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Innovotech Inc. signs non-binding Letter of Intent to acquire Keystone Labs Inc. and announces a non-brokered private placement
(TheNewswire) Edmonton, Alberta – TheNewswire - September 11 th , 20...
About this update from Innovotech Inc.
[{"type":"text","content":"Innovotech Inc. signs non-binding Letter of Intent to acquire Keystone Labs Inc. and announces a non-brokered private placement\n\n\n (TheNewswire)\n \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n Edmonton, Alberta –\n \n\n TheNewswire -\n \n\n September 11\n \n\n th\n \n\n , 2024 -\n \n\n Innovotech\nInc. (TSX-V: IOT) (“Innovotech”, or the “Company”) is pleased\nto announce that it has entered into a non-binding letter of intent\n(the “LOI”) to acquire Keystone Labs Inc. (“Keystone”), a\nprivately held, independent contract-testing laboratory, located in\nEdmonton, Alberta, specializing in quality testing for regulated\nindustries.\n \n\n\n\n Keystone was founded in 2005 by Ms. Jodi McDonald and\nprovides a suite of analytical and microbiological services to\npharmaceutical, biotechnological, medical device and natural health\nproduct industries.  Keystone holds a drug establishment license from\nHealth Canada, enabling the testing of regulated products including\nthose in the pharmaceutical manufacturing supply chain.\n \n\n\n\n The acquisition builds on Innovotech’s recent\ninvestments for increasing its productive capacity for contract\nresearch, renewing efforts to commercialize its patented\nInnovoSIL-1™ antimicrobial silver compound, and acquiring a\ncontrolling interest in NouLife Sciences Inc. that occurred in August\n2023.  A further comprehensive press release will be issued upon the\nsigning of a definitive agreement with respect to the Keystone\nacquisition.\n \n\n\n\n The Acquisition\n \n\n\n\n Innovotech has agreed to a final letter of intent\n(“LOI”), as amended, dated September 10\n \n\n th\n \n\n , 2024, to\npurchase 100% of the equity of Keystone with an anticipated closing\ndate in October of 2024.  Innovotech will contribute $300,000 cash to\nKeystone to payout existing shareholder loans and will acquire\nKeystone on a debt-free basis.  The consideration for the acquisition\nof the Keystone equity will be in an amount of up to $600,000 by the\nissuance to the Keystone shareholders the equivalent of $300,000 of\nInnovotech shares (the “Acquisition Shares”) from treasury at the\nprice of $0.13 per common share.  These Acquisition Shares will be\nsubject to an escrow agreement whereby th...