OWC Pharmaceutical Research Corp (OTCMKTS:OWCP) has been under heavy distribution so far in 2016, with a slide of over 90% in the past six months. However, recent action brought about a bouncy new feel to the chart following an announced agreement for $300,000 in project financing with Medmar LLC.
The agreement has been accompanied by a massive surge in average daily trading volume, with recent days seeing over 10,000% above the average over recent months. We should note that this is also another stock in the cannabis patch seeing higher prices (240% higher over the last 3 days) and more attention as we draw nearer and nearer to a set of pivotal votes that should overwhelmingly expand the pie for all these companies on November 8.
OWC Pharmaceutical Research Corp (OTCMKTS:OWCP) bills itself as a company that engages in the research and development of Cannabis-based medical products. The company provides medical products for the treatment of various medical conditions and/or diseases, such as multiple myeloma, psoriasis, PTSD, and migraines; and delivery systems. It also provides consulting services to companies and governmental agencies related to international medical cannabis protocols and regulations.
OWCP through its wholly-owned Israeli subsidiary, One Word Cannabis Ltd., conducts medical research and clinical trials to develop cannabis-based pharmaceuticals, treatments and unique delivery systems for the effective delivery and dosage of medical cannabis.
All OWC research is conducted at leading Israeli hospitals and scientific institutions, and led by internationally renowned investigators.
The Company’s Research Division is focused on pursuing clinical trials evaluating the effectiveness of cannabinoids in the treatment of various medical conditions, while its Consulting Division is dedicated to helping governments and companies navigate complex international cannabis regulatory frameworks.
The Company is a wholly owned subsidiary of OWC Pharmaceutical Research Corp. The company was formerly known as Dynamic Applications Corp. OWC Pharmaceutical Research Corp. was founded in 2008 and is based in Petach Tikva, Israel.
Find out when $OWCP reaches critical levels. Subscribe to OracleDispatch.com Right Now by entering your Email in the box below.
As noted above, OWCP just announced that executives for the Company have signed an agreement for $300,000 with Medmar LLC. According to the terms of the agreement, the funds will be allocated to complete the development of the Company’s proprietary psoriasis cream, and Medmar ends up with exclusive rights to manufacture, produce, publicize, promote and market OWC’s Licensed Products in any state in the U.S.
Investors will be pleased to know that the loan is non-interest bearing and will be repaid from royalties generated by the sale of OWC licensed products, more or less guaranteeing a very low-risk, low-dilution source of capital, particularly when paired with the Company’s low leverage fiscal bearing.
Steve Weinstein, CEO of Medmar said, “Medmar has been anxious to advance cannabis as medicine, however US regulation makes it very difficult for companies here to actively pursue any type of development in the sector; fortunately, the environment in Israel is more favorable to the industry.”
Mr. Weinstein went on to say, “We learned about OWC as they are one of only a handful of companies taking a true clinical approach to the research and development of medical cannabis, and this was important to us. Once we saw the preliminary results for their clinical studies, particularly in the field of psoriasis, we decided to make an investment and partner with them.”
Mordechai Bignitz, OWC’s Chairman and CEO, also commented on the announcement, “As we continue to make progress in our clinical trials for multiple myeloma, psoriasis and fibromyalgia, we are excited to partner with MedMar as we prepare to bring products to market. Their confidence in the potential for the commercialization of our research is clearly evident in the terms of this agreement.”
Currently trading at a market capitalization of $1.3M, OWCP has a decent store ($162.28k) of cash on the books, with total assets exceeding $200K, which compares with almost no total accumulated debt – a strong balance sheet situation, to say the lease. The float here is down around 33 mln shares, which is small enough to contribute to the force of a short squeeze if this one hits a next gear on this move. For continuing coverage on OWCP and our other fast moving picks, sign up for our free newsletter today and get our next hot stock pick!