TORONTO, ON , Sept. 11, 2018 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE – Easton Pharmaceuticals Inc. (OTC: EAPH) is pleased to announce that it has entered into high level negotiations to take over an operating boutique hotel and a $17,000,000 cdn real estate asset in the heart of Toronto, Ontario, Canada.
In keeping with the company new corporate direction to enter into other lucrative business sectors and industries, Easton through the efforts of its CEO, Evan Karras, who has been in the hospitality industry globally for many years and the owner of several boutique hotels in Toronto, Easton has been presented with an opportunity to renegotiate the debt on a property which has had a successful and profitable operating boutique hotel on it since 2014, along with a successful restaurant and cafe/lounge. Although the hotel operations were halted in early 2018 due to the potential sale of the property, Easton and the new owners would restart operations within 30 days of a closed deal with the mortgage holders. Revenues are in excess of $300,000 per month with healthy margins in excess of 60%, which would more than meet any of the loan payments assumed in the new restructured deal with the debt holders. Due to executed NDA’s and not to compromise the negotiations, Easton is unable to currently disclose the precise location but can confirm it is located in the heart of Toronto just above the financial district and below the exclusive Bloor / Yorkville area. The property currently maintains a value in excess of $17,000,000 cdn with its coveted prime location making it a valued and highly sought after re-development opportunity for residential condominiums / office space / hotel. The opportunity is being made available due to the fact Mr. Karras has for several years been personally and heavily involved in the ownership and the day to day operations of the business. Easton and Mr. Karras hope to have an agreed on deal finalized in the next few short weeks, but the time frames could easily change to a date that is either earlier or later than expected. Announcements and other updates will be released as they become available and approved for release.
In other news, in early June of this year, soil dumping operations commenced on its Georgina property, jointly owned between Easton and 1124123 Ontario Limited (O/A – Alliance Group) which resulted in the generation of sales with future additional contracts and better pricing planned on a going forward basis. Shortly after the commencement of these operations, the township of Georgina brought forward various court actions in their efforts to stop operations believing that Alliance was possibly accepting contaminated soil, although Alliance had only been accepting clean soil verified by Environmental Reports. The property is currently zoned for aggregate, recycling and soil related uses. In early August, a local court ordered the halt of operations on the property regardless of its aggregate permitted use. Easton’s JV Partner 1124123 Ontario Limited (O/A – Alliance Group) subsequently submitted a challenge through its attorneys and has received an earlier than expected court date of September 13th of this year in an attempt to overturn and reverse what is believed to be an illegal halt of all operations. Should the court action not result in a positive outcome, Alliance and Easton’s attorneys believe it will be victorious on any subsequent litigation actions against the township of Georgina which could result in millions of dollars in damage payouts. Easton’s investment is fully protected with a mortgage registered on the property, as well as by having an agreement resulting in an ownership interest in the property which has been previously independently valuated at $8.2 million cdn. Easton will provide additional detailed updates as they become available and approved.
In other news, Easton and its JV partner BMV Medica SA de CV will soon provide an update on its previously announced sub-distribution agreement with multi-national BAYER for its licensed woman’s diagnostic product (VS Sense) for the Mexico market as Bayer is gearing towards product launch as well as report on important detailed updates and developments on operations in Mexico through previous sub-distribution agreements with Gedeon Richter and other companies.
In other developments, Easton is currently in the late stages of negotiations for another operating Casino in the United States with existing revenues and profits and believes an agreement can be finalized in the next couple of weeks. This would coincide with other previously disclosed casino and gaming negotiations in Europe with a final decision and closed agreements to be shortly made on one or more of the initiatives.
About Easton Pharmaceuticals
Easton Pharmaceuticals is a diversified specialty pharmaceutical company involved in various pharmaceutical sectors and other growing industries. The Company previously developed and owned an FDA-approved wound-healing medical drug and currently owns topically delivered drugs to treat cancer and other therapeutic products to treat various conditions that are all in various stages of development and approval. Easton, together with BMV Medica S.A. own the exclusive distribution rights in Mexico and Latin America for two patented women's diagnostic products and a novel natural treatment for Bacterial Vaginosis, which they have sub-licensed to Bayer and Gedeon Richter. In addition, a generic cancer drugs line is being developed for sale in Mexico. The company's gel formulation is thought to be an innovative and unique transdermal delivery system that can in the future be adaptable in the delivery of other drugs and Cannabidiol extracts.
As part of its strategic growth plan, the Company will be entering new lucrative market segments globally, including Gaming, Real Estate and Hospitality, among others.
For More Information On Easton and Affiliated and Partner Company's Visit:
http://www.eastonpharmaceuticalsinc.com
http://finance.yahoo.com/q?s=eaph
https://twitter.com/eastonpharma
Safe Harbor
This news release may contain forward-looking statements or expressions within the meaning of the Private Securities Litigation Reform Act of 1995 (The "Act"). In particular, when certain words or phrases such as "hope", "positive", "anticipate," "pleased," "plan," "confident that," "believe," "expect," "possible" or "intent to" and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Any investment made into Easton Pharmaceuticals may contain risks. Such risks and uncertainties include, but are not limited to, market conditions, general acceptance of the company's products and technologies, competitive factors, the ability to successfully complete additional or adequate financing, government approvals or changes to proposed laws and other risks and uncertainties further stated in the company's financial reports and filings.