Solegear Bioplastic Technologies Inc.

Solegear Bioplastic Technologies Inc.

July 02, 2015 08:30 ET

Solegear Reports First Quarter Financial Results & Highlights

Company Positions for Growth in Q1 by Achieving Capital & Commercial Milestones

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 2, 2015) - Solegear Bioplastic Technologies Inc. (TSX VENTURE:SGB) ("Solegear") today issued its financial results for the three month period ending May 31, 2015 ("Q1"). A copy of the unaudited interim financial statements, as well as Management's Discussion and Analysis (MD&A) are available on SEDAR.

In its first fiscal quarter as a TSX Venture listed company, Solegear achieved several capital and commercial milestones, with the key highlight being its successful listing on the TSX Venture Exchange at the end of March. "Completing our public listing was a large achievement for the company and was a step towards recognizing stronger valuations for our shareholders," said Paul Antoniadis, CEO of Solegear. "This past quarter, we strengthened our balance sheet and positioned Solegear for future commercial growth." The company took all one time charges and costs associated with matters tied to the public listing in Q1.

In the period from March 1, 2015 to May 31, 2015, Solegear took several significant commercial steps, achieving modest sales of $5,344 through securing a repeat six-month commercial order from NEOPERL®, as well as announcing the Canadian launch of plant-based plastic desk organizers with Columbia Plastics & TOPS Products Canada, and executed a letter of intent to form a bioplastic joint venture with Ex-Tech Plastics, Inc.

"Q1 for Solegear demonstrated the Company's ability to execute on both organic and inorganic growth strategies," added Antoniadis. "The efforts made by both our team and strategic partners have doubled our sales pipeline going into Q2. This is not only a testament to our execution but also demonstrates the demand for plant-based plastics. Our focus going into the back half of the year is to execute on our recent commercial announcements, focus on converting our sales pipeline, and to continue to look for strategic growth opportunities."

About Solegear Bioplastic Technologies Inc.

Solegear, based in Vancouver, British Columbia, is an innovator in the field of next-generation plastics. The Company is an advanced materials firm that engineers, produces and distributes high-performance bioplastics (bioplastics are a category of plastics that are bio-based, compostable, or both) through a capital efficient business model. Founded in 2006, Solegear has developed, and is commercializing, proprietary bioplastics technologies that utilize annually renewable plant-based ingredients formulated using green chemistry, to address the growing North American market opportunity for rigid consumer packaging and durable plastic goods.

About Ex-Tech Plastics, Inc.

Ex-Tech Plastics, Inc. was founded in Richmond, Illinois in 1983 as an innovator in recycled plastics sheet. Building on that foundation, Ex-Tech was one of the first extruders to successfully produce and market sheet made from sustainable materials. Ex-Tech delivers a diverse array of sheet solutions in PET, bioplastics, olefins and vinyl to domestic and international customers.

About Columbia Plastics Ltd.

Columbia Plastics, based in Surrey, British Columbia, is a custom injection molder that has been in business since 1945. The company provides high performance manufacturing solutions for a variety of industries and markets. Services provided in addition to molding include design, tooling, assembly, decorating, and packaging. All processes are ISO certified to either the 9001:2008 or 13485:2003 standards.

About TOPS Products Canada

TOPS Products Canada, a division of RR Donnelly®, is a leading manufacturer of office supplies available through leading independent dealers, wholesalers, contract stationers, and retailers across North America. Its product range includes: filing and organization products, binders, note taking, index cards, forms and envelopes.

About NEOPERL Inc.

NEOPERL, Inc. U.S.A.NEOPERL® offers products that shape and control water streams, meet flow rate regulations, protect from backflow and facilitate compliance with Codes and Standards. We feature a selection guide for flow control solutions, product specifications, technical advisories, price lists for plumbing distributors and a listing of our Sales Representatives. NEOPERL®, Inc. provides faucet aerators, sprays and laminar devices as well as check valves and flow regulators for applications in the United States, Canada and Mexico.

On behalf of the Company:

Paul Antoniadis, Chief Executive Officer and Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibilities for the adequacy or accuracy of this release.

Cautionary Statement Regarding Forward-Looking Information

Information in this news release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws.

Implicit in this information, particularly in respect of future operating results and economic performance of the Company are assumptions regarding the Company's ability to convert its sales pipeline in to revenue generating customers. These assumptions, although considered reasonable by the Company at the time of preparation, may prove to be incorrect. Readers are cautioned that actual future operating results and economic performance of the Company are subject to a number of risks and uncertainties, including risks relating to general economic, market and business conditions and could differ materially from what is currently expected as set out above.

Other than as required under securities laws, we do not undertake to update this information at any particular time.

Forward-looking information contained in this news release is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this news release is expressly qualified in its entirety by this cautionary statement.

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