Thanks Artweed....that's a good analysis.
Getting more viewpoints is what we need. I like how you have laid this out. I don't see right and wrong answers here, I see more info to be able to get a consensus. I only projected for 2019.
I do think we have a path to get all buildings done in 2019.
If we can find a partner to fund the California cultivation operations...LIHT would be free to focus on funding the crown jewel of our operations...Vegas.
How can we get all of the Vegas operation funded?......here's how. We have a $20 million loan guarantee that could be used to build the 65,000 sf building. The higher LIHT's stock price is when we get the loan....the better the terms are. If we took the loan....there is about a 50% premium on the money...that means we will pay back $30 million. If the shares were .34 and we paid in $30 million in shares...that is about 100 million shares in added dilution...but we could move quickly on the 65,000 sf building and start reaping $20 million dollars in revenue. That would help in a big way. Rather than wait for those revenues to roll in, to finish building phase 3 (225,000 sf)...I think the share price should be considerably higher then. If shares were $1.00...we could get an additional $50 million in funding (the amount needed to finish Vegas)... For about 50 million shares. That is where I got the 450 million shares number....100 million at .34... And 50 million at $1.00. We are currently around 300 million shares...I rounded to 450 million shares. I don't like any more dilution...but not moving and letting competition have a crown jewel market...is not wise. The revenue numbers will compensate for and outdo the dilution by a large amount. The 65,000 sf building should generate $20 million per year...perpetually. Take the loan when the shares are up and move on it.
The only real difference in my numbers and yours...is cannabis prices. Some of the sources quoted may have used street prices...and may not be valuations for organically grown pesticide-free..commercially tested...state certified cannabis. Since we are in Nevada I'm leaning more to the states prices. Rather than $2800/lb... I used $2000/ lb. as a conservative number. That puts 10,000 sf in Vegas at about 3.3 million per year in revenue. (1640 x $2000/lb.) That doesn't account for the additional revenue that can be generated from the kitchen in building 2. I thought your original numbers were spot on (3.6 mil).
One of the projections I wanted your opinion on...was projected revenues for all of Liht's complete or fully funded operations. Canada, 10,000 sf/Vegas, Washington state, and the DHS dispensary. Since we have funding for these...revenue is inevitable.
Thanks for the help...I'll post mine. See if I've missed anything or miscalculated.
GLTA
GET LIHT...BEFORE THE PARTY
