It's a good announcement on paper, problem is there is a heap of shares to move. Without a consolidation this is unlikely to go gangbusters until they get closer to revenue generation June 2021 by the sounds of it.
Given CGB has $7m in the bank and this new revenue stream though it's definitely starting to look like a buy to me. Things are starting to move in the right direction. The first indicator to my mind that CGB is about to move because of Canntab will come in Canntab's own share price appreciating substantially unless people think that they will ship to Australia rather than get cracking in Canada and USA first, which I doubt. If the opportunity is for massive revenue gains I'm wondering why they haven't spiked yet.
Pondering the imponderables...
Good news is though they are shipping by end of year. So it may just be that it's possible that they see Australia and NZ running in parallel to their own plans for North American roll out, hence the reason for partnering with CGB in the first place they'll be busy with North America can pump out pills as a manufacturer but cannot handle the stakeholder engagement and roll out in foreign countries in parallel, the mind boggles!
I still feel CGB has the chance to become the leading Medical Cannabis stock in Australia they've got some good irons in the fire.
CGB Price at posting:
0.6¢ Sentiment: Buy Disclosure: Not Held
