MaryJane Group Inc (OTCMKTS:MJMJ) Turns Into a Crying Game
In the words of Neil Finn – don’t dream, it’s over. After announcing its CannaCamp is simply not happening any time soon, despite all the media noise and hype generated around it, yesterday The MaryJane Group Inc (OTCMKTS:MJMJ) opened with a massive gap down right out of the gates. By the closing bell, the ticker had 39% slashed off of its market cap.
The company attempted to soften the blow of having its 2015 CannaCamp venture cancelled and stashed the terrible news in a press release with an optimistic title. Obviously, traders cared a lot less about the new Bud + Breakfast location announced in the release and were a lot more concerned with the fact that CannaCamp is not happening this year.
MJMJ stated that, “sadly”, the company’s land partners “failed to secure” the ranch near Durango which was to host the CannaCamp. This more or less means MJMJ announced opening the camp in July and put up a website taking paid reservations throughout June without having inked a final agreement and without having finalized matters regarding the property and the CannaCamp.
Everyone who booked their stay at the CannaCamp will instead be offered a “complementary” [sic] stay at MJMJ‘s Bud+Breakfast locations. The fact that even the most expensive accommodation offered under the Bud+Breakfast program in Hotel San Ayre costs a fraction of the cost the CannaCamp was charging for a single night for two is a matter that is not discussed in the release.
Just a few days ago, an official company statement came out, claiming that even though the location of the CannaCamp was changing, MJMJ was going to “begin accepting reservations immediately”. What changed in less than a week that led to the complete cancellation of CannaCamp 2015 is not too clear but again, such a sudden polar shift in things is pretty embarrassing. The only reason the ticker crawled up from the lower end of double zeroes and hit a penny per share was the announcement of the very same CannaCamp, which is now possibly happening next year, if all goes according to plan.
The company’s notable achievements in 2015 also include diluting its common stock over 1600% between March and June and then further increasing its authorized shares to 2,000,000,000. MJMJ had 21 million outstanding common shares back in early March 2015. Between April and June, MJMJ pumped out 350 million new shares, priced at an average of $0.001 apiece. The new authorized share cap gives the company ample space to dilute even more.
