Veji to Wind-down US Operations

Rhea-AI Summary

Veji Holdings Ltd. (CSE:VEJI) (OTCQB:VEJIF) announces plans to wind down its US operations, including Veg Essentials LLC and VEDGEco USA Inc., following the sale of VeganEssentials.com and associated assets. Citing current market conditions and lack of access to external capital, the company will cease all active commercial operations in the plant-based sales sector. Management is evaluating the next steps due to concerns over the cash position, scheduled debt, and forecasted expenses.

Positive

• None.

Negative

• Winding down all US operations, leading to the cessation of active commercial operations.
• Unable to fund commercial operations due to market conditions and lack of access to capital.
• Concerns over cash position, scheduled debt, and forecasted expenses could limit future opportunities.

VANCOUVER, BC / ACCESSWIRE / November 9, 2022 / Veji Holdings Ltd. (CSE:VEJI) (OTCQB:VEJIF) (the "Company'' or "Veji") announces that following the Company's August 1st news release regarding the Strategic Process initiated by the Board of Directors (the "Board"), and after having completed the sale of its domain, VeganEssentials.com, and associated intellectual property and assets (the "Previous Disposition"), that the Company plans to wind-down the remainder of its US operations including Veg Essentials LLC, and VEDGEco USA Inc., the Company's B2B division. Given current market conditions, and lack of access to external capital, the Company cannot continue to fund its commercial operations. As the result of the Previous Disposition and the decision to wind-down the remainder of its US operations, the Company ceases to have any active commercial operations in the plant-based sales and distribution space. After careful consideration of the Company's cash position, scheduled debt and forecasted expenses, the Company's management and its Board will be evaluating next steps over the coming weeks.

About Veji Holdings Ltd.

The Company is a reporting issuer in Canada and is listed on the Canadian Securities Exchange under the symbol "VEJI" and on the OTC under the symbol "VEJIF".

For more information please visit VejiHoldings.com

ON BEHALF OF THE BOARD OF DIRECTORS:

Kory Zelickson

Director and CEO

For investor inquiries or further information, please contact: IR@VejiHoldings.com

Find Veji on Social Media: on Instagram, Facebook, Twitter and LinkedIn

No securities regulatory authority has either approved or disapproved of the contents of this news release.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This press release contains certain forward-looking statements within the meaning of applicable securities laws with respect to the Company. These forward-looking statements generally are identified by words such as "believe," "project," "expect," "anticipate," "estimate," "intend," "strategy," "future," "opportunity," "plan," "may," "should," "will," "would," and similar expressions. Forward-looking statements in this press release relate to, without limitation, the future of the Company's business and its ability to continue to operate. Although the Company believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information because the Company can give no assurance that they will prove to be correct. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release including, without limitation, the risk factors described in the Company's management discussion and analysis for the year ended December 31, 2021. Readers are cautioned that the foregoing list of factors is not exhaustive. The forward-looking statements included in this news release are expressly qualified by this cautionary statement. The forward-looking statements and information contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable laws.

SOURCE: Veji Holdings Ltd.

View source version on accesswire.com:
https://www.accesswire.com/724695/Veji-to-Wind-down-US-Operations

FAQ

What did Veji Holdings announce on November 9, 2022?

Veji Holdings announced plans to wind down its US operations following the sale of VeganEssentials.com, citing market conditions and funding issues.

How will the wind-down affect Veji Holdings' operations?

The wind-down will lead to the cessation of all active commercial operations in the plant-based sales and distribution space.

What prompted Veji Holdings to wind down its US operations?

The decision was made due to current market conditions, lack of access to external capital, and concerns over cash flow and debt.

What are the implications for investors in Veji Holdings (VEJIF)?

Investors should be aware that the cessation of operations may negatively impact the company's financial performance and stock value.