China Kangtai Cactus Bio-Tech Inc (fka CKGT)

[pegasus1]

Just finished going through the Q. Cash is a big issue, the rapid growth and expenditures for patents and expansion coupled with the enormous growth in accounts receivable has taken a toll. Confirms what I suspected in terms of hiring Equitrend. They're definitely going to need major capital infusion. Dilution will be inevitable.

Cigarettes, feed, and beverages did exceedingly well. No surprises there.

I also see they issued restricted shares for attorney and consulting fees over the past year or so. If they don't improve their cash position soon, I would expect that to continue, unfortunately.

After reading this report, I'm on the fence as to whether to hold this or revisit next quarter. Concerned about the receivables and lack of cash.