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I had the same thought as you, that management is under a quiet period due to some kind fundamental news/change but if that's the case, then they need to get some news out asap. What doesn't make sense to me is the following:
1) Why would ABG agree to allow Invictus to issue shares instead of cash if ABG thought Invictus would be out of business. Couldn't they have forced a cash payment?
2) Same with Future Harvest but in the reverse. Why would Invictus agree to take a future payment from FH if they were so desperate for cash and didn't know if they would make it to next year?
3) Why hasn't Invictus asked GTEC to pay back the $2M they owe us
4) Why doesn't Ripa pay the company back the $4M loan AB Labs has on the books. I think RIPA was paid $10M cash when Invictus bought AB 50% of AB Labs
5) Why doesn't Invictus force PODA to pay back the $2M they owe us or take back the rights to the vape device (although not sure what value that has at this point)
6) Why not merge with an equal company that shares the same values of cost reduction and growing quality product
7) Why not tell shareholders that the partner for which they will supply 10000KG of product has received their import license. Seems pretty significant to me
8) Why not update shareholders on Trichome. Either you are doing it or not
And so on....
The total silence tells me something bigger is going on, otherwise this company is worse than even the most cynical person could imagine
yup. At least I used to get acknowledgement that they are busy and will reply when they can. at this point, I have received zero response. not much to do at this point. either sell and take my losses or hold. I wouldn't even think about buying simply based on the trading pattern of this stock. Even after months on downtrend there continues to be no bottom in sight. And with mgt offering no communication, how does one make any kind of informed decision to buy, sell or hold. Like many others, totally regret buying this company
trading pattern of this stock has been so predictable. down 5-10%, then stabilizes for a few days and even looks like it might move up, then down 5-10%, stabilizes a few days, then down again. the only encouraging thing is the volume has been been pretty low in both shares and dollars. $24-$50K trading volume not a lot and to think there are 20M shares at $2 as part of the PP last year
once again IR has disappeared. no replies to any questions I send to either to connect@invictus or to mgt. what gives with this company and it's ability to respond to shareholders. i was told several times news releases would be coming and some have but still some of the simplest things are not changed. kept being told new website coming...they've been saying that since Jessica Martin was there. GS still listed on website, ticker still GENE. I get it if they don't want to make small changes to website if they have plans to launch a whole new site but if that's the case then launch the new site. Trichome financing announced a while back with expected closing date of Sept 12 (or other mutually agreeable date) and still no update. At the current sp, I kind of hope they don't go through with it unless they are in real need of cash.
yup. agree with you on that comment. original pr said 10k over 5 years not 10 per year for 5 yrs.
I don’t think this is a typo. the company is in Germany and it’s my understanding that they use a decimal to represent a comma like is used in NA. so 10.000 kg is 10,000 kg. seems fine to me
I have noticed many AP strains being sold out on Alberta site but they really need phase 3 up and running because I also notice it takes a long time to replenish the sold out stock on the ALGC site. Not sure if that is an AP thing or the ALGC re-ordering process. Anyone know how that works?
Yup. good point. Another write off at some point..
another mixed bag but 415% increase in sales from same period last year and that's mostly without the oils and no AP phase 3 production. Looks like they may be done with the impairment charges going forward. Former CEO's made a mess with impairment charges reported for many of the business segments they have now left behind and of course for GS. For me GS was the biggest blunder. Bloated the outstanding share count, gave away $2.5M US cash and now the write offs and what did we get for it? You know the answer to that
I also liked that there was a very big reduction in share based compensation(options) this quarter. while should anyone get options when shareholders have suffered greatly.
Also wonder why they don't call in the loan from PODA. We could use the $2M they owe us. PLus the $2.5M to GTEC.
Let's go HC, we need Phase 3 approved!
i did ask about Trichome deal and was not given any additional info other than to say any news will be press released so not sure if there is a delay in closing or they aren't closing it or what
keep in my that last quarter they had a big one time fertilizer order for $600K so not sure what to expect for revenue this quarter if it's mainly related to cannabis sales. I don't think the numbers will be worth talking about until AP phase 3 is up and running. I just hope they are somewhat reasonable given the company's mc or we will be heading even lower.
yup. new websites also still in the works.confirmed today.
maybe selling off certain assets to streamline the company with the intent of M&A? Unfortunately the PRs don't give a concrete reason for selling off certain business units, such as, selling FH will decrease expenses "X" dollars, etc. Selling off Canandia made sense to me, not so sure about FH. They use FH's products to grow their own products so not sure how FH could be seen as an ancillary business which is not required. Having said that, by selling FH they remove all the overhead costs and then they simply buy back the product from FH
mgt is doing pretty much what I was told they had planned on doing, which was that they were going to move away from some areas of the business (which we have now seen with divestiture of FH and Canandia) and move into new areas (which we have not heard of yet). Wonder if they will still use FH products.
I also asked for update on Trichome transaction but also have not heard back. One thing that has me wondering if something bigger is going on behind the scenes is the website updates. I mean, how long does it take to change a website. I was told many times by different internal parties that the site is being updated yet GS is still listed. wondering if they are delaying the launch of the site because they have other news that would impact the site (e.g. company name change, M&A activity(still think they may be trying to tie it up with GTEC again but that's pure speculation). Anyway, could be reaching on this one but seems very strange to me that it's taking so long just to apply some changes to a site
the issue we now have is the price being driven down on very low volume, which has nothing to do with what's really going on with the company. On the US ticker (IVITF) it's down 8% on a measly 4900 shares. Each day it seems to drop 4-10% on almost no shares or total share dollar amount.
I agree with you Mrblabla about TD and Ripa. TD has been running AP for I think 3-4 years, if not longer and sold it to Invictus at $1.50 per share (10M shares for him and 10M for Brenda) so all his sweat equity the past years is now worth only $0.22 share. If I were in his shoes, I would not be content in watching all those years of hard work just go down the drain and would do what it takes to make the years of hard work pay off. Now, does TD have the skills and knowledge to pull this off, who knows. Had I been smarter I would have sold off my position a year ago but did not. I didn't sell because, in comparison to its peers I didn't think Invictus's shares were overly priced. The company has never surpassed about $225M mc when at the time many other companies were valued at half billion to 20 billion. My mistake was not selling when management starting making bonehead moves like hiring GS, spending $500K on stupid marketing flyers, getting no replies from the company when I would reach out. I simply did not see the stock price ever reaching these levels because I always felt that at $100-$150M mc it was still way lower than its peers so although I thought the sp may drop a bit I didn't think it would be this bad. I have to live with my poor decisions but at this point still have to give TD a chance to salvage this company
while i'm at it. How can Canntrust be valued at $225M when it has been suspended by HC and yet GENE is still only valued at $29M and going lower? AP and AB labs seem to be running clean shops unlike the outright cheating that Canntrust was doing. Total BS
there have been 14 trading days since the Trichome announcement and 12 of them has been down days.
should we really be surprised by continued downturn in sp when the recent Trichome financing has this stipulation:
Such number of common shares of Invictus equal to 17 per cent of the loan amount divided by the lower of: 33 cents; and (ii) the closing price of the common shares on the closing date of the term loan; and such number of common share purchase warrants of Invictus equal to 15 per cent of the loan amount divided by the lower of: (i) 33 cents; and (ii) the closing price of the common shares on the closing date of the term loan. Each bonus warrant will be exercisable for a period of 24 months, subject to adjustment in accordance with section 2.2(e) of TSX-V policy 5.1 and will have an exercise price of the lower of (i) 33 cents; and (ii) the closing price of the common shares on the closing date of the term loan.
I was given the same answer. I have sent them a very long list of questions. some of which have been answered in recent PRs but many still have not but was told they would be addressed in PR in due time.
Your comment "I do know straight up that there are more PR releases coming to address shareholders (I do not know the content)..looking forward to these" is exactly what I was told. I had asked a bunch of questions and so far several have been answered by recent press releases...unfortunately with no positive impact on share price. They are attempting to only press release items when they are done, which I think we all agree is better that the way things were communicated in the past.
Back to the penny a day bleed, except this time there are not many pennies it has left to go down. So frustrating.
Invictus MD unit receives amended Health Canada licence
2019-09-11 09:09 ET - News Release
Mr. Trevor Dixon reports
INVICTUS ANNOUNCES AB LABORATORIES INC. RECEIVES AMENDED LICENSE
AB Laboratories Inc., a company which is a 50-per-cent-owned subsidiary of Invictus MD Strategies Corp., has received its amended licence from Health Canada to include the new 40,000-square-foot custom-built cultivation facility located near Hamilton, Ont.
As previously announced on June 26, 2019, AB Labs' facility contains ten identical cultivation rooms capable of producing over 65 crops annually on a tightly controlled weekly production schedule. Five rooms have been propagated since receiving the amended license on August 30, 2019. The initial harvest is scheduled for November 1, 2019. The remaining rooms are expected to be propagated at a rate of one room per week over the next five weeks to ensure a reliable continuous production of cannabis for the recreational and medical markets.
Mr. Marc Ripa, Chief Operating Officer of Invictus and Chief Executive Officer of AB Labs and the other 50% owner of AB Labs stated, "AB Labs submitted the evidence package on June 4, 2019 and received the amended license from Health Canada in less than ninety days. I am extremely pleased with the efficiency of Health Canada in processing AB Labs' documentation. The employees have been working extremely hard since receipt of the license to get the five rooms into production and are continuing to press on with the additional five rooms."
Mr. Trevor Dixon, President and CEO of the Company said, "The completion of these ten rooms will double the Company's volume of finished product going to market this year".
About Invictus
Invictus is a global cannabis company with a focus on the Canadian cannabis space, offering a selection of products under a wide range of cannabinoid profiles that fit the demand of the Company's medical clients and retail customers. The Company's integrated sales approach is defined by five pillars of distribution including medical, adult-use, international, Licensed Producer to Licensed Producer and sales to provinces.
We seek Safe Harbor.
© 2019 Canjex Publishing Ltd. All rights reserved.
Thanks for sharing. The article hits on one key aspect how the previous management expected to fund further expansion and that is the warrants. I recall that some time ago they had publicly stated that, if exercised, they could raise north of $40M from the warrants. Not anymore and with the sp at or near the bottom doing a big financings is out of the question. In my opinion, selling off Canandia was a great move. Way too much money would need to be invested to get it really going and look how long it has taken Acreage to get Phase 3 done, can you imagine how long it would have taken to get a Mission location build, approved and producing? A long time in my opinion. I was not at all surprised by this announcement. It was obvious that it had to go.
One thing that keeps lingering in my mind is will Invictus go back to the table and team up with GTEC. They tried once before and called it off (which was good because Invictus was going to pay $100M for a company that is now valued at $42M. Both companies have similar market cap, similar outstanding shares, multiple HC licenses and both are trying to shed costs and eventually both will need more cash. Might be a good fit now. Just a thought. Anyone else think this might happen?
ORIGINAL: INVICTUS SELLS 0989561 BC LTD. DBA CANANDIA BIOCEUTICALS TO REDUCE OPERATIONAL COSTS AND STREAMLINE ITS OPERATIONS
2019-08-30 17:30 ET - News Release
Vancouver, B.C., Aug. 30, 2019 (GLOBE NEWSWIRE) --
Vancouver, BC, August 30, 2019 - INVICTUS MD STRATEGIES CORP. ("Invictus" or the "Company") (TSXV: GENE; OTCQX: IVITF; FRA: 8IS1) announces that, in accordance with the Company’s plan to reduce operational costs and streamline the Company’s capital expenditures, it has agreed to sell off all the issued and outstanding shares (the “Canandia Shares”) of 0989561 BC Ltd. dba Canandia Bioceuticals (“Canandia”) to a company owned by Alon Amit, Director and Chief Executive Officer of Canandia (the “Transaction”). As consideration for the Canandia Shares, Canandia’s current cannabis crop, a cannabis plant to be provided by Invictus for propagation use by Canandia, and payment of $105,000 previously due, Invictus will be released from its obligation to purchase, for $3,300,000, the premises in which Canandia’s operations are located in Delta, British Columbia and all further future payment and other obligations to Mr. Amit associated with Invictus’ purchase of Canandia.
The Company’s CEO, Trevor Dixon, continues to develop synergy among the Invictus companies to further develop value for the Company’s shareholders. Mr. Dixon states, “As Canandia has not produced revenue to date, its business model did not suit the new direction of the Company as we remain focused on increasing shareholder value through strong returns on investment.”
Mr. Amit is a director and the Chief Executive Officer of Canandia and, as a result, the Transaction is a “related party transaction” under Multilateral Instrument 61-101 – Projection of Minority Securityholders in Special Transactions (“MI 61-101”). The directors of the Company determined that the Transaction is exempt from the formal valuation and minority shareholder approval requirements under MI 61-101 in reliance on the exemptions set forth in sections 5.5(a) and 5.7(1)(a) of MI 61-101 and, in connection therewith, have determined that neither the fair market value of the Canandia Shares nor the consideration to be received, insofar as it relates to the related party, exceeds 25% of the Company's market capitalization. Closing of the Transaction remains subject to TSX Venture Exchange acceptance.
For more information, please visit www.invictus-md.com.
Trevor Dixon
Chief Executive Officer
Investor Relations 1-844-800-6086
E-Mail: connect@invictus-md.com
My guess is they will not doing any more build on Canandia and in fact will not do anymore builds at all until such time they have much larger sales. The continual need to raise cash has been largely due to the costs of building the facilities, wasted money on GS ($2.5M up front cash payment), $500K (x2) for the useless marketing mailouts, $30K-50K month for IR firms, etc. Much of these expenses like the mailouts, IR firms have been significantly reduced and the build out costs should also been gone eventually so any money raised from now on should be used to run the business. Many of the LPs are having the same issues. GTEC is a good example. Read this article about GTEC: https://equity.guru/2019/08/28/gtec-holdings-gtec-v-found-not/. the article also mentions the Cannabis Cowboy stores which Invictus was supposed to benefit from.
Keep in mind the GTEC also owes Invictus $2.5M
In my humble opinion this is a race against time. Can they get AP P3 up and running fast enough before they keep running out of cash. Also, can they actually sell all their product? I have been told that they have sales for all the inventory they currently have, that the German deal is still a go (which is for 10000 KG) and that many of the delays are due to the regulators not moving fast enough.
One good thing is AP is located in AB and that province had the highest sales of all provinces, with Ontario being next which is where AB Labs is so they are in the right provinces
Let's hope the price holds up so the number of shares issued will be lower but even at 3.6M shares, it's still only 3% of the outstanding shares so dilution seems low to me. I've seen other company issue shares at 10%, 20% and higher dilution so 3% seems pretty low. Until they get the full 7500 kg going, they will need to raise money so what choice do they have at this point. At least they are not wasting cash on stupid marketing flyers
The other big question I have is what's going on with Canandia. Invictus is on the hook for the following:
-$10 million investment (the “Investment”) in cash into Canandia to be used for expansion of the Mission Location and working capital purposes. The Investment will be paid into Canandia over time on an as-needed basis; and
-$7 million in common shares of the Company issued to the Vendors on the date that is within 10 business days of the Mission Location receiving its cultivation license under the Cannabis Act and Cannabis Regulations, valued at the greater of $1.06 per share and the 10 trading days Volume Weighted Average Price (“VWAP”) on the TSXV immediately prior to the License Date.
They seem to be sinking all their cash into AP and AB Labs which makes me wonder if they will unload Canandia. The good thing is the $10M is to be paid "over time on an as needed basis".
That's the way I read it as well. 3M shares though when the company has 123M does not seem that bad to me. The one thing I have like about Invictus is that they rarely have done a huge financing. They tend to do smaller financings on an as needed basis. 123M share outstanding is still quite low compared to many of their competitors. I also agree with others on the board, that the financing shows that Trichome thinks the company must have something decent going on and that the sky is not falling. Trichome is a subsidiary of CannaRoyalty which is now called Origin House, trading under symbol "OH". The CEO of Origin house is Marc Lustig and I think he is also CEO of Trichome so he's in the business.
I have confirmed that the German deal is still a go and this announcement further solidifies that.
Invictus MD's Acreage Pharms agrees to $6M loan
2019-08-27 17:41 ET - News Release
Mr. Trevor Dixon reports
ACREAGE PHARMS LTD. SIGNS NON-BINDING term sHEET FOR UP TO $6 MILLION FINANCING FROM TRICHOME FINANCIAL
Invictus MD Strategies Corp. subsidiary Acreage Pharms Ltd. has signed a non-binding term sheet for a secured term loan of up to $6-million with an interest rate of 10 per cent per annum on drawn amounts with Trichome Financial Corp. Invictus has also signed the term sheet as a guarantor of the term loan. The funds drawn on the term loan will be used for the completion of the 90,000-square-foot phase III cultivation facility near Edson, Alta., including the purchase of automated processing equipment and the development of the EU-GMP facility with the remainder to be used for general working capital purposes for both Acreage and the company.
The term sheet includes a binding provision whereby, subject to TSX Venture Exchange (TSX-V) approval, the company will be required to issue Trichome one million common shares if the company does not close the term loan on or before Sept. 13, 2019, or such other mutually agreed upon date.
The proposed term loan matures 24 months after closing and is available in two tranches: one for $3-million advanced at the time of closing; and one for $3-million to be available no earlier than two months after closing, conditional upon Acreage having used the proceeds of the first tranche in the manner agreed between the parties and the loan being in good standing.
Consideration for the proposed term loan is anticipated to include:
Such number of common shares of Invictus equal to 17 per cent of the loan amount divided by the lower of: 33 cents; and (ii) the closing price of the common shares on the closing date of the term loan; and such number of common share purchase warrants of Invictus equal to 15 per cent of the loan amount divided by the lower of: (i) 33 cents; and (ii) the closing price of the common shares on the closing date of the term loan. Each bonus warrant will be exercisable for a period of 24 months, subject to adjustment in accordance with section 2.2(e) of TSX-V policy 5.1 and will have an exercise price of the lower of (i) 33 cents; and (ii) the closing price of the common shares on the closing date of the term loan.
The term sheet is generally non-binding, other than the break fee, and the terms as set out in any definitive agreements entered into between the parties may be different from those set out in the term sheet. Further, the terms of any definitive agreements, the issuance of the bonus warrants and the issuance of the bonus shares are subject to applicable corporate and regulatory approvals, including but not limited to, the approval of the TSX-V.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
About Invictus MD Strategies Corp.
Invictus is a global cannabis company with a focus on Canadian cannabis, offering a selection of products under a wide range of cannabinoid profiles that fit the demand of the company's medical clients and retail customers.
We seek Safe Harbor.
© 2019 Canjex Publishing Ltd. All rights reserved.
ACREAGE PHARMS LTD. GRANTED OIL SALES LICENSE
2019-08-14 09:00 ET - News Release
Vancouver, B.C., Aug. 14, 2019 (GLOBE NEWSWIRE) --
Vancouver, BC, August 14, 2019 - INVICTUS MD STRATEGIES CORP. ("Invictus" or the "Company") (TSXV: GENE; OTCQX: IVITF; FRA: 8IS2) Mr. Trevor Dixon, Chief Executive Officer of Invictus, is pleased to report that Acreage Pharms Ltd. (“Acreage”), the Company’s wholly owned subsidiary, has been awarded an oil sales license by Health Canada. Acreage continues to build an inventory of oils high in CBD, one to one ratio THC to CBD and high THC to meet the demand of sales to the medical and recreational markets.
Mr. Dixon stated, “I am pleased that in accordance with our oil sales license, Acreage is cleared to begin oil shipments to our customers beginning on August 20, 2019.”
On Behalf of the Board
Trevor Dixon
Chief Executive Officer
Investor Relations 1-844-800-6086
E-Mail: connect@invictus-md.com
That's a good question. They still haven't properly articulated their retail strategy. IMO they need to find other avenues for selling their products other than ALGC and OCS. I would think there are still people who do not want to buy online for fear of having their transactions tracked back to them so being able to walk into a store and pay cash would help. Not sure what happened to all the supposed "Cowboy Cannabis" stores that they were supposed to be using in partnership with GTEC.
It would be good if Trevor gave an update on the following:
1) Is German deal still a go and if so what progress is being made on the export/import licenses and GMP certification of AC Phase 3.
2) What is happening with retail strategy? Is there a strategy?
3) When or are they going to seek out supply agreements with other provinces. They had said they would but nothing so far
4) What's the plan for Oils?
5) Are they changing ticker symbol?
6) What is going on with Canandia? We have very little info about them
and any future plans of expanding the sites they have
Just a few things I can think of. I have tried sending questions to connect@invictus and don't always get any replies
Hard to tell what GS really provided for the cash and shares he got. It's a tough pill to swallow for shareholders but all the cash and shares attributed to him have been accounted for already in the financial reports so best thing is to move on. He definitely did not reach the 50 events he was supposed to attend and for which he was being pai, however Invictue is not the first company in mj space that has written off a bad purchase/business decision. TGIF paid a lot ($3-5M I think) for a consulting company called Spire and I think they wrote off the whole thing as it was a total bust. Lots of writedowns going on and Invictus is no different.
Personally, I would also like to see a ticker change. There is no way they can keep the same ticker now that GS is gone. I would also like a new corporate name, never like Invictus and a new brand identity would help shed the old company image.
GENE SIMMONS ABDICATES ROLE AS CHIEF EVANGELIST OFFICER FOR INVICTUS
2019-08-12 09:00 ET - News Release
Vancouver, B.C., Aug. 12, 2019 (GLOBE NEWSWIRE) -- INVICTUS MD STRATEGIES CORP. (“Invictus” or the “Company”) (TSXV: GENE; OTCQX: IVITF; FRA: 8IS2) announced today that rock icon and marketing and branding innovator Gene Simmons has abdicated his position as the Company’s Chief Evangelist Officer.
“It has been a pleasure to work with Gene. He has been a valuable asset to the Company,” said Trevor Dixon, President and Chief Executive Officer of Invictus. “Gene has pledged his ongoing support of the Company, its leadership and its new direction.”
Mr. Simmons continues to be a shareholder in Invictus.
“I have enjoyed my time with Invictus,” said Mr. Simmons. “I remain a big fan!”
On Behalf of the Board
Trevor Dixon
Chief Executive Officer
Investor Relations 1-844-800-6086
E-Mail: connect@invictus-md.com
It's my understanding that a PR will be released soon regarding role of GS as well as the website being updated and released soon. Not saying the PR will be only focused on GS but sounds like that aspect of the business will be addressed in the PR
the industry is definitely maturing and lots of articles about the need for the initial founders to move over and let true operational people take over(i,e, Trever taking role from Dan/George). Canopy a perfect example. Linton gone now and many think that's due to poor results and the need for real operator to take over. More and more MJ companies getting rid of "visionary" CEOs and replacing them with operational CEO's that focus on operations instead of the hype and promotional activities that have been going on.
Time will tell if Dixon can get it done. Sp has been severely beaten now and I think will take a while to move up (barring some big news)
Mr Ripa did manage to work out what looks today like a better deal than the Dixons. I believe he got $14M in cash when he sold his 50% stake plus 2.5M shares. The Dixons got $6M in cash and 20M shares. Either way, I think they are both heavily invested and motivated.
I was a bit surprised by the small size of the PP. I think they had $3.5M cash at end of April plus GTEC owes them $2.5M and I think PODA owes them $2M so they should have access to over $5M I would think so not sure why they felt the need to half million unless they have chewed through the reported $3.5M reported at end of April.
I like the fact the CEO took the whole PP. If the past, management has financed with companies like MMCAP that have destroyed shareholder value by dumping millions of shares in the market just to keep the warrants. Dixon is unlikely to unload any shares in the short term so the 4 month hold period is probably a non factor. I also like the fact that they may be more willing to take smaller financings, on an as needed basis, which reduces dilution that a big PP would cause. Invictus has done well at keeping the share count fairly low compared to other companies.
This play has and will always be simple to understand. Build the grow facilities and make sales and if they can't get that, they will be done. I would like to see more supply deals like they are supposedly doing with the German company. Sales via the government websites seem very slow and so far they do not have a great retail story. It would be great if they could snag a guaranteed contract with some company to supply "x" amount of grams each year and not have to rely on website sales
ORIGINAL: Invictus announces Non-Brokered Private Placement
2019-07-03 09:00 ET - News Release
Vancouver, British Columbia, July 03, 2019 (GLOBE NEWSWIRE) --
Vancouver, BC, July 3, 2019 – INVICTUS MD STRATEGIES CORP. (“Invictus” or the “Company”) (TSXV: GENE; OTCQX: IVITF; FRA: 8IS2) announces it has negotiated a non-brokered private placement consisting of 1,250,000 units at a price of $0.40 per unit to raise $500,000 (the "Private Placement"). Each unit will consist of one common share of the Company and a one-half common share purchase warrant, with each full warrant exercisable at $0.60 for 24 months from the date of closing of the Private Placement. Trevor Dixon, the Company’s President and Chief Executive Officer is the sole subscriber to the Private Placement. The proceeds of the Private Placement will primarily be used for general working capital purposes.
All common shares issued under the Private Placement will be subject to a four-month plus one day hold period in accordance with applicable Canadian securities laws. Closing of the Private Placement is subject to receipt of all necessary regulatory approvals, including those of the TSX Venture Exchange, and certain other customary closing conditions, including, but not limited to, execution of a subscription agreement between the Company and Mr. Dixon.
Mr. Dixon’s subscription is considered to be a "related party transaction" as defined under Multilateral Instrument 61-101 ("MI 61-101"). The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the securities to be distributed in the Private Placement nor the consideration to be received for those securities exceeds 25% of the Company’s market capitalization.
On Behalf of the Board
Trevor Dixon
Chief Executive Officer
Investor Relations 1-844-800-6086
E-Mail: connect@invictus-md.com
As we all know this stock has been severely beaten down due to poor management, missed deadlines, changing of building sq footage, very poor communication, lack of focus by trying to dip their hands in all kinds of other areas. Revenue numbers seem to justify a smaller mc (i.e. mc where we are now). Having said this, IF they execute going forward by getting oil license, get GMP certified, completing AC P3, getting license for expanded AB Labs building, continuing to reduce costs, getting product into GTEC cannabis cowboy stores, getting full quarters of sales at OCS, I think the mc will appreciate back to where we all want it to go. I have more confidence today that Marc and Trevor will actually meet the stated goals/targets than I had in the past. They also have $2.5M loan to GTEC and $2.0M to PODA so they can call that money in if they need additional cash.
Speaking of PODA, if and when that ever gets going, I can definitely see Invictus selling their products to PODA. PODA expects to produce 3M empty pods/month (double check me on that) which will need to be filled. It makes total sense for that product to come from Invictus. I think PODA said they expect the 3M pods to be ready by end of June, so perhaps a product release in July-Sept timeframe...but who really knows. They've been saying for 3 yrs they are ready to go but still haven't
the revenue number comprised two values 1) Dried Cannabis 2) Fertilizer. But the bolded statement below highlights that fertilizer sales were much higher than normal due to one time sale of $561K. So, in one quarter they sold $871K dried cannabis. Personally, I thinking they are holding back inventory for oil production use so the revenue numbers may continue to be lower until they start selling oil.
Revenue is comprised of $871,074 (2018: $0) of Cannabis revenue and $734,027 (2018: $1,302,053) of Fertilizer revenue. Fertilizer revenue was higher in the prior year quarter due to a $561,166 non-recurring sale transaction made in February 2018.