LOI is for the development, manufacture and commercialisation of products utilising Linnea’s unique low-THC cannabis extracts (High CBD, very low THC).
- Products to include a unique medicinal skin care range plus a therapeutic product(s) in areas such as but not limited to nausea and vomiting, anti-inflammation, neuroprotection and anxiety disorders
- Bod to implement relevant clinical trials with credible partners at tertiary institutions
New product development is described in the literature as the transformation of a market opportunity into a product available for sale.
I did not say they are growing pot to sell, this is a pharma company focusing on cosmetics and treatments, not everything is about selling cannabis. The global cosmetic market is estimated to be worth $675B USD by 2020, contrast this to estimates of global cannabis market by 2026 at only $50B.
Australian skin care is worth an estimated $4b at current, compare BWX a skincare company initial CR of $1.50, listing @ $2.12 in Nov 2015, now trading at $4.85. While this company is a much larger player it shows the potential for the cosmetic industry within Australia.
Personally I am investing in this because I see the potential carry over between the two industries operating within both spaces and capturing small percentages of each relevant market. Plan to hold shares for mid-long term and see if they can't increase revenues at same pace, currently 42% up from 2015-2016 sales, limited shares, good cash position prior to a cr with further product development planned. Most companies running at a net loss within first few years due to expenditure, but if they can increase market exposure will be interesting to see sales results in June, 40%+ gains would equate to a very nice raise.
If drops below 25c could be a great point of accumulation, across the entire sector prices are trading down today, cooling off period and accumulation
Expand
