SYLIOS CORP (OTCMKTS:UNGS) Files An 8-K Other Events
ITEM 8.01 OTHER EVENTS.
On March 27, 2020, the Company determined that it will not be able to file its Form 10-K for the year ended December 31, 2019 on time as a result of factors relating to the COVID-19 pandemic and the steps taken by states to seek to reduce the spread of the virus by either requesting or requiring businesses to close or work remotely. As a result, the Company’s accounting staff and the staff of the independent auditors are not able to complete the audit in a timely manner in order to file the Form 10-K by the required date, after giving effect to the extension permitted by Section 12b-25. The Company is filing this report on Form 8-K to report that it will rely on the exemption from timely filing provided by the SEC in Release No. 34-88318, dated March 4, 2020 (the “Release”). The Company anticipates that it will file the Form 10-K no later than May 14, 2020 (45 days after the original due date). This report on Form 8-K replaces the Form 12b-25, which, as provided in the Release, is not required to be filed.
In reliance on the aforementioned SEC order, the Company intends to include the following risk factor in its 2019 Annual Report on Form 10-K:
“Our business operations have been and may continue to be materially and adversely affected by the outbreak of the novel respiratory illness coronavirus (“COVID-19”).
On March 11, 2020, the World Health Organization declared the outbreak of the novel respiratory illness COVID-19 a pandemic. The new strain of COVID-19 is considered to be highly contagious and poses a serious public health threat.
Any outbreak of such epidemic illness or other adverse public health developments may materially and adversely affect the global economy, our markets and our business.
We cannot foresee whether the outbreak of COVID-19 will be effectively contained, nor can we predict the severity and duration of its impact. If the outbreak of COVID-19 is not effectively and timely controlled, our business operations and financial condition may be materially and adversely affected as a result of the deteriorating market outlook for automobile sales, the slowdown in regional and national economic growth, weakened liquidity and financial condition of our customers or other factors that we cannot foresee. Any of these factors and other factors beyond our control could have an adverse effect on the overall business environment, cause uncertainties in the regions where we conduct business, cause our business to suffer in ways that we cannot predict and materially and adversely impact our business, financial condition and results of operations.”
About SYLIOS CORP (OTCMKTS:UNGS)
Sylios Corp is a holding company. The Company, through its subsidiaries, has operations engaged in the exploration and development of oil and natural gas properties, investments in equities and corporate debt, and the development of products utilized for the medical and recreational marijuana industry. Its subsidiaries include US Natural Gas Corp KY (KY), US Natural Gas Corp WV (WV), E 2 Investments, LLC (E2), The Greater Cannabis Company, LLC (GCC) and Bud Bank, LLC (BB). KY is engaged in oil producing activities mainly in the counties of Green, Hart, Adair, Russell, Edmonson and Monroe in Kentucky. WV is engaged in the production of viable natural gas. E2 manages its alternative investments. GCC has operations in the medical and recreational marijuana market. It is focused on launching an online superstore for marijuana related accessories under the name of GCC Superstore. BB is engaged in development of an automated cannabis dispensing product under the brand name Bud Bank.
