ROADMAN INVESTMENTS ENTERS INTO LETTER OF INTENT TO ACQUIRE PANASIA DISTRIBUTION CORP.
VANCOUVER, British Columbia, March 13, 2020 (GLOBE NEWSWIRE) — Roadman Investments Corp. (TSXV: LITT)(FWB: 1QD)(OTC: RMANF) (“Roadman Investments” or the “Company”) is pleased to announce that on March 12, 2020 the Company has entered into a Letter of Intent (“LOI”) to acquire 75 per-cent of the issued and outstanding shares of PanAsia Distribution Corp. (“PanAsia Distribution”) an arms length transaction. Roadman and PanAsia will collaborate to integrate the Company’s recently acquired portfolio company CLOV Biopharma Corp’s (CBP) utilization of cedar leaf oil vapour in a variety of both clinical laboratory and real world commercial scenarios into the Asia Pacific region.
PanAsia Distribution, by way of a commercial concession with Hong Kong domiciled Shanghai Ingredients Trading Limited (“Shanghai Ingredients Trading”), controls a distribution agreement for CBP’s cedar leaf oil pharmaceuticals (CLOV) for the territories of People’s Republic of China (“China”) and Hong Kong Special Administrative Region. The distribution agreement extends to Roadman’s portfolio of cedar leaf-infused and/or cedar leaf vapor-derived pharmaceutical care products, which are in development, for which Shanghai Ingredients Trading will have an exclusive agreement for sales in China.Shanghai Ingredients Trading’s principals boast over ten years’ experience specializing in the importation and customization of premium Western Pharmaceutical Drugs (“PDs”) for the Chinese marketplace. With the onset of COVID-19 and with the World Health Organization now reporting 95,265 global cases of COVID-19 with 3,281 deaths we are optimistic that their experience and contacts will be able to bring significant market demand for our products. Shanghai Ingredients Trading management team have previously distributed premium Canadian PDs into China’s largest retail chains and C-stores, including RT-Mart International Ltd and Carrefour SA.Roadman and Shanghai Ingredients Trading have commenced collaboration on a variety of product customization and distribution initiatives for its soon to be ready CLOV line, with the objective of tailoring the Company’s product offering for rapid uptake into the Asian drug markets. The Company’s product line derived from 100 per-cent cedar leaf oil will be marketed by way of brick-and-mortar retail outlets, Amazon Prime, as well as direct to consumer, through an integrated Shopify e-commerce platform. The Company anticipates that the first of its products will be ready as soon as April 15, 2020. Roadman and Shanghai Ingredients Trading’s ongoing drug customization and distribution deliverables include:National listings, leveraging Shanghai Ingredients Trading’s high-traffic distribution channels;Certificate of Analysis (“COA”) authorization;Product and packaging customization;Development of a full-spectrum cedar leaf oil, infused with cedar leaf vapour;Architecture of a network of CLOV branded pop-up stores, further expanding the company’s retail footprint and brand presence in an economical and contemporary manner;Integration into Shanghai Ingredients Trading’s proprietary direct to customer Asia sales WeChat platform;Customs brokerage; and,Logistics optimization.Luke Montaine, Chief Executive Officer of Roadman, stated: “Chinese based consumers have long been enamoured with premium Canadian pharmaceutical products. Roadman’s distribution agreement with Shanghai Ingredients Trading complements our pursuit to capture international shelf space for our cedar leaf oil pharmaceutical products, within jurisdictions positioned for geometric growth.”James Foster, CEO of Shanghai Ingredients Trading, commented: “Shanghai Ingredients Trading has selected Roadman as its partner of choice for commercialization and distribution, due to the first-rate nature of our assets, human capital and manufacturing capabilities. Canadian manufactured pharmaceutical products are considered to be from amongst the highest valued by Chinese consumers for their high quality, their brand innovations and integrity. Partnering with Roadman gives us direct access to some of the most well-known and effective products in the Western world to sell through our distribution channels in Asia. Our proprietary sales platform utilises WeChat a Chinese mobile application. We look forward to making this venture a lasting success as Asian marketplaces continue to open up and develop.”Under the terms of the LOI, Roadman will acquire 75 per cent of the issued and outstanding shares in the capital of Panasia Distribution, in exchange for an aggregate of 12 million common shares in the capital of the Company, based upon the five-day volume-weighted average price (“VWAP”) of Roadman common shares for the five trading sessions prior to the announcement of the definitive agreement, which has to be signed within 30 days of LOI signing. The closing of this acquisition is subject to TSX Venture Exchange approval.A finders fee is payable on this transaction which will be the maximum allowable finders fee according to the TSX-Venture Exchange guidelines.The company would also like to announce that David Yoo has resigned from the board of directors. We thank him for his service and wish him well on his future endeavours.About Roadman Investments
Roadman Investments is a Canadian Venture Capital and Advisory Firm that strives to actively drive innovation and accelerate growth within its portfolio holdings in order to realize alpha returns for its shareholders. Roadman invests capital into companies that offer breakthrough products, devices, treatments and health supplements.Luke Montaine
Roadman Investments Corp.
[email protected] Neither the 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.This news release includes certain statements that constitute “forward-looking information” within the meaning of applicable securities law, including without limitation, potential positive outcomes or effects with cedar leaf oil vapor and any potential further studies conducted, sourcing or manufacturing an appropriate diffuser, other statements relating to the financial and business prospects of the Company, and other matters.Forward-looking statements address future events and conditions and are necessarily based upon a number of estimates and assumptions. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects” or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “estimates” or “intends”, or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved), and variations of such words, and similar expressions are not statements of historical fact and may be forward-looking statements. Forward-looking statement are necessarily based upon a number of factors that, if untrue, could cause the actual results, performances or achievements of the Company to be materially different from future results, performances or achievements express or implied by such statements. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the price of metals, anticipated costs and the ability to achieve goals, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed and on reasonable terms. While such estimates and assumptions are considered reasonable by the management of the Company, they are inherently subject to significant business, economic, competitive and regulatory uncertainties and risks.Factors that could cause actual results to differ materially from those in forward looking statements include, but are not limited to, continued availability of capital and financing and general economic, market or business conditions, the loss of key directors, employees, advisors or consultants, increase in costs, litigation, failure of counterparties to perform their contractual obligations and fees charged by service providers. Investors are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements. The forward-looking statements included in this news release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. This news is not for dissemination in the United States of America.