SQI Diagnostics Appoints Andrew Morris as Chief Executive Officer, and Grants Options

Rhea-AI Summary

SQI Diagnostics has appointed Andrew Morris as CEO, effective September 11, 2021. Morris, who has extensive experience in diagnostics and life sciences, was previously managing partner at ATTWILL Medical Solutions and has a notable history with SQI, having served as CEO and CFO. He aims to drive growth and secure FDA approval for the HOME Antibody Test. Additionally, Morris has been granted 12,000,000 stock options with specific vesting conditions aligned with company performance.

Positive

• Appointment of Andrew Morris as CEO could provide fresh leadership and direction.
• Morris's extensive experience in diagnostics may lead to successful FDA approval for key products.
• Stock options granted to Morris may align his interests with shareholders' goals.

Negative

• Clive Beddoe stepping down as Interim CEO raises concerns over leadership continuity.

TORONTO, Sept. 13, 2021 /PRNewswire/ - SQI Diagnostics, Inc. ("SQI" or the "Company") (TSXV: SQD) (OTCQB: SQIDF), a life sciences and diagnostics company that develops and commercializes proprietary technologies and products for advanced microarray diagnostics, today announced that the Company's board of directors has appointed Andrew Morris as Chief Executive Officer of the Company effective September 11, 2021. Mr. Morris is currently a director of the Company.

"Andrew is a trusted CEO with extensive experience in the Diagnostics and Life Sciences sector and has a proven track record in financing, regulatory approvals, scale-up and commercialization" stated Mr. Clive Beddoe, Chair of the Board at SQI. "Andrew's deep knowledge of the SQI business and his compelling leadership skills give us great confidence that SQI will successfully obtain FDA approval for the Company's HOME Antibody Test and direct the AZOVA marketing and distribution partnership announced July 15, 2021. His experience in driving company growth will also allow us to achieve SQI's strategic vision of bringing precision medicine to the area of organ health."

Andrew Morris was most recently Managing Partner of ATTWILL Medical Solutions, a privately held medical device and life sciences manufacturer. Prior to this he was CEO of SQI Diagnostics following seven years as CFO, taking SQI public in 2007. Andrew has 30 years in the technology, finance and life sciences industries as CFO, CEO and co-founder of public and private companies. He has raised and managed significant investor capital, helped grow the operations of, and exits of multiple businesses, and created mutually successful partnerships across a broad spectrum of businesses.  Andrew holds a BSc Hons (Western University); MSc (University of Toronto) and an MBA (University of Toronto Rotman School of Management).   https://www.linkedin.com/in/andrew-morris-5b16a9/

Mr. Morris stated "I am excited to bring experience gained in the recent commercial success from my last role where the company received an FDA clearance for its medical device and delivered on large and growing product orders and revenues following its launch.   SQI is poised for this same exciting challenge to scale-up and to sell into large and growing markets in COVID antibody monitoring and in our partnerships in organ health."

In connection with the appointment of Mr. Morris as CEO, Mr. Clive Beddoe has stepped down as Interim CEO. Mr. Beddoe will continue to serve as the Executive Chair and a director of SQI.

SQI has granted to Mr. Morris an aggregate of 12,000,000 stock options ("Options") to purchase common shares in the capital of the Company ("Shares") for a period of five years, at an exercise price of $0.20 per Share (the "CEO Option Grant"), subject to earlier termination in certain circumstances, under the Company's amended and restated stock option plan (the "Plan"). 7,000,000 of the Options vest and become exercisable based on the Company achieving certain prescribed milestones and 5,000,000 of the Options vest over two years in 23 equal installments of 208,333 Options and one installment of 208,341 Options every month from the date of the grant, subject to certain conditions and subject to accelerated vesting in certain circumstances.

An additional maximum of 3,000,000 Options have been reserved for issuance to Mr. Morris in the future (the "Replacement Options") pending fulfilment of certain conditions including the exercise of existing Options held by Mr. Morris. Such Replacement Options will be priced as of the market price at the time of grant.

The Plan was approved by shareholders at the Company's annual and special meeting held on March 31, 2021. Following the CEO Option Grant, 27,268,319 Shares will be issuable on exercise of outstanding Options under the Plan (representing approximately 7.5% of the issued and outstanding Shares) and 23,545,934 Shares remain available for issuance (representing approximately 6.5% of the issued and outstanding Shares).

About SQI Diagnostics

SQI Diagnostics is a life sciences and diagnostics company that is leading the way in healthcare utilizing state-of-the-art technology to rapidly diagnose, triage and provide medical insights to patients. We strive to improve people's lives and assist their healthcare providers by providing quality clinical health information backed by years of research and clinical data. For more information, please visit www.sqidiagnostics.com.

FORWARD-LOOKING INFORMATION

This press release contains certain words and statements, which may constitute "forward-looking statements" within the meaning of applicable securities laws relating to future events or future performance and reflect the current expectations and assumptions of the Company regarding its growth, results of operations, performance, business prospects and opportunities. These statements generally can be identified by use of forward-looking words such as "may", "would", "could", "will", "should", "expect", "plan", "estimate", "anticipate", "intends", "believe", "potential", or "continue" or the negative thereof or similar variations. The Company's actual results and performance discussed herein could differ materially from those expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, competition, the effect of the global pandemic and consequent economic disruption, and the factors detailed in the Company's ongoing filings with the securities regulatory authorities, available at www.sedar.com. Although the forward-looking statements contained herein are based on what we consider to be reasonable assumptions based on information currently available to us, there can be no assurance that actual events, performance or results will be consistent with these forward looking statements, and our assumptions may prove to be incorrect. Readers are cautioned not to place undue reliance on these forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements either as a result of new information, future events or otherwise, except as required by applicable law.

Neither 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.

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SOURCE SQI Diagnostics Inc.

FAQ

Who is the new CEO of SQI Diagnostics?

Andrew Morris has been appointed as the new CEO of SQI Diagnostics, effective September 11, 2021.

What experience does Andrew Morris bring to SQI Diagnostics?

Andrew Morris has extensive experience in diagnostics and life sciences, notably as a former CEO and CFO of SQI.

What are the key responsibilities of Andrew Morris as CEO?

Morris will focus on securing FDA approval for the HOME Antibody Test and leading the company's growth strategy.

What stock options were granted to Andrew Morris?

Morris was granted 12,000,000 stock options at an exercise price of $0.20, with specific vesting conditions.

What is the potential impact of Andrew Morris's appointment on SQI Diagnostics?

Morris's leadership could drive the company's strategic vision and enhance its market position in diagnostics.