VANCOUVER, British Columbia, July 17, 2018 /CNW/ -- Lifestyle Delivery Systems Inc. (CSE: LDS), (OTCQX: LDSYF), (Frankfurt: LD6, WKN: A14XHT) ("LDS" or the "Company") announces that its affiliate, CSPA Group, Inc. ("CSPA"), has received over CAD$200,000 (two hundred thousand dollars) in revenue during the last week of June 2018.
The revenue was associated with sales of extracted distillate in the last week of June 2018 marking the beginning of white label distillate production. The Company has redesigned all of its packaging for Rêveur and CannaStripsTM to meet the latest California regulations which went into effect on July 1, 2018. The new packaging for Rêveur arrived on July 10, 2018, and CSPA estimates that repackaging of the inventory will be completed by July 18, 2018. The new CannaStripsTM packaging is scheduled to arrive during the last week of July 2018 at which time the production of CannaStripsTM with their new flavours and advanced formulae will begin. The Company will have updates as information becomes available.
Extension of Financial Milestones for Escrow Agreements
In addition, on June 28, 2018, the Company's Board of Directors resolved to extend the deadline for satisfying certain financial milestones set out under the terms of its escrow agreements with the former shareholders of Canna Delivery Systems Inc. ("Canna"). Under the terms of the escrow agreements, a total of 7,800,000 common shares issued to the former shareholders of Canna (the "Performance Shares") were held in escrow, subject to release upon the Company achieving certain financial milestones by June 30, 2018 (as amended on December 29, 2017). The Company has agreed to extend the deadline for satisfying the financial milestones until September 30, 2018. As of the date of this news release, a total of 2,100,000 Performance Shares remain subject to escrow, of which 840,000 Performance Shares are held by the Company's CEO, Brad Eckenweiler.
About Lifestyle Delivery Systems Inc.
Lifestyle Delivery Systems Inc. is a technology company that licenses its technology to a state-of-the-art production and packaging facility located in Southern California. The Company's technology produces infused strips (similar to breath strips) that are not only a safer, healthier option to any other form of delivery but also allows for inclusion of a wide spectrum of ingredients from over the counter medications to homeopathic, nutraceutical, vitamins and supplements. The technology provides a new way to accurately meter the dosage and assure the purity of selected product. From start to finish, the production process, based on the Company's technology, tests for quality and composition of all the ingredients used in each and every strip which results in a delivery system that is safe, consistent and effective.
On behalf of the board of directors of Lifestyle Delivery Systems Inc.
The Canadian Securities Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. The Company cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among other things: risks and uncertainties relating to the Company's limited operating history and the need to comply with environmental and governmental regulations. In addition, marijuana remains a Schedule I drug under the United States Controlled Substances Act of 1970. Although Congress has prohibited the US Justice Department from spending federal funds to interfere with the implementation of state medical marijuana laws, this prohibition must be renewed each year to remain in effect. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward looking information. Except as required under applicable securities legislation, The Company undertakes no obligation to publicly update or revise forward-looking information.