DNA Brands provides Shareholder Update
FORT LAUDERDALE, Fla., Oct. 30, 2018 (GLOBE NEWSWIRE) — DNA Brands Inc., (OTC PINK: DNAX), would like to update shareholders as to recent company developments. Effective 10/30/2018, the company has completed a reverse split of its common stock. This reverse split was absolutely necessary, both for shareholders and the company in order to be able to move forward.
With the recent change in most brokerage firms policies in relation to “Penny/ Sub Penny Stock,” a reverse split was necessary for DNA Brands to grow, obtain financing, and attract new suitors in an ever-changing marketplace. This will now allow DNA Brands to conduct the following:
A) The company can now attract adequate equity financing as opposed to debt funding.
B) Long time PPM investors can now deposit their stock certificates.
C) There will be a lot more online firms who can now trade the stock, therefore more market makers and liquidity.
D) The capital structure is now at a much more manageable level. This will allow DNA Brands to attract financing.
E) Management now has the opportunity to start with a clean slate so as to build shareholder value.
Since the company’s last press release, many positive behind-the-scenes actions have transpired.
DNA Brands has managed to eliminate the regulators number one targeted debt fund off of its books. Management has also attracted talks with various revenue generating acquisition candidates. In this regard, DNA Brands has recently opened discussions with a certain “private equity group.” This “group” with mass international distribution, has expressed interest in licencing and diversifying the Two Time Award Winning DNA Energy Drink Line internationally.
Timing is a crucial factor and in light of recent positive corporate developments, DNA Brands has been more open, and in talks regarding growing the drink line, offering CBD based drinks, Spirits and a water line. With brands like Coca Cola, Heineken and Molson Coors entering the CBD market, management has been more open to working with partners to develop an already existing award winning line.
Although the DNA Energy Drink is not the company’s core focus, it is the major asset to the company. “Should the energy drink line get licensed out (favorable plans are currently in discussion), it will provide the company with a robust passive income. A potential international licencing agreement is a much easier path to market. With the international distribution capabilities of this fund (who only attract top notch partners), it will literally be a plug-and-play business overnight. The “private equity fund” will benefit per unit sold, all the while having their network will handle the logistics. Most importantly, DNA Brands and its shareholders will benefit as a result. Stay tuned for further updates, stated CEO Adrian McKenzie.”
DNA Brands has positioned itself to now move ahead as it closes its 2018 season.
In the coming months, DNA Brands will be retaining a preselected PCAOB accounting firm, to begin the process of once again becoming an audited fully reporting company.
In addition, DNA Brands will be commencing a Reg A (Tier 2) offering, in anticipation of kicking off 2019 with the right projects. The company is actively accepting term sheets, and has already received funding commitments on specific projects.
In the weeks ahead, CEO Adrian McKenzie will be conducting an interview on Uptick Newswire, to further bring the public up to speed.
As stated in the company’s last interview on Uptick Newswire, management had been waiting to receive a clearer definition of ICO’s/Tokens in the eyes of the SEC. Since then, the SEC has defined most Tokens as securities, therefore requiring SEC Registration and approval as a security (basically permission) to proceed. “Although we do own Token Talk, its future associated costs far outweigh the benefits at this time. Therefore, in light of the SEC providing guidance defining Tokens, not only is it prudent, it does not make any sense for DNA Brands to follow up with any more token projects at this time,” said Adrian McKenzie.
Between now and the end of 2018, management will be working to address the website and social media to better reflect the direction of the company.
“As a result of recent corporate actions that DNA Brands has undertaken, the company has never been in a better position. As we look to the beginning of 2019 ahead, we are anticipating very positive developments to take place,” concluded McKenzie.
The company would like to thank all of its shareholders for their patience with the company during this quiet period. During the past year, the company has been working diligently with its attorneys, FINRA, noteholders and business partners to bring revenue producing ventures and acquisitions to carry on the business plan of growth through acquisition. First though, it had to complete the necessary reverse split in order to move forward. More active regular communication with shareholders will be forthcoming.
This press release contains statements that are “Forward-Looking” in nature (within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1993, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended). All Statements regarding the Company’s financial position, potential, business strategy, plans and objectives for future operations are Forward-Looking statements. Many of these statements contain words such as “goal,” “aims,” “may,” “expect,” “believe,” “intend,” “anticipate,” “estimate,” “continue,” “would,” “exceed,” “should,” “steady,” “plan,” “potential,” “dramatic,” and variations of such words and similar expressions identify Forward-Looking statements, but their absence does not mean that a statement is not a Forward-Looking statement. Because Forward -Looking statements involve future risks and uncertainties, there are many factors that could cause actual results to differ materially from those expressed or implied. The Company cannot predict the actual effect these factors will have on its results and many of the factors and their effects are beyond the Company’s control. Any forward-looking statement made by the Company speaks only as of the date on which it is made. The Company is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, subsequent events or otherwise. Given these uncertainties, you should not rely too heavily on these forward-looking statements.
Adrian P. McKenzie (561) 654-5722