In the recent months, the Company has been focused on navigating through serious challenges. The Company acknowledges the drop in the price of its common stock and the delinquent status with the
- Due to operating losses and lack of capital investment, the Company currently has insufficient working capital. The Company intends to seek additional working capital through an increase in sales, through seeking new sources of working capital financing, or both. The Company is diligently working to increase sales and seek new capital financing; however, the Company can give no assurance that it will increase its working capital.
- The Company is delinquent in its
SEC filings. Further, the Company’s outside auditors have resigned as of onAugust 4, 2022 . Subject to obtaining additional capital, the Company intends to retain new outside auditors, prepare and file all necessarySEC reports and amend any reports previously filed that require amendment. In addition, the Company is evaluating its prior financial statements to determine whether any of those financial statements need to be restated. - As previously announced, the Company is the subject of an ongoing
SEC investigation and has received a Wells Notice. At this time, theSEC has not commenced an enforcement action against us, but the investigation remains open and ongoing. Accordingly, we cannot further comment on this matter at this time.
Notwithstanding the foregoing, we believe in our business and have been continuing to pursue our business goals in the face of these challenges.
- The Company announced last year that an affiliated company,
Medolife Corporation , had completed the first part of a pharmacokinetics (PK) in vitro study that was requested by the FDA in response to the data submitted for the Pre-Investigational New Drug (PIND 150335) application for Escozine as a COVID-19 treatment. The next and final phase of the PK study is an animal study.Medolife Corporation has not started this phase due to a lack of working capital. Medolife Corporation is also working with an FDA regulatory consultant to analyze the benefit of using the Medolife Corporation’s existing Real-World Evidence in its upcoming response to the FDA’s comments to the Escozine PIND application. The Real-World Evidence includes data derived from the affiliate’s prior studies in theDominican Republic and from customers’ use of Medolife Corporation’s supplement and homeopathic products. TheUS FDA defines Real-World Evidence (RWE) as the clinical evidence regarding the usage and potential benefits or risks of a medical product derived from analysis of Real-World Data (RWD). The Company intends to announce the next steps in the PIND application process once it knows whether Medolife Corporation’s RWE can be used in its response to the FDA.- A delegation of the
Dominican Republic Ministry of Environment had one of their bi-annual visits at the scorpion reservation of an affiliated company, Medolife S.R.L., located in the Neiba province inApril 2022 , wherein the Ministry’s delegation evaluated the current conditions of preserving the natural resources that are the scorpions. The visit was noted to be satisfactory. Medolife Rx, Inc. , a global integrated biotech company with R&D, manufacturing, and consumer product distribution, and a majority owned subsidiary of the Company, has faced supply challenges in recent months that have delayed the production of Immunapens. Medolife Rx has purchased ingredients from new vendors and is in the process of reformulating the pens at this time with the goal of increasing the potency of the product line. Medolife Rx expects to begin producing and selling new batches of the Immunapen product line starting in Q1 2023.- The Company has recently completed modifications to its formulations for its AELIA products, which contain polarized CBD and polarized Vitamin E, to improve the potency.
- Subject to sufficient capital, the Company is also developing several marketing campaigns in an effort to increase sales:
- There is a revamp of the AELIA and Quanta products Amazon.com listings to improve the shopping experience. In addition, the Company has made the decision to have one exclusive seller on Amazon starting in December for the aforementioned products. By reducing the number of resellers for the products, the Company seeks to achieve stability in the product pricings on the platform.
- The Company is also developing a new listing for the Immunapen line of products on Amazon.com. The Immunapen products are expected to be available for purchase on Amazon.com in Q1 2023.
- The Company plans to launch promotional campaigns for Immunapens and AELIA through the Company’s social media and email channels.
- In another effort to market its products, the Company is also considering implementing influencer marketing to increase product awareness for its Immunapen and AELIA brand products.
- Medolife signed an agreement with a US distribution company called Brandgate, who will be overseeing all the sales and marketing of the Company’s products on retail platforms such as Amazon.com, Ebay.com,
Walmart.com and Target.com. - The Company also intends to take steps to improve its corporate governance should it obtain sufficient capital. These steps include the following:
- Seek D&O insurance in order to add reputable professionals and industry leaders to its Board of Directors and Board of Advisors.
- Recruit and hire C-level officers to establish and improve the corporate governance policies and procedures, internal controls and procedures, disclosure control and procedures, and other critical regulatory and administrative aspects of the Company.
- The Company’s application to change its name and stock symbol with
FINRA was closed inAugust 2022 . If the Company is successful in bringing itsSEC reports current, it intends to resubmit the application withFINRA .
“It has been a difficult year full of new challenges for the Company and its staff,” said
About Quanta
Through the AELIA and Immunapen brand of products, Quanta manufactures and distributes consumer wellness products in areas such as pain relief, beauty, general wellness and immune system support. AELIA and Immunapen products are designed using Dr. Mikaelian’s polarization technology, which applies advances in quantum biology to increase the potency of active ingredients. Ultimately, Quanta’s mission is to deliver better, more effective ingredients to elevate product efficacy, reduce waste, and facilitate healthier, more sustainable consumption.
Beyond its consumer applications, the polarization technology used by Quanta and its subsidiaries has many potential applications. From potentiating bio-ingredients, to producing more-effective carbon-trapping plants, to transformative anti-aging solutions, Quanta could have the opportunity to upend how commercial and pharmaceutical products are made and increase their benefits, while decreasing their chemical concentration.
Forward-Looking Statements
Safe Harbor Statement under the
Contacts:
ir@medoliferx.com
818-659-8052
Source:
2022 GlobeNewswire, Inc., source