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The MaryJane Group Inc (OTCMKTS:MJMJ) Gets Another Look

The MaryJane Group Inc (OTCMKTS:MJMJ) Gets Another Look
Written by
Alex Carlson
Published on
February 8, 2017
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The MaryJane Group Inc (OTCMKTS:MJMJ) is getting another look after CNBC profiled the company and its founder Joel Schneider last month. Most investors had written the company off for good as MJMJ was never able to truly capitalize on the press it had last year. Last January, The MaryJane Group was profiled on the History channel, but there was never any follow through and the company remained quiet on the news front. After seeing the CNBC story, we're giving The MaryJane Group another look.First up, a little background on the company. The MaryJane Group is a hospitality management company based in Colorado. They consider themselves to be the leader and creator of the canna-lifestyle hospitality sector, committed to strengthening the recreational cannabis industry through a unique brand portfolio of guest venues and trusted partnerships with leaders in the cannabis field. Founded in 2014 by Joel Schneider, the company has worked to capitalize on the passing of the Colorado Amendment 64 by establishing lodging accommodations dedicated to the growing canna-tourism industry.The combination of lodging and cannabis attracted a lot of free publicity for the company. Prior to being on the History Channel, MJMJ had been featured on CBS News’ 60 Minutes, The Tonight Show with Jimmy Fallon, Time Magazine, The NY Times, and High Times Magazine. This is a big deal for a tiny company like MJMJ. Unfortunately, the press did not help its shareholder base, which has seen the value of their holdings get crushed over the past three years.The CNBC profile provided a lot of updates that shareholders were being kept in the dark on. First up, revenues are better than expected, coming in at $110,000 a month. The company did $1.2 million last year, its best year ever. Occupancy rates are high — most weekends are sold out. Guests are booking reservations for April 20 (4/20) a year in advance.Second, the canna camps did not come to fruition. MJMJ had signed a Lease and Service Agreement to operate Camp Bud+Breakfast at Aspen Canyon Ranch, a 414 acre all-inclusive getaway in Parshall, Colorado. The Camp Bud+Breakfast Resort was to have 56 guests at a time in one bedroom cabin accommodations, the Cliff House and the River House. Unfortunately, the lease got pulled at the last minute and the deal fell through. Again, if it wasn't for the CNBC interview, we would not have known this. The last press release from the company on April 4, 2016 quoted Joel Schneider saying:

“we have received some bookings at the ranch with little marketing the Company intends on initiating a marketing campaign over the next few weeks utilizing social media, traditional advertising and press partnerships to maximize this opportunity. In addition the Company is in discussions with several well known bands to hold a music festival over the summer at the ranch.”

Currently trading with a market cap of $993k, MJMJ is currently trading at less than one year's revenues based on what Joel Schneider told CNBC. The problem is that the company has not been filing with the SEC and we have not seen official numbers from the company since January 31, 2016. As a result, OTC Markets has hit the symbol with the dreaded STOP sign.Further hurting matters is the fact that we don't even know how many shares are currently outstanding. OTC Markets has the authorized share count being 2 billion, but there were 2.4 billion outstanding as of March 24, 2016. While it's hard to recommend an exposure to MJMJ without any new filings, the good news is that at $.0004 a share, the reward looks to outweigh the risk, especially if Joel Schneider can find a buyer for the company or take it private himself.We will be updating our subscribers as soon as we know more. For the latest updates on MJMJ, sign up below!Disclosure: We have no position in MJMJ and have not been compensated for this article.

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