While AC8 may not be turning around to go higher in the next couple of weeks, I think it is ok at this level. We are getting close to end of 2018. AusCann is supposed to start growing in Tasmania (assuming that their growing facility on order a long time ago will be ready) at end of this year. And the cannabis crop will be sent over to their partner Tasmanian Alkaloids to start production of the capsules they promise to be on sale in 2019. We will get a stream of news coming on growing facility, first crop, first batch of capsules ... In the past, the stock price was pumped by news of having the licenses. Now that the price correction has taken AC8 down by about 66%. Soon, the market will react to news of real production.
In hindsight, the capital raising was good! Without that AusCann would have only about 8 millions and that is not enough to do anything realistic. It now has about 33 millions to run its operation. Having Canopy as its biggest share holder who expended the holding at $1.10 also gives AusCann strong backing. At least we have $1.10 as a target to look for in 2019.
The Cann group has a lot more stable share price as it has been growing the plants and got a contract to supply for real. This shows how important it is to actually have a product.
I will stick to slow accumulation by cash and hold it until all the promised news come out to see how this baby grows.
