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FAANG about to rollover... crash 2.0 looming... no brainer at this level...
$FNGU
Revenues of $1.3 Million for Second Quarter 2020
91% Year-Over-Year Growth
CAVE CREEK, AZ , May 18, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE – Endexx Corporation (OTC: EDXC) (the "Company" or a/k/a " CBD Unlimited "), a lifestyle company focused on the intersection of science, compliance, and formulation of innovative phytonutrient-based food and nutritional products, today announced second-quarter results for the period ended March 31, 2020 .
"We are pleased to see CBD Unlimited's growth in Q2, as we took immediate and strategic actions to adjust to the current market condition," said Todd Davis , Chief Executive Officer and Chairman of Endexx . "In our second quarter of 2020, we experienced higher sales for our products through diversified channels, which increased our revenue by 91% year-over-year."
Mr. Davis noted, "The coronavirus challenged the hemp industry, as well as many other industries, with updated protocols for products sold in stores. New category requirements initially limited opportunities for CBD Unlimited products to be restocked due to the rise in essentials and hand sanitizer demand and priority for retailers. Despite this hurdle, we overcame it, and managed to meet customer demand. It is rewarding to see what comes out of the team's dedication and quick adaptation to change.”
"The primary focus for Endexx moving forward is the long-term health and well-being of our customers, investors, and partners. Through collaboration and thoughtful planning with our partners, all are focused to push through these unprecedented times together. With optimism and a drive to educate and provide consumers with safe, high-quality, reliable products, the future of the company’s direction is secured on a solid foundation," continued Davis.
Second Quarter 2020 Highlights
For the first half of 2020, the Company generated more sales than 2019 in its entirety. The gross revenue of $1.3 million in Q2 2020, compared to $680 thousand in Q2 2019, represents an increase of 91% year-over-year. The growth was driven by higher sales of CBD products and a more extensive consumer base from the growing wholesale activity and e-commerce platform.
The e-commerce platform launch provides both new and existing buyers with control over their individual subscription model. It allows customers the flexibility to manage their reorder cycle to extend or delay their subscription. Consumers enjoy the unique opportunity for dose and product experimentation. CBD Unlimited intends for the subscription model to encourage education about personal wellness and to discover the best, most optimally dosed products. The online platform offers users nearby store locations by entering zip code and mapping. In turn, the e-commerce platform supports both stores and options for delivery to the consumer.
During the quarter, the primary revenue growth was seen from the Company's CBD Premium Blue topical line, widely available in six thousand retail stores nationwide. The store count expanded in the second quarter, while the company expanded its topical product portfolio to ten SKUs in the premium line, super-premium line, and new value-line to meet the different stores' needs in regards to their individual customer base. Additionally, the Research and Development (R&D) team is currently in an initial testing phase for the upcoming Trail-R-Mix equine product line, expected to launch this year. The equine product testing commenced in January 2020 , led by equine professionals to evaluate delivery of CBD, to targeted areas of the body and to help reduce irritation to the GI Tract of the horse. This product development provides another important long-term growth channel for the Company.
CBD Unlimited has a significant amount of incremental opportunities related to distribution expansion and brand recognition in new territories. Market store expansion was around mid-five thousand into the end of the year and now accelerated into the six thousand count. The Company projects it will hit its twenty thousand targeted goal, in early fiscal 2021. Longer-term targets for store count expansion has increased to over 100,000 stores over the next 18-36 months. During this quarter, further advancements have taken place for international expansion with established contracts with distribution channels in North America , the Caribbean , and Polynesian markets for significant growth targets.
Outlook
CBD Unlimited has made consistent progress so far this year and is on track with financial and operative goals as well as store count and distribution plans. The COVID-19 pandemic initially interfered with regular protocol with regards to product and category reset, yet the hemp industry remains innovative and passionate to leverage the education of health and wellness with natural and anti-inflammatory products. The initial drawbacks associated with the pandemic encouraged CBD Unlimited to outline fiscally practical steps to adjust and prepare for the economy to run at its previous pace. Thus far, in the third quarter beginning, more retail channels proceed to reorder and restock products as natural food stores, grocery chains, and big-box pharmacies begin to position themselves in ways more vigorous than the calendar fourth quarter last year, signaling positive indicators for CBD Unlimited’s growth.
Acquisitions and key employees continue to be a primary activity for the company, providing sustainable scale and expertise in key operations within its corporate infrastructure. Lastly, the Company is preparing for a new market expansion program with an early stage roll-out, beginning in Q3, for the pharmaceutical, grocery/natural food channels, and independent retailers.
You're wrong...
David Tepper says this is the second-most overvalued stock market he’s ever seen, behind only ’99
Published Wed, May 13 202012:04 PM EDTUpdated Wed, May 13 20202:39 PM EDT
Appaloosa Management founder David Tepper’s comments helped escalate a stock sell-off.
The S&P 500's forward price-earnings ratio based on estimates for the next 12 months has ballooned to above 20, a level not seen since 2002.
“The market is pretty high and the Fed has put a lot of money in here,” Tepper said. “There’s been different misallocation of capital in the markets. ...The market is by anybody’s standard pretty full.”
He also said some Big Tech stocks like Amazon, Facebook and Alphabet may be “fully valued.”
Billionaire hedge fund investor David Tepper told CNBC on Wednesday the stock market is one of the most overpriced he’s ever seen, only behind 1999. His comments sent stocks to a session low.
He also said some Big Tech stocks like Amazon, Facebook and Alphabet may be “fully valued.”
Before Wednesday’s sell-off, it was “maybe the second-most overvalued stock market I’ve ever seen,” Tepper said on CNBC’s “Halftime Report.” “I would say ’99 was more overvalued.”
“The market is pretty high and the Fed has put a lot of money in here,” the founder of Appaloosa Management said. “There’s been different misallocation of capital in the markets. Certainly you are seeing pockets of that now in the stock market. The market is by anybody’s standard pretty full.”
The S&P 500's forward price-earnings ratio based on estimates for the next 12 months has ballooned to above 20, a level not seen since 2002.
Stocks fell Wednesday with the Dow Jones Industrial Average dropping more than 500 points around midday. Still, the market has bounced back sharply from its March lows as investors have grown more hopeful about an eventual reopening of the economy. After tumbling into the fastest bear market ever two months ago, the S&P 500 has bounced more than 30% from that bottom and is now sitting about 13% below its record high from February.
Tepper’s calls often move the whole market. He did so again on Wednesday as the Dow hit its low for the session shortly after his warning.
“There might have been a bottom put in ... but that doesn’t mean you can’t fall significantly from these levels,” Tepper said.
In recent days. the market was rallying despite a worsening profits outlook. Earnings for the S&P 500 companies are on track to fall 13.6% in the first quarter because of the coronavirus crisis, the worst quarter in nearly 11 years, according to FactSet. Profit forecasts painted a even gloomier picture for the rest of 2020, with analysts seeing a 40.6% drop in Q2, a 23% decline in Q3 and 11.4% in Q4 for the S&P 500, FactSet data showed.
The hedge fund manager said he has been “relatively conservative” in his positioning and remained “very guarded.” He revealed he currently holds about 10% to 15% long positions in equities.
Tepper also called some of the popular tech names including Amazon “fully valued.” Amazon has been one of the first companies to roar back to a new record after the coronavirus sell-off. The e-commerce giant is up 27% this year as investors bet on its resilient business.
“Just because Amazon is perfectly positioned doesn’t mean it’s not fully valued,” he said. “Google or Facebook ... they are advertising companies. ...They are not rich but they may be fully valued.”
Why Investors Should Avoid Netflix Stock
This year is going to be one of the most challenging ever for Netflix.
Michael Wiggins De Oliveira
Jan 22, 2020 11:17 AM EST
Netflix’s (NFLX) - Get Report stock reaction to a largely positive report speaks volumes. The stock wavered between slight gains and slight losses after-hours, and this morning it's now down more than 2%. Why? Because the competition is growing from a noisy nuisance to an unavoidable fact.
Compounding the story, Netflix's revenue growth rates are guided for sub-30%, taken together with an overvalued stock, reminds investors to avoid this name. Here’s why:
Unavoidable Fact: Disney
Disney (DIS) - Get Report launched Disney +, its direct to consumer platform, in the U.S. in November 2019 and right away it has started to dampen Netflix’s aggressive growth rates.
Indeed, Netflix’s CFO Spencer Neumann himself noted on the call that Q1 2020 forecasts are baking in a full quarter of the competition compared with a partial quarter in Q4 2019.
Also, it should be noted that Disney+ is expected to reach Europe towards the back end of March 2020. How will this impact Netflix's global reach with consumers? Many acknowledge that Disney will be a formidable force, the question for Netflix is just how formidable.
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Thesis Demands Strong Revenue Growth Rate
Looking back to 2017-2018, we can see that Netflix's revenue growth rates were easily north of 30%.
Netflix Revenue Growth chart 012220
TheStreet
Now compare those numbers with how 2019 ended up, with its full year figure at a more humble 28%.
Looking ahead to Q1 2020 and Netflix guides for 27% growth rates. However, this figure includes an aggressive price increase in the high single digits. How sustainable are Netflix’s price increases?
Without competition, Netflix may have succeeded, even though cable providers have historically struggled to raise prices successfully. But now, with a plethora of competition, even Netflix’s enthusiasm for price increases is likely to be diminished.
Valuation -- No Margin of Safety
Going forward how does an investor possibly make the argument that Netflix is undervalued? Consider that, five years ago, Netflix was in effect the only streaming platform consumers considered a ‘must-have’. Today, the landscape is very different, with consumers having more options available than viewing time.
What's more, with a slowing growth rate, and already pricing in seven times trailing sales, does Netflix command any sort of realistic margin of safety?
Moreover, investors have absolutely no idea what sort of potential free cash flow margins Netflix will succeed in having long-term. The next pressing question is of course: when does the company reach stability, when the huge amounts spent on content start bringing in strong free cash flow?
Given that for 2020 Netflix is forecasting approximately negative $2.5 billion in free cash flow, just $800 million less than its peak free cash flow burn, at this rate it would take until the latter part of the decade for Netflix to report positive $1 billion of free cash flow.
The Bottom Line
Netflix’s 2020 is going to be one of the most challenging for the company.
The competition Netflix faces has never been more steadfast and poised to take market share. With an overvalued stock, declining growth rates, and overextended balance sheet, investors would do well to avoid this name.
$FNGD is a great hedge... nibbled here on Friday... Reward outweighs risk 10 fold... hoping to grab a few more down at the $2.50 level...
I am short...
Index Constituents
Index NameNYSE FANG+™
Index Ticker: NYFANGT
Launch Date: 9/26/2017
Rebalance Frequency:Quarterly
WeightingEqualNumber of Constituents:10
Name / Weight
Facebook (FB)10%
Alibaba (BABA10%
Apple (AAPL)10%
Baidu (BIDU)10%
Amazon (AMZN)10%
NVIDIA (NVDA)10%
Netflix (NFLX)10%
Tesla (TSLA)10%
Alphabet (GOOGL)10%
Twitter (TWTR)10%
Looking for a good entry point myself... Markets are about to rollover IMO... a test of recent lows would be a good time to begin accumulation... $$$
$NAIL
The Relentless Oil Price Rally
Oil prices are continuously rising despite the uncertainty surrounding COVID-19, with WTI nearing a two-month high on Friday morning
Friday, May 15th, 2020
Oil prices appear to be rising relentlessly, with WTI bouncing above $28 per barrel, nearly at a two-month high. Market sentiment has been gaining steam as supply shut-ins mount and demand begins to come back. Still, the risk of another wave of coronavirus infections presents a major risk to the rally.
OPEC+ could keep cuts beyond June. “The ministers want to keep the same oil production cuts now which are about 10 million bpd, after June. They don’t want to reduce the size of the cuts. This is the basic scenario that’s being discussed now,” one OPEC+ source told Reuters.
Analysts see optimism in data. Oil time spreads have seen a narrowing contango, a sign of tightening in the oil market. “We believe stocks will be reduced gradually over the next 12 months or so,” said Rystad Energy head of oil markets Bjornar Tonhaugen. “Brent stabilizing above $30 gives the market confidence that frightening days of negative prices and record daily declines are behind us.”
Saudi oil “flotilla” delayed at ports. The flotilla of Saudi supertankers heading to U.S. ports have been delayed because there has been a shortage of the smaller ships used to lighten the load near shore.
Huge Glut of Oil Sitting on Tankers Shows Signs of Shrinking
https://www.bloomberg.com/news/articles/2020-05-15/the-huge-glut-of-oil-sitting-on-tankers-shows-signs-of-shrinking
Ya... you already said that... a broken clock is right twice a day... good luck!
$RIG
Short Volume
Market Date Short Volume Total Volume Short Volume Ratio
2020-05-14 1,349,640 3,906,400 34.55
2020-05-13 1,404,314 3,824,200 36.72
2020-05-12 1,062,077 3,180,200 33.40
2020-05-11 754,894 2,683,600 28.13
2020-05-08 993,187 3,463,600 28.67
2020-05-07 760,751 2,197,600 34.62
2020-05-06 1,143,173 3,295,200 34.69
2020-05-05 1,480,150 4,409,500 33.57
2020-05-04 975,536 2,959,900 32.96
2020-05-01 1,175,057 3,664,400 32.07
Smart move... I like that $VLNCF came out with future guidance ahead of major pandemic news... I see $MEDIF took a hit on similar earnings forecast...
Management stepping it up!...
$VLNCF
Firming up nicely... thank you $ACB...
$MJ
Creeping up... $$$
$SOLCF
PHOENIX , May 15, 2020 /PRNewswire/ -- 4Front Ventures Corp. (CSE: FFNT) (OTCQX: FFNTF) ("4Front" or the "Company") announced the upsizing and close of a private placement of convertible debentures and the close of the sale of its non-core retail assets in Pennsylvania. The closing of these transactions marks significant progress towards the Company's stated objectives of being fully-funded and achieving cash flow positivity in the second half of 2020.
Private Placement
The Company has closed a raise of approximately $5.8 million U.S. in a private placement of convertible debt led by Navy Capital . The financing was upsized from the previously announced commitments for $4 million U.S. , with the incremental capital coming mostly from existing shareholders.
The Notes have an annual coupon of 5%, paid-in-kind, and will mature on February 28, 2022 . The Notes are exchangeable into subordinate voting shares ("common equivalent") at a conversion price of $0.25 U.S. Some lenders were issued a debenture which exchanges a portion of their existing equity investments into a security intended to mimic the liquidity preference found in a preferred equity.
Non-core License Sales
4Front also announced that it completed the sale of its stake in Pennsylvania retail assets to Ethos Cannabis for approximately $10.6 million U.S. in cash. As previously announced, 4Front has also entered into a binding agreement to sell its stake in non-core retail assets in Maryland . The sale of these assets is also to Ethos Cannabis and is expected to close over the next 45 days pending certain regulatory approvals.
Beacon Securities Limited acted as financial advisor to 4Front in connection with these asset sales and received a customary advisory fee.
To be added to the email distribution list, please email 4FrontIR@kcsa.com with "4Front" in the subject.
About 4Front Ventures Corp. 4Front is a cannabis company designed for long-term success and built upon battle-tested operating capabilities at scale, experienced and committed leadership, and a strategic asset base. From plant genetics to the cannabis retail experience, 4Front's team applies expertise across the value chain. 4Front has invested heavily to assemble a comprehensive collection of management skills and hands-on operating expertise to capitalize on the unique growth opportunity being afforded by the increased legalization of cannabis. For more information, visit 4Front's website.
4Front Investor Contact Andrew Thut , Chief Investment Officer IR@4frontventures.com 602-633-3067
Phil Carlson / Elizabeth Barker 4FrontIR@kcsa.com
212-896-1233 / 212-896-1203
4Front Media Contacts Anne Donohoe / Nick Opich KCSA Strategic Communications adonohoe@kcsa.com / nopich@kcsa.com 212-896-1265 / 212-896-1206.
Oil jumps 9% on dip in U.S. crude stockpiles, IEA data
https://www.cnbc.com/2020/05/14/oil-markets-us-crude-inventories-coronavirus-in-focus.html
U.S. crude inventories fell for the first time in 15 weeks, the Energy Information Administration said on Wednesday, with a fall in U.S. crude stockpiles of 745,000 barrels to 531.5 million barrels in the week to May 8.
Stay woke!...
$RIG
JUN 2020 JUN 2020
Show Price Chart
27.42 +2.13 25.29 25.56 27.96 25.18 122,579 13:38:38 CT
14 May 2020
JUL 2020 JUL 2020
Show Price Chart
27.75 +2.07 25.68 25.97 28.27 25.56 371,148 13:38:41 CT
14 May 2020
AUG 2020 AUG 2020
Show Price Chart
28.58 +1.78 26.80 27.02 29.02 26.60 120,209 13:38:41 CT
14 May 2020
SEP 2020 SEP 2020
Show Price Chart
29.35 +1.51 27.84 28.09 29.75 27.57 84,755 13:38:38 CT
14 May 2020
OCT 2020 OCT 2020
Show Price Chart
29.96 +1.34 28.62 28.85 30.33 28.30 35,611 13:37:26 CT
14 May 2020
NOV 2020 NOV 2020
Show Price Chart
30.53 +1.16 29.37 29.03 30.86 29.03 19,282 13:38:41 CT
14 May 2020
DEC 2020 DEC 2020
Show Price Chart
31.05 +0.99 30.06 30.29 31.48 29.68 68,903 13:38:38 CT
14 May 2020
JAN 2021 JAN 2021
Show Price Chart
31.51 +0.86 30.65 30.76 31.91 30.35 13,516 13:36:45 CT
14 May 2020
FEB 2021 FEB 2021
Show Price Chart
31.93 +0.77 31.16 31.16 32.35 30.75 8,901 13:38:32 CT
Oil jumps 9% on dip in U.S. crude stockpiles, IEA data
https://www.cnbc.com/2020/05/14/oil-markets-us-crude-inventories-coronavirus-in-focus.html
On Fire...
$NRGU
JUN 2020 JUN 2020
Show Price Chart
27.42 +2.13 25.29 25.56 27.96 25.18 122,579 13:38:38 CT
14 May 2020
JUL 2020 JUL 2020
Show Price Chart
27.75 +2.07 25.68 25.97 28.27 25.56 371,148 13:38:41 CT
14 May 2020
AUG 2020 AUG 2020
Show Price Chart
28.58 +1.78 26.80 27.02 29.02 26.60 120,209 13:38:41 CT
14 May 2020
SEP 2020 SEP 2020
Show Price Chart
29.35 +1.51 27.84 28.09 29.75 27.57 84,755 13:38:38 CT
14 May 2020
OCT 2020 OCT 2020
Show Price Chart
29.96 +1.34 28.62 28.85 30.33 28.30 35,611 13:37:26 CT
14 May 2020
NOV 2020 NOV 2020
Show Price Chart
30.53 +1.16 29.37 29.03 30.86 29.03 19,282 13:38:41 CT
14 May 2020
DEC 2020 DEC 2020
Show Price Chart
31.05 +0.99 30.06 30.29 31.48 29.68 68,903 13:38:38 CT
14 May 2020
JAN 2021 JAN 2021
Show Price Chart
31.51 +0.86 30.65 30.76 31.91 30.35 13,516 13:36:45 CT
14 May 2020
FEB 2021 FEB 2021
Show Price Chart
31.93 +0.77 31.16 31.16 32.35 30.75 8,901 13:38:32 CT
3x's volatility tends to do that... no sweat... it's all good...
$NRGU
Nibbled here under $3.00... building a core to trade around...
IMO it's a risk not buying and holding a few share at this level... I made a mistake selling too soon on my last trade here... Summers coming... this moves extremely fast... could easily top $10.00...
I like the volatility ;} $...
On another note... I appreciate your projections & posts.
$NRGU
Tomorrows unemployment #'s are going to be a bombshell... Bull trap in progress... cash is king!
Test of lows are certain... Dow 14k is not out of the question IMO...
$NRGU
Earnings dictate price... some sectors will never come back... the impact from this shutdown will be calculated in years not months ... fueled by the fed... nothing backing the recent move except printed money... they are pumping in trillions to prop up the market artificially... their money will run out... smart $ won't buy in until there is clarity... It's going to be interesting to see if the market will loose steam...
Bottom line... 40% cut in production isn't enough IMO... bankruptcies looming... virus fears reignited... I'm a firm believer that we test lows... not buying into this rally either...
Who knows?... we'll see... If I miss out... there's always another...
LAS VEGAS, NV / ACCESSWIRE / May 4, 2020 / GB Sciences, Inc. (OTCQB:GBLX) announced today that the United States Patent and Trademark Office (USPTO) will issue U.S. Patent No. 10,653,640 entitled "Cannabinoid-Containing Complex Mixtures for the Treatment of Neurodegenerative Diseases" on May 19, 2020 . The patent is assigned to GBS Global Biopharma (GBS), Inc. , GB Sciences ' Canadian entity. The issuance of this U.S. patent protecting methods of using GBS's proprietary cannabinoid-containing complex mixtures (CCCM™) for treating Parkinson's disease (PD) is an important milestone in the development of these vitally important therapies and validates GBS's drug discovery platform. In the U.S. alone, the combined direct and indirect costs associated with Parkinson's disease are estimated at $52 billion , and new therapies to address Parkinson's disease symptoms are greatly needed.
"Receiving our patent for the treatment of Parkinson's disease symptomology using GBS's CCCM™ is an important milestone in the development of this urgently needed medicine, and to our knowledge is the first time that a U.S. patent has been awarded for a cannabis-based complex mixture defined using this type of drug discovery method. The U.S. patent validates our drug discovery platform and strengthens our intellectual property portfolio of unique CCCM's™, each targeting one of up to 60 specific clinical applications," explained Dr. Andrea Small-Howard , Chief Science Officer and Director of both GB Sciences, Inc. and GBS Global Biopharma, Inc. "Our CCCM™ development program for Parkinson's disease is well-positioned for success given both the new patent and our recently announced animal data demonstrating a statistically significant reduction in Parkinson's disease symptomology. These important preclinical animal results will be included in GBS's Investigational New Drug (IND) application with the U.S. FDA in order to enter human clinical trials as soon as possible."
GBS's drug discovery program optimizes cannabis-derived formulas by reducing the complexity of natural extracts while preserving the medically useful positive interactions between the active ingredients in the cannabis plant. Working with our university partners, GBS's drug discovery platform has identified unique, disease-targeted complex mixtures from out of the 480 potential active ingredients in different varieties of the cannabis plant. GBS's drug discovery platform uses both high throughput screening of cell models of disease and GBS's Network Pharmacology Algorithm to create rationally designed complex mixtures targeting specific diseases or disorders that can outperform therapies based on individual ingredients.
"The issuance of GBS's U.S. patent for complex mixtures for PD confirms that our pharmaceutical compositions can be patent-protected for therapeutic use," said Dr. Michael Farley , President, GBS Global Biopharma, Inc. "Our in vitro and animal data also show cannabinoid mixtures outperforming single component therapies for symptomatic relief or disease-modifying effects. Evidence-based, patent-protectable, complex formulas are where cannabinoid medicine is going fast and GBS is leading the way."
GBS's intellectual property portfolio contains multiple patent families covering CCCM™ containing novel combinations of active pharmaceutical ingredients that are complex mixtures composed of natural or synthetic homologs of cannabis-derived ingredients. In addition to the U.S. patent issued for PD CCCM™, GBS's intellectual property portfolio currently contains three licensed patents that are issued in the U.S. , with corresponding patents issued internationally. Seven nonprovisional patent applications and three provisional patent applications are pending in the U.S. and 18 patent applications have been filed internationally drawn to CCCM™ for the treatment of neuropathic pain, inflammatory disorders, cardiovascular disease, neurodegenerative conditions and a variety of other clinically unmet needs.
$2's on deck.. no doubt that gap down at the $2.50 level gets filled... market is under significant pressure... we may see that this week IMO...
$NRGU
Covered... Mondays going to be crazy IMO... Have a great weekend all... stay healthy...
$NRGU
Huge news...
4Front Ventures Announces $22 Million U.S. of New Funding
In the news release, 4Front Ventures Announces $22 Million U.S. of New Funding, issued 01-May-2020 by 4Front over PR Newswire, we are advised by the company that the third paragraph, first sentence (under the Private Placement heading) incorrectly stated the committed capital for the private placement. The correct amount is $4 million. Set out below is the corrected press release in its entirety.
4Front Ventures Announces $22 Million U.S. of New Funding
Company announces binding agreement for sale of its Assets in Pennsylvania and Maryland netting over $18 million U.S. in cash
Company secures $4 million U.S. through private placement
Transactions enable the Company to reach cash flow positive in 2020
PHOENIX, May 1, 2020 /PRNewswire/ -- 4Front Ventures Corp. (CSE: FFNT) (OTCQX: FFNTF) ("4Front" or the "Company") announced reaching a significant milestone in becoming cash flow positive in 2H 2020 through a sale of non-core retail licenses netting in excess of $18 million U.S. and a private placement of convertible debentures of $4 million U.S. The Company expects these transactions will fulfill the Company's stated objectives of being fully-funded and achieving cash flow positivity in the second half of 2020.
Non-core License Sales
Consistent with its stated strategy of divesting non-core assets, the Company has entered into a definitive agreement to sell its stake in retail licenses in Pennsylvania and Maryland, netting in excess of $18 million U.S. in cash. The majority of the proceeds from the transaction are expected to be received in the next week, with the remainder closing over the next 45 days pending certain regulatory approvals. Upon receipt of proceeds from the transaction, 4Front anticipates prepaying up to $10 million U.S. of its outstanding debt obligations to entities associated with Gotham Green Partners. The transaction marks a significant milestone in 4Front's goal of streamlining its cost-structure, allowing the company to focus on optimizing vertical operations in core markets such as Massachusetts, Illinois, Michigan and California.
Private Placement
The Company has commitments to raise $4 million U.S. in a private placement of convertible debt led by Navy Capital. The financing was contingent on entering into the asset divestiture agreements described above. These conditions have now been satisfied. The placement is scheduled to close on or about May 4, 2020.
The Notes have an annual coupon of 5%, paid-in-kind, and will mature on February 28, 2022. The Notes are exchangeable into subordinate voting shares ("common equivalent") at a conversion price of $0.25 U.S. Some lenders were granted a debenture which allows for the exchange of a portion of their existing equity investments into a security intended to mimic the liquidity preference found in a preferred equity, offering some downside protection on their initial equity investment.
Leo Gontmakher, CEO of 4Front, said, "This is a watershed moment for our company. We believe these non-core divestitures, combined with our private debt placement, put the Company in the enviable position of not needing additional capital to become cash flow positive. Our commitment to a lean corporate structure and focused execution allows us to achieve self-sufficient operations while minimizing dilution to our shareholders. The momentum in our business is strong and we can now turn our complete attention to maximizing growth in our core geographies and expanding our vertical operations to take meaningful market share in nascent adult-use markets.
Chetan Gulati of Navy Capital, said, "We are impressed with 4Front's focus on long-term, sustainable growth and its ability to operate an efficient and lean business during these uncertain times. We believe their low-cost, high-yield cultivation and production facilities in Washington, Massachusetts and Illinois are replicable across multiple geographies and well-suited to driving growth at scale in a production-led industry. We are delighted to support the Company in its next phase of growth."
Strong Business Momentum
4Front's affiliated cultivation and production facilities in Washington state have achieved a dominant position in one of the most competitive cannabis markets in the country. Producing over 25 different products and 300 SKUs, the Company's focus on quality, low-cost production at scale has driven high single digit market share in the Washington wholesale market. 4Front's strategy going forward is to proliferate these product brands and low-cost production methodologies across its license portfolio and eventually beyond.
Progress on this strategy is already underway in Massachusetts as the Company has imported its Washington-grown expertise and achieved cultivation yields of over 400 grams per square foot and introduced its branded products to the market. The Company expects to accelerate further product roll-out and expand production capacity in anticipation of greater penetration in Massachusetts. 4Front also has near-term plans to double production capacity in Illinois before the end of the year and roll-out its brands to patients and consumers in the state, which remains a primary focus area for the Company.
To be added to the email distribution list, please email 4FrontIR@kcsa.com with "4Front" in the subject
Gap to fill $2.50 ish... where we are headed IMO... still short over here...
Looking to cover before EOD... $$$
Short $NRGU...
Anyone else short?
$NRGU
KELOWNA, British Columbia , April 28, 2020 (GLOBE NEWSWIRE) -- Enertopia Corporation (ENRT) on the OTC (the "Company" or "Enertopia") expects to restart its lithium solution testing program in the coming weeks as COVID-19 work restrictions are relaxed and removed.
Our pre-pH adjustments have demonstrated positive outcomes, as contaminant minerals are greatly reduced. The results are a synthetic lithium brine consistently showing the lowest contaminant levels to be processed compared to many other lithium projects today.
“Our ongoing solution testing of the drilled lithium horizons continues to provide great insights and novel ways to strive for a low-cost mining & processing solution to unlock the potential value of the lithium enriched claystone. We continue to believe that the lithium hosted claystone deposits in Nevada could become major sources of lithium production in the 2020s and offer the USA a secure domestic supply of battery grade lithium products,” stated CEO Robert McAllister .
Key Takeaways from our recent 43-101 Report
Preliminary testing for the extraction of the lithium from the mined material has indicated that the material will be relatively inexpensive to process.
From the preliminary testing, the sediments will not require crushing or grinding prior to processing but may require some preprocessing to upgrade the material by removing the coarser fraction, which has been found to be of lower grade.
The type of processing envisioned will have a much smaller footprint than lithium brine operations, which now employ large evaporation ponds, making the proposed operation more environmentally friendly.
Table 1 below shows the average grade of each major lithologic unit within the model. the reduced sediments tend to be higher grade than the oxidized units and are in bold below.
Lithologic unit
Weighted average grade Li ppm
Surface Gravel
790
Upper Olive Claystone
834
Main Blue Claystone
1136
Dark Blue Black Claystone
1464
Lower Olive Mudstone
1082
Table 1
The full 43-101 Report can also be found on the company’s website at www.enertopia.com with further details.
We continue to explore strategic business opportunities and are engaged in progressing talks with respect to such joint ventures & strategic alliances in the clean energy marketplace. We will provide further details as discussions warrant.
The technical information contained in this news release has been reviewed and approved by Douglas Wood , P.Geol, a Certified Professional Geologist who is a Qualified Person with respect to Enertopia’s Clayton Valley Lithium Project as defined under National Instrument 43-101.
You're very welcome my friend... ready to make some $$!...
GTSM on the bid... looking for some action...
$ENRT
Ready to go!... looking real nice... :}
Loaded up here too...
$ENRT
There was also a lot of selling into strength over that period of time... both insiders and institutions... GG bailed in a big way... that was the top...
A little unsettling indeed... I'll be honest... this is what killed my confidence in $GRWG... why I won't buy size here... I made my money already...
Thanks to BBB bringing selling to surface...
Transaction(s) on January 14, 2020:
Salaman Michael (Director) disposed 10000 shares at $4.58 per share (SEC filing)
Lampert Darren (Director) disposed 10000 shares at $4.58 per share (SEC filing)
Transaction(s) on January 15, 2020:
Salaman Michael (Director) disposed 20000 shares at $4.90 per share (SEC filing)
Lampert Darren (Director) disposed 20000 shares at $4.90 per share (SEC filing)
Transaction(s) on January 16, 2020:
Salaman Michael (Director) disposed 7500 shares at $4.71 per share (SEC filing)
Lampert Darren (Director) disposed 7500 shares at $4.71 per share (SEC filing)
Transaction(s) on January 17, 2020:
Salaman Michael (Director) disposed 7000 shares at $4.56 per share (SEC filing)
Lampert Darren (Director) disposed 7000 shares at $4.56 per share (SEC filing)
Transaction(s) on January 21, 2020:
Salaman Michael (Director) disposed 5000 shares at $4.61 per share (SEC filing)
Lampert Darren (Director) disposed 5000 shares at $4.61 per share (SEC filing)
Transaction(s) on January 22, 2020:
Salaman Michael (Director) disposed 9000 shares at $4.59 per share (SEC filing)
Lampert Darren (Director) disposed 9000 shares at $4.59 per share (SEC filing)
Transaction(s) on January 23, 2020:
Salaman Michael (Director) disposed 3100 shares at $4.61 per share (SEC filing)
Lampert Darren (Director) disposed 3100 shares at $4.61 per share (SEC filing)
Transaction(s) on January 24, 2020:
Salaman Michael (Director) disposed 18000 shares at $4.23 per share (SEC filing)
Lampert Darren (Director) disposed 18000 shares at $4.23 per share (SEC filing)
Transaction(s) on January 27, 2020:
Salaman Michael (Director) disposed 15000 shares at $4.42 per share (SEC filing)
Lampert Darren (Director) disposed 15000 shares at $4.42 per share (SEC filing)
Transaction(s) on January 28, 2020:
Salaman Michael (Director) disposed 16000 shares at $4.62 per share (SEC filing)
Lampert Darren (Director) disposed 16000 shares at $4.62 per share (SEC filing)
Transaction(s) on January 29, 2020:
Salaman Michael (Director) disposed 52500 shares at $4.88 per share (SEC filing)
Lampert Darren (Director) disposed 52500 shares at $4.88 per share (SEC filing)
Transaction(s) on January 30, 2020:
Salaman Michael (Director) disposed 30718 shares at $4.97 per share (SEC filing)
Lampert Darren (Director) disposed 30718 shares at $4.97 per share (SEC filing)
Transaction(s) on January 31, 2020:
Salaman Michael (Director) disposed 14182 shares at $4.84 per share (SEC filing)
Lampert Darren (Director) disposed 14182 shares at $4.84 per share (SEC filing)
Transaction(s) on February 3, 2020:
Salaman Michael (Director) disposed 20000 shares at $4.95 per share (SEC filing)
Lampert Darren (Director) disposed 20000 shares at $4.95 per share (SEC filing)
Transaction(s) on February 4, 2020:
Salaman Michael (Director) disposed 10000 shares at $4.84 per share (SEC filing)
Lampert Darren (Director) disposed 10000 shares at $4.84 per share (SEC filing)
Transaction(s) on February 5, 2020:
Salaman Michael (Director) disposed 10000 shares at $4.99 per share (SEC filing)
Lampert Darren (Director) disposed 10000 shares at $4.99 per share (SEC filing)
Transaction(s) on February 6, 2020:
Salaman Michael (Director) disposed 36000 shares at $5.15 per share (SEC filing)
Lampert Darren (Director) disposed 36000 shares at $5.15 per share (SEC filing)
Transaction(s) on February 7, 2020:
Salaman Michael (Director) disposed 16000 shares at $5.52 per share (SEC filing)
Lampert Darren (Director) disposed 16000 shares at $5.52 per share (SEC filing)
Transaction(s) on February 10, 2020:
Gotham Green Partners LLC (major share holder) disposed 17000 shares at $5.96 per share (SEC filing)
Transaction(s) on February 11, 2020:
Gotham Green Partners LLC (major share holder) disposed 37638 shares at $5.91 per share (SEC filing)
Transaction(s) on February 12, 2020:
Gotham Green Partners LLC (major share holder) disposed 70000 shares at $5.68 per share (SEC filing)
Transaction(s) on February 13, 2020:
Gotham Green Partners LLC (major share holder) disposed 20000 shares at $5.73 per share (SEC filing)
Transaction(s) on February 14, 2020:
Gotham Green Partners LLC (major share holder) disposed 150500 shares at $6.02 per share (SEC filing)
Transaction(s) on February 18, 2020:
Gotham Green Partners LLC (major share holder) disposed 104862 shares at $6.56 per share (SEC filing)
Transaction(s) on February 19, 2020:
Gotham Green Partners LLC (major share holder) disposed 62939 shares at $6.55 per share (SEC filing)
Transaction(s) on February 20, 2020:
Gotham Green Partners LLC (major share holder) disposed 27550 shares at $6.39 per share (SEC filing)
Transaction(s) on February 21, 2020:
Gotham Green Partners LLC (major share holder) disposed 14120 shares at $6.27 per share (SEC filing)
Transaction(s) on February 24, 2020:
Gotham Green Partners LLC (major share holder) disposed 55000 shares at $5.51 per share (SEC filing)
Transaction(s) on February 26, 2020:
Gotham Green Partners LLC (major share holder) disposed 58557 shares at $5.40 per share (SEC filing)
Transaction(s) on February 27, 2020:
Gotham Green Partners LLC (major share holder) disposed 4300 shares at $5.23 per share (SEC filing)
Transaction(s) on February 28, 2020:
Gotham Green Partners LLC (major share holder) disposed 13625 shares at $5.52 per share (SEC filing)
Transaction(s) on March 2, 2020:
Gotham Green Partners LLC (major share holder) disposed 5000 shares at $5.51 per share (SEC filing)
Transaction(s) on March 3, 2020:
Gotham Green Partners LLC (major share holder) disposed 6638 shares at $5.52 per share (SEC filing)
Transaction(s) on March 4, 2020:
Gotham Green Partners LLC (major share holder) disposed 7000 shares at $5.50 per share (SEC filing)
Out @ $3.00... Oil is a little ahead of itself IMO...
Looking to buy back after a little consolidation..
Good luck!
$GRGU...
Already priced in... and expected... fracking has been under pressure for quite some time...
Old news torffe...
$NRGU
Contract Last Change Open High Low Volume Prev. Stl. Time Links
Cash (CLY00) 14.23s +1.11 0.00 14.23 14.23 0 13.12 04/22/20 Q / C / O
Jun '20 (CLM20) 17.02 +3.24 14.20 18.26 13.35 771255 13.78 15:04 Q / C / O
Jul '20 (CLN20) 22.09 +1.40 20.99 23.40 20.32 312795 20.69 15:04 Q / C / O
Aug '20 (CLQ20) 24.78 +1.02 23.99 26.12 23.42 112791 23.76 15:04 Q / C / O
Sep '20 (CLU20) 26.51 +0.74 25.96 27.92 25.44 77488 25.77 15:02 Q / C / O
Oct '20 (CLV20) 27.61 +0.60 27.32 29.03 26.72 28615 27.01 14:57 Q / C / O
Nov '20 (CLX20) 28.46 +0.39 28.35 30.11 27.78 17555 28.07 14:59 Q / C / O
Dec '20 (CLZ20) 29.31 +0.33 29.30 31.02 28.54 95435 28.98 15:04 Q / C / O
Jan '21 (CLF21) 29.95 +0.18 30.19 31.61 29.31 7726 29.77 15:01 Q / C / O
Feb '21 (CLG21) 30.65 +0.21 30.27 31.76 29.93 3813 30.44 14:55 Q / C / O
Mar '21 (CLH21) 31.18 +0.14 31.25 32.80 30.51 7856 31.04 15:03 Q / C / O
Trump considers block on crude oil imports to prop up US market.
Saudi oil tankers holding almost 40m barrels of oil could be left stranded off the US coast as Donald Trump considers a block on crude imports to help prop up the US oil market.
US officials are reportedly considering steep import tariffs on oil imports, or a block on incoming tankers, to help ease the glut of oil. The measures may be put in place alongside Trump’s plan to use government funds to buy domestic crude to help keep the industry afloat.
The Saudis have limited time to find a home for their crude cargoes. The biggest oil storage facility in the US – at Cushing in Oklahoma – is likely to run out of space within the next three weeks and global storage facilities may be full by the end of next month.
A few noteworthy points...
$NRGU
States opening... Middle East tension (what else is new)... production cuts... will take Oil back over $20.00
IMO... Oil has capitulated... the train is leaving the station... the price is looking forward past q3 - q4... Corona is priced in... now comes recovery...
On another note... humans are consumers by nature... the glut will be chewed through so fast that I foresee an eventual shortage when the dust settles... again... this topic will be for another post...
The cycle of commodities...
$NRGU
These ETN's are built to be traded not held... In the mean time you lost 35% waiting...
Good luck with that price point anytime soon...
$NRGU
Welcome to stage 2... $$$
U.S. oil sees double-digit rise as traders point to escalating Middle East tensions
https://www.marketwatch.com/story/us-oil-sees-double-digit-rise-as-traders-point-to-escalating-middle-east-tensions-2020-04-23
$NRGU
Not to mention...
Many other decimated sectors and quality blue chips to buy... no volume in these stocks in general because interest is elseware... bottom line... weed stocks are dead right now... IMO they will be for a while...
$GRWG