NORTH AMERICAN CAN (OTCMKTS:USMJ) reported a letter of intent to buy Turning Point Cannabis Strategies. The intended acquisition is aimed to advance company’s entry into the California cannabis industry. The firm has uploaded an online presentation on its website with more information on the planned acquisition.
The narrative from the posted presentation focused on North American’s plan to establish a model business in leading pot markets including Canada and California. Turning Point Cannabis Strategies is advancing a brand plan for a cannabis cultivator and dispensary co-op in the greater West Coast and California with specific opportunity in the state of Washington.
It has investment commitment for the buying of a dispensary and grow operation where the model co-op business will be refined and established. After implementing and acquiring the model co-op operation, the firm will initiate an effort to enroll independent dispensary and grow operations that will all follow the model operation practices and together market their services and products under the co-op brand name.
As the latest update states Turning Point Cannabis Strategies intends to exchange its equity for equity in North American. The deal details are still in negotiation. North American plans to complete the acquisition of Turning Point at the same time that of Turning Point’s deal of a model grow and/or dispensary business. Cannabis co-op brand strategy of Turning Point is consistent with North American’s previously issued plan to form a Sun Maid Raisins like cannabis operation model in the major available legal markets and be positioned for the countrywide legalization of cannabis in the U.S.
In the last trading session, the stock price of North American declined more than 16% to close the day at $0.00050. The decline came at a share volume of 206.29 million compared to average share volume of 103.17 million.