Newstrike Brands Ltd NWKRF

RE:The Future of Newstrike!

[SendMoneyPlz]

You do not understand how the deal works, plain and simple. When the sale happens every 1000 shares becomes 33 CMED shares. They are not getting the same numbers of CMED shares as they had in HIP. When HIP is absorbed it basically gets absorbed at 89c per share under the deal (based on CMED's current share price). The drop off today is beacuse the smart folks have seen that, and have sold and gone to buy CMED directly.

Gulruthina wrote: Well it is true that HIP does not make any revenue and is overvalued and that is a fact but as an investor you have to look at the future of the company.

1. Merged with CMED - You become CMED shareholders. CMED shares is around $26 dollars and they can always do a stock split to issue current shareholders more shares and make it more affordable.

2. Supply agreement with CMED that is renewable - Good revenues with HIP

3. License to produce and sell cannabis - HIP is just starting out so obviously they are not making money at first but once they start producing and selling cannabis then revenues should go up which will drag the share price up. 

4. They are partnered with "The Tragically Hip" - A popular rock band in Canada! This will help with marketing with recreatioinal Cannabis no doubt about it. WEED has Snoop Dog and Canada has "The Tragecally Hip"

Maybe the stock price will go back down to 1 dollar or less (who knows) but if you know the future plans of the company then no doubt that it will go back up in the future.  

"A statement issued by the Health Department last month said, "as previously indicated, the government of Canada intends to bring the proposed Cannabis Act into force no later than July 2018."

- https://www.huffingtonpost.ca/2017/12/20/trudeau-rules-out-canada-day-for-marijuana-legalization_a_23312549/

If HIP is still alive by then they should already have made millions fromt he supply agreement and this should boost the share price of HIP