Saturday, February 3, 2018

Cannabis Wheaton - CBW.v - Utter Krappus

Cannabis Wheaton - CBW.v is built upon a market-tested model and applied with a fresh approach by leading experts in the cannabis industry.
Naturally we wouldn't be wasting our semi-valuable time perusing the 'Inca Kola' blog of Mark Turner if he didn't spit out dirt worth reading every now and then. Case in point is Cannabis Wheaton - CBW.v. What is he pointing out with clarity? How about the fact this VSE listing has an absolute massive krapload of dilution in the form of nickle free trading paper already.
"1) On March 14th, CBW (Knightswood Financial Corp) closed a financing by selling 18,272,773 units at 5.5c each, raising gross proceeds of $1,005,003. One unit was one share plus a full warrant priced at 7c. That placement comes out of escrow tomorrow, July 10th.

2) Then on March 21st CBW closed a second tranche of the same placement run, sell 7,237,883 units at the same terms. This second tranche comes out of escrow on July 17th.

3) But then the twist came, as on March 24th these two-faced rip-off merchants ran a three-for-one forward split of company shares, which means every share and warrant they sold magically becomes three. Therefore in the next seven days, starting tomorrow Monday, 76,531,968 shares and 76,531,968 warrants (7c strike, now 2.33c) of CBW.v become free trading in a stock that’s been artificially held up and even after selling pressure last week closed at 87c. In other words, it’s payola time for the people at the centre of this scam."
So there's something north of 351m shares already giving a slightly adjusted market cap today around half a billion bucks. Latest from these dividend spinner types is a highly dilutive convertible debenture of $ 100m. That would be 64,516,129 common shares and 32.2 million common share purchase warrants at $1.55 of principal outstanding for 24 months.
I don't claim to even understand WTF these dopes' business model actually is in the first place. After very minimal DD this ridiculous deal ain't for me and never will be.

This VSE disgrace is a non-starter for anybody with any grey material whatever.
BTW here's the latest stupidity from Mr. Mark Turner. Apparently attacking others for a decade on his own goof blog isn't enough. He's spreading his stupidity ALL OVER now. Mr. Mark Turner has ZERO formal education and my research found him ripping off a U.K. charity as a permanent career choice. He ran from the U.K. decades ago for unknown reasons. He loves to sell worthless paper to what he calls 'stupid Gringos'.

"Otto ikn February 3, 2018 at 8:35 AM "You're being way too nice, TAG. Rare indeed that I feel the need to write in a comments section anywhere but Paths, yours just beggars belief. You have the right to throw your own money down the toilet, but your level of ignorance shouldn't be allowed to infect the brains of others. This is, quite seriously, the most stupid thing I've seen written about mining in years and made worse because it's dangerous to the back pockets of neophytes, you've honed a style (on Stockhouse!) to make your ignorance sound like you have a clue as to what you're talking about. Which you don't. Not a single one.

There are many things I could say about your stupidity (e.g. laying off the crits is what nobody should do ever and it's also why PVG is going to the wall, ask Farquharson of Strathcona all about that) but just one point is enough: It's patently obvious that you don't understand what a FS is, why they are compiled, what they're used for, why they cost oodles more than, let's say, a PEA."