Ann: Preliminary Final Report, page-77

"CGB was still responsible for seeing through any deal to completion. Those deals failed to materialise. So...they must take responsibility for the failure of these deals to materialise, but I mentioned that external factors also affected operations, which affected the whole industry. I told them that they needed to be tougher with operations and management and also find better ways to inform shareholders for transparency."

Wholeheartedly agree with you here Neil, they are ultimately responsible, and need to communicate far better than they have done.



Glad we are on the same page here!


Hi Neil - go check out the apps, you can literally order your groceries from Coles or IGA. Need milk? forgot breakfast cereal? not enough Rice? It isnt just for prepared meals/fast food, the range has expanded, driven by businesses looking to serve customers who could not physically go to retail stores, and want their order this side of next week. (Auspost can sometimes make a 1 or 2 day delivery, but it isnt the norm in my experience, and certainly not 60mins after you place your order)



A very interesting read of Medifarm - glad they were not ASX listed!
I am not sure an oversupply is building, there are companies still scrambling to expand their capacity.
It was interesting that Tikkun was expected to ramp up to 7 tonnes of medical marijuana, i dont know how much ECS is producing, but they are seeking to double the size of their operations?

Further, from this article, ECS is expecting to be producing 32 tonnes by 2025, and mentions Cann Group are expecting to be producting 25 tonnes by 2024.
https://thegreenfund.com/ecs-botanics-announces-game-changing-outdoor-cannabis-operations-in-tasmania

There really does not seem to be a shortage of market demand?


I can't argue with you there, the necessary raw materials to produce the formulation were blocked from entering.
They don't mention the completed product though? I am not 100% on all the legal nitty gritty around the legislation, can anyone shed some light how much difference their is between importation of raw materials, compared to final product?





WOW - i had a look at the top capital raiser there, EXL and i came across this article (i cant link it, as its a HC competitor)
They had a huge cash "warchest" and burnt through it all, unable to keep the sales coming. This is a great example of why simply having buckets of cash, doesn't equate to a good business if you cant get the revenue to exceed your expenses.
Their 2019 financial report is interesting reading, their wages & directors fees were 48% of their revenue, and marketing spend was 30% of their revenue. So gee willikers Neil - CGB has blown less shareholder funds than EXL.
Those poor investors at a $3.90 capital raise, now sitting at a 3.6 shareprice have lost 99% of their investment. Glad we didn't invest in them. But - have we done any better here? If you bought in at CGB capital raise of 87.5c (adjusted for consolidation) and are now sitting on 2.6c, you have now only lost 97%. Congratulations on not investing in EXL,,, but still not going to get the investor of the year award. . .