As we have noted, Namaste Technologies Inc (OTCMKTS:NXTTF) remains one of the most interesting transition stories in the cannabis patch over the past couple months. The company has been gradually tying together a compelling downstream retail story for the recreational market, with a move to attach its technology arm and its MMJ retail arm to opposite ends of the adult-use market, and doing so in a manner that deserves some attention.
But, quite apart from that narrative, the expansion drive continues with the announcement last week that its wholly-owned subsidiary, Namaste Bahamas Inc., has signed a Binding Terms Sheet to acquire all of the issued and outstanding shares of UK-Based AF Trading Ltd. According to the release, “Access Fulfillment operates a 30,000 square-foot distribution facility in the UK and holds a Wholesale Distribution Authorization License issued by the Medicines and Healthcare Products Regulatory Agency which allows Access Fulfillment to distribute pharmaceutical products throughout the UK.”
Namaste Technologies Inc (OTCMKTS:NXTTF) promulgates itself an emerging leader in vaporizer and accessories space. Namaste has 30 e-commerce retail stores in 20 countries, offers the largest range of brand name vaporizers products on the market and is actively manufacturing and launching multiple unique proprietary products for retail and wholesale distribution.
NXTTF is currently focused on expanding its product offering, acquisitions, and strategic partnerships, and entering new markets globally.
According to company materials, “Namaste Technologies is Your Everything Cannabis Store. Namaste operates the largest global cannabis e-commerce platform with over 30 websites in 20+ countries under various brands. Namaste’s product offering through its subsidiaries includes vaporizers, glassware, accessories, CBD products, and the company will soon be selling medical cannabis in the Canadian market, subject to approval by Health Canada. Namaste has developed and acquired innovative technology platforms including NamasteMD.com, Canada’s first Health Canada compliant telemedicine application, and in May 2018 the Company acquired a leading e-commerce AI and Machine Learning Company, Findify AB. Findify uses artificial intelligence algorithms to optimize and personalize a consumer’s on-site buying experience. Namaste is focused on leveraging its cutting-edge technology to enhance the user experience throughout its platforms. Namaste will continue to develop and acquire innovative technologies which will provide value to the Company and to its shareholders as well as to the broader cannabis market.”
Find out when $NXTTF reaches critical levels. Subscribe to OracleDispatch.com Right Now by entering your Email in the box below.
According to the company’s release, “The acquisition of Access Fulfillment is the first step in Namaste developing its future medical cannabis distribution platform in the UK, which represents a much larger customer base than that of its Canadian operations. The Company intends to launch a platform similar to its Canadian wholly-owned subsidiary Cannmart Inc. within the UK market to help monetize on its database of over 500,000 customers.”
We’ve witnessed better than 100% tacked on to share pricing for the listing in the past month. In addition, the stock has benefitted from a jump in recent trading volume to the tune of approaching 530% beyond its prior sustained average level.
Sean Dollinger, President and CEO of Namaste comments: “We are very pleased to announce the Terms sheet with Access Fulfillment, which represents a very strategic transaction for Namaste in expanding Cannmart’s model into our international markets. We’ve worked with Access Fulfillment for many years and have the utmost confidence in their operation and management team. We’re looking forward to securing supply agreements in the UK and in eventually facilitating the import of medical cannabis products into the UK market through Access Fulfillments’ facility. We’ve done business in the UK for many years and our UK assets including Everyonedoesit.co.uk and NamasteVapes.co.uk maintain strong brand loyalty and drive significant revenue. By acquiring Access Fulfillment, we will leverage our technology and user base to introduce medical cannabis sales within our platform subject to further progress on UK’s cannabis legalization.”
At this time, carrying a capital value in the market of $611.67M, NXTTF has a reserve ($471K) of cash on the books, which stands against about $1.1M in total current liabilities. One should also note that debt has been growing over recent quarters. NXTTF is pulling in trailing 12-month revenues of $5.6M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 173.1%. We will update the story again soon as further details emerge. Sign-up for continuing coverage on shares of $NXTTF stock, as well as other hot stock picks, get our free newsletter today and get our next breakout pick!
Disclosure: we hold no position in $NXTTF, either long or short, and we have not been compensated for this article.