In our last review of Life Clips Inc (OTCMKTS:LCLP) on June 6, 2017 we reported on the Company’s adverse condition and string of bad news press releases. While the Company seems to be in “dire straits,” and the outlooks does not look favorable, there appears to be a glimmer of optimism that it may make a comeback. Recently the Company has taken steps to correct the course it’s on.Before we get into the details, a little background for those that are not familiar with the Company. Life Clips Inc. is focused on delivering the world’s best global sourcing, logistics, and multi-channel sales and marketing services. The Company’s Mission is to be the world’s most customer focused and efficient way to obtain and distribute products and services globally. Its core businesses consist of five synergistic business units: 1. Global Sourcing Services 2. Global 3PL Logistics Services 3. Multi-Channel Retail Sales and Marketing 4. Our own branded products 5. US and Global Manufacturing operationsRecent changes in the management team has brought about drastic change in the Company’s strategy. Two new divisions have been formed, and a key acquisition has been completed.On Aug. 07, 2017, Life Clips, Inc. announced that it formed a new division, CannabAscenda, to provide global sourcing services to the cannabis industry. The new Company will focus on products and paraphernalia that can be sourced anywhere in the world and provide total logistics solutions and sales and marketing services. Huey Long, CEO of LifeClips stated:
“with the launch of our new business model and the recent acquisition of Ascenda, we have a natural platform to evolve into a global sourcing provider for many business lines and products. With the rapid growth and proliferation of medicinal and recreational cannabis, we can immediately source and provide higher quality and more cost effective products and paraphernalia than those currently on the market.”
The Company will focus on providing the industry with sourcing and logistics solutions and sales and marketing solutions for products and paraphernalia only. The Company does not currently intend to grow, distribute or sell hemp.On July 31, 2017 Life Clips Inc announced it has formed another new division to pursue government and military sourcing and procurement opportunities. This division will be led by DOD veteran, Edward J. Schmidt. Commenting on the new division and the appointment of Mr. Schmidt, Huey Long, Life Clips CEO, stated:
“The acquisition of Ascenda, coupled with our organic sourcing and logistics growth, has positioned Life Clips to pursue the multi- billion dollar Government and Military Procurement and Sourcing opportunities. By forming this new division, we will be in a position to pursue both domestic and international contracting and bidding opportunities. There is no better executive to lead this group than Ed Schmidt. Ed is a seasoned government and military executive and has served our country for many years. I look forward to working with Ed to rapidly grow this division.”
Perhaps the most impactful news is the announcement that, on June 22, 2017, it closed on the acquisition of the shares of Hong Kong Ascenda International Co., Limited, a company organized under the laws of Hong Kong, and Hong Kong Ascenda International Co., a company organized under the laws of the Independent State of Samoa (collectively, “Ascenda”), which are the main operating companies of Ascenda Corporation. Ascenda Corporation was formed in 2000 and is based in China and the USA. This acquisition will provide the Company the ability to import and export products globally. The acquisition includes Ascenda’s existing business, clients, executive management and goodwill. The original investors in Ascenda Corporation included The China Development Group, which was the largest investment banker in Taiwan, and Donald Ruan, who has over 40 years of experience in global trade. LCLP DailyLCLP stock has been on a steady downward trend since the beginning of 2017. The stock is currently trading at $.0018. The last month or so has seen a sharp increase in volume. Quarterly financial statements for the period ending March 31, 2017 indicate a very weak cash position, and very little revenue. Current market capitalization stands at $503,713, on 279.54 million shares outstanding as of August 14, 2017.Life Clips Inc still has a great deal of work to do before investors will become interested. Getting involved in the rapidly growing cannabis industry is a good move toward that end. We will keep a close eye on LCPL to see if the turnaround happens. We will be updating our subscribers as soon as we know more. For the latest updates on LCLP, sign up below!Image courtesy of MISCHELLE via FlickrDisclosure: We have no position in LCLP and have not been compensated for this article.
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