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Aleafia Health Inc ALEAF

Aleafia Health Inc. is a federally licensed Canadian cannabis company offering cannabis products in Canadian adult-use and medical markets and in select international markets. The Company is engaged in the production, sale, and distribution of cannabis. It operates a virtual medical cannabis clinic staffed by physicians and nurse practitioners which provide health and wellness services across Canada. The Company operates two licensed cannabis production facilities and operates a strategically located distribution center all in the province of Ontario, including the largest, outdoor cannabis cultivation facility in Canada. The Company produces a diverse portfolio of cannabis and cannabis derivative products including dried flower, pre-roll, milled, vapes, oils, capsules, edibles, sublingual strips and topicals. It markets and sells cannabis products through regulated intermediaries into selected international markets, tactically sells cannabis products into Canadian wholesale markets.


GREY:ALEAF - Post by User

Post by MrOptimizationon Aug 27, 2020 9:28am
158 Views
Post# 31459625

Do you think they will issue more stocks to raise capital?

Do you think they will issue more stocks to raise capital?Curious about the correlation of net losses to market cap.

Because the stock price has dropped so much, it's not a 1:1 comparison. As cash levels raised from earlier stock issuances were higher than market cap today.

Looking at the annual statements, combined with 2020Q1 and Q2 Losses; Alefia has lost $75.73M in Net Losses since 2016 ($1.45M = 2016, $5.94M = 2017, $18.53M = 2018, $39.61M = 2019, $6.15M = 2020Q1, $4.05M = 2020Q2).

Their current cash position as of 2020Q2 is $57M. I'm just curious because if they issue more stock for cash, it will likely be at a discount.

https://www.marketwatch.com/investing/stock/aleaf/financials

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