RE: Investment19 Jul 2019 12:53
OK so im doing some digging, they are working towards a Tier 3 licence according to last RNS, which means they have a Tier 2 that they have maxxed out or are close to maxing out at 10,000 square feet, basically 100 foot by 100 foot.
Im looking at acquisitions of similar companies and looking at the square footage to gauge value:
ICC Labs (9 or 10 times the size sold for £175m~ / £17.5M value to what Apollon has):
- "But its recently announced purchase of ICC Labs, with 92,000 square feet of existing production"
- "Then on Monday, Sept. 10, Aurora announced that it was acquiring ICC Labs (NASDAQOTH:ICCLF) for 290 million Canadian dollars, or $221.9 million, a 34% premium to its 20-day volume-weighted average trading price."
Tilray: (almost 100 times the size £3.37B / £33M value to what Apollon has)
- "Tilray had approximately 850,000 square feet "
- Market cap $4.22B
OrganiGram: (around 50 times the size £800m / £16m value to what Apollon has)
- "Its grow facility in Moncton, New Brunswick, only spans 480,000 square feet"
- Market Cap $1.31B CAD
HEXO Corp: (around 31 times the size £1.02B / £33M value to what Apollon has)
- "Already working with approximately 310,000 square feet of capacity at its Gatineau, Quebec"
- Market cap $1.67B CAD
but then we have the advantage of being farm to fork, producer and seller. Also, as a smaller company we grow quicker??
Any views on this would be greatly appreciated.... please pick apart what I have said/worked out as this info is useful to all of us