PAO Group Inc (PAOG)

[Wolverine19]

Short-Term Goal - Expand his team's current cannabis grow operation in the state of Michigan to a much larger scale, and he believes that the market in Michigan is ripe for expansion due to the recent passing of recreational marihuana in November 2018. Riedel brings a new management team to PAOG with diverse experience, and he is confident that market domination can be achieved through effective branding, targeted marketing, and delivering a premium quality product.

"My intentions for PAO Group is to actually take this company and build something with brick and mortar, and grow to a very large presence that transcends not just the Michigan market, but there are also some other markets that I'd like to expand into...we have begun targeting potential acquisition of other players in the Michigan industry who simply do not intend to apply for licensing under the new regulations, which took effect January 1, 2019." - CEO Karl Riedel

The Company has indicated that it is pursuing a 1,500 plant Grower Class C License, which is the maximum tier license that is available in Michigan. The Company is also pursuing a Processor License, which authorizes the purchase of marihuana from other growers and the sale of infused-products or marihuana to provisioning centers (dispensaries).

"In addition to the current grow operation, the Company is pursuing the max tier Grower License which allows for 1,500 plants. Licenses can be stacked at single locations, meaning additional licenses can be applied for and acquired to expand beyond 1,500 plants at a single location. With the addition of a Processor license, we are not limited by our own growing capacity, and can process plants from other growers into concentrates, edibles, and more." - CEO Karl Riedel

He also advised that they are currently working with multiple realtors to scout potential locations for the business to operate.

To address shareholder concerns, Riedel indicated that under new management he does not intend to conduct any reverse splits on the total number of outstanding shares of the company. He discussed a potential future round of fundraising at an appropriate time to expand the MI business operation, and confirmed that he is currently negotiating some very significant debt reductions with the company's current debt holders to reduce the financial liability of PAOG by Q2 2019.


https://backend.otcmarkets.com/otcapi/company/financial-report/210844/content