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Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) Aims to Generate up to 80% of Revenues from Technology Licensing

  • CEO Chris Bunka says in audio interview that human study of company’s proprietary TurboCBD technology will start in April outside of North America
  • Hopes to add 6-12 more IP technology licensing contracts within year
  • Cutting-edge research designed to attract the attention of tobacco and cannabis industries

Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) CEO Chris Bunka said in a recent audio interview that, although consumer products will always be important to LXRP, he estimates that up to 80 percent of its revenues could be generated through the licensing of its proprietary technology to other companies (http://ibn.fm/2jEeP).

LXRP is a British Columbia, Canada-based bioscience company that is a drug delivery platform innovator. The company has developed its patented DehydraTECH™ delivery technology platform, which it out-licenses to promote healthier ingestion methods and lower overall dosing.

Bunka said that LXRP believes that 6-12 more licensing contracts will be signed this year, both generating more revenue for the company and building greater shareholder value. “We’ve only just graduated from the demonstration phase,” he explained in the interview.

“The latest contracts are typically six figure contracts in the first year and potentially seven figure contracts over the life of the contracts,” Bunka added. “They’re becoming bigger.” The company sees a potential game changer for itself in three new sets of studies and believes that each could be material to the valuation of the company.

The first is a completed study of the company’s proprietary DehydraTECH in the form of a topical cream for the absorption of cannabidiol (CBD) through human skin (http://ibn.fm/8UGhl). LXRP said that results showed significant increases in quantity and speed of CBD absorption through the skin when compared to other formulations.

The second is a lab animal study that tests nicotine absorption. Using lab rats, the study measures gastrointestinal distress (http://ibn.fm/u3O0e). It will take blood and tissue samples at pre-prescribed time intervals to measure nicotine absorption. It will test LXRP’s ‘Trojan horse’ technology that may hide it from a negative response triggered by the body, Bunka said. An end goal is to bypass liver absorption and help avoid kidney and liver diseases associated with some of these substances by using LXRP technologies.

The third is a clinical human study first started with a Canadian University. Now, it has been moved out of North America into another institution, and the study’s initiation is imminent, he added. The study is on the cardiovascular and health effects of the company’s TurboCBD™ (http://ibn.fm/YxoSt). Bunka at the time said that the study would permit LXRP to custom design products that would increase the performance its technology already offers to customers.

“That study is now back on track. We expect it to begin in the month of April in a different location,” Bunka noted.

He added that all three studies, or any one of them, could mean a major change for the company, as its IP and studies attract increased interest from both the tobacco and cannabis industries. Lexaria has developed cutting-edge technologies with commercial application, he said in the interview.

“Those three studies, each one of those, has the potential to be a real game changer in the valuation of the company,” Bunka said.

For more information, visit the company’s website at www.LexariaEnergy.com

Let us hear your thoughts: Lexaria Bioscience Corp. Message Board

Liberty Leaf Holdings Ltd. (CSE: LIB) (OTCQB: LIBFF) (FSE: HN3P) Readies Niche Products for Legal Cannabis Industry

  • Spending on legal cannabis worldwide expected to hit $57 billion by 2027
  • Canadian government preparing to legalize cannabis-infused edibles and beverages by mid-2019
  • Investments into cannabis-related companies topped $1.2 billion over first five weeks of 2018

Liberty Leaf Holdings Ltd. (CSE: LIB) (OTCQB: LIBFF) (FSE: HN3P), a vertically-integrated cannabis company with strategic investments in proven, revenue-generating businesses, is building a diversified portfolio that includes marketing a wide range of high quality, medicinal grade cannabis products with tremendous promise for both human and veterinary use. Liberty Leaf and its wholly owned subsidiary, North Road Ventures, recently signed an agreement with Cannabis Compliance Inc. (“CCI”) to establish Good Manufacturing Practice (GMP)-compliant processes and procedures in producing its finished products (http://ibn.fm/5Z9Cc).

“We are extremely excited to be working with CCI in establishing GMP manufacturing capabilities in-house,” Robert Jackman, scientific project manager/fulfillment for Liberty Leaf, stated in a news release. “This opens the door for North Road to obtain industry certification and regulatory authorization and/or licensing, as needed. It facilitates the manufacture and sale of a wide range of medicinal-quality products for both human and veterinary use – not just cannabis and cannabis-containing finished products.”

According to Arcview Market Research and its research partner BDS Analytics, spending on legal cannabis worldwide is projected to hit $57 billion by 2027, as noted in an article published by Forbes (http://ibn.fm/NyZf8). The adult-use recreational market is expected to generate 67 percent of those dollars, with medical marijuana taking up the remaining 33 percent. Cannabis buyers in North America, who are currently spending a little more than $9 billion, are expected to lay down $47.3 billion by 2027, the article states.

In Canada, the government’s decision to legalize recreational cannabis for adult users by mid-2018 will soon be followed by the prospect of additional profits in cannabis-infused edibles and beverages as these items become legal in the summer of 2019 (http://ibn.fm/Ynppi). Medical cannabis has been legal in Canada since 2001. Allowing edibles and cannabis-infused beverages is expected to generate an exceptional amount of interest from the public, according to a recent survey by Dalhousie University, a public research university in Canada.

“Curiosity seems to be driving consumers to want to try a food product, an edible, and the number one choice is bakery goods,” Dr. Sylvain Charlebois, the study’s lead author, said in an interview with CTVNews.ca (http://ibn.fm/biqMa). The survey of 1,087 people found that 46 percent of Canadians would try cannabis-infused food products such as baked goods, oils and spices if they were commercially available.

Liberty Leaf President and Director William Rascan said that working with Cannabis Compliance to meet Canada’s strict GMP requirements for commercial production ensures that North Road will consistently manufacture safe, high quality finished cannabis-related products. North Road’s distribution strategy also includes a unique approach not yet seen in the cannabis industry, Rascan added.

“North Road plans to make available to both pharmacies and licensed retailers our exclusive medicinal-quality cannabis, cannabis-related products and racking jobber service,” Rascan said. “The ability for us to expand on our model by including Natural Health Products (NHPs) for human and veterinary use as well as cosmetics/beauty products, topicals, concentrates, foods/edibles and other high-quality products for distribution holds tremendous growth potential for our company.”

Investors continue to seek out and support cannabis companies – to the tune of more than $2.1 billion over the first five weeks of 2018, according to the Viridian Cannabis Deal Tracker, which tracks capital raises and M&A activity in the cannabis industry (http://ibn.fm/d5Mtt). The demand for medical, recreational and cannabis-infused products is projected to continue its upward trajectory as more states in the U.S. begin to legalize some aspect of the highly regulated plant and Canada’s new laws take effect (http://ibn.fm/96A8l).

For more information, visit the company’s website at www.LibLeaf.ca

Let us hear your thoughts: Liberty Leaf Holdings Ltd. Message Board

Pivot Pharmaceuticals Inc. (CSE: PVOT) (OTCQB: PVOTF) (FRA: NPAT) Continues to Advance its Agenda

  • Owns worldwide rights for patented formulations and drug delivery technologies
  • Develops and commercializes therapeutic pharmaceuticals and nutraceuticals
  • Strategic agenda to become one of world’s only vertically integrated cannabis biotechs

With worldwide rights for unique drug delivery platforms in place, Pivot Pharmaceuticals Inc. (CSE: PVOT) (OTCQB: PVOTF) (FRA: NPAT) is rapidly building a disruptive, vertically integrated biotechnology company. Advancing this agenda, the company recently announced that it has retained Cannabis Compliance Inc. to submit an application to Health Canada for a dealer’s license on behalf of Pivot’s acquisition target, Agro-Biotech Inc. (http://ibn.fm/KSY02).

In February, Pivot announced that its entry into a letter of intent for the proposed acquisition of licensed cannabis producer Agro-Biotech (http://ibn.fm/Ggy5K), which operates a fully licensed indoor hydroponic cannabis production facility that’s on track to expand its capacity 10,000 kg per year by the end of this year. Upon completion of the proposed acquisition, the dealer’s license will enable Pivot (through Agro-Biotech) to conduct research and store cannabis derivatives that are not currently covered under the Access to Cannabis for Medical Purposes Regulations.

With the acquisition of Agro-Biotech, Pivot Pharmaceuticals will control the entire manufacturing process from seed to medical derivatives and capture margins along the entire supply chain. The dealer’s license will move Pivot another step closer to becoming one of the only vertically integrated cannabis biotech companies in the world. Pivot is already a differentiated player in the Canadian cannabis industry with its unique approach to enhanced dosing and bioavailability of cannabinoids, and the company’s position in the market will only be bolstered by the acquisition.

Pivot Pharmaceuticals has assembled cutting-edge drug delivery technologies that assist both effectiveness and efficacy of medicinal cannabinoids and have potential applications across other drug categories. Pivot’s patent pending topical transdermal drug delivery technology platform, BiPhasix™, has been shown to significantly enhance the bioavailability of various drugs, leading to improved clinical outcomes. The company also acquired worldwide rights to Solmic Solubilisation Technology Platform, which allows active ingredients to become water-soluble without changing their composition or nature, significantly enhancing drug uptake.

With proven pharmaceutical and patented formulation and delivery technologies, Pivot is well positioned in an important, growing vertical of the cannabis industry and represents a compelling opportunity in the biotechnology sector. This latest announcement by Pivot enhances the opportunity.

For more information, visit the company’s website at www.PivotPharma.com

First Cobalt Corp. (TSX.V: FCC) (OTCQB: FTSSF) Turns Canadian Property into Global Trendsetter in Smart, Ethical Mining

  • Company is largest landowner in renowned, historically productive Canadian Cobalt Camp
  • Cobalt price has risen four-fold during past two years amid worldwide demand for EVs
  • More than half of all auto sales expected to be EVs two decades from now

Global society’s growing dependence on smartphones and other new technology, as nearly essential elements of daily routine, has become the foil of comedy platforms and reformative movements that offer a getaway from modern connectivity, but there’s no denying the importance of Internet-enabled tech gadgets to consumers, as well as the industries that supply them. That’s especially visible in the international rush to secure supplies of cobalt, a rare mineral that helped revolutionize the way high-tech battery cathodes move electrons in a more efficient way to minimize overheating problems. Amid the trend, Canadian company First Cobalt Corp. (TSX.V: FCC) (OTCQB: FTSSF) is pursuing its goal of becoming the largest pure-play cobalt exploration and development company in the world.

The progression in cobalt interest has been evident as cobalt prices made a four-fold increase from their February 2016 level, rising from $21,750 per ton to a record $84,250 on March 8, when they plateaued for several days. A worldwide interest in increasing electric vehicle battery-power use as an alternative to fossil fuels has been the primary impetus behind the rising prices. At the same time, the metal has become harder to find, especially as some auto and electronics manufacturers have tried to secure their own supplies by signing long-term deals with miners. The rising demand positions First Cobalt to, potentially, relieve some of the supply pressure as it explores its holdings in Canada’s most renowned cobalt region.

By 2040, more than half of global auto sales are expected to be climate-friendly electric vehicles, as compared with just one percent last year when sales surged above one million, according to Bloomberg New Energy Finance (http://ibn.fm/mSIo6). The company’s analysts predict that boom will boost the number of EVs on the road from around three million today to more than 530 million in 2040, surpassing 15 percent of the total being driven worldwide in the 2030s (http://ibn.fm/FSvg7).

Many of the world’s tech-based industries have been hindered by their dependence on cobalt mined as a “conflict” metal commodity in the Democratic Republic of the Congo — an African nation beset by political difficulties and child labor accusations as it exploits its mineral-rich lands for foreign consumers. That includes about two-thirds of the entire cobalt supply worldwide, which continues to flow from the DRC despite the controversies.

Adding to the difficulties, the DRC’s government finalized a policy in March that increases taxes and royalties on foreign mining operations, doubling government royalties on all minerals, with the potential to more than quadruple those royalties if the country classifies a mineral as a ‘strategic substance’. That could easily include cobalt, given the DRC’s significant corner on the mineral, which is used prominently in high-tech lithium-ion battery cathodes.

First Cobalt has managed to sidestep the ethical concerns surrounding Central African cobalt mining, as well as the current budgetary difficulties brought on by the DRC’s fiscal policy changes, when the company made a strategic decision last year to abandon plans for an alliance over seven cobalt exploration properties in the Congolese region. The company instead decided to focus its efforts on the renowned Cobalt Camp in Ontario, where it has become the largest landowner in a region that historically produced the mineral and left about 50 sites that form “advanced exploration targets ready for immediate work” (http://ibn.fm/HumgH). Its ethical advantage also has the potential to translate into economic revitalization of the nearby community aptly named Cobalt.

First Cobalt was also named a 2018 TSX Venture 50 company in an annual ranking of the top 50 publicly traded companies on the TSX Venture Exchange, based on its assessment as a leader in creating shareholder value through three equally weighted criteria: market capitalization growth, share price appreciation and trading volume. First Cobalt was ranked fourth among 1,200 mining companies listed on the TSX Venture Exchange.

For more information, visit the company’s website at http://ibn.fm/FTSSF

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Global Payout Inc. (GOHE) Subsidiary’s Public Initial Blockchain Offering Showcases Company’s Fintech Capabilities

  • SEC-regulated offering of digital tokens
  • Balance sheet funding program for fintech investments
  • Issuer (MoneyTrac subsidiary) focused on fintech for cannabis industry

With a public initial blockchain offering (“PIBCO”) now underway, Global Payout Inc. (OTC: GOHE) is showcasing its innovative prowess. A PIBCO is similar to an initial coin offering, except that the coins or tokens involved are treated as securities under federal laws. As a result, the rights and benefits represented by those digital assets are subject to SEC rules. Under the PIBCO, Global Payout’s majority-owned subsidiary, MoneyTrac Technology, Inc. (“MTRAC”), will offer tokens that provide share warrants of MoneyTrac Technology Inc. The company expects that the balance sheet funding program thus created will yield returns to token holders within two years.

Initial coin offerings (“ICOs”) have had enormous success in 2017. The 10 largest were able to raise over one billion dollars, according to Bloomberg (http://ibn.fm/0zAvv). Filecoin, a data storage network, raised $257 million, while Tezos, which has developed its own secure blockchain infrastructure, raised $232 million. Amazingly, there were over 200 ICOs in 2017, some of which, very likely, were of dubious value.

This snake oil environment has prompted Pegasus Fintech to develop a process for public companies to initiate regulatory-compliant ICOs, referred to as public initial blockchain offerings to distinguish them from their unregulated brethren. Pegasus Fintech, Inc. is an innovative blockchain and token accelerator focused on delivering solutions in the financial services, blockchain and emerging cryptocurrency market sectors. With the PIBCO being subject to some SEC oversight, investor risk may be mitigated.

Compliance with federal securities laws is an essential requirement when funds are raised in the capital markets. Generally, any offer or sale of a security must either be registered with the SEC or meet an exemption. Regulation D, under the Securities Act of 1933, provides a number of exemptions from the registration requirements. However, notification of the issue and sale of the securities must be given to the SEC.

The MTRAC offering has been made under Rule 506(c) of Regulation D, which limits participation to “accredited investors” (http://ibn.fm/lmlw6). An individual is considered an “accredited investor” if he or she has earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior two years and reasonably expects the same for the current year or has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person’s primary residence and any loans secured by the residence (up to the value of the residence)).

The funds raised in this offering will, most likely, be invested in a fashion similar to some recent business deals. For example, Global Payout’s MoneyTrac subsidiary has acquired a majority stake in PotSaver, a periodical that provides listings on discounted cannabis-related products for local dispensaries and shops. Global Payout’s MoneyTrac division is aiming to become the most recognized brand for financial technology solutions in the cannabis industry. In addition, MTRAC has entered into an exclusive partnership with GreenBox POS, LLC (“GBOX”), a blockchain company, to provide strategic sales and marketing resources. MTRAC is set to launch GBOX services in the U.S., Canada and Mexico in April 2018. GBOX’s customized payment solutions, electronic modifications and custom-built blockchain kiosk machines fall in perfectly with MTRAC’s mission of ‘Banking the Unbankable’.

Global Payout has certainly come a long way since its inception in 2009. The company quickly became a leading provider of customized prepaid payment solutions for domestic and international organizations that distributed money across the globe. In 2014, it introduced its first online payment platform, called the Consolidated Payment Gateway (“CPG”), which allowed enterprise clients to transfer money to international bank accounts, mobile accounts and prepaid card accounts. Global Payout’s CPG has become the foundation for the introduction of its new, state-of-the-art fintech payment system in 2017, for both online and mobile applications that allow account holders access to an expanded suite of financial services. A look at how the company is applying blockchain for smart solutions is available in a recent Audio Press Release (http://ibn.fm/bReR1).

For more information, visit the company’s website at www.GlobalPayout.com

Let us hear your thoughts: Global Payout, Inc. Message Board

PreveCeutical Medical Inc. (CSE: PREV) (OTCQB: PRVCF) (FSE: 18H) Secures Australian Importation Permit in Support of Research into Sol-gels

  • Research will be conducted at PACE, a leading pharmaceutical research center in Australia
  • PreveCeutical’s unique technology promises to be the first FDA-approved, CBD-based nose-to-brain delivery system using a Sol-gel platform
  • Groundbreaking technology outstrips the benefits of any other delivery mechanism

On March 13, 2018, PreveCeutical Medical Inc. (CSE: PREV) (OTCQB: PRVCF) (FSE: 18H) and Aurora Cannabis Inc. (OTCQB: ACBFF) (TSX: ACB) (FSE: 21P) announced that they had received three permits for the importation of cannabis plant material into Australia for research purposes. The permits were granted by the Australian Government’s Department of Health, allowing shipment from Canada by Aurora Cannabis Enterprises Inc., a wholly owned subsidiary of Aurora Cannabis Inc.

Preveceutical’s research program will be conducted at the University of Queensland’s Pharmacy Australia Centre of Excellence (“PACE”), a leading center for pharmaceutical research, education and commercialization. PACE has been granted the permits to import the dried cannabis flower and oils that will be used in the company’s innovative soluble gel (Sol-gel) drug delivery research program. It will be led by Dr. Harendra Parekh, chief research officer of PreveCeutical. The research team will test a range of cannabis strains to determine candidacy for the development and commercialization of cannabinoid-based Sol-gels.

The primary goal of the research program is to develop a nose-to-brain delivery system that will increase the bioavailability of active drug ingredients. The focus of the research is to apply Sol-gel technology to develop cannabinoid-based therapies for the relief of symptoms associated with pain, inflammation, seizures and neurological disorders. In a news release detailing the announcement, Stephen Van Deventer, chairman and CEO of PreveCeutical, said, “We are extremely excited to receive the Permits, allowing us to further our Sol-gel research program with the high quality cannabis products provided by Aurora. The goal of the Program is to cultivate a range of therapies that will benefit people with ailments such as epilepsy, pain and inflammation, safely and economically.”

“We see an important market for cannabis-based products that are more narrowly targeted at specific therapeutic areas but that are higher value add and being involved with initiatives such as PreveCeutical’s is part of our strategy to gain access to these types of products,” added Terry Booth, CEO of Aurora.

PreveCeutical believes that its cannabinoid-based nose-to-brain delivery technology, using a Sol-gel platform, will be the first to gain Food and Drug Administration approval. Its water soluable, alcohol free nasal formulation which will be developed for use by adults, children and people of certain beliefs.

PreveCeutical’s groundbreaking Sol-gel delivery system displays significant benefits over other contemporary delivery systems. It bypasses first pass metabolism in the stomach, intestines and liver, exhibiting a dramatic improvement in bioavailability, even compared to nasal sprays and alternative delivery mechanisms. Unlike other delivery systems, PreveCeutical’s Sol-gel delivery technology enables ease of application and provides long-lasting effects, all while eliminating negative side effects.

This latest research initiative comes on the back of established innovative solutions for preventive and curative therapies. The company’s first product, CELLB9®, is a Caribbean blue scorpion venom-based product that has been successfully marketed and distributed worldwide. PreveCeutical is currently in the development phase of a product based on this venom for the treatment, regulation and prevention of cancer progression. The company is also developing solutions based on the peptides derived from Caribbean blue scorpion venom for pain management, cancers, cardiovascular conditions, metabolic disorders and infectious diseases.

For more information, visit the company’s website at www.PreveCeutical.com

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FANDOM SPORTS Media Corp. (CSE: FDM) (OTC: FDMSF) (FRA: TQ42) is “One to Watch”

  • Revolutionary sports-centric social media platform able to measure, score, monetize opinionated dialogue
  • North American sports market estimated at $75 billion by 2020
  • Global games market to soar even higher with 42% of $108 billion spent in 2017 consumed by mobile app users
  • Multiple, partnership-based revenue streams maximize sports fan-focused meta data

FANDOM SPORTS Media Corp. (CSE: FDM) (OTC: FDMSF) (FRANKFURT: TQ42) taps into the primal, unfiltered passion of sports fans from around the world by providing an uncensored social media platform delivered through the FANDOM SPORTS mobile app. As an aggregator, curator and instigator of both company-created and user-generated content, the FANDOM SPORTS app is designed to entertain sports enthusiasts with real-time, interactive content on a mobile only app that offers bragging rights and real-life rewards. True sports addicts will appreciate an app that allows fans to pick a fight or create their own FanFights and rule over others as they trash talk their way to victory. The FANDOM SPORTS proprietary data centric “argument engine” measures and scores opinionated dialogue, as well as establishes consensus, giving fans and users the ability to dive deeper into one-of-a-kind cultural moments, cheer on favorite sports teams and slam dunk some sweet rewards.

Building on the company’s tag line – “Pick a Fight” – the FANDOM SPORTS app provides an always fresh, authentic rush of deeper-than-surface interactive content that resonates with the targeted age demographic of 18-34. Intense sports fans aren’t afraid of stepping up to the plate to engage other users by unleashing their opinions within the app’s structured debate resolution tool coined “FanFights.” Sports-loving fans can explore, gloat, vote, invite friends, create provocative FanFight topics and play to win while inside the FANDOM SPORTS app, which is currently available in the Apple App store and coming to the Google Play store imminently. The company’s self-learning algorithm predicts and collects user preferences while building relevant personalized FanFight channels, bringing the concept of competitive, in-your-face conversation to a whole new level of sports entertainment.

The FANDOM SPORTS app is free to play (F2P) with in-app purchase and subscription capabilities. The gaming aspect of the ecosystem is built on behavioral economics and delivers multiple revenue streams by maximizing average revenue per daily active user (ARPDAU) and user-generated content (UGC), with select placement of high-impact video and moment-based marketing as part of the brand-sponsored FanFights and in-app offers. The global platform enables applications (either FANDOM SPORTS created or 3rd party apps) to be operated in partnership with leading sports themed brands, leagues, and service providing companies within three verticals – live action, eSports, & fantasy – from around the world by supplying “interactive sports entertainment” to fans. The FANDOM SPORTS platform creates a bullet-proof snapshot of the app’s fan base through a Blockchain supported “PlayerCard” in tandem with the “Engagement Score”, which doubles as an invaluable acquisition and retention tool for its business operators. FANDOM SPORTS hosted transactions are placed on the distributed ledger, making them immutable and public to verified users interacting within the business ecosystem. Tracking this digital footprint provides extremely valuable metadata generated by users’ very dynamic behavior and sports passion.

FANDOM SPORTS’ Brand and Sponsorship partners are harnessing the affluent sports fans age 18-34 with integrated marketing content and service experience. The moments-based marketing integration will translate through FanCoin redemption, in exchange for items provided by programs established by FANDOM SPORTS and its clients. These programs are a key part of the business model and covers, as an example, the following partners; Sports Leagues, TelCo’s service offerings, and Content owners (i.e. FANDOM SPORTS provides new paying customers to the owners of pay-per-view platforms).

“Pick A Fight. Talk Trash. Get Rewarded.”

FANDOM SPORTS Media is an entertainment company that aggregates, curates and produces unique fan-focused content.

The FANDOM SPORTS App is the Company’s core product, which is the ultimate destination for unfiltered raw sports talk. The app allows passionate sports fans to unleash their primal sports passions, pick fights and earn rewards.

So download the app and bring your crew. Talking trash is better with friends. The more you invite, the more FanCoins you earn.

For more information, visit the company’s website at www.FANDOMSPORTSMedia.com

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First Cobalt Corp. (TSX.V: FCC) (OTCQB: FTSSF) Strengthens Position as Pure-Play Cobalt Company with US Cobalt Inc. Acquisition

  • The transaction is in line with First Cobalt’s vision for growth via organic and strategic opportunities
  • Company will expand its North American assets by gaining access to US Cobalt’s Iron Creek property in Idaho
  • The acquisition further cements the company’s status as provider of clean, conflict-free cobalt

The largest landowner in Canada’s prominent Cobalt Camp and a leading explorer for cobalt in the region, First Cobalt Corp. (TSX.V: FCC) (OTCQB: FTSSF) is poised to strengthen its position as a pure-play cobalt company in North America after the friendly acquisition of US Cobalt Inc. (TSX.V: USCO) (OTCQB: USCFF).

Under the agreement, First Cobalt will acquire all of US Cobalt’s issued and outstanding shares at an exchange ratio of 1.5 First Cobalt common shares per each US Cobalt common share, the two companies announced in a joint press release (http://ibn.fm/hy41V). As part of the transaction, all US Cobalt stock options will be replaced with First Cobalt stock options and all US Cobalt warrants outstanding will participate on a comparable basis to US Cobalt shareholders, implying an equity value of roughly C$149.9 million on a fully diluted, in-the-money basis. As a result, existing shareholders of First Cobalt and US Cobalt will hold approximately 62.5 percent and 37.5 percent, respectively, of the combined company, if all US Cobalt warrants and options are exercised before the transaction is complete, the release said.

The acquisition has already been unanimously approved by the boards of directors of both companies. Before completion, the transaction also requires the approval of two-thirds of US Cobalt shareholders, who are scheduled to vote on the issue in May. It further needs to be accepted by the TSX Venture Exchange and to meet various other closing conditions, including customary deal protections such as non-solicitation agreements, among others.

Upon completion of the transaction, the combined entity will be uniquely positioned in the industry, with a strong balance sheet, a global institutional shareholder base, a proven management team and an enhanced profile on the capital markets.

Clean Cobalt

With this transaction, First Cobalt will further cement its position as a potential provider of clean, conflict-free cobalt. The global demand for cobalt has been growing exponentially lately as a result of the rapid development of the electric vehicle industry, which relies heavily on lithium-ion batteries that include cobalt. The same types of batteries are also used in popular electronic devices such as smartphones, laptops and tablets. The world’s leading provider of cobalt is the Democratic Republic of the Congo (DRC), but mining sites in the African nation remain highly controversial because of the use of child labor and other destructive practices.

The US Cobalt acquisition will help First Cobalt increase its output and position itself strategically as a leading non-DRC cobalt company, with mining assets located close to infrastructure and major technology and electric vehicle manufacturing hubs such as California and Michigan.

Three Major North American Assets

The US Cobalt acquisition is in line with First Cobalt’s commitment to company growth via organic and strategic opportunities. The transaction will strengthen the company’s position as a pure-play cobalt company with three significant cobalt assets in North America: the Canadian Cobalt Camp project in Ontario, US Cobalt’s Iron Creek project in the Idaho Cobalt Belt and the only permitted cobalt refinery in the region that can produce battery materials.

The Iron Creek property includes a historic mineral resource estimate of 1.3 million tons of grading 0.59 percent cobalt and 0.3 percent copper, non-compliant with Canada’s National Instrument 43-101. This year’s drilling program is already underway at the Idaho Iron Creek property, seeking to support a maiden mineral resource estimate that’s expected during this year. In combination with First Cobalt’s 50 historic mining operations in Ontario’s Cobalt Camp on over 10,000 hectares of land, and the only North American refinery capable of producing battery materials, Iron Creek is expected to help increase First Cobalt’s potential output and provide significant growth opportunities for shareholders of both companies.

“We foresee a shortage of cobalt over the next five years yet there are few companies doing significant work to identify new sources of supply. This transaction creates a larger platform to discover and develop cobalt projects for the growing electric vehicle market by combining high quality North American assets in two of the best cobalt jurisdictions outside the DRC. US Cobalt’s Idaho project complements our Canadian Cobalt Camp properties, offering upside potential for shareholders of both companies,” First Cobalt President and CEO Trent Mell explained in the news release.

Significant Benefits for Shareholders

US Cobalt shareholders have a lot to gain from the transaction, with immediate access to a significant premium on shares of 61.8 percent to its closing price and 58.5 percent based on both companies’ five-day volume-weighted average trading prices, as of March 13. Additionally, US Cobalt shareholders will be able to maintain a meaningful position in First Cobalt and reap the benefits of exploration and development projects. The US Cobalt exploration team will also join First Cobalt’s senior management, where it will contribute its experience in the Idaho Cobalt Belt.

“The transaction offers our shareholders an opportunity to benefit from a larger North American cobalt company with a portfolio of high quality assets and a strong balance sheet. US Cobalt shareholders will have meaningful ownership in a vertically integrated pure-play cobalt company with a proven and experienced management team that shares our commitment to creating long-term sustainable value. We are very proud of what the US Cobalt team has accomplished in a very short period of time. We look forward to advancing our original vision that demand for ethically-sourced cobalt is just beginning,” US Cobalt CEO Wayne Tisdale added.

For First Cobalt shareholders, the US Cobalt transaction and the Iron Creek property acquisition, in particular, strengthen and de-risk the company’s asset portfolio while also offering excellent resource potential in the short term. The transaction further gives First Cobalt the opportunity to leverage its refinery to process cobalt from two different jurisdictions and, ultimately, contributes to fulfilling the company’s mission to grow its presence in North America and become a leading provider of cobalt.

For more information, visit the company’s website at http://ibn.fm/FTSSF

Let us hear your thoughts: First Cobalt Corp. Message Board

ChineseInvestors.com, Inc. (CIIX) CEO Discusses the Company’s Future on MoneyTV

Warren Wang, founder and CEO of ChineseInvestors.com (OTCQB: CIIX), was recently interviewed on MoneyTV with Donald Baillargeon. The company, in addition to being a leader in education products and services for the Chinese-speaking community in North America and elsewhere, has recognized and seized the opportunity in the growing cannabis industry. With a focus on cryptocurrency and financial education, as well as a new private company spinoff of its hemp assets, CIIX is a company to watch. Wang spoke of upcoming changes in both the cannabis and cryptocurrency markets.

Anticipating the potential revenue of the company’s hemp assets for the 2018-2019 fiscal year in the range of $1 million to $4 million, Wang spoke of the spinoff of CIIX’s hemp assets into a private company as a positive and exciting move. The American cannabis market continues to grow, though still divided, and the newly formed spinoff company is set to achieve strong revenues with the legalization of cannabis in Canada this summer. CIIX’s hemp products can be found on Amazon. In the next six to eight months, the products will be rebranded, with the product line being expanded on Amazon and the price potentially dropping as hemp products become more mainstream in America.

The formal spinoff of CIIX’s hemp assets will occur on May 31, 2018, and investors will receive stock dividends. The new company will include wholly owned foreign enterprise CBD Biotechnology Co., Ltd. and U.S.-based wholly owned subsidiaries Hemp Logic, Inc. and ChineseHempOil.com, Inc. Shareholders have the option to exchange four shares of CIIX common stock for one share in the new company (http://ibn.fm/Xnypg). The new company is expected to be brought to the public market, through either OTC or Canadian exchange, in the next 10-18 months.

This spinoff will allow CIIX to focus on financial and investment education covering a number of areas, including cryptocurrency. CIIX provides real-time reliable market information to investors, equipping them to make informed investment decisions. As cryptocurrency becomes an emerging asset, CIIX has positioned itself to be the leading educational source for the Chinese-speaking community to answer investor questions on what cryptocurrency is, how to trade it, where to store wallets, the prevalence of ICOs and much more. There is a great deal of education needed around the tech parts of cryptocurrency, and CIIX is focused on providing the education and confidence that the growing Chinese-speaking investor community is actively seeking.

For more information, visit the company’s website at www.ChineseInvestors.com

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Reign Sapphire Corp. (RGNP) Stirs Emotions with Personalized Appeal to Stone-Loving Hearts

  • Reign Sapphire’s new marketing campaign promotes individualized ION athleisure wear
  • Blockchain transparency provides backstory to jewelry purchases
  • Company’s social media focus draws over 200,000 Facebook and Instagram followers

Charles Darwin once said that an ethical scientist should have no affections, merely a heart of stone. In the modern day, ethical science has turned the idea on its head, producing stone that Beverly Hills-based Reign Sapphire Corp. (OTCQB: RGNP) believes will win the hearty affection of conscientious consumers worldwide. Reign Sapphire’s direct-to-consumer operating model offers a variety of personal touches that allow jewelry enthusiasts to write their own stories of love for themselves and for the earth beneath their feet.

Reign Sapphire is known for three of its brands — Reign Sapphires, which markets the second-hardest natural substance on the planet; Coordinates Collection, which provides dated geolocation-inscribed custom wearables; and Le Bloc, which adds a personal touch through its selection of necklaces, bracelets and cuffs adorned with individualized block-shaped letters and icons. The company recently announced an initiative for further marketing of a fourth brand — the ION Collection by Jen Selter, which takes the Coordinates Collection custom jewelry concept into the athleisure and streetwear arena, specifically targeting ‘millennial and Instagram-savvy consumers’.

The ION Collection’s jewelry uses bright colors and textures suited for everyday wear to celebrate special moments in life, drawing on the Coordinates model of inscribing location data that’s personally significant to the consumer in an effort to cater to the athleisure market in areas that have been untapped by the company’s previously existing initiatives.

“A key factor in our sales success is the growth of our social media following, which is now over 200,000 Facebook and Instagram followers across our brands,” the company stated in its March 13 news release. “Pre-sale interest was encouraging and we feel ION Collection has potential to expand sales. We recently announced an agreement with StarShop to promote ION Collection by Jen Selter. StarShop is a pioneering celebrity-driven mobile commerce application launched through a collaboration between Sprint® and its Pinsight Media+® subsidiary.”

Reign Sapphire’s focus on a strategy of social media marketing and direct-to-consumer delivery has driven its lean production model’s revenues, and the news release states that further refinement of the strategy has led to new growth and year-over-year improvements in the company’s gross margins.

In February, the company announced plans to issue an Initial Coin Offering for its own cryptocurrency, Reign Coin, backed by its Australian-sourced sapphires. Reign Sapphire turned to Australia for exploration of quality, ‘conflict-free’ gems produced without the unethical labor practices that are common in some other countries. A pending white paper is slated to outline how the coins would earn interest and fees through transactions that would then be shared collectively by all coin holders in the network through crypto-dividends.

The company’s Reign Blockchain venture uses the ledger-based blockchain platform to verify the authenticity of the sapphires’ conflict-free ethics claims in a soil-to-savoir faire transparency that supports jewelry consumers’ delight in tracing the life stories of their products. In gauging the existing annual market health of colored gemstones such as sapphires two years ago, the Gemological Institute of America (http://ibn.fm/ItULr) noted that the greater transparency in today’s supply chain of sapphires is worthwhile to consumers not only because its human rights record tracks better than diamonds, the only stone to exceed sapphires for hardness, but also because the ledger system meets consumers’ sentimental wishes for “jewelry with a backstory.”

“Jewelry has always been an emotional purchase,” the GIA wrote. “Millennials, who have grown up knowledgeable about fair-trade products and sustainability, expect that issues pertaining to human rights, environmental impact, and social consciousness are addressed in the supply chain for the products they wish to purchase.”

Reign Ventures, the company’s joint-venture platform for investment and development of technology-related products, rounds out its portfolio.

For more information, visit the company’s website at www.ReignSC.com

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