Delota Announces Change of Auditor

Rhea-AI Summary

Delota Corp. (CSE: NIC), a Canadian omni-channel retailer of nicotine vape and alternative tobacco products, has announced a change in its auditor. The company has appointed Horizon Assurance LLP as its new auditor effective July 15, 2025, replacing Stern & Lovrics LLP who resigned at the company's request.

The new auditor appointment has been approved by Delota's audit committee and board of directors, and will remain in effect until the next annual shareholder meeting. Importantly, there were no reservations, modified opinions, or reportable events in the previous auditor's reports.

Positive

• No reservations or modified opinions in previous auditor reports
• Smooth transition with proper regulatory compliance

Negative

• Sudden auditor change requested by the company could raise governance concerns

Vaughan, Ontario--(Newsfile Corp. - July 16, 2025) - Delota Corp. (CSE: NIC) (FSE: S62) ("Delota" or the "Company"), a leading Canadian omni-channel retailer of nicotine vape and alternative tobacco products, announces that it has changed its auditor to Horizon Assurance LLP (the "Successor Auditor") effective July 15, 2025. The Company's predecessor auditor, Stern & Lovrics LLP (the "Predecessor Auditor") resigned effective July 15, 2025, at the Company's request. The Successor Auditor's appointment has been approved by the Company's audit committee and board of directors until the Company's next annual shareholder meeting.

For a copy of the Company's reporting package, including the Notice of Change of Auditor, together with the required letters from the Predecessor Auditor and Successor Auditor, each prepared in accordance with the applicable requirements of Section 4.11 of National Instrument 51-102 – Continuous Disclosure Obligations ("NI 51-102"), please visit the Company's SEDAR+ profile at www.sedarplus.ca. There were no reservations or modified opinions in any auditor's reports, nor any reportable events as defined in NI 51-102 in connection with the audits performed by the Predecessor Auditor of the Company's most recently completed financial year or any subsequent period.

About Delota Corp.

Delota is the largest omni-channel specialty vape retailer in Ontario with a mission of becoming one of the largest national specialty retailers of nicotine vape and alternative tobacco products. The Company's growth strategy includes aggressively growing its flagship brand, 180 Smoke Vape Store, by expanding its retail footprint organically in Ontario and select provinces across Canada, strengthening its national e-commerce platform, and through strategic M&A to accelerate growth and market consolidation. The Company is committed to expanding its nicotine product assortment, enhancing customer experience, and growing its registered customer base, which now exceeds 280,000 accounts.

Investors interested in learning more about Delota can visit www.delota.com.

For further information, please contact:

Delota Corp.

Cameron Wickham
Executive Vice Chair and CEO
T: (905) 330-1602
E: info@delota.com

Forward-Looking Statements
This press release contains "forward-looking statements or information." Forward-looking statements can be identified by words such as: anticipate, intend, plan, goal, seek, believe, project, estimate, expect, strategy, future, likely, may, should, will, and similar references to future periods. Examples of forward-looking statements in this press release include statements regarding the anticipated impact of the Retail Partnership, including potential effects on the Company's reported revenues, profitability, sales growth, operational structure, and future financial results.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations, and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict and many of which are outside of our control. Actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. The Company may not actually achieve its plans, projections, or expectations.

The forward-looking statements and information are based on certain key expectations and assumptions made by the Company. Important factors that could cause actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others: the adequacy of cash flow and earnings, the availability of future financing and/or credit, developments and changes in laws and regulations (including those affecting the sale and distribution of nicotine vape and alternative tobacco products), consumer sentiment towards the offered nicotine vape and alternative tobacco products, failure of counterparties to perform their contractual obligations, government regulations, competition, loss of key employees and consultants, general economic, market or business conditions, the impact of technology and social changes on the nicotine vape and alternative tobacco products and industry, as well as those risk factors discussed or referred to in disclosure documents filed by the Company with securities regulatory authorities in certain provinces of Canada and available at www.sedarplus.ca.

Given these risks, uncertainties, and assumptions, you should not place undue reliance on these forward-looking statements.

Any forward-looking statement made by us in this press release is based only on information currently available to the Company and speaks only as of the date on which it is made. Except as required by applicable securities laws, Delota undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

The CSE has neither approved nor disapproved the contents of this news release.

Neither the CSE nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/259065

FAQ

Why did Delota Corp (CSE: NIC) change its auditor in July 2025?

Delota Corp requested the resignation of Stern & Lovrics LLP and appointed Horizon Assurance LLP as their new auditor effective July 15, 2025. The change was approved by the company's audit committee and board of directors.

Were there any issues with Delota's previous auditor reports?

No, there were no reservations, modified opinions, or reportable events in the auditor's reports for the most recently completed financial year or any subsequent period.

Who is Delota's new auditor and when was the change effective?

Horizon Assurance LLP was appointed as Delota's new auditor effective July 15, 2025, replacing Stern & Lovrics LLP.

How long will Horizon Assurance LLP serve as Delota's auditor?

Horizon Assurance LLP will serve as Delota's auditor until the company's next annual shareholder meeting.