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Abattis Bioceuticals Corp (OTCMKTS: ATTBF) Gets A Close Look

Abattis Bioceuticals Corp (OTCMKTS: ATTBF) Gets A Close Look
Written by
Jarrod Wesson
Published on
April 11, 2017
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Abattis Bioceuticals Corp (OTCMKTS: ATTBF), the biotechnology company, which invests in agricultural technologies for the legal cannabis industry developing in Canada, is our new profile. On April 10, 2017, the company announced that it had appointed a new President and Chief Executive Officer. Investors celebrated the news and the share price rapidly increased by 19%. We believe that this rise may be just the beginning.Take a look at the chart and note the large amount of shares being exchanged recently:SourceThe company and the new CEOOn December 23, 2010, Abattis Bioceuticals commenced trading on the Canadian Securities Exchange under the symbol “FLU”. On June 17, 2011, it was listed in the OTC Market Pink Sheets so that it can be traded in the United States. The company owns a portfolio of companies:

  • Northern Vine Labs: it is an analytical testing laboratory, providing services to the legal cannabis industry in Canada. It can test analytical samples of cannabis, received from holders of a valid license issued under the Narcotic Control Regulations Act.
  • Vergence Visionary Bioceuticals: it is where we can find the team of marketing and brand specialists of Abattis. The company claims that this subsidiary is the exclusive exporter of 99.6%, organic and pure CBD Isolate out of Hong Kong and directly to the rest of the world.

The company has developed the business quite rapidly in the last six years. In August 2012, Abattis Bioceuticals closed the acquisition of Northern Vine Canada Inc. and its Sci-Naturals brand. In March 2012, Animo Wellness Corporation was acquired as well. This company owned 77 Natural Health Product Licences issued by Health Canada. Additionally, on July 23, 2012, the company acquired proprietary Flash Freeze Extraction Equipment.We believe that the company is very well positioned in the marijuana sector, as it started to develop the business and acquire other competitors even before the American and Canadian governments started to change their stance on marijuana. We believe that this accumulated expertise in the business is a key asset that we may not be able to take into account in the balance sheet, but the investors should factor in.Check out this video. It includes key information about the company:

The appointment of the new CEO, Robert Abenante, is very relevant. He brings expertise in bigger companies. Thus, he may be able to accelerate the growth of the company. He is a Chartered Professional Accountant and has worked for PricewaterhouseCoopers and Deloitte. In addition, he founded several public and private companies across various industries, including agriculture technology and nutraceuticals.Rene David, the Company's CFO and Director, commented the following about the new CEO:

"We are very excited to bring aboard someone with Mr. Abenante's high caliber skillset and impressive experience to lead our Company, his reputation for efficiently building management teams, cleaning up corporate structures and raising capital will drive growth in our Company both organically and through joint ventures, mergers and acquisitions" Source

New Relevant DevelopmentsOn March 27, 2017, Abattis announced that it was anticipating the Canadian government's "upcoming announcement, on legislation that will legalize recreational marijuana use across Canada by July 1, 2018." In another press release, Abattis noted that Northern Vine Labs will open its doors in April 2017 to serve the upcoming demand for cannabis testing. In the same communication, it was remarked that the cannabis testing market is expected to grow at a very high pace; 11.5%. Additionally, the total market value may be close to $1.42 billion by 2021. If these numbers are true and Canadian government legalizes the drug by July 1, 2018, as it is expected, this company may become a very big player quickly as the demand for testing increases exponentially.ConclusionAbattis Bioceuticals continues to pump out news and that should keep a bid in the stock price. Once Canada legalizes recreational marijuana use, there will be strong demand for cannabis testing, especially after last year's big Mettrum recall. Consumers want to be sure that none of the cannabis they are consuming has been sprayed with any harmful pesticides. Overall we see plenty of catalysts to keep ATTBF climbing higher.We will be updating our subscribers as soon as we know more. For the latest updates on ATTBF, sign up below!Disclosure: We have no position in ATTBF and have not been compensated for this article.

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