Cannabis Science Inc. (OTCMKTS:CBIS) Bounces Back
Cannabis Science Inc. (OTCMKTS:CBIS) managed to break its continued descending pattern with the spectacular jump it made on Mar. 11. The company failed to retain its ascent for long, however, and the leap was followed by two sessions in the red, but now it is on the rise again.
This time CBIS was pushed up by the latest development of the events that gave it wings a week ago. On Mar. 11 it announced that the investors acquiring $500,000 of the recent private placement included Weedmaps Media Inc., the world’s largest online guide for medical cannabis patients, and an Amsterdam-based investment company.
Yesterday an announcement hit the wire, that the full $1 million private placement has been paid into CBIS‘s bank account. This means that CBIS has finally got some real money on its hands, which it caould use to fuel its expansion and which could turn into revenues, maybe even profits. But will the newly acquired funds be enough to solve the company’s present financial troubles?
According to the company’s quarterly report for the period ended Sept. 30, 2013, at the end of the period CBIS was on the verge of financial crisis:
- cash – $462
- total current assets – $288 thousand
- total current liabilities – $3.5 million
- quarterly revenues – $70 thousand
- net loss – $1.1 million
If CBIS uses this capital wisely and gets things going, it may even put an end to its enduring financial difficulties. Alternatively, this could turn out to be yet another unsuccessful attempt to keep a sinking vessel afloat. Only time will tell which path CBIS is on now.
CBIS wasn’t the only pot-stock that surged up yesterday. Both Creative Edge Nutrition Inc. (OTCMKTS:FITX) and Tranzbyte Corp. (OTCMKTS:ERBB) soared on Monday, jumping 16.27% and 27.41%, respectively.
