View Systems Inc. (fka VSYM)

[artmaniac]

Why I believe VSYM is one of the last OTC stocks with 10-20x potential

I am not a financial adviser, this is not a recommendation to buy or sell any stock, and the below reflects my opinion.

VSYM is a company that has historically sold security scanners and has recently decided to get into the cannabis business in Colombia.

In 2019 VSYM entered into an agreement to acquire Colombian company cannabis company Sannabis. As part of the arrangement Sannabis will sit on the board and VSYM will recapitalize Sannabis: https://marketexclusive.com/view-systems-inc-otcmktsvsym-files-an-8-k-entry-into-a-material-definitive-agreement/2019/07/. I presume this is why VSYM recently announced the decision to spin out a new company that will handle the view scanner business - they want to separate the businesses and protect the View Scanner IP.

Sannabis has a cannabis fabrication license as of November (https://ca.finance.yahoo.com/news/view-systems-inc-vsym-sannabis-143400603.html), and it seems it will imminently have a seed bank license for which the government is not accepting any more applications (this is where growers will have to get their seeds from). Next step will be the two cultivation licenses, and the company speaks as though this will only be a formality:

$VSYM Sannabis just received letter from Ministry of Justice in regards to Cannabis Cultivation Licenses. Simple requests... just need to update info at Chamber of Commerce, pay a $3200 license fee, and amend a topographic map of the area. Good as ours.. https://t.co/g68id3m3Q4

— View Systems, Inc. (@ViewSannabis) April 9, 2021

(not sure why this link isn't hyperlinking, but you can go to their twitter and see all their updates). Among their recent updates is a report they will partner with companies that do have a cultivation license for the purpose of fabrication and export of products.

So what is VSYM potentially worth? For a good comparison let's take a look at CATV. This is a company that, unlike VSYM, didn't even appear to be reporting regularly until recently. They seem to have come back to life, and recently announced the acquisition of a Colombian cannabis company that has the licenses to cultivate, fabricate, and run a seed bank: https://www.prnewswire.com/news-releases/4cable-tv-international-inc-catv-announces-the-acquisition-of-green-bros-sas-a-colombian-company-owning-four-cannabis-licenses-to-cultivate-manufacture-and-export-cannabis-related-products-301249158.html. The market cap of this company was recently as high as $100m according to information on the OTC website, though as of today its $78m. This is one of the many OTC companies that suddenly popped earlier this year, and by my reverse math it had a market cap of under $3m at the start of January.

So lets compare to VSYM. VSYM states they are a compliant, regularly reporting company for the last 20 years (i.e. unlike a lot of OTC companies people are trading in, VSYM never shut the lights off). I haven't yet audited this statement myself by reading every quarterly filing over the last 20 years, because I have better things to do, but based on my cursory review of the disclosure section of the OTC website their claim seems accurate: https://www.otcmarkets.com/stock/VSYM/disclosure VSYM has a market cap of around $4.24m, with a current price of .0011.

When I look at CATV, its my opinion that the value to recent investors of that company is based mostly, if not entirely, on its marijuana business. When I search on Twitter I don't even see people talking about any other business activities it's engaged in. So CATV's current market cap of $78m, which is below recent peak, is 18 times VSYM's current market cap. If we look at its peak market cap, that's more than 23 times VSYM. And keep in mind, this is the *speculative* price within a nascent pot growing industry. Long term it could go down, but it could also go up, particularly if the Latin American cannabis companies find they have the edge importing to Mexico post-legalization (who would you rather deal with - Canadian companies with huge overhead, or companies that know the language and culture and have low growing costs?). So based on this, I see a huge upside for VSYM, and speculate that in terms of market cap it should be in the same ballpark at CATV.

SO WHY HASNT IT GONE TO THE MOON?

As we all know, since November there has been unprecedented billions pushed into the OTC market. VSYM sat on the sidelines during the peak of this time due to a suspension in January which they say arose from a press release they issued which the SEC decided misrepresented the ability of one of their upcoming View Scanner products to detect COVID. You can read the news release for yourself and decide if the allegations are fair (I personally don't think they are): https://ca.finance.yahoo.com/news/view-systems-inc-vsym-announces-140000624.html. The SEC decision to suspend is here: http://www.otcmarkets.com/stock/VSYM/news/SEC-Suspension-of-Trading?id=286678.

Following the lifting of the suspension in February the stock was relegated to the expert market. The company says they have responded to document requests from the SEC, and they are hopeful that soon they will have the green light for a broker dealer to file a form 212, which will allow them to be traded on OCT pink. They have been beyond transparent about this on their Twitter. They directly engage with tweets asking about this, even rude ones, and they express confidence they will get the issue fixed.

The effect the expert market designation has on their share price is that probably 90% or more of retail traders aren't allowed to buy and sell on their platforms (expert market is different from the grey market, which is actually a little better). For this reason the price has been sitting in the triple zeros. I see this, however, as something that may work to the great advantage of those able to purchase it on their platforms (I hear TD Ameritrade lets you buy it).

I will keep this pinned, and will update it based on information that comes current.




https://www.reddit.com/r/VSYM/comments/mpfqmk/why_i_believe_vsym_is_one_of_the_last_otc_stocks/