Dont really understand their use of the proceeds? How is December 2018 even relevant? Anyone?
USE OF PROCEEDS
The estimated net proceeds to the Company from the Offering, after deducting the Underwriter’s Fee and the expenses of the Offering (estimated to be $250,000), will be approximately $9.15 million (or approximately $10.56 million if the Over-Allotment Option is exercised in full). The Company intends to use the net proceeds of the Offering for working capital and general corporate purposes, which may include contributing additional equity capital in the Joint Venture. The Company has not definitively determined how all of the net proceeds of the Offering will be spent as any decisions in respect thereof will be dependent upon, among other things, market conditions and competitive pressures which may evolve and develop in the future. As such, the potential uses of proceeds described above are based on the Company’s best estimates as of the date of this prospectus supplement and are subject to change. See “Risk Factors – Risks Related to the Offering – Use of Proceeds”.
The Company had negative cash flow from operating activities for the fiscal year ended December 31, 2018. The Company’s cash flow from operations may be affected in the future by expenditures incurred by the Company to continue to develop its cannabis and hemp businesses. The Company, however, does not currently intend to use the net proceeds of this Offering to fund any negative cash flow from operating activities that may occur in future periods. See “Risk Factors – Risks Related to the Offering – Negative Cash Flow from Operations
