SGMD likely won't own controlling interest in budcars-> or consolidate the financials.
The fact is, budcars can say they made $100,000,000,000 in sales and SGMD just has to say to all of you and the SEC, “well that is what budcars told us so blame them”.
But in order to use budcars data to post as news to SGMD shareholders, they have to have a legal connection but not an obligatory connection so they will remain with a non-controlling minority position that does not require consolidated financials on SGMD’s data.
SGMD is using intent which is legal to say in news releases, but intent means it may or may not happen.
Once the diluted shares are sold the lights are turned off.
My guess is this:
Budcars is real weather it is just in name or they do have some operations. SGMD is raising millions on dilution based on news, not ownership of budcars. When the 10 billion shares are all sold and after the massive stock reverse split the company merges with budcars and SGMD files to have a new entity change and new ticker.
NOTE: One of the benefits of a reverse merger is that ALL shares in the previous company can legally be cancelled so all SGMD shares and ticker will likely be cancelled.
Just like the 1000’s you all have seen happen each month on the OTC!
Don’t you all ever wonder why when so many tickers are cancelled and the stock is no longer trading but the amount of OTC listed companies does not decrease but increases?
It is because the old ticker that you would think would reduce the number of OTC listed tickers would drop is because they just reverse into a new ticker.
Tickers come and go but the amount of OTC listing companies stays the same.
The set up is, investors really only now know SGMD as budcars, a company they do not even control. That is so investors are so familiar with that budcars name; they will rush to the new ticker and buy shares in budcars for what could be $1 or more just like SGMD once was. It won’t be seen as a new issue because everyone knows budcars now and will want to jump in when they emerge with a ticker.
Meaning you are all being conditioned now to buy budcars when and if it hits the OTC ticker list.
Eventually the new Budcars ticker could sell $50,000,000 maybe more in new shares and over time it will end up like SMGD.
There is more money selling shares then they will ever make selling MJ deliveries.
That is the cycle.
AI
