TORONTO, ONTARIO--(Marketwire - Sept. 12, 2012) - Gemoscan Canada, Inc. ("Gemoscan" or the "Company") (TSX VENTURE:GES), (MUN:1GE) announces its intention to issue shares for services to two consultants of the Company in exchange for the provision of certain strategic advisory services ("Advisory Services").
Gemoscan has entered into an agreement with one consultant (the "First Consultant") to provide Advisory Services (the "First Agreement"). Pursuant to the terms of the First Agreement, the Company will be issuing Cdn.$7,000 in Class A Shares (the "Shares") per month to the First Consultant. The number of Shares to be issued to the First Consultant each month will be determined by using the closing price of the Shares on the TSX Venture Exchange ("TSXV") on the first trading day of the month following the month for which the services were rendered by the First Consultant. The initial term of the First Agreement is 180 days in duration and the Company expects the fist issuance of Shares under the First Agreement to occur on or about October 1, 2012.
In addition to the Shares being issued as monthly compensation to the First Consultant, the Company shall issue Cdn.$15,000 in Shares upon the First Consultant's successful launch of each pilot program with a major retailer as identified in the First Agreement (the "Pilot Shares"). The number of Pilot Shares to be issued to the First Consultant will be determined by using the closing price of the Shares on the TSXV on the first trading day of the month following the month in which a pilot program has been successfully launched by the First Consultant.
Gemoscan has also entered into an agreement with a second consultant (the "Second Consultant") to provide Advisory Services (the "Second Agreement"). Pursuant to the terms of the Second Agreement, the Company will be issuing Cdn.$4,000 in Shares per month to the Second Consultant. The number of Shares to be issued to the Second Consultant each month will be determined by using the closing price of the Shares on the TSXV on the first trading day of the month following the month for which the services were rendered by the Second Consultant. The initial term of the Second Agreement is 90 days in duration and the Company expects the first issuance of Shares under the Second Agreement to occur on or about October 1, 2012.
The provisions of both the First Agreement and the Second Agreement are subject to approval by the TSX Venture Exchange and to compliance with all applicable regulatory requirements.
ABOUT GEMOSCAN CANADA, INC.
Gemoscan is an industry leader in food intolerance management and maintains a first-to-market position with Canada wide distribution through select retail partners. Founded in 2003, using its proprietary patented technology; Gemoscan develops, owns and markets comprehensive food sensitivity and dietary management solutions for consumers, including the HEMOCODE™ Food Intolerance System, a personalized naturopathic nutritional program that promotes well-being. Gemoscan is the first and only provider to commercialize a food intolerance management solution directly to consumers in partnership with retailers, and today offers the most comprehensive services available.
Gemoscan Canada, Inc. trades its shares on the Toronto Venture Exchange (TSX-V) under the symbol GES and is quoted on the Munich, Frankfurt and Stuttgart Stock Exchanges under the symbol 1GE.
This news release contains certain "forward-looking information". All statements, other than statements of historical fact that address activities, events or developments that Gemoscan believes, expects or anticipates will or may occur in the future. These forward-looking statements reflect the current expectations or beliefs of Gemoscan based on information currently available to Gemoscan. Forward-looking statements are subject to a number of significant risks and uncertainties and other factors that may cause the actual results of Gemoscan to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Gemoscan. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Gemoscan disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Gemoscan believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Neither 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.