CANNVALATE, BUSINESS MODELS AND THE WILDCARD, page-4

Thank you for your calm & measured contribution here @KingHoves

It's good to have switched on earlybirds picking up the ball here.

On a popularity social media score out of 10, LSH scores 1/10.

Very few retail holders are in on this as we can observe from the lack of discussion here or on the bird.

I agree with your input and I believe time will show my assumptions are very conservative.

The annual report appears to confirm the company are shooting for the advanced business model:

Vapes + Bodytel + Medical cannabis sales

This is important because it not only brings recurring revenues through the door, but it sets the company up for an all seasons recession proof growth path.

If anything, cannabis sales jump during a recession as it takes the edge off the stress and makes people feel better. And like smoking, most people will cut other expenses first rather than a smoking habit.

The annual report also makes clear Cannvalate & MID Wealth (read doctors, doctors, and more doctors) aren't on board to sit back and chew bubble hoping the share price will rise.

Leveraging contacts = opening doors to growth & success for all shareholders, big & small.

The annual report states only 120 holders have 100,000 shares or more, so it could turn into a life changing journey for those lucky 120 brave souls, that is, all us here.

The question is how quickly can the market grow towards the 60,000 LSH medihale users?

It's a modest target and it would not surprise me at all to capture this within 3 years.

If my projected revenue figures are even ballpark, that's a massive market capital to grow into.

Even at 10x revenues that would be very close to 300 million market capital for the Australian market alone (almost a 20 bagger from here although naturally there will be further dilution as the company grows).

And yet it is the widcard, Vijay Sappani and Ela Capital that add that x factor that could well turn this into a unicorn.

In their own words:

"Ela Capital said it will leverage its expertise and networks to provide Lifespot with distribution opportunities in Canada, US and Europe’s medical cannabis markets, access to differentiated, patented inhalable technology products, leading regulatory expertise, and access to diversified pools of public and private capital globally."

So we could be talking about a lot more than 60,000 vapes a year plus bodytel plus reoccuring revenue from the sale of proprietary pods designed for use with Medihale.

Based on the company's capital light business model, the company should be swimming in cash & dividends within 3 years is not out of the question.

GLTAH