Ascent Industries Corp reiterated Thursday that a strategic review is underway after Health Canada repeated its view that the cannabis company failed to demonstrate that the suspension and proposed revocation of a subsidiary’s licenses is unfounded.
The goal of the review, Ascent said in a statement, is stabilizing the Vancouver-based company’s financial position and maximizing value.
Health Canada, according to Ascent, has advised the company that it still intends to revoke the licenses and has given Ascent until February 20 to make any additional submissions.
Ascent said in the statement that the agency has repeated its concern that unauthorized activities with cannabis occurred after producer's and dealer's licenses were granted to the subsidiary, Agrima Botanicals Corp.
A representative of Ascent declined to provide further comment.
The agency cited violations of Access to Cannabis for Medical Purposes Regulations and the Controlled Drugs and Substances Act.
Shares of Ascent dropped C$0.07 to C$0.14 in Thursday's Canadian trading.
Contact Dennis Fitzgerald at [email protected]