Since the December lows, shares of Supreme Cannabis Company Inc (OTCMKTS:SPRWF) have been truly on fire, roaring back as much as 115%, with powerful growth potential possibly still ahead. This is a second-tier play, but solidly in the running for one of the next candidates to IPO on the major US exchanges, and should be on the radar for folks interested in the cannabis space. To further flesh out the story, the company just announced that the company has appointed Mr. Nikhil Handa as the company’s new Chief Financial Officer.
According to the release, “current Chief Financial Officer, Dimitre Naoumov, will become the Company’s Vice President, Finance. As the Company continues to grow and execute on its business plan, Supreme Cannabis is realigning the leadership of its finance department to further accelerate its international and domestic growth initiatives. Mr. Handa, as CFO, will be responsible for the stewardship of Supreme Cannabis’ finance department, with an emphasis on capital allocation planning, M&A, and transactional execution as the Company focuses on expanding operations and distribution of its premium cannabis products domestically and internationally.”
Supreme Cannabis Company Inc (OTCMKTS:SPRWF) trumpets itself as a Canadian publicly traded company committed to providing premium brands and products that proudly reflect its consumers, people, and uniquely innovative culture. The Company’s portfolio includes its wholly-owned subsidiary and flagship brand 7ACRES.
7ACRES is a federally licensed producer of medical cannabis operating inside a 342,000-square-foot facility in Kincardine, Ontario. 7ACRES is dedicated to providing consumers with a premium-quality product that recognizes its customers are informed, discerning and value a brand and culture that aligns with their principles. 7ACRES brand success has been reflected in provincial supply agreements, where 7ACRES’ product is consistently listed in the highest brand category available to recreational consumers.
The Company’s growing portfolio also includes an equity investment and long-term global distribution partnership with Lesotho-based Medigrow for the exporting of medical-grade cannabis oil.
According to company materials, “the company focuses on the production and sale of medical marijuana in Canada. The company was formerly known as Supreme Resources Ltd. and changed its name to Supreme Pharmaceuticals Inc. in February 2014. Supreme Pharmaceuticals Inc. was incorporated in 1979 and is headquartered in Vancouver, Canada. The Supreme Cannabis Company has consistently set the standard for innovation in the sector, including the design of growing facilities and development of operational excellence metrics. We are confident that together with our flagship brand, proprietary technology and products, truly unique culture, and industry-leading team, we will deliver consistent long-term value creation to our shareholders.”
Find out when $SPRWF reaches critical levels. Subscribe to OracleDispatch.com Right Now by entering your Email in the box below.
As noted above, SPRWF just announced that the company has appointed Mr. Nikhil Handa as the company’s new Chief Financial Officer.
This news, while obviously helpful, figures into a tape that has been defined by some heavy action, with shares of SPRWF dealing with some pressure, but coming back on the news to close the last five days more or less flat. Over the past month, shares of the stock have suffered from clear selling pressure, dropping by roughly -7%. Furthermore, the stock has benefitted from a jump in recent trading volume to the tune of approaching 110% beyond its prior sustained average level.
“Mr. Handa brings a wealth of transactional experience, strategic leadership and financial acumen to our management team and will provide complimentary experience to our already strong finance team,” said Navdeep Dhaliwal, CEO of Supreme Cannabis. “His addition will help ensure our Company is well-positioned to seize on available growth opportunities as we look to expand our portfolio of businesses throughout 2019.”
At this time, carrying a capital value in the market of $462.9M, SPRWF has a significant war chest ($92M) of cash on the books, which is balanced by about $25.9M in total current liabilities. One should also note that debt has been growing over recent quarters. SPRWF is pulling in trailing 12-month revenues of $18.5M. In addition, the company is seeing major top-line growth, with y/y quarterly revenues growing at 359.3%. As more color becomes clear on the name, we will review the situation and update our take. Sign-up for continuing coverage on shares of $SPRWF 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 $SPRWF, either long or short, and we have not been compensated for this article.