Americann Inc (ACAN)

[tarballmonger]

It is all about the MMCC. You need to read all of the filings and the meaningful DD that is available. ACAN has signed up a tenant for the project named Coastal Compassion Inc. Part of that deal was a commitment to loan CCI $2.5 Million. I guess this was intended for buildout and rent payments on the property in Fairhaven which is where the intended CCI dispensary is planned. It, in fact, received the first installment of $50,000 from ACAN in June to get started. There has been no announcements of any further infusions of capital since then. It would not surprise me if part of this latest $2M family raise is needed to keep that alive until MMCC can be ready to move forward. I think there are also other ACAN commitments- maybe interest payments- that they need to fund. BOTTOM LINE: Other than real estate taxes, I'm willing to bet that not another penny of the $2M is for MMCC.

Furthermore, the MMCC project is quite substantial. It will require many $$millions to get even it's first phase going. The potential is obviously great but that seems to be all that most posts on this board are about- the potential of marijuana. There is great potential in building luxury apartment condos on the river in New York City, but I don't have the money to do that. Would you like to lend me a few thousand dollars because I have a great idea how to build and I have promises from some tenants that if I build it, they will come?

I hope some of this is helpful. I do not want to discourage you from your interest in ACAN. I have said for the entire time I have been posting on this board that I believed in the project but that my doubts are about managements ability to make a deal to raise the development capital. I was an investor in the $.60s and made a poor trading decision but correct (I still believe) analysis when I cashed out after the news of the land purchase agreement. It demonstrated no ability to build the project but only added debt and secured the land before someone took it from under them which would have been a death nell. I will continue to monitor. If they make a good deal to move forward, I'll be right back on board the ACAN train. In the meantime, I'll wait for it to fall back to a more suitable risk/reward area for me.
GLTY.