inventory count.

Following the filing of the Amended Financial Reports it is expected that the British Columbia Securities Commission, the Company's principal regulator, will revoke the cease trade order previously issued on May 19, 2022 in connection with the filing of the Company's annual audited financial statements for the year ended December 31, 2021 with an accompanying audit report that contained a modified opinion. The common shares of the Company are expected to be reinstated for trading on the Canadian Securities Exchange shortly following revocation of the cease trade order.

About NuRAN Wireless:

NuRAN Wireless is a leading rural telecommunications company that meets the growing demand for wireless network coverage in remote and rural regions around the globe. With its affordable and innovative scalable solutions of 2G, 3G, and 4G technologies, NuRAN Wireless offers a new possibility for more than one billion people to communicate effectively over long distances efficiently and affordably. "Bridging the Digital Divide, One Connection at a Time."

Additional Information:

For further information about NuRAN Wireless: www.nuranwireless.com

Francis Létourneau,
Director and CEO
Francis.letourneau@nuranwireless.com
Tel: (418) 264-1337

Frank Candido
Investor relations
Frank.candido@nuranwireless.com
Tel: (514) 969-5530

Cautionary Statement: Neither the Canadian Securities Exchange nor its Market Regulator (as defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: NuRAN Wireless Inc.

View source version on accesswire.com:
https://www.accesswire.com/706687/NuRAN-Announces-Update-on-Revocation-of-Cease-Trade-Order

FAQ

What is the reason for NuRAN Wireless filing amended financial statements?

NuRAN Wireless filed amended financial statements to address inventory auditing issues that resulted in a modified opinion from auditors.

When is the cease trade order for NuRAN Wireless expected to be revoked?

The cease trade order for NuRAN Wireless is expected to be revoked following the filing of amended financial statements.

What impact does the amended financial report have on NuRAN Wireless's trading status?

The amended financial reports are likely to lead to the reinstatement of NuRAN Wireless shares for trading on the Canadian Securities Exchange.

What was the minor adjustment made in the amended financial reports?

The amended financial reports included a minor inventory adjustment of $23,034 resulting from a physical count conducted in Cameroon.

How does the inventory issue affect NuRAN Wireless's operations?

The inventory issue raised concerns about the company's operational efficiency and monitoring capabilities in remote regions.