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Verde Agritech Ltd T.NPK

Alternate Symbol(s):  VNPKF

Verde AgriTech Ltd is an agricultural technology company that produces potash fertilizers. The principal activity of the Company is the production and sale of a multi-nutrient potassium fertilizer marketed in Brazil under the brands K Forte and BAKS, Silicio Forte, and internationally as Super Greensand (the Product). K Forte is a potash fertilizer that is a source of potassium, silicon, and magnesium and micronutrients. BAKS is a combination of K Forte plus three other nutrients that can be chosen by customers according to their crops’ needs. It mines and processes its main feedstock from its 100% owned mineral properties, then sells and distributes the Product. Its Cerrado Verde Project is in Minas Gerais state, Brazil, which is a potassium-rich deposit, from which it is producing solutions for crop nutrition, crop protection, soil improvement, and increased sustainability. Its technologies are Cambridge Tech, 3D Alliance, MicroS Technology, N Keeper, and Bio Revolution.


TSX:NPK - Post by User

Comment by mingzhuon Sep 29, 2023 5:06pm
209 Views
Post# 35662628

RE:RE:RE:RE:RE:wouw that hurts

RE:RE:RE:RE:RE:wouw that hurtswhy not sell now and buy later if your rationals are based on carbon credit. Without the carbon credit, it is a penny stock by any metrics of  normal fertilzer company. I expect SP will be in 0.20s if there is no carbon credit in 6 months. 
Benedictus wrote:
Celt1967 wrote: Jesus Ben, with so much negativity why on earth can you still be long on this company?..... 


A fair question. In hindsight, completely liquidating my position when all the stock boards were in hyper bullish mode would have been the right move. Unfortunately, I bought the industry and company narrative that the potash supply disruption would be an ongoing tailwind for the sector, backstopping global potash prices, which turned out to be false. 

I am a critical long not a cheerleader long, which I know rubs many investors the wrong way as they want only the good news or company optimism of which, if we're being honest, there has been very little to speak of lately.  

So why do I continue to stay long?

For one, while I criticize Cris's apparent tendency to hype certain news releases, that doesn't mean I see him in the same light as so many self interested pocket-lining fraudsters who run mining companies from Australia to Canada (and everywhere in between). He has been at this a long time; he has a noble vision, a proven resource and has been extremely prudent with historically modest share issuances, having retained a remarkable share structure while building a profitable business that is not forced to dilute us holders into oblivion. 

Secondly, he appears to be assembling  a much needed leadership team to enable the credible scaling of this business. Headwinds are all we can see right now but Cris is setting a foundational team in place to completely re-think the organization and its currently stalled out growth strategy. It's no accident he's recruiting this team now in 2023, the first year that I believe sales volume is either going to flatten out or quite possibly drop.

Thirdly, change is in the air and over time I believe this willl be an enormous tailwind for Verde. From government carbon tax vs carbon capture support agendas and governmental national interest concerns wrt import over-reliance to corporate "good citizen" policies driving a need to achieve or at least appear to achieve carbon neutrality, the opportunity for Verde with such a backdrop is compelling.

Finally, I've watched almost all the farmer testimonials, many of which offer many reasons for farmers to trial this product. While potash behemoths dominate the country and agribusiness business as usual practices will likely persist, if Verde can get their target market right it isn't difficult to see them seeking at capacity in a few years (after all 3Mt kforte is just 500Kt potash equivalent). 

Mind you these are all just my opinions and for now they mean squat.




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