Monday, page-37

To all those making worthwhile sensible contributions backed by some analysis/interpretation, thankyou.
In particular thanks for your input selfmaderiches (SMR). I think you are in a similar camp to me holding but with some reservations.
Sometime ago Winnermelon gave some really good reasons for exiting the stock and I could completely understand his point of view. I have weighed up the positives and negatives and like SMR, on balance I have made a decision to stay having been down the thick end of $50k for a reasonable time. I have over 2mil head shares and 1mil options so I have a reasonable amount of money at risk. Originally I purchased over a year ago at average 4.5c and oppies at 1.4c, so now I'm around $50k up as at Friday.
This is my take on it:
Negatives:
CR was not well timed
Far too many "performance rights" granted to staff for no apparent or stated achievements
Increases in directors salaries for no apparent reason after the CR. SH's may have expected more than regurgitated rhetoric to justify that
Info put out by the company can be a bit confusing, certain deals flagged but did not seem to come to fruition in the time periods anticipated
Poor communication with shareholders
Unwarranted Trading halts
Brent Mitchell with a background in punting on dog racing, get rich quick mentality?
Entry cost to the industry low. You cant patent a natural herb and anyone can grow it.

Now to the counter arguments

Positives:
MM is going to be a multi billion dollar industry. I see that NZ's new Gov't has just recently announced that it will import CBD under a strict licensing arrangements and then run a referendum on its legalisation! Its just a matter of time before this starts happening globally
No real research until now has been done on cannabis primarily because it was made illegal. We can speculate on the advances that can be made in a medicinal sense going forward.

MXC are definitely on the top of their game when it comes to research. Nativ Segev would have to be one of the most fully qualified practitioners in this area and is involved in leading edge research. eg looking at various strains and their impact on different health issues such as certain forms of  cancer, epilepsy etc This research is only in its infancy.

You don't get to talk at a major MM conference if you have nothing to offer. MXC is both a sponsor and keynote speaker at the inaugural conference being held in Canada soon. Huge exposure for MXC

As far as the analysis of the $40mil deal and whether it is possible to supply 15,000g per month etc , I think we just need to be cognisant of the fact that you are looking at some fairly reputable directors here that have their reputations on the line including Dr Ross Walker, not the sort of person you would  expect to be standing behind false and misleading information.  If its a $40 mil deal, then lets just accept that at face value, and stop trying to second guess what it means.
What is interesting is that its the first of what I believe to be growing income streams both for derma and CBD.
I also like the fact that they have a heavy interest in research and have joined up with RMIT. This is really good reputational stuff.
Its a long term investment with lots of trading opportunities for those who feel that way inclined because there is competition, successes and potential failures. Lots of risks, lots of opportunity. Do they have the business nous to capitalise on the first mover advantage and reward its shareholders?