OTCPK:EMMBF - Post by User
Comment by
cresscoon Oct 17, 2017 1:56pm
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Post# 26822065
RE:RE:RE:RE:RE:RE:Emblem 25 Million Deal
RE:RE:RE:RE:RE:RE:Emblem 25 Million Dealdeminimis wrote: I think two material things changed since the May PR that pushed them over the brink of requiring financing, they decided to retrofit their current grow rooms and the cost of the Pharma facility jumped from 7M to 12M between their Q1 and Q2 MD&A. I never did get an explanation from IR as to what caused such a big change in the CapEx for that. Presumably they made some material design changes.
This is their stated capital requirements vs available capital before this financing:
| Grow Room Retrofit+CoGen Power Plant | 5,000,000.00 |
| Pharmaceutical Lab/Office Space | 12,000,000.00 |
| Pharma R&D | 1,000,000.00 |
| Working Capital | 3,000,000.00 |
| Phase 3 Expansion | 35,000,000.00 |
| Total | 56,000,000.00 |
| Cash On Hand | 23,664,422.00 |
| Callable Warrants | 12,000,000.00 |
| Shorfall | 20,335,578.00 |
That's crazy that explanation wasn't provided for the 70% increase in the production costs for the pharmaceutical facility.