$VRUS 3-YEAR TIME LINE (April 2020 edition)
Here is a recap of how Verus International has transformed
itself into one of the fastest growing companies on the OTCQB. January 2017
Anshu Bhatnagar takes over as CEO of RealBiz Media Group.
Begins transforming this moribund real estate company into a global food distributor by building on his success at American Agro Group. Opens HQ in Gaithersburg, MD.
Starts off shipping product to Middle East, mostly wholesale and one-off product lines.
Hires MKR and Mark Forney as IR, who took eGain to Nasdaq. December 2017
Company settles year-long legal fight with old RBIZ management, so the new incarnation can run free. (No mean feat.) July 2018
FINRA approves RBIZ spin-off into Nestbuilder, which is the remnant of RBIZ’s real estate video business. (Don’t ask.)
Verus revenue increases 102% over first half of 2017. Anshu’s global contacts in food biz paying off already. August 2018
Company changes name to Verus International. $VRUS ticker symbol voted by online poll of shareholders. Not quite the lift-off some predicted, but longs sit tight as first Investor Deck is released. September 2018
Company posts a 77% increase in sales for the first nine months of 2018 Winter 2018
IR Mark Forney manages expectations as company enters self-announced “quiet period”…
Shares go as low as .0019.
Verus gets $1.45M in recapitalization, inc. $1.25M from Cronos seed investor Andrew Garnock, which retires toxic notes from four creditors.
Garnock’s unveiling as angel investor is the game-changer. Turns out he bought his first shares in Verus back in the RBIZ days of 2017. March 2019
Vrus announces annual sales of $5.8 million for fiscal 2018, 101% increase over 2017. April 2019
Monaker Group on its conference call says it’s staying invested in Vrus: The company is "doing well" and they expect to “recover several millions of dollars” from their original Rbiz investment.
(Little did we know Monaker would begin selling its 150M Verus common shares within three months after racking up a $9M net loss!) Easter 2019
Anshu tweets about “new beginnings” for Spring, and lo and behold --
?April 26, 2019
Announces first M&A deal with Big League Foods to sell Major League Baseball-branded frozen dessert products and confections in 2500 stores. License is exclusive for ice cream and also covers candy for all 30 MLB teams. May 2019
Distribution for MLB ice cream announced for 2500 stores including 7-11s, BP, Chevron, Shell, etc. First footprint into the US market.
Andrew Garnock adds another $500k buying 41M Verus shares at market. June 2019
Award-winning CPA Chris Cutchens is appointed fulltime CFO. “Anshu’s entrepreneurial spirt and the potential size of this opportunity were both very appealing. I am excited to be part of a true growth story at such an early stage.”
His deal includes 30M shares vesting over three years, which shows real long-term faith.
S-1 is filed confirming Andrew Garnock’s involvement as “lead investor”. He and his company ARJ Consulting now own 577M shares (25.2% of the OS).
CEO Anshu Bhatnagar says: “We look on our business as a multi-year growth story, so this latest investment shows Andrew Garnock’s commitment to that vision.”
Rick Berdon also increase his share count to 162M. A huge statement of confidence in the company. Q2 released
Revenue hits new company high of $2.9 million — 153% increase over previous Q2.
Third straight triple-digit Q earnings increase in a row. Price hits new high of year of .0373 July 2019?
Uplist to OTCQB confirmed
FYI Free real-time L2 available for $VRUS on the OTCQB website. https://www.otcmarkets.com/stock/VRUS/overview
First photos of ice cream rolling off the production line. “Our baby is born!” The Verus Investor Decks https://www.verusfoods.com/corporate-presentation
Says commercial bank credit line is “pending” and sure enough, one week later… August 2019
$500,000 revolving line of credit (“LOC”) is confirmed with The Columbia Bank of MD.
As Mark Forney puts it: “Investors have not seen even 1/3 of the game plan yet.”
MLB candy hits stores
Hits first four key baseball markets: Chicago, New York, Boston, and Philadelphia.
Verus secures $13.5m in credit insurance from blue-chip firm Euler Hermes -- and it’s international insurance, which is harder to get that purely domestic. Another big step forward.
MLB ice cream hits stores ?Worth stressing the ice cream deal from announcement to shelves took just FOUR months. September 2019
Verus acquires french fry operation in Dubai from multiline food company “in transition”. Deal is for $544k cash upfront with revenue expected in 30 days. Sets a path to build on operation’s existing contracts with hotel, restaurants, etc. with other products.
Verus announces 154% YOY earnings increase - seventh straight Q with revenue growth.
The OTC has 10,000 active listed stocks. Only 21 can boast + $10m revenue and ?+150% growth. Verus is one of those companies. That makes it a 1 in 500 stock.
Appoints Michael McGowan as General Counsel and SVP of Corporate Development.
A fulltime legal eagle is another big step forward; his resume includes Harvard, Georgetown, and billion $$ deals for Time Warner, Netscape, MapQuest.
"Throughout my career, I have had the opportunity to be a senior leader for several amazing growth stories,” he says. “That is one of the reasons I joined Verus at this key point in its business acceleration.” November 2019
Company reveals a $605K note due in November was paid off early.
BLF unveils new baseball gummi designs.
News breaks that Monaker Group has been liquidating its Verus shares (“within a year”) to plug its $9M net loss. Panic selling takes Verus PPS down to .012 even though Monaker execs issue an 8K revealing they’re personally buying $450k of Verus shares for themselves at .016.
Verus announces controlling interest in Nutribrands LLC
A long-established Brazilian company that sells nutraceuticals, supplements, energy bars, drinks, wellness products and even skincare. The products are proudly made in the USA, paving the way for Verus to distribute those same products domestically.
?Projected revenue from the deal for first year is $18.4M:
Verus presents to investors at NIBA conference in New York. Full Investor Deck released https://834aa285-3862-4a19-a11c-16f6fa87f759.filesusr.com/ugd/703a12_57a84cedfda74e07856f9816efefae28.pdf
?Must read for any shareholder. ?Revenue Guidance for 2020 is $59M with current funding -- a fourfold increase on 2019. December 2019
Verus announces 10,000 manufacturing facility in Houston with the option to double in size. Facility will operate as Success Labs and produce candy and nutraceuticals, starting with baseball gummies and Vivamil energy shot. January 2020
CEO issues new year message with plans to uplist to major exchange in first quarter. This proves way too optimistic... February 2020
... Company is late with 10-K filing. The newly hired auditor resigns when unable to meet company deadline citing unresolved discussions over documentation. Company admits mistake is “humbling”.
Big League Foods presents at National Grocers Association show in San Diego following Sports Licensing and Tailgate trade show in Las Vegas in Jan. ?Confirms “active discussions” with NBA teams. March 2020
Announces distribution deals for MLB candy with TJ Maxx, Marshalls, Big Sporting 5, Rally House, Topicz, Weis Markets, HomeGoods -- adding up to 5348 stores coast to coast.
Gets approval to offer MLB product line to official club retail and stadium stores. Huge step forward in becoming part of the match day experience. Seattle alone has 24 team stores. April 2020
Big League Foods launches revamped website with MLB candy available to buy online.?https://www.bigleaguefoods.com/ PANDEMIC PIVOT
With baseball season delayed, Verus announces controlling stake in ZC Top Apparel, a Philippines-based manufacturer seeking to ramp up production of N95 masks and biohazard suits during the COVID-19 crisis.
Facility has 70 employees and is able produce up to 10 million masks a month. Reusable masks sell for $4-5 each, so even the most conservative estimates would transform Verus’s revenue figures. Upcoming Events
The long-awaited 10-K conference call is set for April 13.
Q-1 is set to drop later in the month.
Q-2 is due mid-June.
? OBLIGATORY FINANCIAL DISCLAIMER
All of the above is strictly my own opinion. I’m a good karma long since 2018 and I endeavor to share accurate information (and happily correct any mistakes), but I am ?not a professional adviser of any kind.
Be sure to do your own due diligence before investing in anything -- especially in the OTC.
- Nestegg McMuffin
? ? Lucky Ascot Publishing