Capital Mining (ASX:CMY)Alerts Date: 4th July 2017Catalyst Type: Medical Cannabis DealCatalyst Timeframe: Weeks
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The Catalyst:Capital Mining Limited (ASX: CMY) has formed Capital Cannabis, an unlisted public company to own and manage any material medicinal cannabis opportunities secured by CMY. The company is looking to capitalise on the rapidly emerging medicinal and recreational — or adult-use — cannabis sectors. CMY is currently pursuing highly value accretive opportunities in the North American cannabis sector and is confident it will finalise a potentially high value opportunity in the cannabis sector in the coming weeks. The $4.8 million capped CMY is looking to form an array of strategic partnerships in cannabis-friendly geographical locations as it looks to grow its value. CMY is specifically targeting geographical markets, most notably North America, which have already legalised cannabis as a medicinal product and where the US market alone is worth the US alone is estimated to grow $6 billion to $50 billion over the coming ten years. The Expectation:CMY has a highly strategic approach to its entry into the medicinal cannabis sector. It is targeting two specific geographic locations; evaluating potential partners with 3 specific criteria; and targeting 4 distinct areas of focus including education, technology, branded cannabis and the companion animal market. The information in this email should not be the only trigger for your investment decision. Click on the link below for a more in-depth and informed examination of the company. We strongly recommend you seek professional financial advice whenever making financial investment decisions. With the saturation of medical marijuana players coming to market, CMY hopes to differentiate itself by avoiding the competition for a slice of the pie as far as growing the cannabis plant and distributing it is concerned. CMY is looking to capitalise on a young and fragmented market which is lacking vital support systems such as IP, branding, IT systems and education. If it can do this, it may not only work its way into the lucrative US market, but also a global cannabis market estimated to be worth $200 billion overall.
