Nov 18 2015
Genius Properties Ltd. (the "Company" or "Genius") has announced that it will refocus its activities on its primary mission, which is to explore and develop mining properties in Quebec. This decision will require a full reorganization of the company, which will take effect by the end of November 2015 and involve the relinquishment of any and all activities not related to the mining industry.
"Our prominent strength is our expertise of the mining sector and knowledge of Quebec's rich potential for the discovery of new, world-class mineral deposits. With our solid experience in mining, we are returning to what we know best," declared Genius President and CEO Stéphane Leblanc. "Given our expertise, we have chosen to start concentrating all of our efforts on what has always been the foundation of our operations. A competent executive team executive team is hard at work on this, and new directors will be named to our board shortly," added Mr. Leblanc.
The Genius technical team is already up to date with the establishment of exploration and development plans on these properties in 2016.
"What we have here is a major redirection that is totally in keeping with our recent decision to steer away from certain consumer product distribution activities, notably items bearing the Reiva brand," added Mr. Leblanc. "Our subsidiary, Genius Brand, which had been set up to offset the mining sector downturn of recent years, will be wound up, and we are immediately discontinuing the distribution of Zencig, Realtree and Dekang products."
The recent change in market conditions and the increase in competition, as well as the obstacles arising in the registration process overseen by regulatory authorities, are all factors that substantially reduce the commercial potential of products like Zencig (an e-cigarette), Dekang (the liquid refill for e-cigarettes) and Realtree (an energy drink). In other words, a combination of unfavourable factors has made it more commercially viable for the Company to take a step back from diversification.
The decision to steer away from these activities will prompt the immediate need to sell off the commercial building we use to store Genius Brand inventories. Moreover, Genius intends to find a partner for Zippler, its wholly owned subsidiary in the mobile phone apps market. If a new partner is found, it will need to assume the entire sales and development aspect of the business, while Genius will remain in the background as a silent partner not required to invest any more in the operation.