48North Cannabis Corp. V.NRTH

RE:it very easy to see @robertcrs

[Blizzy420]

The bear case for this is that burned about 15 million last quarter leaving 17+ million remaining.  With $2.8 million in quarterly revenue if this type of spending continues, further dilution could be on the table.   The dilution would make that good looking share structure become a little less pretty.

They have 177 million shares for the company - add another 20 million warrants and 10 million options along the way to get this over 200 million shares (and counting) ....to get to $1 the market cap will need to be $200 million.   How would they get to that market cap?

The Current plan seems to be to grow 12,000KG and sell as much as they can.   The listed sale price was $3 per gram, if they sell it all at that price they generate $36 million dollars.    This would reflect a 3x gain from current levels.  

If they get the balance sheet together, sell out their flower/oil and get costs in line they can sustain,but this will be a slow journey back to 30-40 cents without a major change in market sentiment. 

Even if they have 40,000,000 KG and sell it at $3 per gram were simply talking 120 mlilion in revenue from the farm plus Delshen.   Giving this a high end market cap of 250-300 million or $1 - $1.25 but it will take 2-3 years to get there.

looking forward to hearing why I am wrong,.....

  

Those are the bear points,