SOL Global FY2021 Net Income Improves 62% To $127.33M, Divests Cannabis Assets

SOL Global Investments Corp. SOLCF SOL (Frankfurt:9SB) reported fourth quarter financial results and audited financial results for the year ended November 30, 2021.

Audited Year-End Results

• For the year-ended November 30, 2021, the company recorded a positive net income of CA$159 million ($127.33 million) vs. year-ended November 30, 2020, income of CA$98 million. This represents a favorable change of CA$61 million.
  Total gain from investments totaled CA$307 million for the year-ended November 30, 2021, compared to a gain of CA$139.0 million for the year-ended November 30, 2020. This represents a favorable change of CA$168 million between periods.
• The net asset value per share is equal to CA$6.29 at November 30, 2021 vs. CA$3.51 at November 30, 2020.
• Throughout the year, the company divested a large percentage of cannabis assets while valuations were           favorable and re-diversified from cannabis by investing in new thematic trends in line with its diversified growth strategy.

The Company’s financial statements for the quarter ended February 28, 2022, will be released on April 30, 2022

• Recent Milestones
  On December 3, 2021 the company repurchased for cancellation a total of 7,407,389 of its common shares at a price of CA$4.05 per common share pursuant to its substantial issuer bid, which expired on November 26, 2021, resulting in CA$30 million of capital being returned to its shareholders.

  • On January 14,2022 the company, through its wholly owned  subsidiary, completed its $7,456,221 investment in Andretti Acquisition Corp., a special purpose acquisition company, which began trading on the NYSE WNNR on January 13, 2022.                    
  • In September 2021, the company, through its wholly owned subsidiary, invested $11.5 million in an investment vehicle for the purpose of investing in Core Scientific Holding Co., a large-scale net carbon-neutral blockchain infrastructure provider and miner of digital assets in North America.           

  • On February 18, 2022, the company acquired an additional 4,830,000 common shares in the capital of Jones Soda Co. in connection with the reverse takeover of Pinestar Gold Inc. and the listing of the common shares of JDSA, as the resulting issuer, on the Canadian Securities Exchange. Upon the completion of the transaction, SOL Global held approximately 18.7% of the issued and outstanding JSDA Shares on a non-diluted basis.

  • Simply Better Brands Operational Update

• Simply Better Brands Corp., one of the company’s core investment holdings, recently announced that its preliminary unaudited net sales for 2021 are expected to be between $15.8 and $16.0 million over net sales of $13.8 million achieved in 2020. SBBC’s audited financials for the period ended December 31, 2021, are scheduled to be filed on April 30, 2022. Additionally, for   2022, SBBC’s expectation for consolidated net sales represent a 200% increase over its preliminary unaudited net sales for 2021 with positive EBITDA.

“Throw us an incredibly tough investment environment and once again we delivered stellar returns,” stated Andy DeFrancesco, SOL Global’ s chairman and CEO. “While most small caps continue to dilute their stockholders for growth, we continue to reduce our issued and outstanding share count. We returned CA$40 million to stockholders from our substantial issuer bid priced at CA$4.05 per share, and I am committed to continuing this trend.