Reces, a couple months ago they put out an obscure PR that introduced us to Noble Capital Fund:
noblecapitalfund.com
I called them right away. The representative I spoke to was reluctant to discuss the particulars of any specific investment. But explained that as a Private Equity Fund,they usually will take a material stake in a company such as this one. (start-ups). Then they provide the working capital for it to get going. They prefer investments that can be secured with real estate. They make their money several ways. First, in the stock price appreciation. Secondly, they can bundle the investment with others and sell in-house funds with that security as part of the fund. Lastly, they can sell it off in the form of Limited Partnerships.
He would not say whether or not they were invested in other MJ companies. When you hear Larson use the term "other investors" I'm pretty sure that is who he is referring to. They may have helped pay for Derrick's buy-out. I am hoping we get some clarity on this when the first 10Q comes out.
There is some speculation in this post; but for sure this is not some rich punk on a beach somewhere selling convertible debentures. I spoke to Larson late last year. He was excited about this relationship and I think he views it as paramount in executing his business plan.
Regarding the yield sign: They seem to cling to the notion that news will have a more positive impact if new investors don't see the yield sign as they are considering this investment. It may also be true that the yield sign would follow them when they roll out a new name and ticker symbol.
I think they screwed up the order of things after buying out Derrick in January, and that is making the yield sign removal difficult. Nobody could have predicted that it would have taken this long.
Good luck to all of us,
Willie
