Yes, I know that ...forget about the building of greenhouses for now ....they need to translate their PR production numbers into actual results or else the stock will continue it's downward trend.,,sub 50 cents now.
The company's own filing January showed 240 million shares outstanding. Since then they have execute two more toxic convertibles for about 42 million shares each. The original toxic guys from last year still have about 1.1 BILLION shares available to convert based on filings made by company.
An mmj company is only limited by the feds in that it's very difficult to deposit money in a bank or get as an bank loan or to transport product across state lines. It seems like mmj companies are finding plenty of investors will to pony up money for financing but since the risk is so large the discounts to stock price is also very large. Didn't MDBX once do a private placement for cash at $2.50 when the stock was trading around $90?
If we are having an honest conversation here please keep your emotions to yourself.
For arguments sake, lets say Suncanna produces 1000 lbs per month (250 lbs per week based upon the 3/1 PR) and sells at it $900/lb. That was equal $900,000 per month. If costs are $300/lb, then the gross margin is $600/lb or $600,000 per month. I think TURV management said they get about 50% of the gross margin in the form of rental payments and administrative fees.. Therefore TURV should be booking about $300,000 per month revenue from this harvest operation at current production levels.
Lets see if 1) TURV's actual numbers matches all the estimates they have told their shareholders and 2) how long it takes for Suncanna to convert the crop to cash and pay TURV .
TURV/GrowCo should be making tons of money for the foreseeable future based upon these figures.. Which should give them the necessary capital funds to use to build more greenhouses without the need to go to investors to borrow funds.
I think "substantial" revenue streams is overstating things. Substantial defines how much stock they have issued over the past year. Practically all their revenue now comes from their vape business. And it will be interesting to see how much write offs there will be in that business given the stumbles that occurred launching their new product last Sept/Oct....after promising a product for five years.
Stockholders will not see any of the rewards solely because of the amount of shares that have been issued to toxic holders. The business is being kept alive so management can continue to collect paychecks in lieu of share appreciation.
With the 3/1 update they are saying that Suncanna expects to plant and harvest 250 plant per week. Why the drop from 400 plants forecasted only a month ago? The yield of 1 - 1.25 lbs per plant is within previous statements.
Got the same e-mail...so rent and services revenue starts when the first harvest is begun. Did they get free rent up to that point? Or has rent been accruing all this time and Suncanna now finally has to start paying the back rent?