Management Cease Trade Order Granted

Rhea-AI Summary

Mynd Life Sciences (CNSX: MYND) has announced a delay in filing its annual consolidated financial statements for the year ended October 31, 2024. The company's external auditors informed that they cannot complete their work before the February 28, 2025 deadline due to significant restructuring of the company's debt and equity.

As a result, Mynd will be unable to file the 2024 Annual Filings, including Management Discussion & Analysis, CEO and CFO certifications, and Annual Information Form by the required deadline. The company plans to complete and file these documents by April 29, 2025.

Following this delay, Mynd will be placed on the British Columbia Securities Commission's defaulting issuers list and has been granted a management cease trade order (MCTO) against certain company insiders. The MCTO will remain in effect until the audited statements are filed and must issue bi-weekly default status reports through press releases.

Positive

• Granted extension until April 29, 2025 to file annual statements

Negative

• Failed to meet regulatory filing deadline for 2024 annual financial statements
• Placed on BCSC defaulting issuers list
• Management cease trade order imposed on company insiders
• Significant debt and equity restructuring causing delays

Vancouver, British Columbia--(Newsfile Corp. - March 3, 2025) - Mynd Life Sciences Inc. (CNSX: MYND) ("Mynd" or the "Company") announces that it has been advised by its external auditors (the "Auditors") that they will not be in a position to complete their work on the Company's annual consolidated financial statements for the year ended October 31, 2024 (the "2024 Financial Statements") prior to the filing deadline of February 28, 2025 (the "Annual Filing Deadline") due to a delay in finalizing the required financial documents due to significant restructuring of the Company's debt and equity. As a result, the Company will not be able to file the 2024 Financial Statements, accompanying Management Discussion & Analysis and CEO and CFO certifications, and the Annual Information Form (collectively, the "2024 Annual Filings") prior to the Annual Filing Deadline as required under applicable Canadian securities laws. The Company has made arrangements to complete and file the 2024 Financial Statements prior to the April 29, 2025 deadline. Accordingly, subsequent to the Annual Filing Deadline, the Company will be in default of its continuous disclosure obligations under applicable Canadian securities laws and placed on the defaulting issuers list of the British Columbia Securities Commission ("BCSC").

The Company further announces that it has been granted a management cease trade order (MCTO) under National Policy 12-203 of the Canadian Securities Administrators ("NP 12-203") imposed against certain insiders of the Company. The MCTO will remain in effect until the Company has filed its audited statements and the Executive Director of the BCSC has revoked the order. The Company will be required to comply with the provisions of the alternative information guidelines as set out in NP 12-203 for so long as the MCTO remains in effect, including the issuance of bi-weekly default status reports by way of press releases.

The Company will make further announcements with respect to the status of the 2024 Annual Filings as and when appropriate.

ABOUT MYND LIFE SCIENCES INC.

MYND Life Sciences Inc. is a medical biotech drug research and development company focused on neuro-pharmaceutical and novel psilocybin drug development, diagnostics and vaccines. MYND is developing new biological entities (NBEs) and new chemical entities (NCEs) and differentiates itself from other (bio)pharmaceutical companies by unique molecular concepts for the applications of Psilocybins for overcoming disease. The Company advances pharmaceutical developments through rigorous science and clinical trials while diligently patenting and safeguarding its intellectual property.

Contact:
Dr. Lyle Oberg, MD, Executive Chair
Email: ir@myndsciences.com
Web: www.myndsciences.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/243193

FAQ

Why did Mynd Life Sciences (MYNDF) receive a management cease trade order in March 2025?

Mynd received an MCTO due to delays in filing its 2024 annual financial statements, caused by significant debt and equity restructuring that prevented auditors from completing their work by the February 28, 2025 deadline.

When will Mynd Life Sciences (MYNDF) file its delayed 2024 annual financial statements?

Mynd plans to file its 2024 annual financial statements by April 29, 2025.

What are the consequences of MYNDF missing its annual filing deadline?

Mynd will be placed on the BCSC's defaulting issuers list and must issue bi-weekly status reports while under the management cease trade order.

What caused the delay in MYNDF's 2024 financial statement filing?

The delay was caused by significant restructuring of the company's debt and equity, which prevented external auditors from completing their work on time.