OTCQX:PHVAF - Post by User
Post by
FallenAngel2017on Mar 10, 2019 11:36am
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Post# 29466153
Insider Selling
Insider SellingThe founder resigned in December and Caruso assumed his seat on the board. It appears that John left Phivida to pursue other business interests. He filed a prospectus to take his company public back in December. Last week the Ontario Securities Commission issued a notice to the public; the prospectus for Conscience Capital was withdrawn. No reason was indicated on the public notice. The notice is posted on Sedar.
I reviewed the circular for the Phivida AGM on Mar21. The document noted that John was receiving a MONTHLY salary of $12,500CAD. The absence of a relatively substantial monthly salary coupled with apparent business complications for his new venture suggests that his selling of shares at low market value is likely to do with personal/financial matter rather than a Phivida matter.
Under Bailey's leadership, I am not concerned about the future of the company. We have the best at the helm and irrespective of John's financial and personal reasons for selling shares, my bet is on Phivida to be a leader in the CBD infused beverage space.
John still owns more than 10% of the company. For this reason, he is still considered an insider for reporting purposes. He is obligated to report any trading activity. However, he does not make business decisions and is not entitled to insider information.