CannTrust updates on late filing, Health Canada issues

|About: CannTrust Holdings Inc. (CTST)|By:, SA News Editor

In an interim update, CannTrust Holdings (NYSE:CTST) says its application for a management cease trade order has been approved by the Ontario Securities Commission.

The company had sought the order Aug. 1 after it became likely it would miss an Aug. 14 deadline to file interim financial reports. The timing of the filings now depends on Health Canada decisions about the company's noncompliance with regulations.

CannTrust is preparing a remediation plan for submission to Health Canada.

It's also working with the NYSE to keep the exchange apprised of the Health Canada interactions; the NYSE is closely watching the late filing issue.

Meanwhile, CannTrust says it estimates value of inventory and biological assets impacted by the Health Canada decisions is about $51M, with impacted inventory estimated to be 53% of total inventory and impacted bio assets making up about 30% of the total bio assets as of June 30.

The company had $250M in cash and equivalents as of June 30.

Shares are down 1.5% after hours.

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