IGC Archives - Green Market Report

Debra BorchardtDebra BorchardtOctober 30, 2018
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4min23301

The New York Stock Exchange (NYSE: ICE) is delisting self-described cannabis company India Globalization Corp. (NYSE: IGC). In a short statement, the NYSE said that trading of the common stock would be suspended immediately.

The statement said that IGC has “Engaged in operations which, in the opinion of the Exchange, are contrary to the public interest. Section 1009(a) (ii) of the Company Guide states that it is necessary and appropriate for the protection of investors to immediately suspend trading in the Company’s common stock.”

The NYSE also said that “The issuer has substantially discontinued the business that it conducted at the time it was listed or admitted to trading and has become engaged in ventures or promotions which have not developed to a commercial stage or the success of which is problematical.

The Green Market Report recently highlighted the ways India Globalization Corp. claimed to be a cannabis company, but in reality, was earning money from legacy trading operations. Other outlets like MarketWatch have also dived into the company’s filings to uncover bad behavior. Mostly that IGC pretends to pivot its company to whatever new trend is moving the market, while not actually doing so.

Aphria Inc.

On a positive note, Aphria Inc. (TSX: APH)  said that its common shares have been approved for listing on the New York Stock Exchange and will begin trading at the open of markets on November 2, 2018. The new symbol will be APHA and the company said that it was changing its Toronto symbol from “APH” to “APHA.”

The shares that are currently trading on the OTCQB will move over to the NYSE. Shareholders will not need to do anything other than making sure their brokerages reflect the change in exchanges.

“Listing on the NYSE provides Aphria with access to the largest equity market in the world, with increased exposure to a vast array of US institutional and retail investors. This strategic move aligns directly with our growth ambitions as we enter an elite peer group of respected, high-profile corporate brands listed on the NYSE,” said Vic Neufeld , Aphria CEO.

Mr. Neufeld added: “We are excited to usher in a new era with the recent legalization of adult-use cannabis in Canada and as we aim to further expand our footing in exciting markets such as Latin America , the Caribbean and Europe . Aphria is well-positioned to capitalize on this fast-growing industry.”

 

 

 

 


StaffStaffOctober 16, 2018
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3min10890

If you’ve ever watched the movie Ironman, there’s a scene where Jim Cramer talks about Tony Stark’s company on Mad Money saying, “It’s a weapons company that doesn’t make weapons.” That’s basically what  India Globalization Capital Inc. (IGC) is – a cannabis company that doesn’t sell cannabis and is listed on the New York Stock Exchange (ICE).

The company only books revenue from its legacy business of trading commodities and heavy equipment rental. For the three months ending September 30, this was $811,000. The net loss for the quarter was $858,000. There is no revenue from cannabis products at this time.

The company says that its “focus is to develop and commercial cannabinoid-based alternative therapies for indications such as Alzheimer’s disease, Parkinson’s disease, and pain. Our flagship product Hyalolex is not a U.S. Food and Drug Administration (“FDA”) approved pharmaceutical product. The commercialization of Hyalolextm has commenced and we expect revenue in the fiscal year 2019, though there can be no assurance as to the amount of such revenue.”

The company has filed for patents for its hemp-oil-CBD-infused energy drink. The filings read, “The Company cannot guarantee that such patent filings will result in a successful registration with the USPTO.”

The company took a $1.8 million loan from Bricoleur back in 2009 and has been paying it back with stock shares. The company asked shareholders last year to give Bricoleur more shares, but the request was rejected. On May 2, 2018, IGC filed a lawsuit in the Circuit Court for Montgomery County, Maryland, seeking a declaratory judgment that the shares issued to Bricoleur by the Company represent payment on the loan and damages for improper lending practices under Maryland law. The lawsuit is currently pending.

The company is headquartered in India but has offices in Washington and Maryland. “During the quarter ended September 30, 2018, the total rent paid to the affiliates (of the CEO) was $13,500 for the office space (and administrative services) in Maryland and $18,300 for the facilities in Washington State.” Ram Mukunda is the President and Chief Executive Officer.

The stock has dropped 11% in early trading to sell at $4.66.



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The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


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