Supreme Cannabis Company Inc. (The) T.FIRE

Supreme Warrants (Fire.WT)

[WealthBuilder99]

Has anyone else taken notice, that warrants currently trade at no premium to the stock. IE the current price of a warrant (the first series: Fire.WT) is about $0.15, with a $0.23 exercise price until January 2024. The current price of $0.15 plus a deferred $0.23 exercise price = $0.38, is roughly the same price as the stock. Therefore, it makes zero sense to buy Supreme or Canopy common shares while this fact remains. One can effectively gain leverage and significantly increase their upside, with no added risk. a 50% upside move on Canopy shares, would translate into a 50% upside move on Supreme shares, OR a 120% upside move on warrants.

Things to consider.

Cheers

[Craiger02]

well said Wealth! Agree completely. And the best part is you remove so much of the risk of your initial investment with the warrants. If you grab them and don't like where Canopy is headed in the future, you have 3 years to trade them. If you believe in them long term, then you can't beat how cheap they are and also the low conversion price    

[Cannabiznas]

Apolgies, I am not following. If they are the same as the stock price where do these 50% and 120% upsides come from

[WealthBuilder99]

One warrant will eventually convert into one share. But one must only put up a fraction of the money up front. 15 cents instead of the full $0.36. Therefore you can buy more than twice as much exposure (or shares) with the same amount of money up front. Using my previous numbers. Canopy was at $33, therefore a return to $50 translates into roughly 50% return. Supreme would follow to about $0.58