Newstrike Brands Ltd NWKRF

RE:RE:RE:RE:RE:Again Hexo posted 16M income, what if HIP

[Sevam123]

I agree that it would have been nice to see a premium over present value.  I would have been hoping to get maybe 20% more than the price they are at now as an opener but hey there is a deal and the whole world knows there is a deal which means the rest of the world has a chance to react to that deal.  Perhaps a white knight will show up with a competing offer and the price will get adjusted up but that couldn't even happen unless HIP got to this stage with someone.  The market now can decide the value.  If the deal stays as it is then the takeaway is that it was priced right.  The market will decide.

londonsate wrote:
For sure , 2 is better than 1, but we as HIP holders need fair value, not this shxt price. 

Sevam123 wrote: Youn can't sell beyond your ability to produce.  To sell more in a quarter you have to be capable of producing more.  Production facility is still being built.  Takes another 3 months to grow a crop, etc.  There is no question that there is demand for UP products but a major ramp up in quarterly rev is still 2 quarters away.  HEXO deal makes sense to me.  Sometimes you gotta pick hay while the sun shines.  Fact is that both HEXO and HIP were going to break out at some point during the next 12 months.  This way they are just doing it together.  Possible you could make more is HIP stayed on their own but you would not make it faster.  Speed matters.