Biosenta Inc.
CNSX : ZRO

Biosenta Inc.

March 26, 2015 17:00 ET

Biosenta Inc. Provides a General Business Update About Both the Industrial and Consumer Divisions as Well as Recent Legal Matters and Funding Activities

TORONTO, ONTARIO--(Marketwired - March 26, 2015) - Biosenta Inc. (Biosenta) (CSE:ZRO) is pleased to provide the following business update about its operations.

Industrial Division

In the December 2014 to January 2015 time frame, the "Tri-Filler" product was successfully manufactured at the Parry Sound plant and samples from the plant were examined at an independent laboratory to confirm the particles were being manufactured to specification and that complete nano-encapsulation had occurred during production.

In March, 2015, Tri-Filler was successfully used by a large plastics manufacturer in their production plant and the product manufactured using Tri-Filler was manufactured without any production issues. The next step is to test the product manufactured by the plant for anti-microbial, fire retarding and strength properties at an independent laboratory. Biosenta expects these tests to be conducted within the next two months.

Discussions with other potential customers to test Tri-Filler in industries, beyond plastics and resins, is also progressing. Discussions with potential customers in the building, carpet and paint industries are taking place.

In addition, discussions with the Canadian Standards Association (CSA) will commence in April to define new product standards for Tri-Filler as it represents an innovative and unique product type.

Consumer Division

The ZeroMold (liquid disinfectant) product is being placed into a large grocer's stores across Canada. As of this date, Biosenta estimates that approximately 600 stores have received the product. Biosenta has also successfully listed ZeroMold in two other retailers in Canada in the February and March timeframe.

The second generation disinfectant, called "TRUE", is undergoing approvals in both the U.S. and Canada.

Biosenta expects approvals from the EPA in the U.S. in June, 2015, and in the September timeframe in Canada.

A third generation disinfectant, to be called "Purity", has been developed to possess faster anti-microbial action than TRUE and with a lower pH. Biosenta's product strategy is to provide products that are both safe and powerful and Purity will fulfil this strategy and represent an innovative disinfectant relative to currently available disinfectants. Purity will be tested over the next two months at an independent laboratory to refine the formulation. The goal is to use Purity in hand sanitizer and wipes as well as a disinfectant.

Legal Matters

Three separate legal matters are discussed below.

First, Biosenta has successfully concluded a settlement with MVB Asset Management Inc., Paul Van Benthem, John Vizzini and Johan Mosaheb a legal dispute that began in March 1, 2012. The successful resolution of this dispute on terms acceptable to Biosenta removes a long standing and significant dispute.

Second, the Board of Biosenta (Board) has uncovered evidence that possible improprieties and breaches of fiduciary duty may have been committed by former directors. A review of these matters is underway as a priority.

Third, Marcus Martin and Edward Pardiak are co-inventors of inventions relating to the ZeroMold formulation and the process for producing the Tri-filler product. Both inventors have agreed in writing to assign the inventions to Biosenta. Pardiak has refused to execute an assignment in favour of Biosenta as required pursuant to a written agreement between both inventors and Biosenta. Biosenta is nevertheless taking steps to have itself recorded as the owner of the patent applications relating to the inventions.

Funding

Biosenta has been funding its operations through the issuance of convertible debentures (CDs) over the past year. Biosenta intends to seek to continue to issue CDs, as needed, as well as assess other forms of funding. As details about new funding sources become available, Biosenta intends to provide an update.

Forward looking information: There can be no assurances that the laboratory tests, discussions or product standard initiatives will be successful for the Consumer Division products. In addition, there can be no assurance that retail sales results, or regulatory approvals will be successful for the Consumer Division products. Also, there can be no assurance as to the outcome of the possible improprieties or this patent dispute discussed above. Finally, there can be no assurance that sufficient funding will be available to enable Biosenta to continue as a going concern or as to the terms thereof.

About Biosenta Inc.: Biosenta Inc. develops and manufactures a range of chemical compounds for household and industrial applications using advanced nanotechnology.

The household disinfectants and cleaners possess similar levels of efficacy as traditional disinfectants with significantly lower concentrations of active ingredients resulting in lower toxicity. These disinfectants and cleaners will kill 100% of potentially deadly mold, fungi, bacteria and viruses on contact and prevent re-growth. These disinfectants are very safe due to the very low toxicity.

The industrial compounds are embedded to protect various materials, including drywall, plastics and resins, from microbe formation. These compounds remain active for decades and protect the drywall of buildings, objects such as resin furniture, and carpet which contain plastic or resin, as well as textiles and paper from mold, fungi, bacteria and viruses.

Both the household and industrial products are environmentally safe and biodegradable.

Disclaimer: The CSE has in no way passed upon the contents of this press release and further, has neither approved nor disapproved of the contents of this press release. Neither the CSE nor its Regulation Services Provider (as such term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.

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