Flora Growth Corp. (NASDAQ: FLGC)

The QualityStocks Daily Newsletter would like to spotlight Flora Growth Corp. (NASDAQ: FLGC).

Rep. Ed Perlmutter, who sponsored the Secure and Fair Enforcement (“SAFE”) Banking Act, revealed last week that he’d been having discussions with Senate leadership about altering his bill to place more focus on equity issues. Perlmutter said this shortly before the House passed the SAFE Banking Act for the sixth time. The act was attached to the America COMPETES Act, a large-scale manufacturing and innovation legislation. During the press briefing, the congressman stated that he’d initiated discussions with Sen. Cory Booker’s and Sen. Chuck Schumer’s offices, in addition to having discussions with House Speaker Nancy Pelosi. Many legislators, in particular Republicans, are puzzled at why Democrats haven’t succeeded in passing this modest banking legislation, despite having control of the White House and being the majority in both chambers. The entire cannabis industry, including companies such as Flora Growth Corp (NASDAQ: FLGC), looks forward to the passing of legislation, which will end the federal prohibition of marijuana or at least allow the industry to access banking services like any other sector of the economy.

Flora Growth Corp. (NASDAQ: FLGC) is an internationally focused cannabis brand builder that leverages natural, cost-effective cultivation practices to supply cannabis derivatives to its diverse business divisions, including cosmetics, hemp textiles, and food and beverage. Flora Growth operates one of the largest outdoor cultivation facilities in the world with an aim of marketing a higher-quality premium product at below-market prices. By prioritizing natural ingredients and value-chain sustainability across its portfolio, the company creates premium products that help consumers restore and thrive.

Flora Growth completed the first traditional cannabis IPO on Nasdaq in May 2021. Although currently headquartered in Toronto, Ontario, with plans to relocate its head office to Miami, Florida, the company’s base of operations is in Colombia, where it has built an extensive distribution network that includes Colombia’s largest distributors.

Currently, Flora Growth is organically growing market share for its existing brand portfolio (pharmaceuticals, textiles, cosmetics, and food & beverage) while seeking revenue-generating acquisitions that offer an accretive distribution network to amplify revenue growth.

Existing Brand & Product Portfolio

Flora Growth’s portfolio spans a number of verticals – each with a thoughtful brand designed to resonate with its intended end consumer. In line with the company’s mission, each brand prioritizes natural ingredients and value-chain sustainability.

Flora Lab S.A.S

Flora Lab is the company’s GMP certified manufacturing and R&D center focused on producing pharmaceuticals, cosmetics, and nutraceuticals for domestic and international markets. Its offerings include product lines that are private label, white-label, and custom formulas.

Through Flora Lab, Flora Growth has relationships with 1,500+ distribution channels, manufactures 63+ OTC products registered with INVIMA (Colombia National Food and Drug Surveillance Institute), and holds multiple GMP certifications enabling international export in an effort to leverage Flora Lab’s capacity to produce a wide range of CBD-infused products.

Flora Beauty

Flora Beauty is the company’s CBD beauty and cosmetics division founded by fashion and beauty industry icon Paulina Vega. Its current offerings include two CBD skincare brands targeting the U.S. and Latin American markets – MIND NATURALS and AWE. These lines exemplify Flora Growth’s socially conscious approach to business.

Currently, Flora Beauty products are offered globally through e-commerce, as well as through Falabella’s 111 retail locations across Latin America. The company is in negotiations with major department stores to launch the line in the U.S. and is also exploring opportunities in the U.K. and other European markets.

KASA Wholefoods

KASA Wholefoods is a Colombian manufacturer of food and beverages leveraging responsibly sourced exotic fruits from the Amazon. KASA has a $10 million+ distribution agreement with Tropi, Colombia’s largest food distributor, which has 130,000+ distribution points across the country.

Mambe, KASA’s leading brand, is already offered through over 980 distribution points across Colombia. Flora Growth expects this network to grow to over 1,200 distribution points in 2021, including one of Colombia’s largest coffee chains, Tostao Café & Pan.

Hemp Textiles & Co.

Through its Hemp Textiles division, Flora Growth intends to utilize its large land package and cultivation infrastructure to capture market share in the rapidly growing hemp industrials segment.

The company’s first brand through this division, Stardog Loungewear, offers a line of comfortable loungewear made from natural, organic materials. Stardog has been distributing globally through e-commerce and brick and mortar channels in Bogota since fall 2020, and the company intends to open U.S. brick and mortar locations in 2021.

Accretive M&A

Flora Growth is targeting transactions to complete the supply chain via key infrastructure to enhance its global distribution with the aim to compete on low-cost, high-quality inputs paired with premium brands that create business lines with robust margins.

To date, Flora has announced two major transactions.

Koch & Gsell (Acquisition)

• Amplify CPG portfolio’s revenue growth through leading brand, Heimat, currently with TTM revenues of $7.6 million.
• Leverage Koch &Gsell’s distribution network of 2,500+ stores to introduce Flora to the Swiss, European and Asian markets.
• Bring patented hemp cigarette manufacturing technology into new markets utilizing Flora’s high-quality cannabis.

Hoshi International (Investment)

• Equity Investment of €2 million into Hoshi to establish Flora as a preferred supplier to two EU processing facilities.
• Opens gateway for Flora Growth’s cannabis through international distribution agreements in the EU and U.K.
• Hoshi’s experienced team and increased access to the EU cannabis market to serve as a catalyst for revenue growth.

Cultivation

Key to Flora Growth’s expansion efforts is its cultivation strategy. The company’s Cosechemos farm, located in Bucaramanga, Colombia, is currently licensed to cultivate 247 acres of cannabis. Through three successful pilot crop plantings, the location has demonstrated a production cost of just $0.06/gram. For comparison, the average cost of North American cannabis (based on 2019 figures from Aphria, Tilray, Sundial, and Aurora) equates to roughly $1.89/gram.
Flora Growth is uniquely positioned to capitalize on Colombia’s favorable growing conditions, low-cost infrastructure, and affordable local workforce as it looks to ramp up its cultivation efforts moving forward.

Leadership Team

Bernard Wilson is the Chairman of Flora Growth. A senior financial professional, Dr. Wilson is the former Vice-Chairman of PricewaterhouseCoopers LLP and is the Chairman of the Founders Board of the Institute of Corporate Directors. He has also served as Chairman of the Canadian Chamber of Commerce; Chairman of the International Chamber of Commerce – Canada; and Member of the Canada/U.S. Trade Committee. Dr. Wilson draws on this experience to ensure Flora Growth adheres to effective corporate governance practices.

Luis Merchan is the company’s President and CEO. He is a proven executive with over a decade of experience in enterprise sales management, corporate strategy, merchandising and expense management, and customer experience. Mr. Merchan previously served as Macy’s Inc.’s Vice President of Workforce Strategy and Operations, where he managed the enterprise’s multi-billion-dollar P&L expense line for the entire 540 store portfolio. Throughout his tenure at Macy’s, he led various sales and marketing initiatives, including the B2B corporate sales team that was responsible for $160 million in annual revenue. Mr. Merchan obtained his Bachelor of Industrial Engineering from Pontifical Xaverian University in Bogota, Colombia, and his MBA from McNeese State University. He also holds a Graduate Certificate in Marketing Management from Harvard.

Juan Manuel Galan is a Strategic Advisor to the Flora Growth management team. Mr. Galan currently serves as a senior consultant to The World Bank. He is a politician and former senator of Colombia, serving three terms from 2006 to 2018 as a member of the Colombian Liberal Party. He is also a former professor at the University of Rosario and holds more than 20 years of journalistic, academic, governmental and parliamentary experience. During his time as a senator, Mr. Galan was a key leader, with 29 bills and 27 debates on political control, and 17 laws to his name. The most relevant of those laws was authoring the medical cannabis law that resulted in the legalization of medical cannabis in Colombia.

Stan Bharti is a Director of Flora Growth. Mr. Bharti currently serves as Executive Chairman of Forbes & Manhattan. He has more than 30 years of professional experience in business, finance, markets, operations and more, with a focus on the resource and technology sectors. To date, Mr. Bharti has amassed over $3 billion worth of investment capital for the companies with which he has worked and their shareholders. He is a Professional Mining Engineer and holds a master’s degree in engineering from Moscow, Russia, and University of London, England.

Javier Franco is the company’s VP of Agriculture. Mr. Franco is a master horticulturist with more than 25 years of experience in the design, implementation, and management of cultivation and propagation facilities of more than 30 species of cut flowers in Latin America. He completed his agricultural studies at Zamorano University in Honduras and later at an International Exchange Program at Ohio State University. Mr. Franco has directed technical, commercial, and research groups in the cut flower, fruit and vegetable markets in Latin America and has participated in the commercial development of new technologies applied in agribusiness. He has also led the agri-management of organic crops and certifications of Good Agricultural Practices.

Flora Growth Corp. (FLGC), closed Thursday's trading session at $1.96, up 3.7037%, on 935,890 volume with 4,523 trades. The average volume for the last 3 months is 932,972 and the stock's 52-week low/high is $1.31/$21.45.

Recent News

• Flora Growth Corp. (NASDAQ: FLGC) - 420 with CNW - Cannabis Banking Bill Sponsor Talking with Senate Leadership About Equity Amendments
• 420 with CNW - Schumer Updates Advocates About Cannabis Banking and Federal Cannabis Legalization
• 420 with CNW - How Combining CBD with Adaptogens Achieves Better Results

Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF)

The QualityStocks Daily Newsletter would like to spotlight Red White & Bloom Brands Inc. (OTCQX: RWBYF).

Last week, Mississippi became the 37th U.S. state to legalize the use of medical marijuana. Gov. Tate Reeves signed the bill into law stating that it would provide medical marijuana to individuals who “could do significantly better” with prescribed doses. According to the National Conference of State Legislatures (“NCSL”), the state joins 36 states and territories including Puerto Rico, the District of Columbia, the Virgin Islands and Guam, where the use of medical marijuana is legal. The Republican governor mentioned through a statement that a recreational program would not only lead to an increase in users but also reduce performance and bring about societal ills. This new legislation will see patients diagnosed with AIDS, cancer, autism, Parkinson’s disease, Crohn’s disease and more become eligible to buy medical marijuana with a card. The card will be obtained from the state’s Department of Health after an in-person examination from a qualified health-care worker. The signing of this bill into law is likely to trigger a flurry of new economic activity, including the attraction of new and existing marijuana companies such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) that are working to meet the growing needs of patients in Mississippi.

Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) is a torchbearer blazing a new frontier in American cannabis by adhering to the highest ethical, manufacturing, educational, branding and employment standards available in the industry.

Red White & Bloom is a super state operator, leveraging a sizable footprint to dominate the areas in which it operates. CEO Brad Rogers and other management members have seen the struggles of multi-state operators who have spread themselves too thin, which is why Red White & Bloom is intent on dominating each state it enters before expanding further.

Although targeting individual states in the United States, the company is headquartered in Toronto, Canada. Red White & Bloom was established after privately held MichiCann Medical Inc. merged with publicly traded Tidal Royalty in 2019.

Brands

Red White & Bloom has entered strategic brand acquisitions and partnerships aimed at helping the company expand its presence and position as one of the largest players in the United States cannabis market. Red White & Bloom is always diligently searching for brands to acquire that will provide additional value to the company and expand its national footprint.

The company’s current brand portfolio includes:

• Platinum Premium Cannabis Products (PV): Platinum uses innovative thinking, honesty and responsibility to remain at the forefront of the cannabis industry. PV holds itself and its partners to the highest standards, providing clean and safe CBD and THC products. In the company’s press release dated January 13, 2021, it reported system-wide sales of Platinum-branded products exceeding $2.8 million for the first week of January alone.
• High Times®: In June 2020, the company acquired the licensing rights and branding of High Times dispensaries and High Times cannabis-based CBD and THC products in Michigan, Illinois and Florida. The company also acquired branding of High Times hemp derived CBD products nationally in the United States carrying the Culture® brand.
• Mid-American Growers: Mid-American began as a family operation in 1971 in Granville, Illinois. The original 8-acre greenhouse has expanded to a 3.6-million-square-foot, state-of-the-art technology and science facility under glass. Mid-American’s product offerings include its CBD Icy Relief Salve, CBD Icy Relief Roll-on and CBD Gummies.

Retail Focus

Red White & Bloom is working to establish a significant retail presence across multiple jurisdictions. In Michigan, the company is invested in and has the rights to acquire (subject to regulatory approvals) a licensed operator that controls the assets of 18 dispensary locations throughout the state. Red White & Bloom is also pursuing opportunities in Florida aimed at making its proposed retail footprint compelling and attractive to the majority of cannabis consumers within each state.

Cultivation

Red White & Bloom is focused on standardization and quality, with everything guided by a relentless commitment to the highest standards. The company acquired a 3.6-million-square-foot standardized facility dedicated to helping it achieve premium value for the products it intends to cultivate.

As it continues to expand, the company remains committed to the practices that have guided its success in the past, including:

• A top-down approach to cultivation developed under the guidance of PhDs with expertise in growing principles, SOPs and, most importantly, the science behind it all.
• Commitment to exceeding the requirement of the states in which it operates. The company cut its teeth under the world’s first national cannabis purity regime – a regime that most new markets use as a benchmark – so quality is in its DNA.
• Science-driven production methods supported by automated, perpetual, standardized operations that enable craft cannabis-like quality at an industrial scale.

Footprint

Assuming completion of the currently proposed investments and acquisitions, Red White & Bloom will be among the cannabis market’s largest companies, joining the ranks of a select few multi-state operators dominating the industry. Red White & Bloom currently has assets (closed and in closing stages) in Michigan, Illinois, Florida, California, Oklahoma and Massachusetts.

The company’s strategic acquisition and super state operator model, combined with its commitment to top-quality product and service, position it to become a leading player in the North American cannabis market.

When evaluated beside competitors in the cannabis space, Red White & Bloom boasts an extremely attractive valuation. While large cap cannabis firms serving North American markets averaged enterprise-value-to-EBITDA multiples of 14.9x as of December 2020, Red White & Bloom’s enterprise multiple was just 3.4x, as noted in the company’s latest investor deck.

In 2020, the cannabis market worldwide was valued at $24.6 billion. This amount is expected to expand at a CAGR of 14.3% from 2021 to 2028, resulting in a market size of $84 billion in 2028 (https://nnw.fm/f09ZL). Of the 2020 valuation, the largest revenue share (91.1%) was attributed to North American consumers (https://nnw.fm/vObW6).

Management Team

Brad Rogers is the CEO and Executive Chair of Red White & Bloom. He is a visionary for the future of cannabis and CBD products in the United States market, with a proven track record of building successful and profitable businesses in the rapidly expanding and new economic sector. Mr. Rogers was a part of the team that built one of the first commercially scaled production facilities in the world for medicinal cannabis. He also served as President for one of the leading licensed producers in Canada. Both of his ventures were successful, with a combined market cap of $2 billion.

Michael Marchese is the company’s Co-Founder and Marketing Advisor. He has played a crucial role in its development and organization, overseeing capital raises, acquisition strategy and brand identity. Mr. Marchese has a strong reputation and presence in the cannabis industry. He also co-founded and directed the branding of Aleafia Health Inc., which he continues to counsel. Through his branded company, Marchese Design, he has served as a highly trusted counselor to top-level execs, including C-Suite level employees, offering insights into the process of creating, building and maintaining brand identities.

Theo van der Linde is the CFO and Director of Red White & Bloom. He is a Chartered Accountant with 20 years of experience in finance, administration and public accounting. The experience he has acquired spans multiple industries, including mining, oil & gas, financial services, retail and manufacturing. For the last nine years, he has primarily focused his career on the mining industry, working with junior exploration and producing mining companies at various stages of growth in several jurisdictions. Mr. van der Linde is also the current President of Executive Management Solutions Ltd.

Red White & Bloom Brands Inc. (RWBYF), closed Thursday's trading session at $0.42365, up 0.201041%, on 104,062 volume with 79 trades. The average volume for the last 3 months is 104,062 and the stock's 52-week low/high is $0.289/$1.65.

Recent News

• Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) - 420 with CNW - Mississippi Governor Signs Medical Cannabis Bill into Law
• InvestorNewsBreaks - Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) Reaches 'Major Milestone,' Closes on Acquisition
• 420 with CNW - USDA Partners with Cornell University to Conduct Hemp Webinars

Mydecine Innovations Group Inc. (NEO: MYCO) (OTC: MYCOF)

The QualityStocks Daily Newsletter would like to spotlight Mydecine Innovations Group Inc. (MYCOF).

Activists in the state of Michigan have filed a ballot measure that will legalize the possession, cultivation and sharing of psychedelic substances as well as establish a system for the spiritual and therapeutic use of psychedelics, if approved. The Students for Sensible Drug Policy, a youth-led organization, and the Michigan Chapter of Decriminalize Nature worked together on this effort. The state’s ballot initiative would legalize various entheogenic substances, including DMT, peyote, mescaline, ibogaine, psilocin and psilocybin, for individuals aged 18 and above. During a recent interview, codirector of Decriminalize Nature Michigan Myc Williams stated that the two groups were excited to have filed the initiative and looked forward to receiving approval from the State Board of Canvassers. The measure would permit the therapeutic, guidance, supervision, counseling, spiritual, harm reduction and related supportive services with or without remuneration. This wave of psychedelic policy reform is likely to have a beneficial effect upon the valuations of sector companies such as Mydecine Innovations Group Inc. (NEO: MYCO) (OTC: MYCOF), especially when they come up with breakthrough remedies that treat conditions that have been hard to treat using existing medicines.

Mydecine Innovations Group Inc. (NEO: MYCO) (NASDAQ: MYCOF) is a biotechnology and digital technology company aiming to transform the treatment of mental health disorders and addiction. Founded in 2020 on the guiding principle that there is a significant unmet need and lack of innovations in the mental health and therapeutic treatment environments, Mydecine is dedicated to efficiently developing innovative first- and second-generation novel therapeutics to treat PTSD, addiction and other mental health disorders.

Mydecine’s business model combines clinical trials and data outcome, technology and scientific and regulatory expertise with a focus on psychedelic therapy underpinned by novel molecules with differentiated therapeutic potential. By collaborating with some of the world’s foremost authorities connected by best practices, Mydecine aims to responsibly fast-track the development of new medicines across its platforms, ultimately changing the way we treat mental health disorders. The company seeks to bridge the gap between the needs of patients and what the mental health care system currently provides.

Mydecine Innovations Group is headquartered in Denver with international offices in Canada and Europe.

Research and Technology

The invention and development of novel psychedelic and non-psychedelic molecules for medical use is an important part of Mydecine’s research strategy. The company uses molecules found in nature as building blocks to create improved second-generation drugs. This portfolio of new drugs represents major improvements to existing natural products and synthetics, including enhanced safety, efficacy, stability and dosing, as well as reduced side effects.

The goal of creating these improved second-generation compounds is to enable safer, more effective treatments for patients, along with improved management of dosage and drug behavior for clinicians. Mydecine believes the multibillion-dollar market for mental health and addiction disorder medicines will soon be disrupted amid a resurgence of the study into psychedelics and data showing the immense benefits of these forms of medicine.

The company currently has four lead drug candidates which include various enhancements such as improved controllability, delivery mechanisms, safety, stability and shelf-life. The drug candidates are in clinical trials or in pre-trial stage as potential treatments to aid PTSD, substance abuse and smoking cessation.

Mindleap Health is a wholly owned subsidiary of Mydecine. The Mindleap platform is a virtual community that aims to foster the conscious and responsible adoption of psychedelic medicine into inner wellness. Users access the platform through the Mindleap app. Mindleap provides users with inner wellness resources to assist them in their daily mental-health journeys. The platform also seeks to support the conscious and trustworthy adoption of psychedelics into a widely accepted approach to mental health and inner wellness.

Market Outlook

The global smoking cessation market is expected to reach $63.99 billion by 2026, growing at a CAGR of 16.9 percent from 2018 to 2026. The market for psychedelic therapeutics is in its very early stages. Estimates of current market value and forecasts of expected value in future years are all over the map. Market forecasts range from $6.5 billion by 2030 with a CAGR of 15 percent, to more than $69 billion as soon as 2025, at a CAGR of 8.2 percent. What is clear is that interest in psychedelic therapeutic drugs is expanding rapidly.

Management Team

Joshua Bartch is Chief Executive Officer and Chairman of Mydecine Innovations Group. He is an experienced entrepreneur who co-founded AudioTranscriptionist.com and founded Denver-based dispensary Doctors Orders in 2009. He also founded a boutique investment firm that operated throughout the U.S. and Canadian markets. In 2014, Bartch co-founded Cannabase.io, the USA’s most significant and sophisticated legal cannabis wholesale platform.

Dr. Rakesh Jetly, OMM, CD, MD, FRCPC, is the Chief Medical Officer of Mydecine. He was formerly Chief of Psychiatry for the Canadian Armed Forces, retiring in 2021 with the rank of colonel after 31 years of service. He began his career as a general duty medical officer and flight surgeon and spent his final 20 years of service as a psychiatrist. He maintains academic appointments at Dalhousie University and The University of Ottawa. He is the inaugural CF Brigadier Jonathan C. Meakins CBE, RCMAC, Chair in Military Mental Health at the Royal Ottawa Hospital.

Robert Roscow is Chief Scientific Officer of Mydecine. As a geneticist, he has spent his academic and professional careers looking for valuable and unique medicinal molecules found in nature. His innovations were applied at Canopy Growth and ebbu, where he ran those companies’ genetics divisions. He has leveraged his expertise to maximize industrial production of cannabinoids in a pharmacological context, resulting in multiple patent filings.

Damon Michaels is Chief Operating Officer of Mydecine. He previously consulted for various hemp businesses through his company, Emerald Baron. Before that, he served as GM for ebbu, the leading multi-platform cannabinoid research and technology firm based in Colorado. He has held leading roles with multiple large brands throughout the cannabis vertical. He also developed a national snowboard brand.

Mydecine Innovations Group Inc. (MYCOF), closed Thursday's trading session at $0.14, up 1.4493%, on 174,539 volume with 106 trades. The average volume for the last 3 months is 174,539 and the stock's 52-week low/high is $0.01/$2.20.

Recent News

• Mydecine Innovations Group Inc. (NEO: MYCO) (OTC: MYCOF) - Activists in Michigan File Psychedelic Legalization Voter Initiative
• InvestorNewsBreaks - Mydecine Innovations Group Inc.'s (NEO: MYCO) (OTC: MYCOF) (FSE: 0NFA) Exclusive Dealer Identified as Supplier for Health Canada's Special Access Program
• Mydecine Innovations Group Inc. (NEO: MYCO) (OTC: MYCOF) Marks a Major Step in Seamless Phase 2/3 Smoking Cessation Clinical Trial; Partners with Combat Stress to Treat PTSD among Veterans

RYAH Group Inc. (CSE: RYAH)

The QualityStocks Daily Newsletter would like to spotlight RYAH Group Inc. (CSE: RYAH).

RYAH Group (CSE: RYAH) today announced that the U.S. Patent and Trademark Office (the “USPTO”) has issued a Notice of Allowance for U.S. patent application number 15/924,172, filed in respect of the company's IoT-powered, Smart Medical Inhaler system by its wholly owned subsidiary, Potbotics Inc. The hybrid conduction and convection RYAH Smart Medical Inhaler was recently granted Medical Device Certification under ISO 13485:2016/MDSAP and EN ISO 13485:2016 standards for both its hardware and software. “Receiving this Notice of Allowance by the USPTO on our Smart Medical Inhaler is the result of dedication and great effort by all of our product team members, with particular thanks to our Product Operations Head, Jordan Medley, and our patent legal team. The application for this invention was initially filed on March 16, 2018, and was subject to several amendments along the way,” said Gregory Wagner, CEO of RYAH Group Inc. “We look forward to strengthening competitive positioning on our intellectual property and medical device portfolio with a number of patents pending maturing on our additional IoT products.” To view the full press release, visit https://ibn.fm/fMfmh

RYAH Group Inc. (CSE: RYAH) is a leading digital health care analytics and technology company with a mission to advance the world’s transition to remote-health solutions and data analytics in patient treatments. Through the company’s IoT dose-measuring devices and AI analytics, RYAH is reshaping understanding of the value of devices combined with data, to positively impact the future treatment of patients for various medical conditions.

The company is a leading developer of dose-measuring IoT devices connected with its turn-key platform designed to aggregate and correlate HIPPA-compliant data, suitable to all participants in the patient treatment cycle. The company also specializes in customized, fully integrated, mobile applications and APIs, specifically designed to meet the needs of clinics, clinical trials, government and university research centers, for experimentation and treatment validation – significantly reducing variations in patient-related trials. RYAH unlocks data in the complete therapeutic plant lifecycle – from seed to consumption.

Since it began developing and commercializing its smart inhaler solution in 2018, the company has evolved a complete IoT device and data analytics platform that includes multiple delivery mechanisms, designed to capture anonymous patient dosing and feedback, combined with detailed strain analytics, enabling customized dosing regiments. The company has secured numerous partnerships across the globe, including establishing a footprint in the UK, USA, Australia and Canada, and it has closed several deals in the European Union, as well. The company’s Smart-Inhaler has been selected as the dose-measurement, dose-control and data analytics platform for a UK pain management study and one of the world’s most ambitious and largest clinical trials ever to be conducted in cannabis.

Product Portfolio

The company’s current portfolio incorporates an ecosystem of IoT products, each consisting of three elements: the device, the medicine-carrying component and the mobile application. The product line currently includes a Smart Dry-Herb Dose-Measuring Inhaler in the commercial stage, a Smart Transdermal Patch in the production stage and a Smart Liquid Dispensing Pen in the prototype stage.

RYAH Smart-Inhaler

The RYAH Inhaler is the first dry-herb inhaler that allows users to track and control how much is inhaled, providing consistent and predictable results. This inhaler connects with the RYAH Health App, which features stat-tracking and presets for temperatures and dosages, all of which can be customized to individual needs and doctor recommendations, as well as a post-session review mechanism that allows the collection of session data and feedback for further efficacy analysis for customized dosing capabilities.

RYAH’s proprietary stainless-steel cartridges for the inhaler use QR technology that contains lab testing and grower information pertaining to the specific strain, thereby mitigating elicit product use and enabling completely transparent remote medicinal analytics, from seed to consumption.

In addition, the RYAH Cartridges provide a unique closed-loop recurring revenue opportunity for the company, as the RYAH Inhaler only works with this type of proprietary cartridges that licensed partners fill with medicine. The partners benefit from all the back-end data, providing them access to consumption habits, statistics and other data on patient preferences.

RYAH Smart-Patch

The RYAH Smart Transdermal Patch is a lightweight, reusable, mobile-controlled patch used for site-specific therapies. The Patch is an Electronic Topical Delivery Patch system intended for recommendation and administration by pain relief professionals and physical and occupational therapists. The patch data and the heating element is completely IoT and controlled by RYAH’s proprietary smartphone applications, which allows scheduling and ‘boosting’ medicine release, on-demand.

RYAH Smart-Pen

The RYAH Pen is an app-controlled liquid dispenser designed to provide a precise mix of up to three medicine components to create an ‘entourage effect’, enabling customized, wide-spectrum recommendation opportunities by licensed clinicians. The Smart-Pen will feature cartridges that contain CBD, THC and other isolates such as flavonoids or vitamins, or other solutions. There is a built-in mechanism designed to control usage based on recommended dosing schedules.

RYAH MD

RYAH MD serves as a remote and interactive patient-doctor collaboration and dosing administration platform. Doctors can remotely set dosage amounts for their patients, creating digital prescriptions for the RYAH IoT devices and tracking patient usage in real-time. RYAH MD offers features that include real-time monitoring, appointment booking, doctor-patient video calls and science-based strain recommendations, as well as promoting a better understanding of the effects and benefits of those recommendations among patients. Information is gathered from all of the RYAH devices.

PotBot App

The PotBot App is a medical cannabis education mobile application that leverages patented AI technology to capture structured and unstructured data to assist patients in learning about various treatments in plant-medicine based on their efficacy goals. The PotBot App is currently one of the top-rated medical cannabis educational mobile applications on the Apple App Store in the United States, with over 300,000 downloads.

Through the combination of peer-reviewed and empirical data, the PotBot App provides detailed information on the targeted and tested cannabinoid levels and associated strains from cannabis patients. The result is personalized and driven by data to inform patients of potential product matches associated with similar ailments and efficacy goals.

Market Outlook

RYAH holds a unique position in the $100.3 billion medical plant market, with the potential to capture and capitalize on growth opportunities made available by both the IoT and Data Intelligence sectors.

In 2018, the global IoT market was valued at $212.1 billion, and it is expected to grow exponentially to $1.3 trillion by 2026, registering a CAGR of 25.68%, according to Verified Market Research (https://ibn.fm/XtkPZ).

Management Team

Dr. Boris Goldstein, Ph.D., is the founder and Chairman of RYAH Group. He is a seasoned entrepreneur, investment banker and venture capitalist. He started his career as the founder of Software House HT, which grew into a worldwide corporation with over 40 offices in 17 countries. Since then, Goldstein has founded and served on the boards of directors and advisory boards for numerous companies in Silicon Valley and Silicon Alley. Goldstein brings experience in fundamental research, investment and technology, authoring multiple patents and books.

Gregory Wagner, MBA, is Chief Executive Officer and Director of RYAH Group. He has over 20 years of experience in global financial markets and entrepreneurship. Wagner has held executive roles in the United States and London. He has co-founded and built several startups from the ground up. His current licensures and degrees include FINRA Series 7, 63, 24 and 55, as well as an MBA from Fordham University. Wagner received a Certification in Innovation and Strategy from Harvard University.

RYAH Group Inc. (CSE: RYAH), closed Thursday's trading session at $0.035, up 16.67%, with 15 trades.

Recent News

• RYAH Group Inc. (CSE: RYAH) - InvestorNewsBreaks - RYAH Group Inc. (CSE: RYAH) Receives Notice of Allowance by USPTO for Smart Medical Inhaler System
• InvestorNewsBreaks - RYAH Group Inc. (CSE: RYAH) Announces MOU with Bazelet Pharma Ltd., Closing of Initial Tranche of Private Placement
• 420 with CNW - Spanish Study Finds That Young Cannabis Users Enjoy Better Sexual Function, Orgasms

Tingo Inc. (OTCQB: TMNA)

The QualityStocks Daily Newsletter would like to spotlight Tingo Inc. (TMNA).

• Tingo build on strong focus on gender equality, encouraging women in business as core value while engaging thousands of women agents in Nigeria
• Company set to launch fund to award grants mainly to female farmers and inspire new generation of leaders
• Tingo to continue supporting Nigerian farmers as economic empowerment is considered key to achieving continent's socio-economic transformation

Tingo (OTC: TMNA) has been long known for supporting farmers in Africa, especially women lead businesses, but its wholly owned subsidiary Tingo Mobile is elevating that support to the next level. The company is set to launch a ₦2.5 billion (approximately $6 million) fund to award grants mainly to female farmers and inspire a new generation of leaders committed to helping Nigeria reach its potential both in Africa and beyond. The company awarded the first grant amounting to ₦600,000 at the Exquisite Ladies of the Year (“ELOY”) Awards held in Lagos on November 26, 2021. The reward went to Etimbuk Imuk, a female farmer producing edible mushrooms that meet international standards. Before founding her own agri-business, Eti Farms Global, she served as an agricultural consultant helping people set up their farms and acquire the best farming practices (https://ccw.fm/Hv5Jk).

Tingo Inc. (OTCQB: TMNA) is a digital service agri-fintech technology company focused on foundation-level agriculture and related financial services in Africa. The company aims to be Africa’s leading agri-fintech player, transforming rural farming communities to connect through its proprietary platform to meet their complete needs – from inputs and agronomy to off take and marketplace – and deliver sustainable income in an impactful way. The company’s vision is to build complete digitally inclusive ecosystems that promote financial inclusion and deliver disruptive micro-finance solutions, empower societies, produce social upliftment in rural communities and open international opportunities.

Tingo believes that a truly connected world will help contribute to a better global society. The company’s core focus areas are telecoms, financial services/fintech and agritech. Tingo’s goal is to provide a best-in-class customer experience, support the domestic economies of its host countries and support technological and financial inclusion to end the poverty premium. Through this, Tingo hopes to deliver attractive returns to shareholders while investing in the long-term future of the company and its subsidiaries.

Global climate change is challenging sustainable production and food security. Tingo’s strategy and market execution provide an opportunity for Africa to be a core focal point to solve a number of key areas of concern, including food security, gender equality, financial inclusion and poverty alleviation, to name a few. Disruption of micro finance through the use of DeFi-based stable coins and smart contracts will give agri-communities access to capital markets-driven digital finance solutions that make them more competitive and sustainable economically, striking a good balance of returns between digital asset providers and Tingo as the service partner. This innovation will deliver significant access to much needed finance at ‘Grassroot’ levels, delivering tangible social upliftment and GDP growth in the African markets served by Tingo.

Tingo Mobile, with more than nine million subscribers, is Nigeria’s leading technology and device-as-a-service platform aimed at accelerating digital commerce, especially in the country’s agritech and fintech verticals. The company helps farmers acquire mobile phones through a unique leasing plan, connecting them to mobile and data networks through its own virtual mobile network. Tingo also connects farmers to markets, services and resources via Nwassa, its digital agritech marketplace platform that commenced operations in 2020. The company has also launched a beta version of TingoPay – a B2B and B2C fintech app aimed at providing financial services to users inside and outside of the agriculture value chain. Among the services offered are mobile wallets, payment processing and access to specialist lenders, insurers and pension products.

Tingo will soon announce its innovative blockchain-based solution for use of digital stable coins to empower frictionless trade across borders in Africa. The company’s market-proven model in Nigeria is its core foundation, enabling Tingo to deliver the same service model across Africa to become the continent’s leading agri-fintech business powered through smartphone technology.

The African Continental Free Trade (ACFT) plan will be a key framework to prepare the company to be the leading intra-Africa trading hub for trade flows across Africa in the medium term, when it is likely the agreement will be executed into tangible activity. Tingo is well positioned to easily transform the goals of the ACFT into reality when finally implemented by the African Union and the various African countries that have not signed up.

Tingo posted total revenue of $594 million in 2020, with $212 million EBITDA. As of December 31, 2020, Tingo has 9,344,000 subscribers. The company is confident that these figures will grow through its expansion across Africa and natural progression of business in Nigeria.

Businesses

Tingo has four core businesses:

• Mobile Phone Leasing – Tingo has distributed almost 30 million mobile handsets since 2014 and will continue to replace the devices of its installed customer base every three years. Tingo Mobile provides the latest mobile phone handsets at an affordable price point and allows customers to spread payments over 36 months.
• Mobile Voice and Data Service – Through a mobile virtual network, Tingo provides its customers with voice and data services, allowing customers to communicate effectively, both inside and outside the agricultural ecosystem.
• Nwassa Marketplace Platform – Nwassa is Tingo’s proprietary agritech platform which provides Africa’s farmers with access to global markets to secure more competitive pricing for their crops. The platform processes 500,000 daily transactions with a value of over $8 million. A select group of trusted partners can assist smallholder farmers and agricultural cooperatives with packaging, warehousing, and dry and wet cargo logistics, as well as up-to-date information from the global agricultural sector. Tingo provides its customers with digital wallet services, which enable them to send and receive domestic payments, monitor cash flow in real time and securely hold money. The company also provides access to other services, such as utility bill payment, virtual airtime top-up, insurance services and alternative lending solutions.
• TingoPay – Since the launch of the Nwassa platform, Tingo has been a dominant player in the B2B fintech vertical. After many successful months of operating Nwassa, Tingo entered the fintech B2C vertical to extend its B2B offering to a broader market beyond agriculture.

TingoPay is still in its beta phase and will launch in 2021 with a comprehensive marketing campaign. TingoPay offers the following services:

• Tingo Wallet top-up
• Peer to Peer payments, inclusive of merchant payments at the stores
• Utility payments – airtime, broadband, cable, electricity, water, hotel, flights etc.
• Pension payments
• QR code payment services

Market Opportunity

Africa is the second-largest continent by population. It is also the youngest by far, with a median age of 18 for its 1.3 billion people. Tingo believes the building blocks for growth in Africa’s agriculture industry are in place and that the company is well positioned to participate in the upside. Sub-Saharan Africa’s population is growing at a rate of 2.7 percent per year. At the current growth rate, the continent’s population will double by 2050. Africa’s youthfulness represents a significant opportunity for material growth in demand for agricultural commodities. This younger generation is also being born into a digital world and is comfortable using technology.

Africa’s governments are improving business conditions for entrepreneurs and small businesses. Sub-Saharan Africa’s World Bank Doing Business rank has improved from 45 in 2004 to 65 in 2020. Tingo believes this trend will continue and encourage establishment of more new ventures across all economic sectors, including agriculture.

Africa attracted $407 billion of Foreign Direct Investments (“FDI”) between 2014 and 2018. Investments are increasingly focused on services and industrial sectors. Only 20 percent of investments are in extractive industries – a clear reversal from 2008, when 55 percent of FDI was aimed at resource extraction. Tingo believes FDI into Africa will help resolve significant infrastructure constraints and create value for agribusiness.

Management Team

Dozy Mmobuosi is the CEO of Tingo. He cofounded Tingo Mobile PLC (Nigeria) in 2001 and led the design and launch of Nigeria’s first SMS banking solution, which is still in use in the country today. He also headed a team of more than 120 Chinese and Nigerian engineers in the construction of two mobile phone assembly plants in Nigeria, which have produced and distributed 20 million phones across the country. He has led Tingo’s growth to more than $600 million in revenue annually. He holds a Ph.D. in Rural Advancement from UPM Malaysia.

Dakshesh Patel is the CFO of Tingo. He was formerly CFO of NatWest’s Global Debt and Investment Banking division. He has served as a Director at Gerken Capital Associates, a San Francisco-based alternative asset fund manager. He also led the restructure of Lloyds Banking Group (last financial crisis); managed integration of two leading shipping groups’ global treasury function to create world-leading shipping group Maersk Shipping; built three fintech companies; and exited one to Worldpay. Mr. Patel has strong banking experience, with a focus on Africa. He is a chartered accountant.

Chris Cleverly is president of Tingo. He has served as CEO of the Made in Africa Foundation, and as CEO of blockchain payments gateway startup Kamari. He has been a board member of several companies, both public and private, in the UK, India, China and Africa. He has advised multiple UK companies on their entrance into African markets, and regularly advises the UK Government on development issues and African governments on investment issues.

Clarence Simms is the Chief Technology Officer at Tingo. He has 25 years of IT and IT management experience. He has worked in IT Shared Services Technical Operations and IT Program Management for Huawei Technologies and MTN. As an entrepreneur, he created Africaprepay.com, a service that allows African Diaspora travelers to send airtime, pay bills, send mobile money and transfer money to a bank account from anyplace in the world.

Rory Bowen is the Chief of Staff at Tingo. Mr. Bowen started his career in traditional capital and derivatives markets working for Moneycorp and Tradition UK in European and emerging markets across FX, interest rate derivative and government bond markets. He has also spent time with one of Europe’s fastest growing fintech’s banking circles. Before joining Tingo, he was Chief of Staff at FinTech Alliance, an organization established in partnership with the UK Government Department for International Trade to foster innovation, growth and foreign direct investment (FDI) in the financial services sector and facilitate greater public/private cooperation.

Tingo Inc. (OTCQB: TMNA), closed Thursday's trading session at $4, even for the day, on 201 volume with 3 trades. The average volume for the last 3 months is 201 and the stock's 52-week low/high is $1.01/$8.98.

Recent News

• Tingo Inc. (OTC: TMNA) - Tingo Inc.'s (TMNA) Core Subsidiary Tingo Mobile Set to Launch Multi-Million Dollar Fund to Support Female Farmers; the First Grant Awarded to Female Fungus Farmer
• How Tingo Inc. (TMNA)'s Digital Technology Seeks to Change Farming in Africa
• InvestorNewsBreaks - Tingo Inc. (TMNA) Changes Ticker Symbol, Launches New Website

InMed Pharmaceuticals Inc. (NASDAQ: INM)

The QualityStocks Daily Newsletter would like to spotlight InMed Pharmaceuticals Inc. (NASDAQ: INM).

InMed Pharmaceuticals (NASDAQ: INM), a leader in the research, development, manufacturing and commercialization of rare cannabinoids, has announced that it will report its second-quarter financial results next week on Feb. 15, 2022; the results will cover the period ending Dec. 31, 2021. The company has scheduled a conference call and webcast to discuss the report; the call will be held Feb. 15, 2021, at 2 p.m. ET. Those interested can dial +1 (855) 605-1745 (United States and Canada) or +1 (914) 987-7959 (international) using conference ID 8645175. In addition, the company’s full financial statements and related MD&A along with a replay of the webcast will be available on the company website. To view the webinar, visit https://ibn.fm/C69BB. To view the full press release, visit https://ibn.fm/V94Xw

InMed Pharmaceuticals Inc. (NASDAQ: INM) is a global leader in the manufacturing and clinical development of rare cannabinoids. InMed is a clinical stage company developing cannabinoid-based pharmaceutical drug candidates, as well as manufacturing technologies for pharmaceutical-grade rare cannabinoids.

The company is dedicated to delivering new therapeutic alternatives to treat conditions with high unmet medical needs. The company is also developing a proprietary manufacturing technology to produce pharmaceutical-grade rare cannabinoids in the lab and has recently announced an LOI to acquire a leading rare cannabinoid manufacturer.

Research and Technology

There are more than 100 rare cannabinoids found in only trace amounts in the cannabis plant, together making up less than 1% of the plant’s biomass. InMed is initially focused on the therapeutic benefits of cannabinol (CBN) in diseases with high unmet medical need. Preclinical studies of CBN demonstrated an excellent safety profile and showed CBN has potential for therapeutic benefit over other cannabinoids such as tetrahydrocannabinol (THC) and cannabidiol (CBD).

Evidence suggests there may be great therapeutic potential in rare cannabinoids. Each has a specific chemical structure, and different cannabinoids have been observed to have distinct physiological properties in humans, including therapeutic potential for specific diseases as well as unique safety profiles. CBN is the active pharmaceutical ingredient (API) in InMed’s two lead programs for dermatological and ocular diseases.

InMed’s most advanced compound, INM-755, is a CBN topical cream under clinical development for the treatment of epidermolysis bullosa, a severe genetic skin disorder. To date, INM-755 has been evaluated in two Phase 1 clinical trials in healthy volunteers. InMed has filed Clinical Trial Applications in several countries as part of a global Phase 2 clinical trial of INM-755 (cannabinol) cream in epidermolysis bullosa. Responses from the National Competent Authorities and Ethics Committees are expected throughout the summer of 2021.

InMed is also involved in developing INM-088, an ocular CBN formulation being researched for the treatment of glaucoma, the second leading cause of blindness in the developed world. InMed is currently evaluating several formulations to deliver CBN into the eye to address issues of dosing frequency, side effects and treatment penetration. INM-088 is being designed for topical delivery to the eye. This localized delivery results in very little drug being absorbed or migrating into the bloodstream, thus minimizing potential adverse side effects. INM-088 shows promise to reduce intraocular pressure and provide neuroprotection of the eye.

Manufacturing

The limited availability of rare cannabinoids like CBN makes them economically impractical to extract directly from the plant for pharmaceutical use. InMed is developing IntegraSyn, a cannabinoid synthesis manufacturing system to create rare cannabinoids in the lab that are bioidentical to the compounds derived from the cannabis plant. IntegraSyn uses multiple standard pharmaceutical processes and has achieved a cannabinoid yield of 5 grams per liter, surpassing commercial viability and significantly exceeding currently reported industry yields. InMed is now focusing on manufacturing scale-up to larger batch sizes while continuing process optimization, targeting increased cannabinoid yield and further reducing overall cost of goods.

BayMedica Inc. Acquisition

On June 29, 2021, InMed announced it had entered into a non-binding letter of intent to acquire BayMedica Inc., a private company based in Nevada and California that specializes in the manufacture and commercialization of rare cannabinoids.

As noted in the news release, BayMedica is a revenue-stage biotechnology company leveraging its significant expertise in synthetic biology and pharmaceutical chemistry to develop efficient, scalable and proprietary manufacturing approaches to produce high quality, regulatory-compliant rare cannabinoids for consumer applications. BayMedica is currently commercializing the rare cannabinoid CBC (cannabichromene) as a B2B supplier to distributors and manufacturers marketing products in the health and wellness sector. BayMedica is planning additional rare cannabinoid launches for the coming year.

Pursuant to the indicative terms of the LOI, InMed and BayMedica intend to negotiate and enter into a definitive agreement under which InMed would acquire 100% of BayMedica in exchange for 1.6 million InMed common shares to be issued to BayMedica’s equity and convertible debt holders, with any such issued InMed common shares being subject to a six-month contractual hold period.

Market Outlook

There is a rapidly growing demand for rare cannabinoids. However, their low natural concentration makes traditional harvesting of these compounds cost prohibitive. Biosynthesis allows production of rare cannabinoids in the lab that are bioidentical to compounds found in nature, with significantly higher yields which reduce costs. Biosynthesis can produce pharmaceutical-grade, bioidentical, THC-free compounds at a cost that’s 70 to 90 percent less than wholesale prices of naturally harvested rare cannabinoids.

Cannabinoid-based pharmaceuticals are expected to overtake the market as rare cannabinoids become less expensive and more available. According to Statista, the value of the consumer market for cannabinoid-based pharmaceuticals in the United States is forecast to grow to $25 billion by 2025 and to $50 billion by 2029, with cannabinoid-based pharmaceuticals used to treat health conditions including pain, respiratory conditions, autoimmune conditions and more.

Management Team

Eric A. Adams has been CEO and president of InMed since June 2016. He has more than 25 years of experience in establishing corporate entities, capital formation, global market development, mergers and acquisitions, licensing and corporate governance. He previously served as CEO at enGene Inc. Prior to enGene, he held senior positions in global market development with QLT Inc. (Vancouver), Advanced Tissue Sciences Inc. (La Jolla, CA), Abbott Laboratories (Chicago, IL) and Fresenius AG (Germany).

Bruce S. Colwill is InMed’s CFO. He has more than 25 years of financial leadership experience in public and private companies. Prior to InMed, he served as CFO of General Fusion Inc., a private clean energy company. He was also CFO at Entrée Resources Inc., a mineral exploration company, from 2011 to 2016. He has held CFO roles at Neuromed Pharmaceuticals Ltd., Response Biomedical Corp, Forbes Medi-Tech Inc. and Euronet Worldwide Inc.

Alexandra D.J. Mancini is Senior Vice President, Clinical and Regulatory Affairs at InMed. She has more than 30 years of global biopharmaceutical research and development experience. She has been an executive with numerous biotech companies, including senior vice president of Clinical and Regulatory Affairs at Sirius Genomics; senior vice president of Clinical and Regulatory Affairs at INEX Pharmaceuticals; and vice president of Regulatory Affairs at QLT Inc.

Eric C. Hsu is Senior Vice President, Pre-Clinical Research and Development at InMed. He joined InMed with more than 18 years of scientific leadership experience in the field of gene therapy. He has held various positions within enGene Inc., including vice president of Research and vice president of Scientific Affairs and Operations. He received his Doctorate from the Department of Medical Biophysics at the University of Toronto.

Michael Woudenberg is Vice President, Chemistry, Manufacturing and Controls at InMed. He has more than 20 years of successful drug development, process engineering, GMP manufacturing and leadership experience. He has held positions with 3M, Cardiome Pharma, Arbutus Biopharma and, most recently, was Managing Director of Phyton Biotech LLC.

InMed Pharmaceuticals Inc. (INM), closed Thursday's trading session at $1.18, even for the day, on 38,520 volume with 161 trades. The average volume for the last 3 months is 38,520 and the stock's 52-week low/high is $0.9207/$5.50.

Recent News

• InMed Pharmaceuticals Inc. (NASDAQ: INM) - InvestorNewsBreaks - InMed Pharmaceuticals Inc. (NASDAQ: INM) to Release Q2 Financial Report, Business Update
• InMed Pharmaceuticals Inc. (NASDAQ: INM) Strengthens Leading Role in Rare Cannabinoid Market Following New Product Launch, Key Acquisition
• CBDNewsBreaks - InMed Pharmaceuticals Inc. (NASDAQ: INM) Blazing Trail in Defining Value of Rare Cannabinoids in Pharmaceutical Space

Hollywall Entertainment Inc. (OTC: HWAL)

The QualityStocks Daily Newsletter would like to spotlight Hollywall Entertainment Inc. (OTC: HWAL).

Hollywall Entertainment (OTC: HWAL), an innovative telecommunication and broadcasting company, is using a vast catalog of music, film, television, software, and game library rights to not only build smart city, fiber network and entertainment investment profits throughout the U.S., but to also create broadband access equity for vulnerable and underserved communities. According to the University of Wisconsin’s County Health Rankings & Roadmaps program, there is evidence that broadband initiatives for unserved and underserved areas increase broadband adoption and can increase labor market participation. Hollywall Entertainment, through its new wholly owned subsidiary, HW Vision, offers state-of-the-art services such as 5G and fiber network installation, affordable high-speed internet access, telehealth, nationwide unlimited talk, text and data cellphone plans, and video broadcasting. A recent article reads, “5G-speed networks will better facilitate Hollywall’s key telecom initiatives. These include fostering entrepreneurial and economic development opportunities for minority business enterprises (‘MBEs’) through rural and urban wireless and broadband telecommunications network infrastructure and also helping farmers maintain and increase sustainable practices using digital tools in agriculturally rich areas.” To view the full article, visit https://ibn.fm/cOiWY

Hollywall Entertainment Inc. (OTC: HWAL) is a telecommunication, media, technology, broadcasting and entertainment company. Through various subsidiaries, Hollywall maximizes rights to its music, film, television, software and game libraries. Hollywall owns exclusive and nonexclusive rights to market, manufacture and distribute music master recordings performed by multiple platinum-selling acts.

Hollywall was founded in 2009. The company currently has two corporate offices – one in Washington D.C. and the other in New York City.

Hollywall Entertainment Inc. (Hollywall) Subsidiaries

Hollywall has a portfolio of operating subsidiaries spanning various industries, including infrastructure development, 5G and telecommunications, broadcasting, education, media and entertainment.

Hollywall is a minority majority-controlled consortium enterprise company led by founder and President/CEO Darnell Sutton, a highly recognized visionary and award-winning business and social leader.

HWAL continues to expand its business enterprise to numerous city and state municipalities and government agencies throughout the country, including: Washington DC, New York, Virginia, Massachusetts, Pennsylvania, Texas and California, as well as within the Blackbelt regions of Alabama, Louisiana, Mississippi, Georgia and North Carolina, leading the way in developing and implementing solutions to work toward closing the broadband digital divide that has been forced upon the most vulnerable in underserved urban and rural communities nationwide.

Hollywall Development Company (“HWDC”)

HWDC builds, restores and creates “smart” cities/communities and fiber networks throughout the U.S. HWDC services, initiatives and investments include broadband and 5G networks, IOT, smart city technologies, energy, tele-medicine, tele-education, transportation, clean water, waste management and the development of green environments.

HWDC employment growth opportunities continue to attract the industry’s best, brightest and most seasoned corporate executives to join its staff, as well as its ongoing efforts to develop highly effective and profitable strategic partnerships with investment banks, global capital funds, public financial and wealth management firms, construction and engineering companies, telecommunications companies, federal agencies, state and local governments, nonprofits, faith-based organizations and housing authorities.

HWDC’s Smart Cities division aims to provide various services and solutions, such as fiber-optic networking, data centers, smart kiosks, charging stations, security and camera systems, smart traffic monitoring, emergency alert systems, gunshot detection, backup power solutions, smart connected buildings, connected and autonomous vehicles, intelligent transportation systems, advertising and more.

HW Vision and Omnipoint Technology Inc.

Hollywall Entertainment advanced its technological footprint by acquiring top United States telecommunications firm Omnipoint Technology Inc. in 2020. Through the formation of a new wholly owned subsidiary, HW Vision, Hollywall intends to offer state-of-the-art services in the continuously growing digital marketplace, such as:

• 5G and Fiber Network installation services
• Affordable high-speed internet access
• Telehealth services
• Domain hosting
• Web conferencing
• Managed internet services
• Nationwide unlimited talk, text and data cellphone plans
• Video broadcasting

In conjunction with its Omnipoint Technology partner, HW Vision has created and developed unique branding for streaming media programming, live television and on-demand content. Offerings from the HW Vision brand are expected to be available for purchase early in 2021.

Hollywall Entertainment Digital Music Network and Hollywall TV

The Hollywall Entertainment Digital Music Network (“HW Network”) has been constructed to sell single song downloads, artist album downloads and ringtones, as well as licensing music for commercial use. Hollywall Music is an owner of legacy music and video collector sets that are distributed to retail, wholesale and download or streaming services. This music library has been protected for over 20 years, and it contains some of the rarest and most coveted unpublished records by legends in the music industry.

Market Outlook

Covering various industries that are continuously expanding, such as telecommunications, media, technology, construction, infrastructure, entertainment and broadcasting, Hollywall is uniquely positioned to secure a prominent role and leverage continued growth opportunities for its subsidiaries.

The 5G sector alone could generate significant interest and market opportunities for Hollywall via HWDC and its community-focused initiatives, including the development of smart cities. The global 5G market was estimated at $41.48 billion for 2020 and is expected to reach an impressive $414.5 billion by 2027, expanding at a CAGR of 43.9% (https://ibn.fm/mgXIu).

Management Team

Darnell Sutton is the Founder, CEO and Chairman of Hollywall Entertainment Inc. Mr. Sutton has over 40 years’ experience with many talents and vast experience as a veteran in the music recording industry, publishing, distribution, live entertainment, television, broadcasting, film and sports athlete, TV/film celebrity and artist management.

Darnell Sutton has represented and worked with some of the greatest athletes and entertainers of our time, including the “King of Pop” Michael Jackson, former heavyweight boxing champion Mike Tyson, current Welterweight Boxing Champion Floyd Mayweather, tennis superstar Serena Williams, Julius “Dr. J” Erving and incomparable multiple Grammy award-winning performers such as The Jacksons, Patti Labelle, Roberta Flack, MC Hammer, Dionne Warwick and Mariah Carey… just to name a few.

“Darnell Sutton, is one of the most exciting master communicators, creative developers and innovators of our time”…says, Tom Stein, Success Magazine.

“After many years of developing, producing and acquiring some of the world’s finest entertainment properties, we are honored to present Hollywall Entertainment companies to the marketplace. We are thrilled to join forces and work with some of the most brilliant and talented Hollywood and Wall Street executives, who have a combined shared experience of industry-recognized excellence,” Sutton said in a news release.

Roxanna Green is the Chief of Staff for Hollywall Entertainment Inc. She has over 30 years of diverse background experience ranging from corporate management to finance. Her experience includes providing corporate legal and financial guidance to both public and private companies, as well as spearheading audits, merger and acquisition negotiations, branding, marketing and public relations initiatives. She has spent the majority of her 30 years in the entertainment and media industry. She has worked with diverse institutions such as banks and securities firms, among others.

Hollywall Entertainment Inc. (OTC: HWAL), closed Thursday's trading session at $1.2399, even for the day. The average volume for the last 3 months is 2,400 and the stock's 52-week low/high is $0.5551/$6.68.

Recent News

• Hollywall Entertainment Inc. (OTC: HWAL) - InvestorNewsBreaks - Hollywall Entertainment Inc. (HWAL) Creating Access Equity for Many of the Most Vulnerable, Underserved Communities
• InvestorNewsBreaks - Hollywall Entertainment Inc. (HWAL) Leverages Extensive Library Amid 'Catalog Acquisition Frenzy'
• U.S. Efforts to Extend Digital Equity to Low-income Areas Boots Hollywall Entertainment Inc. (HWAL) Mission to Deliver 'Fiber to the People'

Nowigence Inc.

The QualityStocks Daily Newsletter would like to spotlight Nowigence Inc.

Nowigence recognizes the increasing demand for a quick, accessible solution to the overwhelming amount of information available in today’s world. As a result, the company created Pluaris(TM), a cloud-based app that automates reading and analysis of textual data so users can learn more in less time, uncover hidden insights, and stay on top of the information they need to know. “Pluaris integrates state-of-the-art data-processing techniques in an intuitive interface that puts the power of data science into the hands of a wide range of customers,” a recent article reads. The company has shared several user-success stories, showing the app’s diverse power and appeal. Knowledge workers, lifelong learners, teams and enterprises all stand to benefit from Nowigence’s focus on simplifying the challenges of learning. “The ways to use Pluaris are almost unlimited, and the SaaS platform is flexible, accessible and affordable.” To view the full article, visit https://ibn.fm/DlcIV

Nowigence Inc. is a fast-growing SaaS (Software-as-a-Service) company that develops and sells a ready-to-use artificial intelligence (AI) platform called Pluaris™ that automates reading and analysis of textual data. Individuals, teams, and enterprises can now quickly distill knowledge buried in narrative-intensive documents instantaneously from various data sources, both public and private.

Pluaris is created for those who want to read more in less time. It is a Personal Knowledge Management (PKM) tool that generates an annotated data feed based on your topics of interest and automatically creates a permanent personal knowledge base from your feed and private uploads. It has human-like capabilities for comprehending textual data. It summarizes, provides precise answers to questions asked, analyzes different data perspectives, discovers new connections, creates organized nested notes, and allows teams to work collaboratively by sharing in real-time from anywhere in the world to draw informed conclusions.

By integrating state-of-the-art data processing techniques in an intuitive interface at an affordable subscription price, Nowigence puts the power of data science in the hands of consumers. It helps individuals, teams, and organizations to quickly build expertise on one or multiple topics by generating a trove of critical information.

Nowigence targets two user types that rely heavily on fast and accurate research as primary adopters of the Pluaris platform. The first is knowledge workers of all kinds – anyone whose job is to “think for a living” like marketing professionals, researchers, legal professionals, academics, journalists, editors, scientists, and other professionals. The second are individual users who are life-long learners, hobbyists, and enthusiasts of all stripes.

Rather than spending time reading information to gain knowledge from one source at a time, users of Pluaris can gain knowledge from hundreds or thousands of sources in seconds. Keyword-based search-and-retrieval applications don’t open documents, nor read their content, nor extract key points, conduct cause and effect analysis or answer questions specifically. Pluaris includes all those features and goes one step further, with its semantic capabilities to empower users with interpretations of retrieved information. Nowigence estimates this feature alone can save typical researchers between one and three hours per workday. The platform also reduces “noise” by extracting only important and relevant information on every topic being monitored or researched. This helps cut down on information overload, a major source of workplace stress.

Pluaris Builds Intelligence

The Problem

In the modern world, virtually everyone needs to consume a tremendous amount of text-based information, in both our personal and professional lives, but doing so is exceptionally challenging because of:

• Information Overload: For virtually any significant topic of interest, the amount of textual information available and continually generated is vastly more than can be consumed by an individual.
• Pervasive Distractions: Thanks to modern technology, we are constantly bombarded with new inputs (e-mails, instant messages, social media, and more) reducing our attention span, leading all too often to TL;DR (Too Long, Didn’t Read).
• Highly Imperfect Human Recall: The information that we do find time to read is easily forgotten. Even if we retain some of the key insights, the details are almost certainly lost.

Even when working in teams, we often end up researching the same content as our colleagues, and too much of the information acquired by one individual is lost in translation with the communication process to others.

Pluaris

Nowigence has worked with stalwarts and pioneers in the fields of Machine Learning (ML) and Natural Language Processing (NLP) from its early days. The company was keen to solve the big problem of the information age – too much data exists and cannot be processed manually.

Pluaris is designed to be used by regular people from day one with no need for extensive training. The platform is used across different functions and sectors, adapting to clients’ ever-changing needs. Its state-of-the-art no code editing gives organizations the flexibility to improve and tailor their results without hiring data scientists, and real time information retrieval ensures the client never misses any piece of intelligence.

Pluaris adapts to the unique needs by which individuals absorb knowledge. It doesn’t impose structured or rigid methodology. Real time operation means that Pluaris will deliver outputs instantaneously with a click.

A Nowigence team of experts spent three years training Pluaris to understand the context of every sentence it reads. If Pluaris does make an error in contextual interpretation, the user can correct it, which will instantly give the correction precedence over the ML’s algorithmic outputs. This takes away the biggest criticism against AI/ML platforms, that annotating (labeling) data and developing training datasets to build models takes too much time and effort from internal teams.

Use Cases

I need to stay on top of the latest news for my industry. Pluaris automatically retrieves and analyzes news on your topics of interest every day, so you can quickly scroll through an annotated news feed on your phone, tablet or laptop, while finishing your morning coffee.

Example: A Pluaris enterprise customer was interested in tracking news and events in the telecom industry. Nowigence was able to quickly create and then fine-tune a list of topics to monitor. In less than a week, they had an annotated news feed covering the telecom industry available to their team.

I have to come up to speed on a new topic as quickly as possible. Upload a few related websites and documents to Pluaris and within minutes you are exploring this new area of interest, scanning the summaries, gaining new insights about this topic, and finding new keywords to broaden your search and deepen your understanding.

Example: A customer who was already using Pluaris for business intelligence decided to use his account to make improvements in his health after he received a report from his doctor of a high fasting blood sugar level.

• He uploaded a few research reports to Pluaris, read through the summaries, and explored the annotated labels. Based on that analysis, he set up Pluaris to monitor topics such as “lowering fasting blood sugar” and “low glycemic food.”
• From those results, he built an action list of daily habits for diet and fitness and, within a couple months, brought his fasting blood sugar level back down.

I want to be able to access the information I’ve read in the past and synthesize it with my current understanding. As you continue to add more and more information to the system over time, Pluaris never forgets. You are building a knowledge base of the information that is most relevant to you.

Example: A Pluaris user at one of the world’s largest aluminum mining companies was tasked with preparing talking points for her manager for an upcoming investor meeting. Over time using Pluaris, she had built a database of documents, including transcripts, notes, Q&A sessions, speeches, annual reports, and internal documents, some of which were from previous investor meetings. She was able to quickly explore that database through the Pluaris Dashboard and using various filters. She then pulled this information together in a Pluaris Notebook and shared that note directly with her boss.

Market Outlook

Pluaris users include:

• Knowledge Workers – Gartner estimates there are more than 1 billion worldwide as of December 2019.
• Students in Higher Education: ICEF estimates there are 250 million worldwide as of 2020. This is Nowigence’s initial target group from a market penetration perspective.
• Personal/Home Use: Statista estimates there are 4.7 billion active internet users worldwide as of January 2021.

Nowigence offers tiered pricing, starting at $10/month/user for individuals, while team and enterprise users, who have access to more features to facilitate collaboration and integrations to other enterprise tools, start at $45/month/user.

As a result, the Total Available Market (TAM) is more than a billion users and over $1 trillion. The Market Opportunity (the Serviceable Obtainable Market or SOM) for Nowigence is $11 billion in the combined PKM and Cognitive Computing space defined by Pluaris.

This market is growing rapidly too. The Cognitive Computing market alone was valued at $8.87 billion in 2018 and is projected to reach a value of $87.39 billion by 2026, growing at a CAGR of 31.6% from 2019 to 2026, according to Allied Market Research.

Nowigence offers differentiated value compared to other Personal Knowledge Management (PKM) tools, which have reached as many as 250 million users (Evernote) and have shown rapid adoption (Roam Research reached 60,000 users and $1 million ARR within 6 weeks of launching paid plans). Unlike Pluaris, these tools do not automatically monitor public or private sources to add to your knowledge base, nor do they provide summaries or extract intelligence. Pluaris differs from search engines as well, in that search engines do not access or store personal knowledge, and they also do not summarize or extract intelligence.

Management Team

Anoop Bhatia is the founder and CEO of Nowigence Inc., where he has worked full-time since 2015. Previously, he worked as a global operation strategic transformation leader for Momentive Performance Material (formerly GE Silicones). He has worked for over two decades in various General Electric companies across different countries, including the U.S., India, The Netherlands and Germany. He played a key role in establishing GE Silicones as the first-ever wholly owned foreign subsidiary established in India in 1996. He received his Bachelor of Engineering in Chemical Engineering from BITS in India and did his post-graduate studies in management from Heriot-Watt at Edinburgh in Scotland.

Gordon Haupt is the Chief Technology Officer at Nowigence. He has more than 20 years of experience building and leading diverse engineering and operations teams, and a strong technical background in machine learning, signal processing, and statistical data analysis, including applications in speech and text, biotechnology, and computer vision. He is a named inventor on 15 issued patents and is experienced in all phases of engineering development and operations. He holds a B.S. degree in Engineering Mechanics from the University of Wisconsin and M.S. and Ph.D. degrees from Stanford University in Aeronautics and Astronautics.

David Evans is the company’s acting CFO & General Counsel. As an attorney and licensed CPA in the state of New York, he has extensive experience in multistate and international tax policies and guidelines, federal taxation laws, mergers and acquisitions, including valuation of closely held businesses. He is a contributing author to the New York State Tax Service, a six-volume publication of NYS tax laws and regulations. His prior experience includes being a Managing Director for UHY Advisors LLC, a board member and chairperson of the Tax Division Executive Committee of New York State Society of Certified Public Accountants and a past president of the Estate Planning Council of Eastern New York. He holds degrees from Hofstra University and State University of New York at Buffalo.

Recent News

• Nowigence Inc. - InvestorNewsBreaks – Nowigence Inc.’s Pluaris(TM) Putting Power of Data Science into Wide Range of Users’ Hands
• InvestorNewsBreaks – Nowigence Inc. Bringing Critical Support in Growing Demand for PMK Solutions
• Nowigence Inc.’s Pluaris Offers Solution for Wide Range of Users, Needs

Growth Capital Acquisition Corp. (NASDAQ: GCAC)

The QualityStocks Daily Newsletter would like to spotlight Growth Capital Acquisition Corp. (NASDAQ: GCAC).

Growth Capital Acquisition Corp. (NASDAQ: GCAC), a special purpose acquisition company (“SPAC”), has announced that, at its Feb. 9, 2022, special meeting, its stockholders voted to approve the proposed business combination with Cepton Technologies Inc. According to the announcement, holders of almost 73% of GCAC’s issued and outstanding shares cast votes at the meeting, with more than 93% voting to approve the move. Based on the resounding affirmative vote by stockholders, Growth Capital anticipates completing the business combination quickly, with the combined company being named Cepton Inc., with its common stock and warrants trading on the Nasdaq Capital Market under the ticker symbols CPTN and CPTNW, respectively. Cepton Technologies is a developer of lidar-based solutions for automotive, smart cities, smart spaces and smart industrial applications. To view the full interview, visit https://ibn.fm/xB5Kt. To view the full press releases, visit https://ibn.fm/6r9if and https://ibn.fm/vJ4CX

Growth Capital Acquisition Corp. (NASDAQ: GCAC), a publicly traded special purpose acquisition company listed on February 2, 2021, with $172.5 million in Trust, and Cepton Technologies Inc., a Silicon Valley innovator and leader in high performance MMT® lidar solutions, on August 5, 2021, announced their entry into a definitive business combination agreement. Upon closing of the transaction, the combined company will be renamed ‘Cepton Inc.’ and is expected to be listed on the Nasdaq stock exchange under new ticker symbol ‘CPTN’.

The proposed business combination, which has been unanimously approved by the boards of directors of Cepton and Growth Capital, is expected to be completed early in the first quarter of 2022, subject to, among other things, approval by Growth Capital’s stockholders, satisfaction of the conditions stated in the definitive agreement and other customary closing conditions.

Cepton Technologies Inc. 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 proposed 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

Growth Capital Acquisition Corp. (NASDAQ: GCAC), closed Thursday's trading session at $7.99, off by 12.6776%, on 104,598 volume with 483 trades. The average volume for the last 3 months is 104,598 and the stock's 52-week low/high is $7.92/$10.00.

Recent News

• Growth Capital Acquisition Corp. (NASDAQ: GCAC) - InvestorNewsBreaks - Growth Capital Acquisition Corp. (NASDAQ: GCAC) Stockholders Approve Move with Cepton Technologies, Featured in Gamechangers Interview
• Impending Merger Between Growth Capital Acquisition Corp. (NASDAQ: GCAC) and Cepton Technologies, Inc. Approaches; Shareholder Special Meeting on February 9, 2022
• A Beachhead Market for Cepton: Every OEM Sees LiDAR as Necessity for Safer Driving

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

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

Last year, the price of uranium rose by 45%, going from about $29 per pound at the start of the year to $50 per pound in September. This increase followed growth in 2020, which saw uranium go from $24 in January to $30 by year’s end. Despite not being able to maintain that $50 level, the value of the energy fuel has remained at about $40 since then. Uranium is one of the few commodities that has seen two years of solid gains in the midst of the coronavirus pandemic, which most analysts believe indicates that the metal’s price is not dropping any time soon. However, on the supply side, current supply of the metal cannot meet demand. It is expected that constrained supply will push the price of uranium even higher this year. Needless to say, the increased nuclear energy generation capacity around the world will have a beneficial effect upon the value uranium extraction companies, such as Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR), offer to their shareholders.

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 Thursday's trading session at $7.02, off by 2.9046%, on 2,539,642 volume with 17,820 trades. The average volume for the last 3 months is 2.506M and the stock's 52-week low/high is $4.32/$11.39.

Recent News

• Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) - Uranium in 2022: How High Can Prices Go?
• Uranium and Natural Gas Investments Turn Green in 2023
• InvestorNewsBreaks - FuelPositive Corporation (TSX.V: NHHH) (OTCQB: NHHHF) News Highlighted in Recent NNA Syndicated Broadcast

InnerScope Hearing Technologies Inc. (OTC: INND)

The QualityStocks Daily Newsletter would like to spotlight InnerScope Hearing Technologies Inc. (INND).

InnerScope Hearing Technologies (OTC: INND), an emerging and disruptive leader in the direct-to-consumer (“DTC”) hearing technology space, is on the leading edge of technology. The company delivers premium hearing products for lower prices, including app-controlled hearing aids (quick adjustments are made using a smartphone), hearing amplifiers, associated cleaning goods and vitamins through a DTC model that includes subscription plans. To get the process rolling, InnerScope offers a free online hearing test at www.MyHearIQ.com. The company is also establishing a strong brick-and-mortar retail presence. Its wholly owned subsidiary, HearingAssist, is Walmart’s largest direct-ship and wholesale hearing aid supplier. This comes as the U.S. Census Bureau (“USCB”) shows that the country is charting a course for older adults to outnumber kids for the first time ever in 2034. This means a growing number of cases of presbycusis, or age-related hearing loss. Luckily, a recent article notes, “today’s graying generation won’t have to use the bulky hearing aids of old; they can benefit from technological advancements from companies like InnerScope that make testing easier and hearing devices more discrete and affordable than ever before.” To view the full article, visit https://ibn.fm/3RWDX

InnerScope Hearing Technologies Inc. (OTC: INND) is a Nevada corporation incorporated on June 15, 2012, with its principal place of business in Roseville, California. The company was initially started in 2006 – operating as InnerScope Advertising Agency Inc. – to provide advertising and marketing services to retail establishments in the hearing device industry. On August 25, 2017, the company changed its name to InnerScope Hearing Technologies Inc. to better reflect its current direction as a hearing health technology company that manufactures, develops, distributes and sells numerous innovative hearing health-related products, hearing treatments and hearing solutions, direct-to-consumer (DTC) through a scalable business model.

The company is a manufacturer and a distributor/retailer of DTC, FDA (U.S. Food and Drug Administration) registered, Bluetooth app-controlled hearing aids and personal sound amplifier products (PSAPs), hearing-related treatment therapies, doctor-formulated dietary hearing supplements, proprietary CDB oil for treating tinnitus and assorted hearing and health-related products targeting approximately 70 million Americans suffering from hearing-related problems. The company’s mission is to improve the quality of life of the 70 million people in North America and the 1.5 billion people worldwide who suffer from hearing impairment and/or hearing-related issues.

The management team of InnerScope is applying decades of industry experience and believes it is well-positioned, with its innovative in-store point-of-sale Free Self-Check Hearing Screening Kiosks (“Hearing Kiosks”), to directly benefit when the Over the Counter (OTC) Hearing Aid Act (the “OTC Hearing Aid Law”) is enacted (expected in late 2021 based on the President’s Executive Order issued on July 9, 2021) The OTC Hearing Aid Law allows OTC hearing aids for perceived mild-to-moderate hearing losses to be sold in retail stores without having to see a professional. InnerScope’s Hearing Kiosk is designed to help the tens of millions of Americans with undetected/untreated mild-to-moderate hearing loss treat themselves with the company’s easy, convenient and affordable OTC hearing aids, in-store and/or online.

Industry Game-Changer – New Emerging Market with 48 Million Potential Customers

The following is sourced from The White House Fact Sheet detailing an Executive Order from President Biden aimed at saving Americans with hearing loss thousands of dollars by allowing hearing aids to be sold over the counter at drug stores:

“Hearing Aids: Hearing aids are so expensive that only 14% of the approximately 48 million Americans with hearing loss use them. On average, they cost more than $5,000 per pair, and those costs are often not covered by health insurance. A major driver of the expense is that consumers must get them from a doctor or a specialist, even though experts agree that medical evaluation is not necessary. Rather, this requirement serves only as red tape and a barrier to more companies selling hearing aids. The four largest hearing aid manufacturers now control 84% of the market.”

On July 9, 2021, President Biden noted the following in reference to his Executive Order relating to hearing aids:

“Right now, if you need a hearing aid, you can’t just walk into a pharmacy and pick one up over the counter. You have to get it from a doctor or a specialist. Not only does that make getting hearing aids inconvenient, it makes them considerably more expensive, and it makes it harder for new companies to compete, innovate and sell hearing aids at lower prices.”

“As a result, a pair of hearing aids can cost thousands of dollars. That’s a big reason why just one in seven Americans with hearing loss actually use a hearing aid.”

InnerScope Game-Changers

For InnerScope, this Executive Order could present a significant opportunity. The company is uniquely positioned with a number of strategic advantages and offerings in the space, including:

• First to Market: Free self-check hearing screening kiosks deployed in national pharmacy chains, big-box retailers & national and local groceries chains
• Online Hearing Screening Tests: For national retailers to use their websites to attract more customers in conjunction with the company’s in-store hearing kiosks
• The HearIQ App for iOS and Android users: Offers a free self-check hearing test and provides a user control function for InnerScope’s Bluetooth app-controlled self-adjusting rechargeable hearing devices
• Customer Monthly Subscription Model: Offering the lowest, most affordable monthly payment options (as low as $42 per month for pair of rechargeable, app-controlled hearing aids) for consumers to purchase hearing aids and receive free upgrades every two years.

The In-Store Hearing Screening Kiosks and Online Free Hearing Screening Tests

Innerscope’s hearing screening kiosk and online hearing screening tests offer free self-check hearing evaluation using the world’s first “Hearing Triage” artificial intelligent pattern recognition software, which has a unique ability to classify both level (degree of loss) and pattern (type of loss). In addition, the software can detect the probable location of the hearing problem and its degree of severity.

The tests are developed as a hearing wellness tool to help track hearing ability and (if tests results indicate a hearing loss) make recommendations for in-store point of sale or online purchase of one of InnerScope’s hearing devices, as well as providing recommendations to see one of the professionals in InnerScope’s local contracted network of hearing health care experts for further follow-up testing if necessary. The software also generates an audiometric report which is instantly emailed to the customer.

The HearIQ App

InnerScope is the creator of the HearIQ App, which offers free self-check hearing tests and provides a user control function for InnerScope’s line of Bluetooth app-controlled self-adjusting rechargeable hearing devices. InnerScope developed the free hearing test part of the HearIQ App to help with the early detection of hearing loss for the 1.5 billion people worldwide who have untreated hearing loss or some form of hearing issues that may be undetected and do not have access to a computer for InnerScope’s online hearing screening test.

Hearing Aid Products

Through its dedicated online store, MyHearIQ.com, InnerScope offers affordable, direct-to-consumer, Bluetooth app-controlled, self-adjusting hearing technology to empower consumers to take control of their hearing care. InnerScope’s hearing technology allows the customer in less than 10 minutes using any smartphone to personalize each hearing device to their hearing needs using an onboard in-ear custom-fit self-testing feature through the HearIQ App.

InnerScope is shifting hearing health care from traditional brick-and-mortar hearing care clinics to customers’ homes by providing a unique solution to give customers top quality, affordable access to hearing aids without the need to see a hearing professional or go to a hearing care clinic. As a result, InnerScope can deliver the same level and quality of hearing technology and expert support for the customer from their homes at a fraction of the cost of traditional channels. All InnerScope hearing aid devices are medical-grade and available with professional remote programming and support services from one of the company’s licensed hearing professionals through the HearIQ App.

Hearing & Tinnitus Dietary Supplements

InnerScope has developed a proprietary line of doctor-designed hearing & tinnitus dietary supplements to help people with hearing problems protect themselves from future hearing issues. There are currently three types of formulas to choose from, including Ear-Ring Relief for the 60 million Americans who suffer from tinnitus, HearingVite + Memory Boost for people with hearing loss and cognitive issues, and HearingVite + Multivitamin for maintaining proper hearing health and levels of nutrients.

Complete Line of Hearing Health Care Products

InnerScope offers a brand label of assorted ear care and hearing aid maintenance products. In support of overall ear health and ensuring maximum performance from its hearing aids and comfort for its customers, InnerScope provides a whole line of care items, including cleaning kits, wipes, spray and drying tablets, ear cleaner for wax removal, a natural lubricant agent for new hearing aids and hydrating lubricating ear gel.

Verified Wholesale and Direct-to-Consumer Sales

InnerScope is a verified wholesaler with Walmart for premium affordable direct-to-consumer hearing aids, personal sound amplification and hearing health accessories. InnerScope also created an easy shopping experience for its hearing and tinnitus vitamins through Walmart and Amazon Prime. With new partnerships in the works, the company aims to add other online and brick-and-mortar establishments to its vitamin distribution network in the future.

Hearing Aid Market Outlook

The global hearing aid market is expected to reach $11.02 billion by 2028, growing at a CAGR of 7.4% during the forecast period. This marks a significant increase from the $6.47 billion value reported in 2020, an increase largely driven by innovations being made in hearing aid technology (https://ibn.fm/bRWUb).

As a leading wholesale provider and direct-to-consumer business, InnerScope is positioned to disrupt the global hearing aid market. Its partnerships with some of the United States’ largest retail distributors and wholesalers are only strengthening the company’s position within the industry.

Management Team

Matthew Moore is the President and CEO of InnerScope Hearing Technologies Inc. He grew up in the hearing health industry, working alongside his grandfather through internships and mentorships. At the age of 10 years old, he became Chief Marketing Officer and Chief Operating Officer of his parent’s private hearing aid practice, the largest in Northern California and the second largest in the state. Matthew has shown his leadership ability by creating distribution partnerships with big industry names and independent retailers/pharmacies.

Kim Moore is the Chief Financial Officer of InnerScope Hearing Technologies Inc. She has worked in the hearing aid industry for over 45 years, helping her father maintain his hearing aid practice in Central Valley, California. She began working on marketing with her father at the age of eight, learning that no customer walks through the door without proper advertising and marketing. As a licensed hearing instrument specialist, Kim has given hearing tests to more than 30,000 people.

Mark Moore is the Chairman and Co-Founder of InnerScope Hearing Technologies Inc. He has over 35 years of experience in hearing aid dispensing, practice management, private label brand management and hearing aid marketing. He has personally fit hearing aids to over 10,000 hearing-impaired people. In addition, he has been responsible for developing and testing proven new industry marketing and advertising methods and best practice strategies, which has made him one of the most sought-after experts in the hearing aid industry. Mark was previously a columnist for Advanced for Audiologists, a global industry publication, and served on the American Academy of Audiology (AAA) advisory board for AudiologyNow conventions. He has also developed patented and patent-pending nutritional supplements for hearing-related issues, aural rehabilitation programs and low-level laser therapy for tinnitus and sensorineural hearing loss.

InnerScope Hearing Technologies Inc. (INND), closed Thursday's trading session at $0.0083, off by 1.1905%, on 8,548,622 volume with 219 trades. The average volume for the last 3 months is 8.549M and the stock's 52-week low/high is $0.0072/$0.0855.

Recent News

• InnerScope Hearing Technologies Inc. (OTC: INND) - InvestorNewsBreaks - InnerScope Hearing Technologies Inc. (INND) Making Testing Easier, Hearing Devices More Discrete and Affordable than Ever Before
• InvestorNewsBreaks - InnerScope Hearing Technologies Inc. (INND) Announces Shareholder-Friendly Financing Arrangements
• InnerScope Hearing Technologies Inc. (INND) Retain CPA Firm Paris, Kreit & Chiu LLP to Audit 2019, 2020, & Q1-Q3 2021 Financials

Friendable Inc. (FDBL)

The QualityStocks Daily Newsletter would like to spotlight Friendable Inc. (FDBL).

• The acquisition of Artist Republik, in addition to the flagship offering (Fan Pass Live), has created an all-inclusive opportunity for artists on the platform – creating the optimal “anti-label” solution
• The company reported 14,000% YOY on revenue and 8,000% YOY on its artist portfolio
• Social media metrics show increased growth in all three channels – Instagram, Facebook, and Twitter

After the recent key acquisition of music distribution company Artist Republik, Friendable (OTC: FDBL) is pleased to announce a significant increase in key metrics, driving the growth of its flagship offering, the Fan Pass Live artist platform. Now positioned as the only 360-degree, all-inclusive music artist platform, Fan Pass Live has quickly become the “anti-label” opportunity for artists to turn to when they want to remain in control of their music but need a support system to back them up. The Fan Pass Live offering covers everything from livestream to virtual events, and now, with Artist Republik’s resources, the opportunity to get playlist placements and distribute music – the ultimate start to finish for independent artists within the music industry.

Friendable Inc. (FDBL) is a mobile technology and marketing company focused on connecting and engaging users through its proprietary mobile and desktop applications. Launched July 24, 2020, the company’s flagship offering is designed to help artists engage with their fans around the world and earn revenue while doing so. The livestreaming platform supports artists at all levels, providing exclusive artist content ‘Channels’, LIVE event streaming, promotional support, fan subscriptions and custom merchandise designs, all of which serve as revenue streams for each artist.

With Fan Pass, artists can offer exclusive content channels to their fans, who can use their smartphones to gain access to their favorite artists, as well as an all-access pass to all artists on the platform. Additionally, the Fan Pass team will deploy social broadcasters to capture exclusive VIP experiences, interviews and behind-the-scenes content featuring their favorite artists – all available to fan subscribers on a free trial basis. Subscriptions are billed monthly at $3.99, or about the cost of downloading a couple of songs, and VIP experiences are available at a fraction of the cost of traditional face-to-face meetups.

Friendable Inc. was founded by Robert A. Rositano Jr. and Dean Rositano, two brothers with over 27 years of experience working together on technology-related ventures.

The Fan Pass Mobile & Desktop App

Friendable Inc. launched its Fan Pass platform as a solution for artists and their fans as the COVID-19 pandemic and the associated shutdown have continued to severely hamstring the entertainment industry as a whole. Through Fan Pass, the company aims to reach artists at all levels looking to alter their touring schedules to include ‘Virtual Touring’, new revenue sources and innovative fan engagement opportunities that are expected to become permanent fixtures of artists’ touring routines moving forward.

Fan Pass creates an ecosystem that embraces fans of all kinds, feeding diehard followers and developing lasting connections with more casual supporters. Through the app, qualified artists are provided with a custom designed, exclusive ’Fan Pass Channel’ where they can invite fans and social followers from anywhere around the world to join in chats and live events – allowing fans to experience all there is to see of an artist in one place. Artists earn revenue from monthly fan subscribers, merchandise sales, tickets sold for virtual streaming events and generally from all content views or impressions on their channels. All content views and sales of every kind are reported to each artist through their dashboards, including real-time payout and earnings information.

Fan Pass’ exclusive ‘All Access VIP’ option provides fans with access to content, such as:

• Live performances or online concerts
• Backstage meetups before, during or after events
• Livestreams of studio sessions
• Behind-the-scenes footage of music video and photo shoots
• Special interviews and one-on-one videos
• Streams highlighting the artists’ daily lives

The Fan Pass platform is extremely intuitive, bringing each artist through a streamlined onboarding process, including building out artist ‘Channels’, scheduling LIVE events and designing special edition merchandise to be offered solely through exclusive Fan Pass merchandise stores.

“With the global pandemic disrupting the entertainment industry in such a profound way, artists have had to look to digital distribution and live virtual performances in order to maintain any earning opportunities. Fan Pass and our team are determined to provide solutions and support to all artists, their fans and the industry in general. We are excited about the opportunity we have to shape the future of virtual entertainment, revenue generation and artist/fan engagement,” Robert A. Rositano Jr., CEO of Friendable Inc., stated in a news release.

Market Opportunity

Artists rely heavily on revenue streams that are not often seen by those without intimate industry knowledge. When it comes to traditional performances, the sale of VIP/backstage or meet & greet passes to boost revenue can often become the majority of the artist’s annual tour revenue. Data provided by one of the company’s original entertainment partners, The Kluger Agency (TKA), suggests that as much as 18-23% of artists’ annual tour revenue has historically been derived from these VIP experiences.

The World Economic Forum reports that, in 2020, the six-month-plus disappearance of live music concerts is estimated to have cost “the industry more than $10 billion in sponsorships,” and individual artists are feeling the loss the most. Fan Pass is helping to bridge this gap, providing more affordable virtual VIP experiences that can be offered simultaneously to fans around the world.

While it’s free for artists to join, Fan Pass leverages a monthly subscription model paid by fans to generate revenues. These revenues are shared with all channel artists. In exchange for its platform features, live streaming tools, bandwidth, processing and handling, Fan Pass earns platform fees on each separately ticketed event, as well as splits with each artist on subscriber fees and merchandise designed and sold on the platform.

The U.S. video streaming industry is expected to hit $7.08 billion in value in 2021, with an estimated 100 million internet users watching online video content every day, according to data from Livestream.com. The same report suggests that 45% of live video audiences would pay for exclusive, on-demand video from a favorite team, speaker or performer. Through Fan Pass, Friendable Inc. is uniquely positioned to capitalize on this opportunity.

Friendable App

The company’s second application, Friendable, is an all-inclusive platform where users can meet, chat and date. The app has exceeded 1.5 million total downloads, with over 900,000 historical registered users and more than 580,000 historical user profiles.

Friendable Inc.’s Next Phase of Growth

To facilitate its next phase of growth, Friendable Inc. is seeking an additional $1 million in equity investment, with a follow-on funding that meets or exceeds $5 million. The company intends to utilize its relationships to secure the lowest cost of capital available, as these funds will drive technology advancements, increase head count, fund marketing initiatives and secure additional celebrity talent aimed at bringing larger fan audiences to each released event. These initiatives will assist in building recurring monthly (fan) subscribers, effectively generating recurring monthly revenue for each artist, as well. The next phase of growth is expected to play a key role in accelerating the company’s download and conversion of data for subscription revenue and merchandise sales.

The company’s primary goal is to establish Fan Pass as a premier brand and mobile platform dedicated to connecting and engaging users around the world. In support of this goal, it has entered into a partnership with Brightcove targeting OTT platform expansion, including leaders such as iOS, Android, Apple TV, Android TV, Roku and WWW.

In the highly competitive video streaming market, Friendable Inc. has tapped into an unmet demand from today’s ever-present ‘omni-users’ for constant contact with celebrities and influencers. Via Fan Pass, the company offers investors an opportunity to gain a stake in an organization catering to this new breed of omni-users and their influencers.

The application’s potential is clearly illustrated by the interest it has generated in recent weeks. From September 4 to October 12, the Fan Pass platform added 246 new artists, accounting for a 410 percent increase in just six weeks.

“We are extremely encouraged by the ongoing swell of interest as the value of our Fan Pass platform continues to resonate in the artist community,” Friendable CEO Robert A. Rositano Jr. stated in a news release. “We believe the live streaming functionality, our full-circle offering and diverse revenue opportunities the platform offers will continue to drive exponential growth as management remains focused on building long-term shareholder value.”

Management Team

Robert A. Rositano Jr. is the co-founder and CEO of Friendable Inc. He oversees the daily management and operational duties of all areas of the business. He has over 20 years of experience as a serial entrepreneur, bringing in over $60 million in liquidity events for the companies he has created or managed. Before starting Friendable Inc. with his brother, Rositano was a founding member of the internet’s first IPO, Netcom Online Communications Inc. It was sold to ICG, then to EarthLink in 1995. He has been a co-founder of several successful ventures, including Simply Internet Inc., Nettaxi.com and America’s Biggest Inc., among others. He also authored one of the first web directories for MacMillan Publishers.

Dean Rositano is the co-founder and Chief Technology Officer of Friendable Inc. He handles the day-to-day operations and guides the technical direction of the company. He has over 15 years of executive management, financial management, high technology operations and internet architecture experience. Before co-founding Friendable Inc., Rositano co-founded several other companies, including Checkmate Mobile Inc. and Latitude Venture Partners LLC, among others.

Friendable Inc. (FDBL), closed Thursday's trading session at $0.0024, off by 4%, on 6,147,852 volume with 43 trades. The average volume for the last 3 months is 5.975M and the stock's 52-week low/high is $0.0016/$0.0649.

Recent News

• Friendable Inc. (FDBL) - Friendable Inc. (FDBL) Announces Key Metrics Driving Growth of Fan Pass Live Artist Platform; Details February Contest
• InvestorNewsBreaks - Friendable Inc. (FDBL) Building Momentum on All Fronts for Fan Pass Live, Artists and Fans
• Friendable Inc. (FDBL) Providing More Revenue-Generating Opportunities to Independent Artists in 2022