ViaDerma, Inc. Files Amended Financial Statements

Rhea-AI Summary

ViaDerma, Inc. (OTC Pink: VDRM) reported on August 24, 2021, a quarterly financial review revealing Convertible Notes Payable of $281,538 and a Convertible Line of Credit totaling $19,000. An internal audit disclosed that outstanding convertible debt was actually $300,358, contradicting a previous statement about settling these liabilities. Additionally, VDRM identified an unrecorded liability of $200,000. The company is preparing to receive funds from a recent Dubai transaction, which will facilitate a financial audit, a crucial step toward potential OTCQB listing.

Positive

• Funds from a Dubai transaction have been received, enabling future audits.
• The company plans to engage a PCAOB-registered auditing firm for financial audits.

Negative

• The company incorrectly stated it had paid off convertible debt, leading to trust issues.
• An unrecorded liability of $200,000 was identified, affecting financial transparency.

LOS ANGELES, Aug. 24, 2021 (GLOBE NEWSWIRE) -- ViaDerma, Inc., (“Company”) (OTC Pink: VDRM) published a Quarterly Report for the three months ended March 31, 2021, on the OTC Markets website reporting Convertible Notes Payable of $281,538.00 and a Convertible Line of Credit of $19,000.00.  Two weeks prior, the Company had issued a press release dated March 16, 2021, stating that it had paid off all of its toxic convertible note liabilities. That press release was not accurate, although it was thought to be at the time. This month, an internal review by VDRM’s accountant determined that the total outstanding convertible debt as of March 31, 2021, was equal to $300,358.00, and this debt was not paid off or settled as stated in its press release.  Separately, the internal review found that VDRM had an unrecorded and non-disclosed liability of $200,000.  The Company has restated its previous financial statements to reflect this liability. The notes in question were originally issued in 2018.

Additionally, the Company is also announcing that the payment from the recently disclosed transaction in Dubai has been paid and received into an escrow account. Release of the funds to ViaDerma is imminent. ViaDerma intends to allocate part of the proceeds from those funds to engage a qualified auditing firm registered with the Public Company Accounting Oversight Board (PCAOB) to complete an audit of ViaDerma’s financials for the previous two years. Audited financials are required before ViaDerma can make application for listing on the OTCQB and become a fully SEC reporting company.

Dr. Chris Otiko, ViaDerma President and CEO, stated, “This was a very regrettable oversight and error on our part. As soon it was brought to my attention, I took swift action to rectify the matter and disclose it to our shareholders. Our accountant has amended our previous filings that were affected by this error, which was the reason for the delay in filing our 2^nd quarter financial statement.”

Dr. Otiko also said, “This mistake on our part, while unfortunate, does not diminish our accomplishments so far. Our main product, Vitastem, consistently delivers excellent results to our consumers and is steadily becoming more widely known. We are very enthusiastic about the future of the Company and what lies ahead.”

About ViaDerma, Inc.
ViaDerma, Inc. (OTC: VDRM) is a publicly traded specialty pharmaceutical company committed to bringing new products to market and licensing its innovative technology to current leaders in the pharmaceutical industry in a wide variety of therapeutic areas. For more information, visit: www.viadermalicensing.com

Any forecast of future performance is a "forward looking statement" under securities laws. Such statements are included to allow potential investors the opportunity to understand management’s beliefs and opinions with respect to the future so that they may use such beliefs and opinions as one factor among many in evaluating an investment.

Contact information:
Investor Relations
Email:  info@viadermalicensing.com
Phone: 310-734-6111
Follow us on Twitter: ViaDerma Official @viaderma
Like us on Facebook: ViaDerma-VDRM @viadermapharma

FAQ

What were the financial findings in ViaDerma's recent report?

ViaDerma reported Convertible Notes Payable of $281,538 and a Convertible Line of Credit of $19,000, with total outstanding convertible debt of $300,358.

How much unrecorded liability did ViaDerma discover?

ViaDerma found an unrecorded liability of $200,000, which has been disclosed in their financials.

What are ViaDerma's plans following the Dubai transaction?

ViaDerma intends to use funds from the Dubai transaction to hire a PCAOB-registered auditing firm for financial audits.

Why did ViaDerma restate its previous financial reports?

The restatement was necessary due to the oversight regarding the company's convertible debt and unrecorded liabilities.