AusCann (ACNNF)

[ForAllSadWords]

$5 a share would be way too much, at current levels it would be closer to $1-$1.25 a share, so at $1.25 a share the SP would rise to around that range and you'd be able to sell for a profit or (more likely) canopy would do an all shares deal at $1.25 a share, giving us 1 canopy share for every 10-12 shares of Auscann investors own.

To me the share deal would be more profitable in the long term, owning 10,000 Auscann shares would mean you'd get roughly 900 canopy shares and after giving it 12-18 months those canopy shares would appreciate to maybe $20-$25 each (rough guess).

Canopy already owns around a 10% stake in Auscann so that may skew the numbers a bit but that's the way a takeover would generally go.

All these numbers are estimates and are just to give an example.

I think a canopy buyout is a reality once we have some meaningful revenues and once we are cash flow positive. Either way I'm hoping to get between $1.50-$2 a share in the long term (1-3 years).