RE:Checking in....Good debate.
- There continues to be converstaion on this 'exclusive' agreement with ACB. If anything, it might be labeled 'preferential' opposed to exclusive. RTI's technology is science andf as a maor shareholder and influencer, ACB will want the technology to be significant and profitable. However, ACB will want 'preferential' pricing in context to agreements established with competitiors.
- While I previously asserted that there may be no reason for ACB to purchase RTI, my argument may be flawed. Technology this critical for marijuana extraction, let alone others that convert 'biomasses', ACB could deem that to be a necessity to control outright. (Of course, profitability enters the picture...)
- While RTI is bleeding cash, the near horizon looks phenominal across the globe. The recent additions to the executive team are phenominal and diverse. One key is that the technology is scaleable and can be built out anywhere.
- Don't precude what hemp may provide as well to RTI. Its reasonable to think that HEMP will grow in huge multiples with the relaxations of certain legislative bottlenecks and as a food source, that alone considered to be a super food.
It all takes time and patience. What ACB has accomplished in a short period of time in nothing short of amazing. The vertical alignmnets could see ACB being a global powerhouse, stemming from marijuana production. Based on the throughput and ensuing quality, RTI could be very powerful globally across multiple industry's. Denis Taschuk is very capable and his team formidable.
Although not a Seeking Alpha fan, I actually thought there were some worthwhile comments made that failed to generate any discussion on this board. Admittedly, stock messgage boards are only good for their "entertainment value" but lets be real. The so called "entertainment" here SUCKS!
The primary question I seek to have answered is WHEN can we expect news on the arrangement with ACB. In a previous post of mine, I suggested not until ACB reported its earnings with early October as a likely time frame. Whereas still possible, I think that this is unlikely due to factors like RTI obtaining their license (December), HEMP shareholders approving ACB's investment (no time set) and ACB arriving at added supply per first harvest on growth initiatives (early 2018). In addition, and going foward, I think HEMP is going to factor in with RTI on producing oils. Hence, I obviously like ACB, RTI and HEMP as investment plays in the sector. But you know, it looks as though it will take up to a year to get things rolling. Should legalization occur come July 2018, I think this event alone will double the current market caps of all three stocks. But hey, that is just my opinion.
Anyone else with comments? That's the ENTERTAINMENT I like best!
GLTA
Conclusion
It appears that there is good evidence that a commercial agreement will be established with Aurora.
- It is possible that Aurora will place another private placement with RTI to ensure they survive as a business until the next few months to obtain their licensing
- RTI generated under $100k in the last quarter of operations. The cash flow from operations is not sufficient to sustain the business. A private placement from Aurora is very likely.
- If the licensing is approved, it will exclusively benefit Aurora, since Aurora wants to secure a global exclusive agreement. Given that Aurora is transforming itself into an international powerhouse, it is likely that Aurora business alone may be sufficient for RTI to ultimately justify its $100M market cap in the coming year.
Although RTI does have many other projects in the pipeline, I have made very little effort to comment on them. There is very little information regarding such opportunities and in prior years many have not been proven to be fruitful.
The Cannabis line of business appears to the most promising opportunity to engineer a turnaround at RTI due to the real need for efficiency with limited product.
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