FSD Pharma

FSD Pharma Inc. (OTCMKTS:FSDDF) BOUNCE Back On Renewed Investor Interest

Investor confidence in FSD Pharma Inc (OTCMKTS:FSDDF) has started to edge higher in response to a string of positive developments that have once again underlined the company’s prospects. For starters, the company is fresh from completing an investment in Cannara Biotech having harvested its second lot of cannabis. In addition, the company has confirmed a strategic investment in Huge Shops further strengthening its cannabis retail prospects.

FSD Pharma Price Analysis

Investors taking note of the positive developments have helped shore the stock’s sentiments in the market. The stock has since bottomed out after a steep pullback from all-time highs $0.88 recorded last year.

Given that the bounce back has come at the back of high turnover in traded shares, all indication is that the stock will continue climbing high. After the recent spike, the stock needs to surge and stabilize above the $0.40 mark to affirm the emerging uptrend.

FSDDF Daily Chart

Above the $0.40 mark, FSD Pharma would have turned bullish and at a better position to make a run for 52-week highs. Below the $0.30 mark, short sellers remain in firm control and could continue pushing the stock lower in continuation of the underlying downtrend.

About FSD Pharma

FSD Pharma is a Canadian cannabis company engaged in hydroponic indoor cannabis production and processing. The Company holds the rights for producing marijuana through its wholly owned subsidiary FV Pharma. In addition, it has inked a strategic partnership with SciCann Therapeutics, for the production and distribution of cannabis products.

Pre-Sales License Push

FSD Pharma remains well positioned to continue climbing the ladder after a steep pullback, on serving a string of groundbreaking catalysts. For instance, the company is on course to transition into a revenue-generating entity on completion of its second lot of cannabis.

The company is undergoing a pre-sales license inspection from Health Canada, which if successful would mark an important milestone in the implementation of its business plan. The company is in the process of submitting a readiness report for a pre-sale inspection.

Strategic Investments

The pursuit of pre-sales license inspection comes barely weeks after the company completed a $1.3 million strategic investment in Huge Shops. The investment accords the company a 9.9% stake in the Toronto based retailer, which also has a strategic alliance with Chairman’s Brands.

Huge Shops investments should expand FSD Pharma retail footprint as the company is in the process of expanding its footprint across Ontario on identifying key locations.

“Huge Shops’ strategic alliance with Chairman’s Brands enables the company the ability to quickly create a network, with a well-established consumer base, in key demographic areas throughout the province. FSD Pharma, through its investment in Huge Shops, will offer leading cannabis products to consumers in the province,” said FSD Pharma Executive Co-Chairman and Co-Founder, Anthony Durkacz.

Huge Shops is planning to use FSD Pharma investment to reach out to over 14 million marijuana consumers in Ontario. The investment also allows the company to avoid the cumbersome leasing arrangements, as is the case with its rivals.

In addition, FSD Pharma has continued to strengthen its prospects in the industry on acquiring a 12.25% stake in Cannara Biotech Inc. The company now hold 75 million shares of Cannara Biotech through its wholly owned subsidiary FV Pharma.

The investments come on the company suffering a major blow on Therapix, terminating a binding letter of intent for a proposed merger. FSD Pharma was in the process of acquiring Therapix Biosciences as part of a new plan to strengthen and develop pharmaceutical assets in the cannabinoid research space.

“It is important to note that our efforts to gain full US exchange listing are advancing as planned. We are also in active and positive conversations with potential strategic and investment partners across the globe,” said, Dr. Raza Bokhari, Executive Co-Chairman of the Board.

What Next For FSD Pharma

After a wild run as a public company, FSD Pharma has once again reiterated its growth metrics. Aggressive investments and strategic partnerships all but affirm the company’s long-term prospects, one of the reasons behind renewed investor interest in the stock.

FSD Pharma has every reason to succeed in 2019 as it has already started pursuing a pre-sales license. Huge Shops investment paves the way for the company to generate significant value from the retail cannabis business, which should strengthen its revenue avenues.

The stock should continue powering higher after the steep pull back from record highs on strengthening investor confidence.

We will be updating our subscribers as soon as we know more. For the latest updates on FSDDF, sign up below!

Disclosure: We have no position in FSDDF and have not been compensated for this article.

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FSD Pharma Inc. (OTCMKTS:FSDDF) BOUNCE Back On Renewed Investor Interest
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