Connect with us

Health

Advanced Cannabis Solutions Inc (OTCMKTS:CANN) Plans To Provide Specialized Infrastructure To The Marijuana Industry

Published

on

Cannabis Science Inc

Boston, MA, 04/01/2014 (medicalmarijuanareporter.com) – Advanced Cannabis Solutions Inc (OTCMKTS:CANN) is in the business of providing services to the regulated cannabis industry in the United States. It leases space for growing and facilities such as real estate and equipment for licensed marijuana producers to support the production. The usage of marijuana in the United States is fast being legalized and the market is expected to grow by over 60% in 2014 to touch $2.4 billion. Legalization of marijuana in Colorado and Washington and the relaxation of laws relating to medical marijuana in other states has resulted in booming demand for marijuana growing facilities and infrastructure. Advanced Cannabis has been formed to meet a part of this demand and will initially acquire property in Colorado.

Cannabis Solutions Inc (OTCMKTS:CANN) has benefited from the boom in marijuana stocks as can be seen from the 52-week low of $1.50 and the 52-week high of $64.64. It currently quotes at $29.99 and all of this without much tangible evidence of business and revenues. However, the company hopes that its plans for Colorado where sales of marijuana and expected to be in the range of $400 million-$600 million in the current fiscal should yield results. For instance specialist commercial real estate in the state are currently leasing at $15 per square foot as against the average price of under $5 in the Denver region.

This is a high-risk investment because Cannabis Solutions Inc (OTCMKTS:CANN) has no economic moat and therefore no protection against competitors replicating its business model. Moreover, the legal standing of marijuana under federal law is unclear and state laws are a mixture of various degrees of legality. Moreover, for the first quarter of operations ended 30 September 2013, the company has shown negligible revenues and expenses consisting mainly of professional fees. In the absence of any meaningful financial data, this is a high-risk investment and you should consider carefully before risking your money.

*Past performance is not a predictor of future results. All investing involves risk of loss and individual investments may vary. The examples provided may not be representative of typical results. Your capital is at risk when you invest – you can lose some or all of your money. Never risk more than you can afford to lose.By submitting your information you agree to the terms of our Privacy Policy • Cancel Newsletter Any Time.This is a FREE service from Finacials Trend. Signing up for our FREE daily e-letter also entitles you to receive this report. We will NOT share your email address with anyone.