DPCM Capital Inc. (NYSE: XPOA)

The QualityStocks Daily Newsletter would like to spotlight DPCM Capital Inc. (NYSE: XPOA).

DPCM Capital Inc. (NYSE: XPOA), a special purpose acquisition company, on February 9, 2022, announced its entry into a definitive transaction agreement with D-Wave Systems Inc., a company with approximately 20 years of experience in pioneering superconducting annealing quantum computers. Upon closing of the transaction, shares of D-Wave Quantum Inc. – a newly formed company that will be the parent company of D-Wave Systems and DPCM Capital – are expected to trade on the NYSE under ticker symbol ‘QBTS’.

The transaction, which is subject to the satisfaction of customary closing conditions, is expected to enhance D-Wave’s leadership in commercial quantum computing and accelerate quantum use cases into significant customer segments.

D-Wave is a leader in quantum computing systems, software and services focused on delivering customer value via practical quantum applications for problems such as logistics, artificial intelligence, materials sciences, drug discovery, scheduling, cybersecurity, fault detection and financial modeling. As the only provider building both annealing and gate-model quantum computers, the company is unlocking commercial use cases in optimization today, while building the technologies that will enable new solutions tomorrow.

D-Wave is a pioneer in quantum computing, with a history of delivering the world’s first commercial quantum computer; the first real-time quantum cloud service; countless hardware and software product and research milestones; and the planned first cross-platform quantum solution which will deliver both annealing and gate-model quantum computers to customers via an integrated platform. Its current commercial product offerings include: Advantage™ (fifth generation quantum computer), Leap™ (quantum cloud service), Launch™ (quantum computing onboarding service) and Ocean™ (full suite of open-source programming tools).

D-Wave’s relentless pursuit of practical quantum computing has resulted in the technology being used today by some of the world’s most advanced enterprises – more than 25 of the Forbes Global 2000 use D-Wave.

D-Wave’s commercial customers include blue-chip industry leaders like Volkswagen, Accenture, BBVA, NEC Corporation, Save-On-Foods, DENSO and Lockheed Martin. The company boasts an extensive IP portfolio featuring more than 200 issued U.S. patents and over 100 peer-reviewed papers published in leading scientific journals.

Founded in 1999, D-Wave is the world’s first commercial supplier of quantum computers. With headquarters and the Quantum Engineering Center of Excellence based near Vancouver, Canada, D-Wave’s U.S. operations are based in Palo Alto, California.

Advantage™ Quantum Computer

With the Advantage™ Quantum Computer, D-Wave has incorporated two decades of experience and over 10 years of customer feedback to create the first and only quantum computer designed for business. The platform features a new processor architecture with over 5,000 qubits and 15-way qubit connectivity. This is 2.5x more connections and more than double the number of qubits than the company’s previous generation quantum computer.

D-Wave’s quantum computers, first located in its facilities in British Columbia, have been available to North American users through its Leap™ quantum cloud service since 2018. It has since introduced new Advantage systems in Julich, Germany, and most recently, Marina Del Rey, California, which marked the availability of the first Advantage quantum computer physically located in the United States.

That new deployment is part of the USC-Lockheed Martin Quantum Computing Center (QCC) hosted at USC’s Information Sciences Institute (ISI), a unit of the University of Southern California’s prestigious Viterbi School of Engineering. Additionally, Amazon Web Services (AWS) and D-Wave announced that the U.S.-based system is available for use in Amazon 2racket, expanding the number to three different D-Wave quantum systems available to AWS users.

Leap Quantum Cloud Service

D-Wave’s customers interface with its systems through the Leap™ quantum cloud service. Leap delivers immediate, real-time access to the company’s Advantage quantum computer and quantum hybrid solver service, all with enterprise-class performance and scalability.

Leap allows developers proficient in Python to get started building and running quantum applications. Through a seamless and secure cloud-based connection, users can easily start solving complex problems of up to 1 million variables and 100,000 constraints.

Using Leap, D-Wave customers have developed quantum hybrid applications for use cases in manufacturing, logistics, financial services, life sciences, materials science, retail and transportation. By eliminating the need to wait hours, days or weeks to get good answers to a broad array of problems, D-Wave is helping businesses move forward.

D-Wave Launch

D-Wave Launch™ is the company’s onboarding platform aimed at helping businesses easily start their quantum journey. Through this program, D-Wave’s team of experts and partners aid enterprises in identifying best use cases for quantum and work with them to develop a proof of concept and production pilot.

From there, the team coordinates with customers to get their hybrid quantum applications up and running, providing ongoing Leap quantum cloud access to ensure the application is operating smoothly and delivering real business value.

Target Verticals

While the potential applications for quantum computing are effectively limitless, D-Wave has identified a number of industry verticals as key areas of focus for its quantum architecture, providing case studies for each. These include:

• Manufacturing – D-Wave worked with Volkswagen to identify a commercial optimization application, the binary paint shop problem, which was run on D-Wave’s hybrid solver service. The solver outperformed four purely classical methods on problem sizes at commercial scale (N=3,000). In a separate project, similar inputs were tested using a leading ion trap system, which failed to find any commercial solution.
• Life Sciences – Menten AI makes use of D-Wave quantum computing to assist in the design of novel therapeutic peptides—short strings of amino acids that can act as potent drugs. With the rise of COVID-19, D-Wave’s Advantage system made it possible to identify molecules that might be especially well-suited for binding and inhibiting the related spike protein, producing several promising peptide designs.
• Finance – Multiverse Computing, a leader in developing quantum solutions for the financial sector, leveraged D-Wave’s hybrid solver service in a collaboration with BBVA, one of the world’s largest financial institutions. Multiverse demonstrated management strategies that far exceeded the granularity of traditional returns in a fraction of the time, helping BBVA identify a low-risk portfolio for investment.

Market Opportunity

The quantum computing total addressable market is projected to grow between $450 billion and $850 billion over the next 15 to 30 years, with between $5 billion and $10 billion of anticipated TAM growth coming in the next three to five years, according to Boston Consulting Group. Driving factors behind this growth include rising investments in quantum computing tech by governments and an increasing number of commercial use-cases.

Forward-thinking organizations see quantum as an opportunity to move ahead of the competition. From finding efficiencies and reducing waste to decreasing time to solution and solving problems abandoned due to complexity, the business value is real. According to data from 451 Research, 40% of large enterprises are already experimenting with quantum computing.

D-Wave is strategically positioned – in an industry with significant barriers to entry – as evident by a decades-long track record serving a roster of blue-chip customers. The company is singularly focused on helping its customers achieve clear value by leveraging quantum computing in practical business applications. With a full stack of systems, software, developer tools and services, D-Wave is working to enable enterprises, governments, developers and researchers to access the power of quantum computing, thereby providing an intriguing opportunity for prospective investors.

D-Wave’s current investor base includes PSP Investments, Goldman Sachs, BDC Capital, NEC Corporation, Aegis Group Partners and In-Q-Tel.

Leadership Team

Dr. Alan Baratz has served as the CEO of D-Wave since 2020. Previously, as Executive Vice President of R&D and Chief Product Officer, he drove the development, delivery, and support of all of D-Wave’s products, technologies, and applications. Dr. Baratz has over 25 years of experience in product development and bringing new products to market at leading technology companies and software startups. As the first president of JavaSoft at Sun Microsystems, he oversaw the growth and adoption of the Java platform from its infancy to a robust platform supporting mission-critical applications in nearly 80 percent of Fortune 1000 companies. He has also held executive positions at Symphony, Avaya, Cisco, and IBM. Dr. Baratz holds a doctorate in computer science from the Massachusetts Institute of Technology.

John Markovich is the company’s CFO. He brings to D-Wave over three decades of experience working with rapidly growing private and public technology companies across all stages of development. Mr. Markovich has directed the finance, accounting, tax, treasury, M&A, legal, operations, customer service, IR, HR, and IT functions for companies ranging from privately held pre-revenue startups to an NYSE-listed Fortune 500 multi-national company with over $1.2 billion in annual revenue. During his career, he has negotiated and closed over 150 debt, equity, M&A, and joint venture transactions exceeding $2.5 billion in value; over a dozen private placements; nearly a dozen M&A transactions; and several international joint ventures. Mr. Markovich holds a BS in Business from Miami University and an MBA from the Michigan State Graduate School of Business.

DPCM Capital Inc. (NYSE: XPOA), closed Friday's trading session at $9.98, even for the day, on 218,989 volume. The average volume for the last 3 months is 218,288 and the stock's 52-week low/high is $9.65/$10.33.

Recent News

• DPCM Capital Inc. (NYSE: XPOA) - D-Wave Systems Inc. and DPCM Capital, Inc. Announce Effectiveness of Registration Statement
• D-Wave Announces Slate for New Public Company Board of Directors
• D-Wave Deploys First U.S.-Based Advantage Quantum Computer Accessible in the Leap Quantum Cloud Service

Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR)

The QualityStocks Daily Newsletter would like to spotlight Energy Fuels Inc. (UUUU).

As the world moves away from the use of fossil fuels in favor of renewable energies in an effort to decrease carbon emissions, interest in the use of uranium as a nuclear fuel continues to grow. Uranium, which is a non-carbon-emitting fuel, is mostly used by nuclear power plants to generate electricity for power grids. However, once the fuel is spent and cannot be used anymore, it becomes radioactive waste. Experts had not found a way to re-purpose this fuel, until now. Recently, Energy Northwest and Curio entered into a memorandum of understanding that will involve the deployment of a commercial facility to recycle nuclear fuel in the United States. This facility, which is the first of its kind in the country, will offer various in-demand products and commodities. This includes a transuranic-based TRUfuel and high-assay, low-enriched uranium (HALEU) for advanced reactors under development as well as domestically-produced LEU (low enriched uranium) nuclear fuel for the existing fleet of nuclear reactors. The firm’s partnership with Energy Northwest signifies a crucial step in bringing to life the potential of its NuCycle technology.  The commencement of operations for this fuel recycling firm is likely to create a bigger domestic market for the uranium mined by companies such as Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) as the movement away from fossil fuels gathers steam.

Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR),based in Lakewood, Colorado, is the country’s largest producer of uranium and the leading conventional producer of vanadium, both designated by the U.S. government as critical minerals.

As the leading U.S. diversified uranium miner, Energy Fuels’ uranium production portfolio stands apart in the world. Energy Fuels has more uranium production facilities, more production capacity, and more in-ground resources than any other company in the United States. In fact, the company’s assets have produced over one-third of all U.S. uranium over the past 15 years and is uniquely positioned to increase production to meet new demand.

Energy Fuels utilizes both conventional and in-situ recovery (“ISR”) technology to produce uranium from three strategic facilities:

• White Mesa Mill in Utah (conventional) has a licensed capacity of over 8 million pounds of U3O8 per year. The highly strategic White Mesa Mill is the only conventional uranium mill in the country and is proximate to some of the largest and highest-grade uranium mines and projects in the U.S., including the Company’s Canyon mine, La Sal Complex, Henry Mountains Complex and Roca Honda Project. White Mesa Mill provides Energy Fuels with significant production scalability as uranium demand increases. The White Mesa Mill also has other diverse businesses, including vanadium, rare earth elements (REE’s), alternate feed materials recycling and land cleanup, all described below.
• Nichols Ranch Plant (ISR) is located in the productive Powder River Basin district of Wyoming and has a total licensed capacity of 2 million pounds of U3O8 per year. Nichols Ranch has produced 1.2 million pounds of U3O8 since commissioning in 2014, and it has significant future expansion potential from 34 fully licensed wellfields containing significant in-ground uranium resources.
• Alta Mesa Plant (ISR) is located on over 200,000 acres of private land in Texas. The fully licensed and constructed ISR project has a total operating capacity of 1.5 million pounds of uranium per year and produced nearly 5 million pounds of U3O8 between 2005 and 2013. This low-cost production facility is currently on standby, maintained in a state of readiness to respond to expected increases in demand.

In addition to being the largest uranium miner in the U.S., Energy Fuels’ overall portfolio also includes a pipeline of high-quality, large-scale exploration and development projects that are permitted or are in advanced stages of permitting, as well as an industry-leading U.S. NI 43-101 Mineral Resource portfolio.

FACTOID: Energy Fuels has led industry efforts over the past two-plus years to get the U.S. government to recognize the importance of domestically produced uranium, including the 2018 – 2019 Uranium Section 232, the ongoing Nuclear Fuel Working Group and the recently announced creation of the U.S. strategic uranium reserve. The U.S. is by far the largest consumer of uranium in the world, yet we import almost all of our requirements; Energy Fuels aims to change that.

Nuclear Market Potential

Multiple studies in top scientific journals have shown that nuclear power is cleanest and most economical way to produce reliable electricity as worldwide demand continues to soar. Nuclear power is presently the only available and affordable low-carbon power source that can meet both current and future baseload electricity demands while simultaneously reducing air pollution and mitigating climate change. U.S. nuclear power plants currently generate nearly 20% of the nation’s electricity overall and 55% of its carbon‐free electricity and even a modest increase in electricity demand would require significant new nuclear capacity by 2025. According to the World Nuclear Association (WNA), there are currently 441 operable reactors, with another 54 units under construction and 439 in various stages of planning; in addition, the WNA has identified a potentially massive supply/demand gap through 2040 of 1 billion pounds. These factors among others are expected to significantly drive increased demand for uranium.

Reasons Nuclear is Gaining Traction

• Nuclear reactors emit no greenhouse gases during operation. Over their full lifetimes, they result in comparable emissions to renewable forms of energy such as wind and solar.
• Unlike any other form of energy, the waste from nuclear energy is contained and managed securely. Used fuel is currently being safely stored for ultimate disposal or future reprocessing, and 96% of this waste can potentially be recycled.
• Greater demand for clean electricity to power everything from homes to automobiles, reducing dependence on fossil fuels.

No. 1 U.S. Producer of Vanadium in 2019

Energy Fuels also produces vanadium as a byproduct of uranium production. Vanadium is designated a critical mineral, essential to the economic and national security of the United States. Energy Fuels was the largest producer of vanadium in the U.S. in 2019, and has significant high-grade, in-ground vanadium resources, as well as a separate high-purity vanadium production circuit at their White Mesa Mill, which is also the only conventional vanadium mill in the country. Crucial for use in the steel, aerospace, and chemical industries, vanadium plays a critical role in the production of high-strength and light-weight metallic alloys and demand is expected to increase across the globe.

Energy Fuels has several fully permitted and developed standby mines containing large quantities of high-grade vanadium, along with uranium, including:

• La Sal Complex (Utah)
• Whirlwind Mine (Colorado/Utah)
• Rim Mine (Colorado)

Vanadium has also gained increased attention as a catalyst in next-generation high-capacity, “community-scale” batteries used for energy storage generated from renewable sources. Demand is only expected to grow as this market expands. With recent upgrades in its vanadium production operations, in 2019 Energy Fuels produced commercial levels of the highest purity (99.7%) vanadium in the mill’s history and can rapidly adjust production to meet volatile market conditions. Energy Fuels is one of the very few known avenues that provides investors access the vanadium market.

Rare Earth Element (REE) Production, Alternate Feed Material Recycling, and Land Cleanup

The White Mesa Mill also provides the company with diverse cashflow generating opportunities. Security of supply for Rare Earth Elements (REEs) supporting U.S. military and defense requirements is a major issue today. Energy Fuels has been approached by a number of entities, including the U.S. government, inquiring about the potential to process certain REEs at the mill. The White Mesa Mill is currently licensed to process certain REEs, including tantalum and niobium. And, early indications are that the mill can be utilized to produce several other REEs. The White Mesa Mill is also the only facility in North America licensed and capable of recycling alternate feed materials (AFMs). AFMs are essentially low-level waste materials that contain recoverable quantities of natural (or unenriched) uranium. The Company typically generates between $5 and $15 million per year from AFM recycling. Finally, Energy Fuels is seeking to become involved in the cleanup of legacy Cold War era uranium mines in the Four Corners region of the U.S., including on the Navajo Nation. The U.S. Environmental Protection Agency (EPA) has access to over $1.5 billion for the cleanup of just a fraction of the sites on the Navajo Nation. The White Mesa Mill is fully licensed to receive much of this material, we are one of the government’s lowest cost options, and we have the ability to recycle the material and produce usable uranium from it.

Management Team

Mark S. Chalmers, President and CEO
Mark S. Chalmers is the president and chief executive officer of Energy Fuels, a position he has held since Feb. 1, 2018, following his role as chief operating officer of Energy Fuels from July 1, 2016 – Jan. 31, 2018. From 2011 to 2015, Chalmers served as executive general manager of Production for Paladin Energy Ltd., a uranium producer with assets in Australia and Africa, including the Langer Heinrich and Kayelekera mines where, as head of operations, he oversaw sustained, significant increases in production while reducing operating costs. He also possesses extensive experience in in situ recovery (“ISR”) uranium production, including management of the Beverley Uranium Mine owned by General Atomics (Australia), and the Highland mine owned by Cameco Corporation (USA). Chalmers has also consulted to several of the largest players in the uranium supply sector, including BHP Billiton, Rio Tinto, and Marubeni, and until recently served as the chair of the Australian Uranium Council, a position he held for 10 years. Chalmers is a registered professional engineer and holds a Bachelor of Science in Mining Engineering from the University of Arizona.

W. Paul Goranson, COO
W. Paul Goranson is the chief operating officer for Energy Fuels. Goranson has 30 years of mining, processing and regulatory experience in the uranium extraction industry that includes both conventional and in-situ recovery (“ISR”) mining, and he is a registered professional engineer. Prior to the acquisition by Energy Fuels of Uranerz Energy Corporation, Goranson served as president, chief operating officer and director for Uranerz, where he was responsible for operations of the Nichols Ranch ISR Uranium Project. In addition to those duties, he also managed uranium marketing, regulatory and government affairs, exploration and land. Prior to joining Uranerz, Goranson served as president of Cameco Resources, where he led the operations at the Smith Ranch-Highland, Crow Butte and North Butte ISR uranium recovery facilities. Goranson also served as vice president of Mesteña Uranium LLC, and he has served in senior positions with Rio Algom Mining, (a subsidiary of BHP Billiton), and Uranium Resource Inc. Goranson has a Bachelor of Science in Natural Gas Engineering from Texas A&I University, and a Master of Science in Environmental Engineering from Texas A&M University-Kingsville.

David C. Frydenlund, CFO, General Counsel, Corporate Secretary
David C. Frydenlund is chief financial officer, general counsel, and corporate secretary of Energy Fuels. His responsibilities include oversight of all legal matters relating to the company’s activities. His expertise extends to NRC, EPA, state and federal regulatory and environmental laws and regulations. From 1997 to 2012, Frydenlund was vice president of regulatory affairs, general counsel and corporate secretary of Denison Mines Corp., and its predecessor International Uranium Corporation (“IUC”). He also served as a director of IUC from 1997 to 2006 and CFO of IUC from 2000 to 2005. From 1996 to 1997, Frydenlund was vice president of the Lundin Group of international public mining and oil and gas companies, and prior thereto was a partner with the Vancouver law firm of Ladner Downs (now Borden Ladner Gervais) where his practice focused on corporate, securities and international mining transactions law. Frydenlund holds a bachelor’s degree in business and economics from Simon Fraser University, a master’s degree in economics and finance from the University of Chicago and a law degree from the University of Toronto.

Curtis H. Moore, Vice President of Marketing and Corporate Development
Curtis H. Moore is the vice president of Marketing and Corporate Development for Energy Fuels. He oversees product marketing for Energy Fuels, and is closely involved in mergers & acquisitions, investor relations, public relations, and corporate legal. He has been with Energy Fuels for over 12 years, holding various roles of increasing responsibility. Prior to joining Energy Fuels, Moore worked in multi-family real estate development, government relations and public affairs, production homebuilding, and private law practice. Moore is a licensed attorney in the State of Colorado. He holds Juris Doctor and MBA degrees from the University of Colorado at Boulder, and a Bachelor of Arts dual degree in Economics-Government from Claremont McKenna College in Claremont, California.

Energy Fuels Inc. (UUUU), closed Friday's trading session at $5.45, up 2.6365%, on 1,862,067 volume. The average volume for the last 3 months is 1.843M and the stock's 52-week low/high is $4.32/$11.39.

Recent News

• Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) - U.S. Firms Enter into Partnership to Recycle Nuclear Fuel
• The Top-Five Countries Producing Uranium Globally
• Why Canada Remains A Major Hot Spot For Uranium Exploration

Mullen Automotive Inc. (NASDAQ: MULN)

The QualityStocks Daily Newsletter would like to spotlight Mullen Automotive Inc. (MULN).

Electric vehicles are superior to internal combustion engine (ICE) cars in one significant way: they do not produce any emissions at the tailpipe. As such, several countries have pledged to electrify their transportation over the next couple of decades as part of a global effort to cut down on carbon emissions. However, EVs still make a small percentage of vehicles on the road and the use of those vehicles  tend to be concentrated in cities and urban areas. This is primarily because the charging infrastructure needed to support electric vehicles is mostly located in urbanized areas. Furthermore, the kind of early adopters who are likely to purchase EVs tend to live and work in urban regions. Such factors make it seem unlikely that rural regions could adopt electric vehicles in mass. But according to a recent study from the Australian National University (ANU), electric vehicles are perfectly capable of functioning in rural areas. As more companies such as Mullen Automotive Inc. (NASDAQ: MULN) bring to market different models to increase the options for buyers, more motorists from rural communities will find what suits their needs and the uptake of these vehicles will accelerate.

Mullen Automotive Inc. (NASDAQ: MULN) is a Southern California-based automotive company that owns and partners with several synergistic businesses working toward the unified goal of creating clean and scalable energy solutions. Mullen has evolved over the past decade in sync with consumers and technology trends. Today, the company is working diligently to provide exciting EV options built entirely in the United States and made to fit perfectly into the American consumer’s life. Mullen strives to make EVs more accessible than ever by building an end-to-end ecosystem that takes care of all aspects of EV ownership.

Commencement of Trading on Nasdaq

On November 5, 2021, Mullen announced its commencement of trading on the Nasdaq Capital Market.

“Today is a monumental day for Mullen Automotive. I am especially proud of our team, investors and all who have believed in Mullen and taken us to this point as a publicly traded company on the Nasdaq Capital Market,” David Michery, CEO and Chairman of Mullen Automotive, stated in the news release. “Trading on Nasdaq now opens us up to new investors, both institutional and retail shareholders, and broadens our awareness and company profile, while increasing awareness of Mullen and our technology platform and opening new opportunities in EV and beyond. The road ahead has never been brighter for Mullen, and I am proud to lead us into the future.”

The milestone came in the wake of the company’s stock-for-stock merger with Net Element Inc.

The Mullen FIVE

The Mullen FIVE EV Crossover, debuting at the Los Angeles International Auto Show (LAIAS) on November 17, 2021, embodies Mullen’s Southern California roots with an inspired design focused on two complementary Golden State themes – California landscape and California urban.

The FIVE is built on an EV Crossover skateboard platform that offers multiple powertrain configurations and trim levels in a svelte design that is Strikingly Different™ and exciting to experience in person.

Prior to the start of LAIAS, the Mullen FIVE was selected as a finalist by the LA Auto Show for Top EV SUV in the ZEVA “People’s Choice” Awards.

LAIAS provides Mullen an opportunity to display multiple variants of the FIVE model while also showcasing its powertrain, battery and charging technology. The company intends to bring the FIVE to market in 2024, and reservations are currently open here.

Mullen’s development portfolio also includes EV Fleet Vans, which it intends to bring to market in Q2 2022, and the pure electric, high performance Mullen DragonFLY.

Expansion of Manufacturing Capacity

On November 2, 2021, Mullen announced plans to expand its facility in Robinsonville, Mississippi.

Mullen’s Advanced Manufacturing and Engineering Facility (AMEC) currently occupies 124,000 square feet of manufacturing space. The total available land on the property is over 100 acres, and Mullen is moving ahead with plans to build out another 1.2 million square feet of manufacturing space to support class 1 and class 2 EV cargo vans and the Mullen FIVE EV Crossover.

On the expanded site, Mullen plans to build a body shop, a fully automated paint shop and a general assembly shop.

EV Market Outlook

The global EV market was reported to consist of 3,269,671 units in 2019, a figure that is expected to grow at a CAGR of 21.1% through 2030 to a total of 26,951,318 units worldwide. This market’s monetary value was estimated at $162.34 billion in 2019 and is expected to grow at a CAGR of 22.6%, resulting in an approximate value of $802.81 billion by 2027. The primary driver for this exponential growth is a worldwide increase in vehicle emissions regulations.

Management Team

David Michery is the CEO and Founder of Mullen and has been leading the company and its divisions since inception in 2014. With over 25 years of executive management, marketing, distressed assets, and business restructuring experience, Mr. Michery brings a wealth of relevant knowledge and expertise to the Mullen brand. He has notably created 12 trademarks so far to develop the company brand and vision.

Mr. Michery is working toward a sustainable future accessible to all by creating a suite of clean-energy electric vehicles at varied price points. With entirely U.S.-based manufacturing and operations, he is also determined to have Mullen Technologies play a role in shaping a self-sustaining local economy by creating more jobs in America.

Mr. Michery manages risks and company expectations as a pathway to success and has personally overseen several businesses that totaled over $1 billion in transactions. His key strength is the ability to be fiscally responsible and lead teams to complete projects on time and within budget. As a seasoned professional in this space, Mr. Michery has demonstrated skill in building businesses from the ground up and into successful entities that subsequently sold for hundreds of millions of dollars.

Mullen Automotive Inc. (MULN), closed Friday's trading session at $1.08, up 2.8571%, on 30,527,566 volume. The average volume for the last 3 months is 30.528M and the stock's 52-week low/high is $0.52/$15.90.

Recent News

• Mullen Automotive Inc. (NASDAQ: MULN) - Study Shows Electric Vehicles Can Be Used in Rural Areas
• MULN Stock Gives Investors New Confidence With Updated SEC FilingsMore From InvestorPlace
• BYD Overtakes Tesla as Largest EV Maker Globally

Eat Well Investment Group Inc. (CSE: EWG) (OTC: EWGFF)

The QualityStocks Daily Newsletter would like to spotlight Eat Well Investment Group Inc. (CSE: EWG) (OTC: EWGFF).

• Eat Well closed the acquisition of Sapientia on July 31, 2021
• The acquisition was for a consideration of 3,741,969 common shares, and a cash payment of US$6.51 million in installments payable up to July 8, 2022
• Eat Well just paid its last installment of $840,000, marking a significant milestone for the company
• BIt now looks to continue building on Sapientia’s momentum by accelerating production and collaborating with other portfolio companies to meet existing and new demand, increase distribution and product offerings

In a study conducted by Gartner in 2019 on 473 Chief Executive Officers (“CEOs”) and senior business executives, 53% of the participants cited the growth of their businesses as their key priority going forward. They further noted that one of the fastest ways to grow their businesses was to enter new markets and reach previously inaccessible customers. Mergers and acquisitions (“M&A”), they said, would help achieve this objective while also exposing their businesses to more benefits associated with the move (https://ibn.fm/oh8k1). Consequently, M&A would define 2020 and 2021. In a 2022 mid-year update, PWC noted that at the start of 2022, dealmakers were “riding high from the best year on record for global M&A.” According to the report, 2021 saw over 60,000 publicly disclosed deals, valued at over US$5tn, a first in the history of M&As. Among the disclosed deals was Eat Well Investment Group’s (CSE: EWG) (OTC: EWGFF) acquisition of Sapientia Technology, LLC. (https://ibn.fm/aCXws).

Eat Well Investment Group Inc. (CSE: EWG) (OTC: EWGFF), headquartered in Vancouver, British Columbia, is a publicly traded vertically integrated plant-based foods company combining the best of agribusiness, foodtech, and CPG brands to supply the world with innovative, delicious, and better-for-you foods. The company supplies Beyond Meat, Ingredion, Nestle, General Mills and more. It is on track to generate $60 million in revenue for 2021 and is projecting $100 million in revenue for 2022.

Eat Well’s management team has an extensive record of sourcing, financing and building successful companies across a broad range of industries and maintains a current investment mandate on the health and wellness industry. The team has financed and invested in early-stage venture companies for more than 25 years, resulting in the ability to construct a portfolio of opportunistic investments intended to generate superior risk-adjusted returns. Eat Well’s strategic advisory board includes pioneers in the plant-based foods industry, including HRH Prince Khaled bin Alwaleed bin Talal Al Saud, Founder and Chief Executive Officer of KBW Ventures, and Jeff Dunn, CEO of Bolthouse Farms who previously held senior leadership positions at both Campbell Soup Company and The Coca Cola Company.

The company’s plant-based investment thesis is centered on growing its seed-to-market operations, which include raw ingredients, processing, pulse fractionation, unique IP and premium consumer packaged goods (CPG). Eat Well Group is building a unique ecosystem that can supply these essential cornerstone needs for society. The company has plant-based foods and nutrition experts specializing in the latest science and original thinking for what consumers want most – high quality and affordability in healthy, clean and simple products.

Eat Well focuses on intellectual property, product portfolio development and long-term value creation for stakeholders in a rapidly expanding industry. As an emergent sector globally, plant-based foods represent a double-digit annual growth category, with more than 35% of the world’s supply of pulse proteins coming from Canada.

Portfolio

On July 31, 2021, Eat Well Group acquired Belle Pulses Ltd., one of the top pulse processors in Canada. Belle Pulses has been operating for over 40 years and had over $60 million in sales in 2020. The company counts a broad range of customers in over 35 countries, including global strategic food companies and major ingredient distributors. Currently, Belle produces nearly 100,000 tons of fully traceable seed and product, yielding over 26,000 tons of pure plant protein.

Eat Well also owns 100% of Sapientia Technology Inc. Led by Dr. Eugenio Bortone – one of the world’s preeminent food scientists and extrusion processing experts and the inventor of Frito-Lay’s Twisted Cheetos – Sapientia has filed four patents around the “protein curl” and crispy-puff-style snack. By focusing on texture and crunch, Sapientia’s patents solve one of the major problems that large scale snack food companies have struggled with for years – how to offer appealing texture and flavor in a guilt-free, not fried, natural and healthy alternative to the majority of snack food products available today.

Eat Well owns a 51% share of Amara Organic Foods, with an option to acquire additional ownership up to 80 percent. Amara, one of the fastest-growing baby food brands in America, is a food technology company that uses science and proprietary IP that locks in taste and texture to make healthy, organic, non-GMO, plant-based, convenient baby and children’s food possible for modern-day families. From baby food to toddler food and beyond, Amara is driven by the belief that setting kids on the right path from a young age will help them live better, feel better and think better for the rest of their lives. Amara’s revenues have grown by more than 400% since January 2021, and the brand’s success has drawn media coverage from business news outlets including Forbes and TechCrunch.

Market Outlook

According to an August 2021 report from Bloomberg Intelligence, the plant-based foods market is expected to experience explosive growth, comprising up to 7.7% of the global protein market by 2030 at a value of over $162 billion, up from $29.4 billion in 2020. Bloomberg notes that plant-based alternatives are here to stay, and that consumption will grow rapidly. Plant-based food sales in 2020 grew twice as fast as overall food sales, according to Polaris Market Research.

Pulse proteins (fava, yellow pea, etc.) are a foundational ingredient to most plant-based foods due to their high protein content and their readily available, affordable supply.

Many analysts view the food tech market as similar to the early days of the Internet in that plant-based foods represent a worldwide secular trend of steady growth and potential that will revolutionize the way society functions and people experience nutrition.

The sector continues to experience significant M&A transactions. Recently, Sol Cuisine was acquired by PlantPlus Foods LLC, a major South American protein producer, in an all-cash transaction valued at approximately $126 million, or 6x revenue.

Management Team

Marc Aneed is President and Director of Eat Well Group. His 20-year career in CPG started at The Quaker Oats Company/PepsiCo, where he worked on iconic brands like Gatorade. He previously was at Glanbia PLC, a global nutrition company, where he led Amazing Grass, a leading plant nutrition and supplement company with over $100 million in retail sales. He also led Glanbia’s Sports Nutrition brands in North America with over $750 million in retail sales. Mr. Aneed has launched dozens of successful consumer products, driving over $1 billion in collective retail sales.

Mark Coles is the company’s Chief Investment Officer. He is a veteran CPG senior executive specializing in the plant-based foods sector. For the past decade, Mr. Coles has spearheaded global plant-based start-up initiatives, culminating in a 2020 acquisition by an international New York Stock Exchange-listed food ingredient company. He has over 25 years of experience in CPG-focused strategy, mergers and acquisitions and project financing.

Patrick Dunn is Eat Well Group’s Vice President, Finance. He is the founding partner of Dunn, Pariser & Peyrot and has a track record of building highly successful agribusinesses throughout North America and other international markets. As a testimony to his business portfolio work, Mr. Dunn and his firm have won multiple industry awards for accounting, finance and business management.

Barry Didato is the company’s Vice President, Strategy. He is focused on the development of strategic revenue channels, sales partnerships, and international distribution for Eat Well Group. Mr. Didato brings extensive strategic sales capabilities and an extensive network of contacts in the industry to the company. Prior to joining Eat Well Group, he served for over 18 years as a senior advisor for several ultra-high net worth family offices and numerous innovative wellness, nutrition, medical, and food businesses.

Strategic Advisory Board

HRH Prince Khaled bin Alwaleed bin Talal Al Saud, Founder and Chief Executive Officer of KBW Ventures, is a firm supporter of clean energy and the humane treatment of animals. He is also a vocal supporter of the private sector in the Middle East. A member of the Saudi Arabian Royal Family, Prince Khaled was born in Stanford and spent his youth in Riyadh under the mentorship of his father, philanthropist HRH Prince Alwaleed bin Talal Al Saud, Chairman of Kingdom Holding Company. He is also the Founding Chairman of KBW Investments and serves across several boards. He invests in an array of successful but diverse global businesses – from promising technology startups to established companies. Today, with holdings on three continents, Prince Khaled stands at the gateway between the Middle East’s evolving economies and the Western world. Consistently, Prince Khaled’s focus is on ventures and ideas at the intersection of innovation and economic growth.

Jeff Dunn has over 30 years of experience in agriculture and packaged food, including senior leadership positions with Bolthouse Farms, Campbell Soup Company and The Coca Cola Company, among others. He is an Operating Partner at Butterfly and focuses primarily on the agriculture & aquaculture and food & beverage product sectors. Prior to joining Butterfly, Mr. Dunn was the President of the Campbell Fresh division of Campbell Soup Company from 2015 to 2016, where he was in charge of building Campbell’s scale and accelerating its growth in the rapidly expanding packaged fresh segments and categories across the retail perimeter.

Eat Well Investment Group Inc. (OTC: EWGFF), closed Friday's trading session at $0.14, up 1.1561%, on 55,170 volume. The average volume for the last 3 months is 53,170 and the stock's 52-week low/high is $0.1357/$1.00.

Recent News

• Eat Well Investment Group Inc. (CSE: EWG) (OTC: EWGFF) - Eat Well Investment Group Inc.'s (CSE: EWG) (OTC: EWGFF) Sapientia to Collaborate With Other Portfolio Companies Following Completion of Payment Agreement
• Eat Well Investment Group Inc. (CSE: EWG) (OTC: EWGFF) Reports Growth, Ongoing Optimism for Natural Food Brands Amid Market Pressures
• InvestorNewsBreaks - Eat Well Investment Group Inc. (CSE: EWG) (OTC: EWGFF) (FRA: 6BC0) Announces Promotion of Patrick Dunn to CFO, Director

Silo Pharma Inc. (OTCQB: SILO)

The QualityStocks Daily Newsletter would like to spotlight Silo Pharma Inc. (OTCQB: SILO).

New research has found evidence suggesting that magic mushrooms can improve the mood and mental health of an individual. The study analyzed about 1,100 subjects, with baseline evaluations being carried out at the start of the study then again between three or five weeks later. For their research, investigators analyzed the results of psilocybin microdoses combined with vitamin-B3 (niacin) or lion’s mane mushrooms. The researchers’ objective was to identify any improvement in mental health and mood that was consistent across presence of mental health concerns, age and gender as well as improvements in psychomotor performance, which were specific to older individuals. These research findings suggest that the R&D being undertaken on psychedelic compounds like psilocybin by various companies such as Silo Pharma Inc. (OTCQB: SILO) is likely to yield novel treatments that could shake up the mental health field for decades to come.

Silo Pharma Inc. (OTCQB: SILO), a developmental stage biopharmaceutical company, is focused on merging traditional therapeutics with psychedelic research for people suffering from indications such as post-traumatic stress disorder (PTSD), fibromyalgia, Alzheimer’s disease, Parkinson’s disease, and other rare neurological disorders. Silo’s mission is to identify assets to license and fund research that the company believes will be transformative to the wellbeing of patients and the health care industry.

Silo is committed to developing innovative solutions to address a variety of underserved conditions. Combining Silo’s resources with world-class medical research partners, the company looks to make significant advances in the medical and psychedelic space.

Silo works to identify and partner with leading medical universities, providing the needed financial resources to develop safe therapeutic treatments while moving cutting-edge research through the clinical stage and into commercialization. The company is well-capitalized with access to additional funds as opportunities present themselves.

Silo recently engaged Donohoe Advisory Associates LLC for consulting and advisory services in connection with the potential uplisting of Silo’s common shares to the Nasdaq Stock Market.

Research

Silo has entered into research agreements and partnerships with multiple leading medical universities.

The company is involved in a sponsored study with Maastricht University utilizing repeated low doses of ketamine and psilocybin to examine the effects on cognitive and emotional dysfunctions in Parkinson’s disease and to understand its mechanism of action. The investigator in the Netherlands is acquiring the substances for the study and will then finalize the documentation to submit to the ethics committee.

Additionally, in June 2021, Silo announced its entry into a scientific research agreement with the University of California San Francisco (UCSF). The agreement will leverage four other clinical trials being planned by the university to determine the effects of psilocybin on inflammation. The study will take place at The Translational Psychedelic Research (TrPR) Program at UCSF.

Silo also recently extended its exclusive option agreement with the University of Maryland, Baltimore (UMB) to explore a novel invention generally known as joint-homing peptides. These peptides are being developed for use in the investigation and treatment of arthritogenic processes and can be used for enhanced targeting of therapeutic agents.

This agreement includes the study of two separate peptides. The first is an option and study for the treatment of arthritis. The second is a patented licensed peptide for the central nervous system, with an initial study for MS autoimmune diseases, in addition to rheumatoid arthritis. Animal studies are underway for both initial indications relating to the UMB agreement, with the potential for studies evaluating additional indications in the future.

Finally, Silo signed an agreement with Columbia University granting it an option to license certain assets currently under development, including an Alzheimer’s disease formulation targeting NDMARs and 5-HT4Rs, as well as a prophylactic treatment for stress-induced disorders and PTSD. Both candidates are currently being tested in mice and have already provided early data.

In addition to its university partnerships, Silo entered a joint venture agreement with Zylo Therapeutics Inc. (“ZTI”) focused on the development of ketamine and psilocybin using ZTI’s Z-Pod™ technology for the transdermal time released delivery of therapeutics. In November 2021, the company announced ZTI’s reception of its first ketamine shipment and initiation of loading ketamine into its Z-Pod technology. In a news release, Eric Weisblum, CEO of Silo, called the development an “important milestone” that will help the company “study the benefits of slow-release transdermal release of Ketamine.”

Market Overview

According to Coherent Market Insights, the fibromyalgia treatment market was valued at $2.78 billion in 2018 and has a projected CAGR of 3.3% over the forecast period 2018 to 2026. Fibromyalgia is a condition that causes pain all over the body, sleep problems, fatigue, and emotional and mental distress.

The global PTSD therapeutics market is expected to reach $10.68 billion by 2026 with a CAGR of 4.5% during the forecast period from 2018 to 2026, according to a report by Credence Research. Growing prevalence of PTSD is the chief factor driving the global treatment market. Increases in events such as wars, combat, and interpersonal violence has been a major contributing factor. Other factors like growing emphasis on rehabilitation initiatives by governments for treating their war veterans has also been facilitating the increase in demand for PTSD therapeutics.

Fortune Business Insights reports the global Parkinson’s disease treatment market is predicted to grow to $8.38 billion by 2026, with a CAGR of 8.1% during the forecast period. Parkinson’s is a neurodegenerative disease of the central nervous system which primarily affects the brain, causing uncontrollable shaking and tremors, difficulties in balance and restricted body movement making it difficult for the person to function or perform a daily routine.

Management Team

Eric Weisblum is CEO and founder of Silo Pharma. He has over 25 years of Wall Street experience, most recently in the biotechnology sector. He has served on the board of Aikido Pharma and was the president of Sableridge Capital. He has a proven track record in licensing therapeutic assets and assisting in their development. He brings to the company nearly 20 years of expertise in structuring and trading financial instruments. He holds a bachelor’s degree from the University of Hartford’s Barney School of Business.

Dr. Kevin Muñoz was appointed to the Silo board of directors in October 2020. He teaches biomedical sciences and medical intervention for the Passaic County Technical Institute. He previously served as Director of Operations at Physical Medicine and Rehabilitation. He began his career with Harlem Health Promotion Center in New York City as a research assistant. He earned a bachelor’s degree from the University of Michigan and a Doctor of Medicine from Xavier University School of Medicine.

Josh Woolley, M.D., Ph.D., is a Scientific Advisor for Silo. He is an associate professor in the Department of Psychiatry and Behavioral Sciences at the University of California, San Francisco. He is also a psychiatrist on staff at the San Francisco Veterans Affairs Medical Center. He is the director and founder of the Bonding and Attunement in Neuropsychiatric Disorders Laboratory. He received both his M.D. and his Ph.D. in Neuroscience from UCSF, where he completed his psychiatry residency training.

Charles Nemeroff, M.D., Ph.D., is a Scientific Advisor for Silo Pharma. He directs the Institute for Early Life Adversity Research within the Department of Psychiatry and Behavioral Sciences as part of the Mulva Clinic for the Neurosciences. He was chair of the Department of Psychiatry and Behavioral Sciences and clinical director of the Center on Aging at the University of Miami Miller School of Medicine. He received his M.D. and Ph.D. in neurobiology from the University of North Carolina School of Medicine.

Silo Pharma Inc. (OTCQB: SILO), closed Friday's trading session at $0.1298, up 0.854701%, on 19,982 volume. The average volume for the last 3 months is 19,982 and the stock's 52-week low/high is $0.0892/$0.2489.

Recent News

• Silo Pharma Inc. (OTCQB: SILO) - Study Finds That Microdosing Psilocybin Mushrooms Improves Mood, Mental Health
• Study Maps How Brain Changes During Treatment for Depression
• Homing Peptides: Silo Pharma Inc. (SILO) Targets ADRs

LQwD FinTech Corp. (TSX.V: LQWD) (OTCQB: LQWDF)

The QualityStocks Daily Newsletter would like to spotlight LQwD FinTech Corp. (TSX.V: LQWD) (OTCQB: LQWDF).

LQwD FinTech (TSX.V: LQWD) (OTCQB: LQWDF), a company focused on developing institution-grade payment infrastructure, liquidity and solutions for the Lightning Network, currently has active nodes spanning 17 countries. “LQwD’s mission is to offer platform-as-a-service (‘PaaS’) for the Lightning Network nodes and payment channels, be a network service provider that offers routing and liquidity services, and accumulate Bitcoin as a treasury reserve asset for staking and liquidity. The company’s flagship PaaS offering, https://lqwd.tech/, was released in November 2021. The PaaS features a sophisticated backend functionality and was designed to be scalable and flexible, positioning needed for the growth of the network,” a recent article reads. “By the end of Q4 2022, LQwD hopes to have active nodes in 24 countries worldwide. The current nodes have already facilitated over 10k transactions and climbing. As a publicly traded company, LQwD hopes to enhance public trust in the products and services to scale the Lightning Network as a premier cryptocurrency transaction platform.” To view the full article, visit https://ccw.fm/DqLQu

LQwD FinTech Corp. (TSX.V: LQWD) (OTCQB: LQWDF) is a financial technology company focused on creating enterprise-grade infrastructure to drive bitcoin adoption.

LQwD FinTech’s mission is to develop institutional-grade services that support the Lightning Network and drive improved functionality, transaction capability, user adoption and utility, and scaling of bitcoin. LQwD is also securing a substantial position in bitcoin as an operating asset and will use its holdings to establish nodes and payment channels on the Lightning Network.

The Lightning Network is a second-layer protocol, sitting above the bitcoin blockchain, intended to facilitate faster micro-transactions and lower fees on bitcoin transactions, thus allowing mass adoption of bitcoin.

LQwD expects the Lightning Network to eclipse the patchwork of legacy financial networks that are used to move value today. The company’s software will make migration from legacy networks onto the Lightning Network easy and seamless. By onboarding more financial service providers, LQwD intends to grow the value of the Lightning Network.

The company, formerly known as Interlapse Technologies Corp., is harnessing new payment rails built on top of the bitcoin blockchain that are capable of beyond visa-level transaction volumes and backed by bitcoin, the strongest and most well-known cryptocurrency. These new rails, enabled by the Bitcoin Lightning Network, open a vast opportunity and market segment for digital payments and financial services on a global scale. LQwD aims to leverage its position as a public company to enhance trust in its products and services, and leverage its shares as currency for acquisitions, roll-up and growth, as well as to attract and retain top industry talent.

Product

The Lightning Network is a solution to massively scale the use of bitcoin for microtransactions globally, dramatically improving upon fees, as well as providing instant settlement times. The Lightning Network has experienced explosive growth and is expected to continue with the trend as usage increases. Well-known companies, such as Twitter and Square, have expressed their enthusiasm to incorporate Lightning Network into their platforms. The Lightning Network is scalable, global, open, inclusive, permissionless and decentralized. It is made up of nodes connected via payment channels, and enables off-chain, instantaneous and cheap payments at scale.

Upon launch of LQwD’s Lightning Network platform-as-a-service, users will be able to leverage the Lightning Network infrastructure to send payments instantly, securely and inexpensively anywhere in the world. Companies and service providers will be able to conduct Lightning Network transactions in bitcoin by integrating LQwD’s infrastructure with their business or web property. Connected businesses will be able to easily deploy, monitor and manage LQwD’s Lightning Network nodes with no or low-level technical knowledge required. The company fully expects Lightning Network to be a force for global change and to become the monetary exchange network of the future.

The Lightning Network, which is already built, functioning and growing, will advance bitcoin from a store-of-value to a global monetary network through payment utility. The company expects the Lightning Network will propel the growing number of active blockchain wallets to new heights, by increasing bitcoin’s scalability and lowering its fees for users. For coming generations, everything from wealth to experiences will be acquired and transacted virtually, and LQwD sees the Lightning Network as an enabling technology that can bring bitcoin to hundreds of millions of new users across the globe.

Market Outlook

Forbes in August 2021 noted that “private investors are funding companies that are building the infrastructure that will support future growth of crypto and digital assets,” and called public companies building cryptocurrency infrastructure “the hottest part of the crypto market.” While the first wave of investor interest in crypto firms was directed at companies catering to retail investors, investors have now shifted their attention to infrastructure builders, like LQwD FinTech. Forbes did not put an estimated value on the crypto infrastructure market but pointed out that large-scale adoption of cryptocurrencies will only happen when infrastructure is in place to support it. The larger digital payments market, of which crypto payments are a small fraction, is growing at more than 14 percent annually and is forecast to hit $154 billion by 2025.

Management Team

Shone Anstey is co-founder, chairman and CEO at LQwD FinTech. He has 20 years of experience in building complex technologies and has acted as technology lead for an industrial bitcoin mine and bitcoin mining pool. He is a Certified Cryptocurrency Investigator, and an advisor to the British Columbia Securities Commission. He is also co-founder of BIGG Digital Assets (OTCQX: BBKCF) and took that company public in 2017.

Barry MacNeil is CFO at LQwD FinTech. He is a member of the Chartered Professional Accountants of British Columbia and has more than 30 years of management and accounting experience with public companies and in private practice. His previous positions include director of both public companies and nonprofits, as well as Chief Financial Officer and Corporate Controller.

Albert Szmigielski is co-founder and CTO at LQwD FinTech. He was formerly the Head of Research and Chief Blockchain Engineer at Blockchain Intelligence Group and VP Research at CipherTrace. He holds a B.Sc. in Computing Science from Simon Fraser University, and a Master of Science in Digital Currencies and Blockchain Technologies from the University of Nicosia, Cyprus.

LQwD FinTech Corp. (LQWDF), closed Friday's trading session at $0.0845, up 9.456%, on 16,844 volume. The average volume for the last 3 months is 16,844 and the stock's 52-week low/high is $0.0637/$0.672.

Recent News

• LQwD FinTech Corp. (TSX.V: LQWD) (OTCQB: LQWDF) - CryptoNewsBreaks - LQwD FinTech Corp. (TSX.V: LQWD) (OTCQB: LQWDF) Moving to Become Top Liquidity Service Provider on Lightning Network
• LQwD FinTech Corp. (TSX.V: LQWD) (OTCQB: LQWDF) Expands Lightning Network Reach with 17 International Nodes Routing Over 72 BTC and 36,000 Transactions
• CryptoNewsBreaks - LQwD FinTech Corp.'s (TSX.V: LQWD) (OTCQB: LQWDF) Direct Relationship with Visa Offering 'Big Benefit'

QSAM Biosciences Inc. (OTCQB: QSAM)

The QualityStocks Daily Newsletter would like to spotlight QSAM Biosciences Inc. (OTCQB: QSAM).

Scientists at the Lineberger Comprehensive Cancer Center, University of North Carolina have found that the OTUD7A gene impacts Ewing sarcoma development. Ewing sarcoma is a type of cancer that develops primarily in children and affects bones or tissues surrounding the bones. Figures show that roughly 250 young adults and children are diagnosed with this rare cancer annually in the United States. Of this number, about one-half eventually succumb to the illness, which points to the need for better treatments. The researchers, who collaborated with Atomwise Inc. on this study, published their findings in the “Advanced Science” journal. Pengda Liu, co-lead of the study and an assistant professor of biophysics and biochemistry at the UNC School of Medicine, stated that the primary focus was on the EWS-FLI1 fusion protein, which could be found in roughly 85% of patients with Ewing Sarcoma. This protein, Liu explained, was produced in cancer cells, which made it a good treatment target. This fight against pediatric cancers is also seeing the involvement of additional companies, such as QSAM Biosciences Inc. (OTCQB: QSAM). These efforts could yield superior remedies in comparison to current ones, which aren’t very effective and come with several serious side effects.

QSAM Biosciences Inc. (OTCQB: QSAM) is a clinical stage biotechnology company focused on bringing to market targeted therapeutic radiopharmaceuticals. The company is committed to advancing the fight against cancer through the discovery, development and delivery of effective treatment options for adult and pediatric patients.

QSAM Biosciences was founded in 2020 by Executive Chairman Dr. C. Richard Piazza and CEO Douglas Baum. It is headquartered in Austin, Texas.

CycloSam®

CycloSam®, QSAM Biosciences’ initial technology, is a clinical-stage bone targeting radiopharmaceutical invented by world-renowned scientists at IsoTherapeutics Group LLC. By leveraging a patented, low specific activity form of Samarium-153 (resulting in far less undesirable europium impurity) and what management believes to be a superior chelating agent in DOTMP, CycloSam is designed to selectively target sites of high bone mineral turnover to deliver a prescribed tumor-killing dose of radiation to the bone tumor sites while minimizing radiation exposure to nearby healthy tissue. These parameters are currently being tested in an FDA-cleared clinical trial.

CycloSam® has been shown in laboratory testing to cause significantly less (30x less) buildup of long-lived radionuclidic impurities than prior FDA-approved drugs, which management believes will enable the ability to safely administer therapeutic doses via higher and multiple-dose regimens and effectively expand its potential clinical utility to therapeutic uses in areas of high unmet medical needs.

The indications for CycloSam® currently being evaluated by QSAM Biosciences include:

• Metastatic Bone Cancers – On April 28, 2022, QSAM Biosciences announced that the first patient had commenced treatment in its clinical trial evaluating CycloSam in patients with metastatic bone cancer. As noted in the release, the study is a Phase 1 open-label, dose-escalation trial to evaluate the safety, tolerability, dosimetry, and preliminary efficacy of CycloSam®.
• Pediatric Osteosarcoma/Ewing’s Sarcoma – On February 2, 2022, the company announced that the U.S. FDA has granted Rare Pediatric Disease Designation to CycloSam for the treatment of osteosarcoma. Combined with a previously granted orphan drug designation for osteosarcoma received in 2021, this milestone “may allow QSAM to potentially bring CycloSam® to market more rapidly through additional incentives and eligibilities,” according to CEO Douglas Baum.
• Bone Marrow Ablation – In a 2020 single patient Investigational New Drug (IND) study, an investigator concluded that high-dose CycloSam® can be administered safely to ablate bone marrow in advance of a stem cell transplant with no apparent renal toxicity and no unexpected adverse events attributable to the drug.

QSAM Biosciences’ preclinical and clinical development pipeline is supported by a strong IP portfolio. The company has secured 14 patents across three distinct patent families spanning the U.S., Japan, Canada and the European Union.

Market Outlook

Through its ongoing development of CycloSam®, QSAM Biosciences is targeting multiple large and underserved market opportunities. According to the American Cancer Society, roughly 400,000 new cases of malignant bone metastasis are diagnosed annually in the U.S. alone. Additionally, QSAM will pursue indications for osteosarcoma and Ewing’s sarcoma that are the most common primary malignancies of bone tissues in children.

Despite this pressing need, the current standard of care for bone cancer is aggressive and suboptimal, leading to marginal success with significant side effects and poor long-term survival prognosis. As a result, QSAM Biosciences estimates a sizable market opportunity for its development pipeline.

• Bone Metastasis has an estimated total addressable market of $20 billion in the U.S. based on total new cases and comparable drug pricing.
• Osteosarcoma/Ewing’s Sarcoma have a total addressable market of roughly $125 million in the U.S. based on approximately 1,000 new cases in 2021.
• The total addressable market for Bone Marrow Ablation is projected at $1 billion, with an estimated 32,000 procedures completed annually.

The company anticipates that the ability to administer CycloSam® for higher and multiple-dose regimens may expand its clinical utility for therapeutic uses in additional areas of high unmet medical needs.

Management Team

QSAM Biosciences is led by an experienced management team and board with an extensive record of FDA approvals, big pharma partnerships and M&A transactions.

Dr. C. Richard Piazza is the Executive Chairman of QSAM Biosciences. Since 2017, he has also served as President and CEO of IGL Pharma Inc., the licensor of CycloSam®, and as a consultant to IsoTherapeutics Group LLC, the inventors of the technology. Dr. Piazza also currently serves on the board of directors of NovaScan LLC, a privately held cancer detection and diagnostics company. He has more than 48 years of health care experience in both medical devices and pharmaceutical/biotech and has led several technology companies to market success, including numerous FDA approvals in both sectors. Dr. Piazza obtained a BS in Economics and a BS in Speech Pathology from the State University of New York and an MA & PhD in Economics from the University of Buffalo and Leeds University.

Douglas R. Baum is the company’s CEO and Director. He brings to QSAM Biosciences over 30 years of experience in the bioscience and biotech industries, including development, FDA/EMA approval and commercialization of multiple drugs and medical devices. Mr. Baum has overseen 15 product approvals through the FDA and EMA and raised over $85 million in capital to fund breakthrough technologies. From 2017 to 2020, he consulted with multiple medical schools and biotech and pharmaceutical companies, and, from 2012 to 2017, he served as President, Chief Executive Officer and Director of Xeris Pharmaceuticals Inc. Mr. Baum holds a Master of Science in Technology Commercialization and a BBA in International Business and Marketing from the University of Texas.

Adam King is the CFO of QSAM Biosciences. He is also the Founder and CEO of King Consulting Group, where he provides a range of financial and reporting services for clients. Before founding King Consulting Group in January 2021, Mr. King was the CFO for Netsertive, a venture-backed digital marketing company. From 2016 to 2018, he was the Office Managing Audit Director for BDO’s Greenville, South Carolina, office, in addition to serving as Audit Director in Raleigh, North Carolina, and Boston, Massachusetts. While at BDO, Mr. King worked with various clients, from tech and life science start-ups to billion-dollar publicly traded companies. He holds a Bachelor of Science in Accounting from Elon University and is a CPA in Raleigh, North Carolina.

QSAM Biosciences Inc. (OTCQB: QSAM), closed Friday's trading session at $4.3, even for the day. The average volume for the last 3 months is 18 and the stock's 52-week low/high is $5.00/$26.40.

Recent News

• QSAM Biosciences Inc. (OTCQB: QSAM) - Scientists Identify Gene Behind Pediatric Bone Cancer
• InvestorNewsBreaks - QSAM Biosciences Inc. (QSAM) Expands IP Estate with Receipt of Third US Patent for CycloSam(R)
• QSAM Biosciences Inc. (QSAM) Is 'One to Watch'

Correlate Infrastructure Partners Inc. (OTCQB: CIPI)

The QualityStocks Daily Newsletter would like to spotlight Correlate Infrastructure Partners Inc. (OTCQB: CIPI).

• Renewable energy production expanded at an annual rate of 15% between 2011 and 2020, and if this growth rate continues through 2035, renewable electricity will meet 100% of the United States’ electricity demand 
• In May, California’s renewable energy sources briefly generated 101% of the state’s energy demand 
• Correlate Infrastructure Partners provides access to intelligent efficiency measures, electric vehicle (“EV”) infrastructure, and locally sited solar and energy storage
• Through its all-in-one platform, the company designs, engineers, finances, builds, and monitors renewable energy (solar) projects for its clients, enabling them to meet ESG mandates as well as save on electricity costs and capital expenditure (“CapEx”)

The state of California, however, does not have to wait until 2035 as it broke that record earlier in May, albeit briefly. For 15 minutes, the state’s renewable energy generation peaked at 101% of the current energy demand, most of it solar energy, breaking a previous record of 96.4%. And though this does not imply that California was 100% powered by only renewable energy sources – as nuclear, natural gas, and other non-renewable sources also contributed electricity to the grid – the new record marked an important milestone. Against this backdrop, observers now note that stakeholders need to work on ensuring the state runs on 100% clean energy for even longer – a whole day, week, or year (https://ibn.fm/7xa4I). Correlate Infrastructure Partners (OTCQB: CIPI), a portfolio-scale development and financing platform providing commercial and industrial facilities access to clean electrification solutions focused on intelligent efficiency measures, electric vehicle (“EV”) infrastructure, and locally sited solar and energy storage, is ideally poised to help countries, states, and companies meet their desired renewable energy targets, starting with its domicile, the United States. 

Correlate Infrastructure Partners Inc. (OTCQB: CIPI), formerly Triccar Inc., through its two subsidiaries, Correlate and Solar Site Design, offers a complete suite of proprietary clean energy assessment and fulfilment solutions for the commercial real estate industry. The company believes scaling distributed clean energy solutions is critical in mitigating the effects of climate change. CIPI is at the forefront in creating an industry-leading energy solution and financing platform for the commercial and industrial sector. The company sees tremendous market opportunity in reducing site-specific energy consumption and deploying clean energy generation and energy efficiency solutions at scale.

The opportunity exists to remove friction between today’s legacy finance process and the needed clean-energy upgrades developed within the company’s program technologies. For the U.S. to reach its 2050 carbon goals, 200,000 commercial buildings must be retrofitted every year until that date. That represents approximately a 5-10x increase over the 2022 industry process run rate.

CIPI announced completion of its acquisition of 100% of the equity of Correlate Inc. and Loyal Enterprises LLC dba Solar Site Design on December 28, 2021. The company notes these acquisitions occurred at a key inflection point of its growth. CIPI currently enjoys channel and sales partnerships with Fortune 250 companies and a strong, proven industry network.

The company’s transparent, leading-edge model changes value delivery for both facility owners and proven solution providers seeking scale. CIPI believes its rapid growth is due to industry demand for actionable, cashflow positive energy programs and the underlying carbon reduction mandates taking effect globally.

CIPI has filed with the SEC for a name change to Correlate Infrastructure Partners Inc., which will more closely reflect its new platform and growth focus. The company has been aggressively moving to rebrand, with efforts including a revised website, investor presentation materials and an investor relations awareness campaign. The company’s shares will continue to trade on the OTCQB Venture Market under the current ‘CIPI’ ticker symbol until changes are approved.

Subsidiaries

Correlate, founded in 2015, is a portfolio-scale development and finance platform offering commercial and industrial facilities access to clean electrification solutions focused on locally-sited solar, energy storage, EV infrastructure, and intelligent efficiency measures. Its unique data-driven approach is powered by proprietary analytics, concierge subscription services, and a highly scalable national fulfillment network to help building owners profit from fully funded, turnkey decarbonization and facility health programs. The platform is designed for commercial and industrial real estate owners seeking to significantly improve net operating income while meeting carbon reduction goals. The platform provides energy programs for commercial property portfolios and requires no upfront capital. Client organizations reduce their risk and generate more profits by leveraging Correlate’s unique payment programs to put more cash in the bank. Deploying Correlate’s strategic energy programs and energy management systems allows property-owning organizations to complete big energy changes across their portfolios.

Solar Site Design, founded in 2013, is a U.S. Department of Energy Sunshot Catalyst winner that provides customer acquisition and project development tools for the commercial solar industry. Its commercial marketplace platform connects highly qualified project opportunities to leading solar construction companies nationwide. The Solar Site Design platform gives commercial and industrial property owners access to the best price for a commercial solar system. Commercial solar analysts provide property owners a site assessment and working project proposal. Solar Site Design’s team of solar engineers finalize the design while approved financing providers help clients explore financing options for their projects. Then, approved contractors in Solar Site Design’s Marketplace bid on the projects, ensuring commercial and industrial property owners get the best estimates for their projects. Solar Site Design’s marketplace process promotes transparency and fair pricing. Its team of experts has nearly 20 years of experience in the solar industry. Only reputable, experienced, certified (NABCEP), licensed, bonded and insured contractors are accepted into the Solar Site Design Marketplace.

Market Outlook

CIPI is in a rapidly growing market with a unique offering to address a total market of more than 5.9 million commercial buildings in the United States, according to the U.S. Energy Information Administration. Currently, the company’s wholly owned subsidiaries, Correlate and the Solar Site Design, have an opportunity pipeline of over $100 million in commercial projects with more than $20 million in awarded backlog. According to the Rocky Mountain Institute, portfolio energy optimization is a $290 billion market in the United States driving deep financial savings and energy efficiency across the commercial sector.

Commercial buildings consume more than 35% of the generated electricity in the U.S. and are underperforming in energy efficiency at every level. These buildings waste energy, emit too much carbon, and are too costly for owners and occupants, but retrofits are not happening at the rate or scale needed.

In today’s real estate market, portfolio property owners own most commercial buildings. Yet most building efficiency work is focused on single buildings, thereby missing the distinct needs of this owner class which has very different needs than traditional owner-occupiers. The diverse nature of commercial buildings, combined with technology and performance uncertainty, make simple energy optimization initiatives – which could greatly reduce energy use and improve building value – financially unattractive, resulting in slow adoption rates. CIPI’s financial instruments and software breakdown this issue known as the “split incentive”, unlocking the majority of the addressable market.

Management Team

CIPI has in place a nationally recognized management team that has been active in the energy market since 2005.

Todd Michaels is President and CEO of CIPI and founder of Correlate. He formerly served as Vice President for Innovation at SunEdison and Senior Director Distributed Solar at NRG Energy. He founded Correlate in 2015 and has 16 years of experience in the energy industry. He graduated from Indiana University with a B.S. in Computer Information Systems.

Channing Chen is CFO at CIPI and Correlate Inc. and brings over 16 years of experience in the solar industry as a developer, financier, and business unit leader. He has held executive management roles at Solar Power Partners (acquired by NRG Energy), where he was a founding employee, SunEdison, and NRG Energy (NYSE: NRG). Most recently, Mr. Chen was founder and Managing Partner at Breakaway Energy Partners LLC – a distributed energy financing and market-making platform. To date, Mr. Chen and his teams have raised over $1.5 billion in financing across residential, commercial, and utility scale solar and energy storage projects representing over 400 MWs. He holds a B.A. in Environmental Chemistry from the University of California at San Diego and an MBA from the University of Southern California. He is also an advisor and early-stage investor to several startup companies in the renewable energy space.

David Bailey is Chief Revenue Officer of Correlate Inc. With over 15 years of executive sales, supply chain management, and energy efficiency experience, he is responsible for ensuring the success of the National Commercial Sales Unit across multiple regional project teams. Mr. Bailey created and launched the Transformation Services team while at Wesco for its multibillion-dollar Distributed Energy Resource division, formerly Westinghouse. His focus was on IoT-enabled efficiency and plant floor automation-based services. Before that, he spent several years in Global Account Sales Management, with GE Supply as a Program Manager, and is a Commercial Leadership Program graduate. Mr. Bailey received his B.S. in Mechanical Engineering from the University of Kentucky.

Jason Loyet is VP of Commercial Sales of Correlate Inc. He is a cleantech executive with over 20 years of experience leading high growth solar energy and software start-ups. Mr. Loyet is a U.S. Department of Energy SunShot Catalyst award winner for his work building the Solar Site Design technology platform. Before joining the solar energy industry in 2005, he founded and sold two software companies in the streaming media (GlobalStreams) and newspaper publishing (MyCapture) industries. Mr. Loyet currently serves as a Member of the Board of Directors for the Tennessee Solar Energy Industry Association (TenneSEIA).

Deke Welling is Head of Project Development and Fulfillment Services at Correlate Inc. He has over 19 years’ experience in the energy industry with an emphasis on renewables and energy efficiency over the past seven years. Prior to entering the renewables sector, Mr. Welling was the CEO of Welling Resources, an energy development company focused on the exploration of oil and natural gas reserves in the U.S. It was this experience that led him into the renewables sector and leading a charge for more sustainable resources. Additionally, Mr. Welling also served as the CEO of Circle L Solar Inc., a top 100 solar installer in the United States since 2016. Through his leadership, Circle L Solar experienced a growth rate of over 2,250% from 2016 to 2019, resulting in his company being listed on the Inc. 5000 list of the fastest growing private companies in the U.S. (Rank #176) and being named ‘Top Energy Company’ and ‘Entrepreneur of Year for the Energy Industry’ by the American Business Awards® in 2019 and again for ‘Entrepreneur of the Year’ in 2021.

Kevin Warren is Head of Construction and Development Engineering at Correlate Inc. He is a solar veteran with over 12 years of experience in the field. Prior to co-founding CLS, Mr. Warren was the owner of Beacon Consulting and has originated, consulted, designed and/or engineered over 122 MW of PV installations ranging from small commercial to utility scale projects throughout Texas, California, Colorado and North Carolina. He holds a Photovoltaic Technical Sales Professional Certification from the North American Board of Certified Energy Practitioners and certifications from Solar Energy International in PV Installation, PV Technical Sales, PV battery-based design, PV design and engineering, and PV operations and maintenance. Along with PV expertise, Mr. Warren is a LEED Green Building Associate, a certified building analyst from the Building Performance Institute, a Certified Renewable Energy Professional from the Association of Energy Engineers and holds a designation in High-Performance Sustainable Buildings from the BOMI Institute. He studied Electrical Engineering at the University of Texas at Arlington.

Tom Kunhardt is Director of Customer Success at Correlate. He previously held a similar position at Clean.Tech and was Corporate Trainer, Learning & Development, at NRG Energy. He has 15 years of experience in the solar and clean energy industries helping homeowners and businesses find solutions to their energy needs. He holds a bachelor’s degree from the University of Massachusetts.

Correlate Infrastructure Partners Inc. (OTCQB: CIPI), closed Friday's trading session at $1.25, even for the day. The average volume for the last 3 months is 500 and the stock's 52-week low/high is $0.30/$3.25.

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• Correlate Infrastructure Partners Inc. (OTCQB: CIPI) - Correlate Infrastructure Partners Inc. (CIPI) Contributing to Growth of Capacity and Sufficiency of America's Renewable Energy, One Project at a Time
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Advanced Container Technologies Inc. (OTC: ACTX)

The QualityStocks Daily Newsletter would like to spotlight Advanced Container Technologies Inc. (OTC: ACTX).

More than eight months after the Canadian government was supposed to begin a review of Canada’s 2018 adult-use legalization law, authorities have yet to begin the process. Additionally, Health Canada, the department in charge of the country’s national health policy, still hasn’t provided a timeline for reviewing the recreational cannabis law. This delay has hindered the development of much-needed legislative reforms for the recreational cannabis industry, one industry executive believes. According to Aurora Cannabis senior vice president of global government relations Rick Savone, the legislative review needs to cover a lot before the industry can get the regulations it desperately needs. The delays in Canada show that it isn’t only American-based companies such as Advanced Container Technologies Inc. (OTC: ACTX), which are being held back by the lack of progress in bringing national policies in line with the available science and the wishes of the people.

Advanced Container Technologies Inc. (OTC: ACTX) is in the business of selling and distributing self-contained, automated, indoor “micro-farms” called Grow Pods, along with related equipment and supplies. Additionally, the company designs and sells patented proprietary medical-grade plastic containers, known as the Medtainer®, that store and grind pharmaceuticals, herbs, teas and other solids or liquids.

ACTX is the leading distributor of Grow Pods. With a controlled environment, food and herbs can be grown without pesticides, harmful chemicals or risk of pathogen contamination, and with low energy consumption. Restaurants, grocery stores, non-profits, MSOs and entrepreneurs can use Grow Pods to ensure a fresh supply of ultra-clean produce year-round.

The company entered the Grow Pod business in October 2020 with its acquisition of all shares of Advanced Container Technologies Inc., a California corporation. As of February 28, 2022, ACTX is exploring the acquisition of the assets and the assumption of some or all of the liabilities of GP Solutions Inc., the developer and manufacturer of Grow Pods, for which ACTX is currently the sole U.S. distributor.

Because Grow Pods can be located almost anywhere, produce can be grown closer to the point of consumption and harvested at its peak, providing nutritious fruits and vegetables where needed. Indoor micro-farms, utilizing a practice known as vertical farming, have attracted the attention of governments and universities, which are now promoting vertical farming as a way to combat food insecurity and inequities.

The United States Department of Agriculture (USDA) has stated that vertical farming “is no longer a futuristic concept.” The department is enthusiastic about vertical farming, particularly those utilizing repurposed shipping containers, such as Grow Pods. Arizona State University reports that vertical farming reduces water use by 90 percent compared to conventional farming but produces 10 times the crop yield.

Products

Grow Pods

One of the company’s main business units is focused on selling advanced, self-contained hydroponic containers called Grow Pods. These unique and innovative automated systems are essentially micro-farms that can be placed virtually anywhere and, with their controlled and specially filtered environment, allow cultivation of a wide variety of crops, 365 days a year. The Grow Pod controlled environment offers major advantages for the production of high-value crops. The ability to grow year-round and the ability to cultivate in a smaller footprint using less water and power are some of the primary advantages of the system. Grow Pods offer constant temperature, humidity and airflow control, as well as automated watering and lighting schedules for optimal growth and minimal labor requirements, regardless of crop.

Containers

ACTX meets the needs of the pharmaceutical and medical markets, including the cannabis and hemp industries, with patented packaging systems. The company designs, customizes, brands and sells proprietary medical grade plastic containers that can store pharmaceuticals, herbs, teas and other solids or liquids, with a special built-in feature that can grind solids and shred herbs. The company’s flagship container product is the patented Medtainer®, a child resistant, medical-grade herb container and grinder that is water-tight, air-tight and smell proof. Packaging in the cannabis industry is critical, with numerous stringent regulations about how cannabis products must be packaged and labeled. ACTX also offers custom-branded, compliant vacuum seal bags and other retail container solutions.

Equipment and Supplies

ACTX markets and sells two principal products: Grow Pods, which are specially modified insulated shipping containers manufactured by GP Solutions Inc., in which plants, herbs and spices may be grown hydroponically in a controlled environment, and Medtainers®, which may be used to store pharmaceuticals, herbs, teas and other solids or liquids and can grind solids and shred herbs. The company also markets and sells various products related to Grow Pods and the Medtainer®, as well as providing private labeling and branding services for purchasers of Medtainers® and certain related products.

GP Solutions manufactures and sells other products, such as humidity controllers and LED lighting systems for vertical farming. The company’s specially designed lighting panels are programmed to emit the exact wavelength of light that each crop requires. The system has a daybreak-to-nightfall feature that gives plants the proper chromatic signals to grow rapidly and fruitfully. High efficiency LED light strips supply the crops with a red and blue light spectrum required for photosynthesis in the spectrum that plants need most.

Market Overview

The global vertical farming market is expected to reach $33.02 billion by 2030, according to a new report by Grand View Research. The market is forecast to expand at a CAGR of 25.5 percent from 2022 to 2030, according to Grand View. Escalating production of biopharmaceutical products, including cannabis, is anticipated to drive the market. The building-based segment of the market is expected to register a significant CAGR of 27.8 percent over the projected period. In addition, the climate control segment is expected to see high growth.

The global cannabis packaging market is expected to reach $14.34 billion by 2028, according to analysis by Reports and Data. The analysis forecasts 1,700 percent growth in cannabis users by the end of 2026, with packaging likely observing a whopping 26.42 percent growth in the forecast period. There are significant barriers to entry in the cannabis packaging market, giving an advantage to companies already established in the sector. These barriers include developing a thorough knowledge of the myriad regulations that govern cannabis packaging (which differ in each state), and child-resistance requirements.

Management Team

Douglas P. Heldoorn is the Founder and Chairman of Advanced Container Technologies Inc. He also holds the positions of President, CEO and COO at the company. Mr. Heldoorn has served on the Board of Directors since its inception in 2013. He has also previously held the position of Executive General Manager at Nissan Motor Corp.

Jeffory A. Carlson is CFO and Treasurer of ACTX. Mr. Carlson has also served as the company’s Corporate Controller since 2014.

Advanced Container Technologies Inc. (OTC: ACTX), closed Friday's trading session at $0.65, even for the day, on 58 volume. The average volume for the last 3 months is 27 and the stock's 52-week low/high is $0.54/$2.61.

Recent News

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Golden Matrix Group Inc. (NASDAQ: GMGI)

The QualityStocks Daily Newsletter would like to spotlight Golden Matrix Group Inc. (NASDAQ: GMGI).

Golden Matrix (NASDAQ: GMGI), a developer and licensor of online gaming platforms, systems and gaming content, continues to grow every quarter, returning value to shareholders. “While many companies languished through the COVID-19 pandemic, GMGI maintained its string of profitability, which has now been extended to 15 straight quarters. From beginning of this fiscal year, the company began realizing the benefits of the RKings acquisition, which further bolstered the top and bottom lines. Revenue for the quarter ended April 30, 2022, was $8.48 million, up 221% from $2.64 million in the year prior quarter. Net income was $586,984, a gain of 359% from $127,986 in the same period a year earlier. Shareholder’s equity of GMGI rose 37% year-over-year to $26 million from $18.93 million. The company has no debt and finished the quarter with cash and cash equivalents of $15.81 million,” a recent article reads. GMGI CEO Brian Goodman commented, “We’re rolling out some new operators every week… what we’ve told the market already is that the core business will continue to grow, but we will also acquire some accretive profitable businesses in a similar line to what we do.” To view the full article, visit https://ibn.fm/059pb

Golden Matrix Group Inc. (NASDAQ: GMGI), based in Las Vegas, Nevada, is an established gaming technology company that develops and owns online gaming IP and builds turnkey online casino solutions for gaming operators as well as configurable and scalable white-label gaming platforms for international customers, located primarily in the Asia-Pacific region. GMGI’s gaming IP includes tools for marketing, acquisition, retention and monetization of users. The company’s platform can be accessed through both desktop and mobile applications.

GMGI’s sophisticated software automatically declines any gaming or redemption requests from within the United States, in strict compliance with U.S. law.

Golden Matrix, through a subsidiary, also runs a pay-to-enter prize competition in the United Kingdom and Ireland.

The company’s shares began trading on the Nasdaq under the symbol ‘GMGI’ on March 17, 2022. Golden Matrix shares were previously traded on the OTCQX Best Market.

For the quarter ended January 31, 2022, the company reported revenue of $8.88 million, an increase of 355% over the same quarter one year earlier. Net income for the three-month period was $349,379, up from $52,158 a year earlier. It was the company’s 14th consecutive profitable quarter.

In December 2021, Golden Matrix announced it had entered into a purchase agreement to acquire a controlling ownership interest in UK-based RKingsCompetitions Ltd., one of Ireland’s and the United Kingdom’s leading independent online competition companies. RKings presents customers with paid and free entry routes to competitions that offer a range of prizes, including residential properties, luxury and exotic motor vehicles, holiday packages, technology packages and cash. The competitions are currently open only to residents of Ireland and the United Kingdom. Golden Matrix acquired an 80% ownership interest in RKings for cash and stock. The company also secured an option to purchase the remaining 20 percent interest of RKings, subject to certain requirements.

In March 2022, Golden Matrix announced it had applied for a Mexican gaming permit and, once approved, expects to offer online gaming in Mexico as well as roll out the RKings tournament business globally.

Technology

Golden Matrix Group develops fully operational online casino turnkey solutions as well as highly modular, configurable and scalable gaming platforms for its international customers in an effort to promote user acquisition, engagement, retention and monetization. The provided white label gaming platform is unparalleled in both mobile and desktop website deployment, proving compatible throughout all major operating systems and web browsers. In addition, the platform enhances the client’s ability to cater to various gaming scenarios including but not limited to transaction management and a range of loyalty and reward programs. Moreover, user engagement is optimized through the ability to accommodate both free and paid games.

The company’s GM-X System (and recently its next generation GM-Ag System) is considered the industry standard, granting access to over 10,000 games from more than 25 game providers. Through the GM-X System, Golden Matrix offers the industry’s most extensive game portfolio. The company’s gaming partners dominate the global online gaming market to deliver innovative games and premium brand titles. The GM-X System offers payment gateways that integrate with third party platforms or digital wallets. It supports all major currencies and offers multiple language options. The system’s data analytics provide the operator with a 360-degree view of the gaming platform’s performance.

GMGI currently supports over 500 unique casino brands and over 6 million players.

Market Outlook

Online gaming and sports betting sites and apps are increasingly taking market share from traditional location-based casinos. Widespread internet service availability and increasing use of mobile phones for playing online games from homes and public places is driving the market, according to a report from Grand View Research. In addition, factors such as easy access to online gambling, legalization and cultural approval, corporate sponsorships, and celebrity endorsements are also contributing to market growth. The growing availability of cost-effective mobile applications across the globe is further expected to fuel market growth.

This trend is only expected to accelerate as millennials reach their peak earning years and Gen Z youth begin to complete their education and move into careers. These generations are completely comfortable with online recreation, and with using technology like digital wallets and digital gameplay that underpins online gaming.

The global online gambling market was valued at $53.7 billion in 2019 and is expected to grow at a CAGR of 11.5% from 2020 to 2027 to reach a value of $127.3 billion, according to Grand View Research, with much of the growth expected from the U.S. and Asia. Even Europe, the most mature gaming market, is expected to grow at a rate of 20-25% year-over-year.

Management Team

Brian Goodman is CEO of Golden Matrix Group. He has more than 20 years of diverse senior management experience and business development roles within the technology and internet gaming industries. He has a tertiary science qualification as well as a marketing and sales background. His previous roles have been entrepreneurial and include CEO and senior management positions in smaller organizations, which he founded or in which he held equity, as well as multinational organizations.

Cathy Feng is COO at Golden Matrix. She is a co-founder of GMGI and holds a Master of Commerce degree. She has 10 years of experience as a financial officer in the technology and internet gaming industries. In past management positions, she interpreted, analyzed and presented financial and operation information to facilitate business decisions, grow companies and resolve complex problems. In addition, she has skills in marketing, business development, leadership and strategic planning.

Omar Jimenez is CFO and Chief Compliance Officer at GMGI. Prior to joining the company, he was CFO and COO of Alfadan Inc., a supplier of marine outboard engines. He has held senior financial management and operational positions at public and private companies including NextPlay Technologies, American Leisure Holdings, US Installation Group and Onyx Group. He holds various accounting professional certifications, including CPA and CPCU, and degrees in finance, accounting and business.

Henry Zhang is Chief Technology Officer at Golden Matrix. He oversees all aspects of development, integration and deployment of GMGI’s technology systems. He plays a key role in evolving GMGI’s technology business to lead and shape the industry. He is responsible for developing and scaling new businesses, including online gaming, eSport and P2P Systems. He was instrumental in launching the GM-X system and has been with the company for more than six years.

Golden Matrix Group Inc. (NASDAQ: GMGI), closed Friday's trading session at $3.97, off by 0.125786%, on 19,717 volume. The average volume for the last 3 months is 19,717 and the stock's 52-week low/high is $3.29/$10.72.

Recent News

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Cepton Inc. (NASDAQ: CPTN)

The QualityStocks Daily Newsletter would like to spotlight Cepton Inc. (NASDAQ: CPTN).

Cepton (NASDAQ: CPTN) is an innovator and leader specializing in high-performance Micro Motion Technology (“MMT(R)”) lidar solutions that enable reliable, scalable, long-range, high-resolution 3D perception for smart applications. The company was recently added to the Russell 3000(R) Index, effective June 27, 2022, following its rapid growth over the last year. According to co-founder and CEO Dr. Jun Pei, the inclusion in the Russell 3000(R) Index enables the company to “expand awareness of our story among the investment community as we continue to execute against our milestones generating long-term stakeholder value.” Meanwhile, the company plans to utilize its new corporate office in Metro Detroit (Troy, Michigan) to widen its growing engagements and initiatives with automotive original equipment manufacturers (“OEMs”). A recent article quotes Dr. Jun Pei saying, “I’m incredibly proud that our Silicon Valley Company, Cepton, has earned Detroit’s trust. As we continue to expand our engagements with all of the top ten global OEMs, locating our experienced team in Detroit will serve us well. Our expanded footprint will help us reach our goal of making lidar a standard safety feature in the cars of today and the key component in the autonomous vehicles of the future.” To view the full article, visit https://ibn.fm/AWzGC

Cepton Inc. (NASDAQ: CPTN) is a provider of state-of-the-art, intelligent, lidar-based solutions serving a range of markets, including automotive (ADAS/AV), smart cities, smart spaces and smart industrial applications. General Motors (NYSE:GM) has granted a series production award for Cepton’s lidar, the biggest such award to date in the automotive space. Cepton’s is the lidar component of GM’s Ultra Cruise autonomous driving platform. By leveraging its patented Micro Motion Technology (MMT®) lidar platform, the company develops reliable, scalable and cost-effective solutions that deliver long-range, high-resolution 3D perception for smart applications.

Cepton was established in 2016 by co-founders Dr. Jun Pei and Dr. Mark McCord. The company is headquartered in San Jose, California, and serves a fast-growing customer base through an international presence spanning North America, Germany, Japan, India and China.

Micro Motion Technology (MMT®)

Cepton was built from the ground up to meet key lidar industry challenges for mass market adoption. This company’s portfolio of proprietary technology is uniquely aimed at facilitating this industry growth through a combination of performance, reliability, affordability and design integration.

Key among its innovations is MMT®, a mirrorless, frictionless, rotation-free 3D imaging platform designed specifically for lidars. Its benefits for OEMs and system integrators include:

• Reliability – The durable design uses common, easily attainable materials.
• Versatility – The platform is capable of achieving near- to ultra-long range with a wide field of view.
• Efficiency – MMT® features a compact form factor, low power usage and inexpensive components.
• Scalability – Its simple design means that scale-up to high manufacturing volumes is easily attainable.

Because of their compact form factor, Cepton lidars are embeddable and ideally suited for advanced driver-assistance system (ADAS) integration, whether behind windshield, in headlamp or in fascia.

Agreement with KOITO

KOITO Manufacturing Co. Ltd., the world’s premier Tier 1 auto lighting supplier, originally started an evaluation of Cepton’s MMT® based lidars in 2018. In 2020, KOITO made an investment in Cepton aimed at accelerating the company’s development and enabling KOITO’s industrialization of high-performance and high reliability lidar sensors for ADAS and autonomous vehicle (AV) applications.

Through this collaboration, Cepton was able to secure the largest ADAS lidar series production award[1] with General Motors as a sole source in the automotive space. The award covers GM vehicles for the initial period of 2023-2027.

On August 5, 2021, the two companies deepened their relationship when KOITO committed to invest a further $50 million in Cepton’s business through its participation in a Private Investment in Public Equity (PIPE) offering of shares of common stock of Growth Capital Acquisition Corp. in connection with Cepton’s recent merger.

Collaboration with GM

On July 13, 2021, Cepton announced that it had secured an ADAS lidar series production award from a leading, Detroit-based global automotive OEM – the biggest lidar production award by any OEM to any lidar company. It was later clarified that the OEM was General Motors, and Cepton’s lidar is part of GM’s ADAS Ultra Cruise system.

GM is “expected to deploy Cepton lidars in its next generation of advanced driver assistance systems (ADAS) across multiple vehicle classes and models – not just luxury cars.” As such, the agreement marks the potential for “an industry-first, mass-market adoption of lidar technology for automotive ADAS, with an anticipated deployment in consumer vehicles starting in 2023.”

On July 28, 2021, Ford Motor Company (NYSE: F) distributed an article on Medium noting, “Ford has been engaged with Cepton almost since their inception in 2016, both for R&D collaboration and small-scale deployments. Cepton LiDAR are deployed in some of [Ford’s] smart city projects. Based on Ford’s guidance, Cepton delivered a custom version of their LiDAR to enable R&D on advanced ADAS features.”

Market Outlook

Driven by increasing development and adoption in automobile safety applications, environmental mapping and 3D-modeling, the global lidar market is forecast to experience considerable growth over the coming years. A research report published by MarketsAndMarkets suggests that the sector will grow to an estimated $3.4 billion by 2026, achieving a CAGR of 21.6% over the next five years.

The report further highlights increasing investments in lidar startups by automotive giants as a driver of growth opportunities in the sector, particularly in North America.

In 2020, ground-based lidar accounted for the lion’s share of the overall lidar market, and this trend is expected to continue as the automotive sector continues to rapidly advance adoption across the full spectrum of vehicle classes. One factor not to be underestimated is the high barrier of entry and the exceptionally long time required for automotive OEMs to vet and award a production win to a lidar company. It is a commonly held view that the over 50 lidar companies will inevitably coalesce into a handful serving all OEMs.

Cepton, having a head start through its established partnership with leading global OEM GM, is uniquely positioned to capitalize on this market growth in the years to come.

Management Team

Cepton’s founder-led team is made up of lidar industry pioneers with decades of collective experience across advanced lidar and imaging technologies.

Jun Pei, Ph.D., is the company’s CEO and Co-Founder. He is a technology specialist with a focus in optics and electronics. Prior to founding Cepton, Dr. Pei founded AEP Technology, a firm focused on developing advanced 3D optical instruments. He received his Ph.D. in electrical engineering from Stanford University.

Mark McCord, Ph.D., is Cepton’s CTO and Co-Founder. Prior to founding Cepton, he led advanced development at KLA-Tencor. Dr. McCord also formerly served as an associate professor at Stanford University, where he earned his Ph.D. in electrical engineering.

Winston Fu, Ph.D., is the company’s CFO. Dr. Fu is the founder of Silicon Valley venture capital firm LDV Partners. Prior to joining Cepton, he served as CFO and Chairman of Active-Semi before its acquisition. Dr. Fu has also helped to build many technology companies as an entrepreneur and/or board member. He received his Ph.D. in applied physics from Stanford University, as well as an MBA from the Kellogg School of Management at Northwestern University.

[1] Largest known ADAS lidar series production award based on number of vehicle models awarded

Cepton Inc. (NASDAQ: CPTN), closed Friday's trading session at $1.41, off by 7.8431%, on 350,042 volume. The average volume for the last 3 months is 348,980 and the stock's 52-week low/high is $1.01/$80.16.

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FingerMotion Inc. (NASDAQ: FNGR)

The QualityStocks Daily Newsletter would like to spotlight FingerMotion Inc. (NASDAQ: FNGR) .

FingerMotion (NASDAQ: FNGR), a mobile data and services company, has launched a line of new mobile device protection products in China; the products are provided by FingerMotion’s subsidiary, Shanghai TengLian Jiujiu Information and Communication Technology Co. Ltd. (TengLian). The company noted that the distribution of these protection products has already begun, with the first phase of rollout happening in Hunan Province, which has a mobile subscriber base of 90 million; the company is planning phased rollouts in the months that will ultimately reach 1.2 billion subscribers. The products are available as embedded, value-added features on devices offered through Chinese carriers. FingerMotion is redefining the mobile protection sector in Chine by providing next-generation innovative products that protect vital components and device trade-in programs. The products are bundled with the subscription plans and offer at least three levels of protection, including accidental damage for screens, mechanical breakdown and trade-in solutions. TengLian is a digital technology service company that provides long-term e-commerce portal service management to the mobile operators in China. “This latest cooperation agreement with one of the world’s leading mobile device protection companies demonstrates our ability to facilitate innovation by leveraging globally successful business models and customizing them for the unique needs of the Chinese market,” said FingerMotion CEO Martin Shen in the press release. “The telcos are estimating robust demand for new smartphones as customers transition to 5G. It is expected that the device protection programs will be transformative to the company in terms of revenues and profitability, possibly eclipsing the success of our existing core business segments. We should also reiterate that, in the current political landscape, the device protection insurance business which relies on new mobile phone sales, is not a subject of Chinese regulatory scrutiny.” To view the full press release, visit https://ibn.fm/Dqe83

FingerMotion Inc. (NASDAQ: FNGR) is an evolving technological company with core competencies in mobile payment and recharge platform solutions in China. FingerMotion is in the process of developing additional value-added technologies to market to users.

Founded in 2016, FingerMotion’s goal is to serve over a billion users in the Chinese market and expand its model to other regional markets. The company has offices in Hong Kong, Shanghai and New York City.

Current Offerings

FingerMotion is analyzing and transforming mobile data to improve the lifestyle of the public through technology and innovation. The company’s current offerings include:

• Telecommunications Products and Services – FingerMotion’s proprietary universal exchange platform, ‘PigeonHole Integration System (PIS)’, offers seamless integration between telecom operators and online stores. The service platform’s offerings include top up and recharge, data plan, mobile phone, loyalty points redemption and subscription plans. The platform offers reliable and secure transactions, real-time reconciliation, simple integration for partners and efficient settlements.
• SMS and MMS Services – The integrated platform is registered as FingerMotion’s IP in China and provides a robust back-end control panel for corporate partners to manage their own messaging settings. FingerMotion’s clients range from insurance to financial industries, ecommerce firms, airlines and more. The platform offers competitive pricing for partners and provides quick and efficient review to meet timely marketing initiatives.
• Big Data Insights – FingerMotion brings Big Data-enabled insurance solutions through its Big Data Insights arm, Sapientus. The company’s strategic partnerships with the largest Chinese telecommunications giants allow access to uncover behavior insights through geolocation and mobile data usage. Its Big Data offerings include risk scoring, precise marketing, simplified underwriting and customized products.
• Rich Communication Services (RCS) – FingerMotion’s RCS platform will be a proprietary business messaging solution that enables businesses and brands to communicate their services to customers via 5G infrastructure. The company expects its RCS platform to offer a better user experience, more efficiency and cost-effectiveness when compared to other solutions.

Telecommunications and Insurtech Markets

The global telecommunications market was valued at $1.74 trillion in 2019 and is expected to grow at a CAGR of 5% from 2020 to 2027. The steady increase is expected to be driven by the adoption of 5G and the increased popularity of Internet of Things (IoT) applications.

The Chinese telecom market was valued at $254.1 billion in 2017 and is also constantly expanding. The current Chinese telecom market is dominated by three mobile operators – China Mobile, China Unicom and China Telecom, which together are responsible for around 1.6 billion active subscribers (https://ibn.fm/zfwy9).

In addition, the insurtech (insurance technology) market was valued at $2.72 billion globally in 2020 and is expected to grow at a CAGR of 48.8% from 2021 to 2028. The large increase is attributed to the rising use of technology solutions for everyday activities like acquiring insurance coverage (https://ibn.fm/TGo7D).

Through its proprietary platforms and technologies, FingerMotion is uniquely positioned to capitalize on the telecom and insurtech markets’ growth and opportunities.

Management Team

Martin J. Shen is the Chief Executive Officer of FingerMotion Inc. He has over 15 years of experience in senior management roles within entrepreneurial startups and large multinational corporations. He has acquired a wide range of corporate management, financial oversight and operation administration expertise through these roles. In his most recent role, he founded Imperial Distributors (formerly known as AP Martin Pharmaceutical Supplies Ltd.), establishing the company as the preferred choice for distributional support to regional pharmacies throughout Western Canada. Before founding Imperial, Mr. Shen served as the Chief Operating Officer and Chief Financial Officer at Wales and Son Industrial (formerly Weir Minerals), a firm specializing in global delivery and support for mining slurry equipment. He began his career at PricewaterhouseCoopers in Vancouver, with work tours in the tax department in Singapore and the tax audit and advisory group in Hong Kong. Mr. Shen is a U.S. Certified Public Accountant and holds a Bachelor of Science from the University of British Columbia.

Lee Yew Hon is the company’s Chief Financial Officer. From 2006 until November 2020, he was the Chief Financial Officer of Cubinet Interactive Group of Companies, and he also took on the Chief Operating Officer role in 2011. During his tenure, he was instrumental in leading Cubinet and building teams across the Southeast Asia region, setting up financial processes within a short time. Mr. Lee spearheaded the growth of Cubinet to other regions, including Europe, the Middle East and Russia. He received his diploma from Tunku Abdul Rahman College in 1996. He is a Chartered Accountant, a member of the Malaysia Institute of Accountants (MIA) and an Associate Member of the Chartered Institute of Management Accountants, UK (ACMA).

Li Li is the Senior Vice President of FingerMotion. She recently served as Advisor to Shenzhen WuYiKa Technology Co. Ltd., a comprehensive service platform dedicated to online service distribution and payment. The company has become a fast and efficient provider of new media marketing solutions for the mobile internet. She has held high-level management positions with multiple industry names, including Hangzhou JiuYue Information Technology Co. Ltd. and Hangzhou LingXuan Information Technology. Ms. Li started her career in 2004, founding Shanghai ChuangYeZZ Network Technology Co. Ltd. and serving as its Vice President. With the close cooperation of local operators, the company launched SMS, MMS, WAP, mobile JAVA games, Hunan Satellite TV e-magazine and other wireless internet services to meet the rapid development of wireless internet and application requirements. She received her degree from Nanjing Academy of Engineering.

FingerMotion Inc. (FNGR), closed Friday's trading session at $1.37, off by 2.8369%, on 57,095 volume. The average volume for the last 3 months is 57,095 and the stock's 52-week low/high is $1.17/$9.25.

Recent News

• FingerMotion Inc. (NASDAQ: FNGR) - InvestorNewsBreaks - FingerMotion Inc. (NASDAQ: FNGR) Unveils Mobile Device Protection Product in China
• FingerMotion Inc. (NASDAQ: FNGR) Optimizing its Product Mix and Exploring New Opportunities in Huge and Growing Chinese Market
• ChineseNewsBreaks - FingerMotion Inc. (NASDAQ: FNGR) Developing 'Must-Have Application for Consumers and Businesses'