Looks like it didn't take the market long to see through this one.
Either the price spike immediately before the announcement was a ploy rather than a leaky ship (the price rose before and fell after), or the overall market is as unconvinced as I am and some holders used this opportunity to cut their losses.
The shareholders base will by now presumably be split between people with unmarketable parcels (most people who bought in during the early days will now be unable to sell because their holdings are too small), resigned to stay until the bitter end, or have bought in for the marijuana story.
I found it interesting that AEB is now seeking to sell not only to the medicinal marijuana market but also the recreation market! They're literally an Australian company planning to deal to junkies something which in Australia is an illegal street drug!
AEB is now targetting a shareholder base which is not focussed on an empty promise of world changing technology, but now primarily focusing on growing a plant which for thousands of years has been cultivated for the purpose of getting high, and to this day many junkies grow in their cupboards. It doesn't have the same 'I'm trying to save the world' type thing (empty as that was) so the investor base will be looking for tangible results and be less forgiving. The best case scenario I can see (and even that is extremely unlikely) is a marginally profitable marijuana project which chews up more than the profits in staff costs and continues to ask investors for handouts with the promise of new pie in the sky projects. Management would be thrilled because while shareholders will never get anything, they will continue to make their fortunes. Of course, more likely is that this won't quite be economically viable, so they'll ask for investors to donate more money until they eventually close up or come up with yet another gimmick.
AEB Price at posting:
2.3¢ Sentiment: None Disclosure: Not Held
