The Ontario Securities Commission (OSC) granted Atlas Global Brands Inc. a partial revocation of a failure-to-file cease trade order (FFCTO) issued on August 8, 2023, due to the company’s failure to file required financial statements and management’s discussion and analysis (MD&A). The partial revocation permits Atlas to issue shares as consideration for a loan agreement with Cambrosia Ltd., a subsidiary, to address financial hardships. The decision is based on Atlas’s subsequent filings of the overdue documents and the necessity of the loan to sustain operations. The issuance of shares is subject to conditions, including providing the lender with copies of the FFCTO and the partial revocation order, and obtaining an acknowledgment from the lender that the securities will remain subject to the FFCTO. The relevant laws include Section 144 of the Securities Act (Ontario) and National Policy 11-207.
