Sitebrand Inc.
TSX VENTURE : SIB

Sitebrand Inc.

August 09, 2011 16:30 ET

Sitebrand Inc. Files Financial Statements and Obtains Revocation of Cease Trade

OTTAWA, ONTARIO--(Marketwire - Aug. 9, 2011) - Sitebrand Inc. (TSX VENTURE:SIB) (the "Company") is pleased to announce that effective August 5, 2011 and August 8, 2011 the Ontario Securities Commission and British Columbia Securities Commission, respectively, have issued orders revoking the cease trade orders that were issued on April 15, 2011 and April 7, 2011, respectively.

The cease trade orders were issued as a result of the Company's failure to file on a timely basis its audited annual financial for the year ended November 30, 2010 along with related management's discussion and analysis and the applicable officer's certifications (the "Annual Filings"). Subsequently, the Company also failed to file on a timely basis its interim financial statements for the period ended February 28, 2011 along with the related management's discussion and analysis and the applicable officer's certifications (the "Interim Filings"). The Company filed the Annual Filings on June 3, 2011 and the Interim Filings on June 14, 2011. These filings can be found at www.sedar.com.

The Company also confirmed that it filed restated management's discussion and analysis for its first quarter ended February 28, 2011 on July 15, 2011, held its annual and special meeting of shareholders on June 30, 2011 and filed its interim financial statements for the period ended May 31, 2011 along with the related management's discussion and analysis and the applicable officer's certifications. These filings can also be found at www.sedar.com.

The Company's first quarter MD&A was re-filed in order to expand upon the Company's disclosure with respect to its future plans for financing and operations and its IFRS changeover plans.

The Company's shareholders approved all proposed resolutions at the AGM, including the re-election of John Eckert, Bruce Linton and Peter Evans as directors, the consolidation of the Company's common shares on a 5 to 1 basis and the change of the Company's name to Marchwell Ventures Ltd.

The Company recorded no revenue for the three month period ended May 31, 2011. This compares to $483,576 in the same period in the prior fiscal year. This was due to bankruptcy of the Company's revenue generating subsidiary, SiteBrand.com Inc. during the first quarter of 2011.

The net loss for the three months ended May 31, 2011 was ($73,473), as compared to a loss of ($29,161) for the same period in the prior fiscal year. The net gain for the six months ended May 31, 2011, was $798,903, as compared to a loss of ($141,325) for the same period in the prior year. Of the net gain this year, $943,322 was due to a gain on the net write off of assets and liabilities of Sitebrand.com as consolidated with Sitebrand Inc.'s loss on its investment and loans with its subsidiary.

Subject to regulatory approval, the Company intends to proceed with its plans to consolidate its common shares, to change its name, and to complete a private placement raising gross proceeds of approximately $1 million by the issuance of subscription receipts for units at a price of $0.01125 per unit (on a pre consolidation basis or $0.05625 on a post consolidation basis). Each unit will be comprised of one common share and a warrant to purchase one additional common share at an exercise price of $0.10 for a period of 2 years following the satisfaction of certain release conditions.

Disclaimer: Statements in this release that are forward looking involve known and unknown risks and uncertainties, which may cause the company's actual results in future periods to be materially different from any future performance that may be suggested in this release. The company assumes no obligation to update any forward-looking statements contained in this release.

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.

Contact Information

  • Sitebrand
    John Eckert
    Chairman of the Board
    416-363-2000