Neptune Wellness Solutions Inc NEPTF

RE:RE:RE:RE:A reminder...

[newdant]

The other thing that's rather ironic is that NEPT has cited they're core competencies over and over again as being #1 extraction and #2 clinical research, and it seems a bit strange that there have been no other extraction announcements?  But JH is intelligent and well connected so I do expect NEPT will have some success but I want to see just how these announcements will translate to their income statement. 
Also, if you read - I think - the section 6 notes to financial statements you will see that there are a number of legal rulings pending which could carry signifigant costs which NEPT cannot currently cover unless they issue shares and raise capital - and that is now in the works.  In addition there are also significant royalty covenants they must pay in order to keep their licenses - I believe this is for Maximil - and I'm thinking NEPT sales are stalling in this area. I'm sure one of their goals is to combine this product (and krill extracts) with the cannabis space - along with clinical research - and secure a commercial agreement with a large consumer branded company. This would be a great win for NEPT and it may happen but I'm thinking this is still 2020/1.  Management has been very vague about activity in this area - and in extraction for that matter - so until more colour/detail becomes apparant I'm staying on the sidelines.

The other wildcard is that management has stated in past that they would be acquirers, so they may employ a roll up strategy to bolster flagging sales at Biodroga, and this could work out very well if they are able to signifigantly grow revenues and establish a stronger B2C brand, especially with the new cannabis products. And this in turn would make them very attractive take out target by the larger players. Of course this is all speculation and it too would require a financing but I wouldn't be surprised if JH pulls it off .. eventually.

I do like NEPT and I respect the team they have there but what is really going on behind the curtains - well I don't really know?  I'd rather pay more for the stock when it becomes clear that the company is on a more solid growth and earnings trajectory.  Probably more realistic for me is to purchase the placement when it comes out and that might come with some warrants as well?