Beleave Inc BLEVF

RE:RE:RE:Help in understanding

[JDouble]

Basically the company was too late to the table in their expansion efforts. They moved forward with certification and a stable medical product but when the recreational market opened up my guess is that they didn't have the backing for expansion capital. 

They aquired expansion capital late, their expansion plans and purchases were ambitious but the market peak and crash had already happened before they finished their expansion. Most of their capital was tied up in real-estate that they have not been able to sell without taking substatial loss. They were late on their financial reporting, continued to present a relatively rosey albeit long term picture of success (aka bullshit their shareholders so they didn't immediately sell off their assets and tank the share price).

Expansion ongoing costs and debt overextended what revenue they had. Factor in terrible accounting practices (I should have bailed at that first instance) and late reporting to the Canadian Regulators coupled with the weed downturn and you had a company with insufficient cash flow that went into a sale process. The hope was that a higher bidder would come along than the initial bidder and then more money would go back into the company and the initial bidder would be rewarded for financing the continued operation. 

Again I'm sure the low market cap, terrible accounting, and financial position, coupled with many other companies downsizing assets for the true market realization deterred other bidders. So here we are holding onto stock that cannot be traded (see terrible accounting) with a sale process that will likely leave our investments worth nothing (what happens to the real-estate transaction is another question altogether).