Member Info for hubster1

Ah - same owner

What is happening in Stockport? So many clinics there......most odd

What I'm unclear about, because I've not been through it with another holding, is how that would pan out. If they were ever to delist in the UK, what happens to share holdings? Do they automatically transfer, and what would the tax implications be(?) So many FTSE companies have threatened to move to the US, but not many actually have.

Wonder if this is in connection to Shell's Holland Hydrogen I (?)

I've always been impressed by the Bamford family, especially Anthony's early commitment to Hydrogen at JCB. A tie up with a company involving Jo is really positive.

The drive for energy security will drive contracts for ITM, even if China undercuts on price; It's no co-incidence that you see a company such as Kawasaki visiting a British company. Reliance on China is seen as a risk, as their Government has the power to de-rail any private contracts, and worse.

I'll stick to the other Oldman quote :

"I thought it would be nice to earn some money and pay the bills. "

Gary Oldman

I'm sure if he read that statement he'd see the positive outlook for ITM.

Year end will be April - these are interim

I certainly hope not; That would be a strategic disaster.

The optimist in me says today's movement could be as simple as a tree shake to fulfill an order; The pessimist says it's sentiment from the reading of the off shore bill in parliament this afternoon. Either way, it's just today. Vauxhall's recent announcement on commercial vans and the inevitable move of agriculture into Hydrogen is positive. I say inevitable, because what's the alternative? Soil compaction is the big issue that farmer have to avoid, and you can't do that with the weight of batteries.

Purchased today - It's a good price. Whether it has much downside now is down to the market makers...........but I like the management structure, and feel it's now oversold. One to check in a couple of years.

The catalyst for the rise was that purchase of £21K...........it's so illiquid that even a small purchase will drive the price higher. Hopefully it was a director dealing, in which case we'll see an RNS.........but it maybe just someone dabbling.

06-Jul-22 11:34:40 2.90 720,329 Buy* 2.25 2.75 20.89k

Purely because how would anyone be finding it? There's no campaign to draw traffic, no re-directs that I'm aware of, and the only people likely to know about it are those with a vested interest in Kanabo already.

HandPickedCBD was always a dreadful site. They do have their own direct to market site (https://kanabo.store) but realistically I doubt there's barely any sales via that route. My presumption is that their revenue will come via the GP Service in the short term.

Hellenic’s business is focused on the cultivation and supply of THC dominant, dried medical cannabis flowers and extracts for supply to the rapidly growing medical cannabis markets across Europe
The European medical cannabis market is expected to reach €43.3 billion by 2027 (up from €4.09 billion in 2019)
Hellenic believes it is in pole position to be the first medical cannabis cultivator to list on the main market of the London Stock Exchange and begin the commercial cultivation of THC dominant medical cannabis flowers
Its core strategy is to operate the Company’s our 40,000 square meter active THC cultivation licence, which, in full production, can produce over 54 tons of medical cannabis per annum. This is one of the largest medical cannabis licences issued in Europe
Its purpose built, 195,506 square meter facility is located in Northern Greece and is capable of producing up to six cultivation cycles per annum
Current wholesale prices of THC dominant medical cannabis flowers to licensed German distributors is circa €4,000 per a KG
Greece has one of the lowest electricity costs (€0.06 kWh) coupled with one of the lowest labour rates in Europe, allowing a low cost of production
Hellenic’s initial sales are secured by way of three off-take agreements, which represent approximately two years of production
Initial sales, as per its off-take agreements, are into Germany, which has the most advanced medical cannabis market in Europe
Germany imported 3 tons of medical cannabis in 2018, 6.7 tons in 2019 and 31.5 tons in 2021 with no signs of patient demand slowing
To date, the UK has only issued 3 NHS prescriptions for medical cannabis
Hellenic is well placed well placed to be a key supplier into the German market and has identified other target markets in Europe which it will follow
As a comparison, in March 2022, Celadon Pharmaceuticals (CEL) completed an RTO into Summerway Capital Plc and admitted to trading on AIM. Celadon is a medical cannabis cultivator with a market cap today of £64.14m. Celadon has a facility of 9,000 m2 whilst Hellenic licence covers 40,000 m2. Celadon’s claimed cultivation capacity is 9,000 kg p/a whilst Hellenic’s is 54,000 kg p/a.

For those interested in Kanabo's involvement with Hellenic, here is an update I received today on Hellenic's proposed placing :

"Based on current market conditions, the Company has decided to adjust the enlarged company valuation in line with the prevailing market conditions. The previous valuation of £56.96m was based on 3x cash in SPAC £11.76m + Hellenic at £45.2m. Keeping the ratio of shares the same between SPAC and Hellenic to devoid us of any further changes to the prospectus, the new valuation is £37.8m (2x cash in SPAC at £7.8m + Hellenic at £30m). The valuation of £56.96m was struck in early 2021, during completely different market conditions at the time. This new valuation has been made based on market adjustment prior to admission. Coming onto the Market at this new valuation, the directors believe they go against the current market sentiment and provide significant value for investors.
Details of the placing
Price : 0.003p
Raising: £1,900,000"

I'd like to have seen more detail in the RNS about the GP Service contract extension today; I presume they deem it to be commercially sensitive, but some indication of the length of extension would have been helpful. That seems to be the most positive recent development.

Any mention of Materia makes me nervous - they've done very little of note, and Vijay Sappani is (in my opinion) ignoring that business. Their website HandpickedCBD collapsed, and they didn't even bother to update Materia's site until I contacted them. Materia makes no mention of their own products, with statements such as 'Due to cannabis’ status as a controlled substance across Europe, no references, product descriptions or illustrations of Materia products may be published or advertised.' That's nonsense, as companies such as Jannsen publish details of their controlled drugs e.g. Concerta. Kanabo failed to publish the promised further detail of a strategic alliance with Materia, and quite honestly I'm glad - All they did was to write off the loan in effect. I hope this will bring to an end that folly.

On balance I think their drive for legitimacy is heading in the right direction with the GP Service link up, and I will be Trustpilot reviews etc. with interest. If those numbers grow, and are positive, then I'll feel confident in their longevity. It remains a back pocket investment for me and I have no intention of short term trading.

Acquiring loss making Materia was a bad deal full stop. Vijay Sappani wrote, a now deleted, Tweet about losses from Cannabis some weeks ago. Materia's business has ramped down, closing their online presence via HandPickedCBD etc.. Whilst it's disappointing in the sense I'd hoped Kanabo / Materia were forming an unbeatable partnership............the online presence of Vijay suggests to me that Ela Capital's assets have questionable worth........and I'm glad Kanabo have stepped back from the original proposition. It will interesting to see how the GP Service feeds into results.

Like other investors here, I'm trying to determine what is happing with Materia. 2 of they're 3 'wellness' brand websites are down. https://www.materia.global/materia-wellness/ I'm most interested about HandpickedCBD no longer being operational. I'm also intrigued about the change in directorships that took place in January, which were reported through Companies house this month e.g. https://find-and-update.company-information.service.gov.uk/company/12225373/filing-history Especially the recent appointment of Vijay Sappani, as he runs Ela Capital.......... https://www.elacapital.ca/portfolio/ Materia being one of their companies. So there are clearly some structural changes happening, but are they in Kanabo's favour or not? Unclear to me at this stage, but radio silence will surely be broken soon.