Ann: Prospectus-TWH.AX, page-18

ie. (and just my thoughts not investment advice)

............so you buy example a million shares at 1.3c = $13k= 50,000 shares post consolidation

......You also apply for $13k prospectus (20c) but scaled back to $8k due to over subscription (could be even more)= 40,000 shares post consolidation

You are left altogether with 90,000 shares - cost $21k- listing price @20c/share value $18k

Now on the surface the net loss is $3k (circa 14%)....however there is more certainty of a decent line of stock this way on what could be mass scale back....and  using CPH as an example it listed very strongly (within 2 days trading at over 40% ipo- to settle at 20%).

The reason I speculate mass scale back is the strength of CPH as per below "oversubscribed $5m raising", making this one possibly even tighter

One thing stands out to me.....This stock has a week before trading is halted and the higher it's trading on close the stronger it will list imo. So those with a real vested interest here many seek a strong finish to TWH trading.

And I think one thing is for sure.....the noise and news from all these stocks will be deafening in December....the kind of news flow that makes traders drool

• The Australian
• 12:08AM October 22, 2016
• Save
• Tim Boreham
  
  Criterion columnist
  Melbourne

Weeding out value

On an entirely separate issue … medical marijuana stocks are sprouting on the ASX like weeds, the latest being Creso, whichdebuted strongly on Thursday after an oversubscribed $5m raising.
AusCann, chaired by former health minister Mal Washer, is due to list next month via the shell of TW Holdings. First it has to raise the targeted $3m-$5m.

Meanwhile Mal’s son Stewart is the driver behind Zelda Therapeutics, which also plans to list late next month on the remit of treating conditions as diverse as acne and insomnia. MMJ Phytotech, Medlan Clinicaland MGC Pharmaceuticals have already listed, with varying degrees of success, to put it politely.

In each case, the message to investors is that the business model involves not just growing the stuff, but developing delivery methods and targeting the active ingredients to specific ailments.
“Many players have rushed to the market as the medical rediscovery of the cannabis plants are truly providing new paradigms in healthcare,’’ says CEO Miriam Halperin Wernli.
It’s well accepted that cannabis is an effective treatment for maladies including epilepsy, AIDS/HIV (appetite stimulation) and nausea associated with chemotherapy.

But it’s a moot point as to how big the medical market is, given a goodly chunk of Baby Boomers will be comfortable with an illicit spliff to ease ailments such as pain and anxiety.
While all the listed exemplars claim to exercise a “methodological rigour’’, a variation on the theme is Creso’s focus on both humans (food additives) and pets (inflammatory disorders, pain relief and anxiety). We await the YouTube clips of stoned moggies and toking terriers.

Meanwhile, Canberra’s drug gate keepers last week finalised the Narcotic Drug Regulation 2016, which lays out the framework for producing cannabis for “medicinal and scientific purposes’’.
The Australian accepts no responsibility for stock recommendations. Readers should contact a licensed financial adviser.