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Written by
Jarrod Wesson
Published on
November 6, 2017
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In our previous article about Blue Diamond Ventures, Inc. (OTCMKT:BLDV), we noted that the company had financial stability and assessed the type of intangibles and goodwill in the balance sheet. Additionally, we said that market participants were still discounting the businesses acquired in the past and the company should be followed closely. Company LogoWe believe that we were not wrong in saying so.Just recently, the share price increased again.From approximately $0.0008 per share, the share price went up to $0.0014.But, that's not all.The amount of shares that changed hands recently picked up as well.Have a look at it: 1 year chart for BLDV 1 month chart for BLDVLet's provide some background for those who are reading about this company for the first time. BLDV offers a wide range of services to other companies; from corporate formation to sales and marketing. The company is said to have a vast network of "strategic partnerships and real world practical business experience" that makes the company a great resource for other businesses.Recent DevelopmentsThe following were the news items that created a large share price reaction.On May 15, 2017, the company highlighted that it had acquired the remaining 80% interest in Clean 1st LLC making the company 100% wholly owned subsidiary. Clean 1st LLC is focused on janitorial cleaning service to the marijuana industry. Furthermore, it is said to be the leading provider of cleaning and anti-bacterial treatments for the cannabis sector in Colorado.We appreciate the news, not only because the company is growing but also because buying assets in the marijuana sector is a brilliant corporate move right now. We have assessed many other companies operating in this sector and their growth is very significant. They seem to be profiting from the increase in demand for marijuana after some states and Canada approved some forms of marijuana treatments.The growth continued in May. On May 26, 2017, the company announced a strategic partnership with Eltron Research & Development of Boulder Colorado. The company seems to be very well known in the industry. It is the creator of the ImPAAct™ Peracetic Acid Generator. It was founded in 1982 and has 77 patents, of which 29 have been licensed to industry. In our opinion, this deal will help the company acquire new know-how. The reaction of the market makes a lot of sense, which pushed up the share price when the news came out.On June 21, 2017, the company launched Michigan Growth LLC, which the market appreciated much. The business model seems exciting. This new company will "fund the construction of multiple cannabis real estate properties and then lease the buildings to licensed Commercial Cannabis Growers in Southwest Michigan." $10 million is projected to be raised.Market participants pushed up the share price quite a bit. Thus, we will need to be alert regarding new announcements about this project.The growth did not end there. On June 28, 2017, the company highlighted a collaboration with existing Israeli Cannabis Farms, Government Regulators, and third-party Certification Agencies to develop Sanitation and Anti-Bacterial protocols that will comply with the new GAP and GMP standards being developed in Israel. The developments of specific standards in cleaning and sanitation in this industry seem to be the next move. The company seems to be an early mover in this country, which we appreciate much.In July, this press release seemed to excite market participants. The company provided mid-year project updates and some projections for 2018. The projects engaged by the following company subsidiaries were assessed: Blue Diamond Consulting LLC, AMS Farms Canada, Clean 1st LLC, Cannabis Real Estate Fund, Michigan Plant Technologies LLC and NOW Brands.The most significant announcements made were that Cannabis Real Estate Fund would be cleared to accept investments on Tuesday, September 5, 2017. Additionally, regarding Michigan Plant Technologies LLC, the bettyBOT SHOP received approval from Chicago Health Department and opened on Aug 4, 2017.On September 20, 2017, a new announcement made the share price increase. A Letter of Intent signed with Quality Green Inc. was noted. Both companies will work on a build-to-lease building for cannabis cultivation. The initiative comes from the Innovative Growth Group Fund (Previously Michigan Growth Fund) that plans to build multiple buildings in the USA and Canada over the next 18 months. The market seemed to appreciate that this fund will project $1.2 million in revenues in 2018, which was noted in the press release.Furthermore, two days later, the company released that BLDV Innovative Growth Group expects to construct up to 12 Cannabis Cultivation facilities in the next two years. The news made the share price jump again for those who were following the announcements closely.On October 30, BLDV highlighted that it will build a state of the art cultivation facility for the newest licensed producer in Ontario, Canada. Quality Green Inc., which was mentioned before, seemed to have accepted the terms of BLDV. The most significant were the figures released: a cost of $1.2 million including $0.7 million for purchasing the building and $0.5 million for construction fees.ConclusionCurrently trading with a market cap of $5.5 million, BLDV is an exciting story among small caps. With $0.15 million in long term investments, $0.28 in total assets, no long term debt, and only $0.25 in total liabilities, the financial situation seems stable. To sum up, we believe that there is a lot to like in BLDV.Be sure to check out our coverage on BLDV!We will be updating our subscribers as soon as we know more. For the latest updates on BLDV, sign up below!Image courtesy of Lorenz PhotoClimber via FlickrDisclosure: We have no position in BLDV and have not been compensated for this article.

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