RE:Correspondence with IRPatrickBateman wrote: Hi guys,
Here is the e-mail exchange with IR as requested:
Good day!
I am long-term investor with EVE and I just had a few questions for you:
- When can we expect to receive Health Canada approval and licence ammendment for the phase 2 expansion (780,000 sqft)?
- Is there plans to move EVE onto a larger exchange (i.e. TSX and or a large American exchange)?
- There is currently a very large disparity between EVE's share price and the share price of it's competitors, is this a concern for management? Is there a strategy being developed to attract more investment interest?
- Is EVE entertaining the possibility of joint ventures with larger companies in other industries?
Thanks so much and look forward to hearing from you!
Cheers,
Response from IR:
Thanks for your note.
We are not able to predict when Health Canada will approve the Phase 2 expansion. First we need to finish the required Health Canada evidence package and then we will submit it for approval.
No plans currently to move exchanges.
We are aware of our share price relative to peers and are working on various strategies to address this.
We would consider a JV opportunity if the right one presented itself.
Thanks,
Eve & Co Investor Relations
I follow the stock because it could interest me in the future. For the cheerleaders, put me directly on ignore and don't reply if it is for cheerleading. So, people don't need to wait for HC approval, they need to wait for EVE to send the required Health Canada evidence package for approval. The question you should ask is when does EVE plan to deliver the evidence package to HC.
So, when the package to HC will be send, then you have to wait for this, below. This is why I am just following EVE. Reality check below. Health Canada has received 1,630 applications for licences to grow or sell medical cannabis as of March 31. Only 43 licences have been approved so far, representing just 2.6 per cent of the total applications.
The seven-stage application process to obtain a licence is "not for the faint of heart," said Eileen McMahon, who chairs the food and drug regulatory practice at Torys LLP. Compared to other highly regulated industries like pharmaceuticals or medical devices, McMahon said, the rate of regulatory default in Canada's legal marijuana industry is remarkably high so far.
"I mean, these are very difficult regulatory submissions," McMahon said. "Lots of complexity, lots of information required, and you could see how easy it would be to get it wrong."
Of the 1,630 applications to Health Canada, 841 have been returned for being incomplete, and 265 were refused outright. Sixty-nine applications were withdrawn by the applicants, and 414 are still in progress. Some applications could be counted towards the total multiple times if they were resubmitted, according to Health Canada.
"The entire application process can take more than a year to complete," advises a Health Canada web page that outlines the process.