Marijuana is inspected. (Denver Post file)Associated StoriesMar 30:Non-psychoactive CBD oil produced from marijuana plants poised to be game-changer Mar 11:Pot-developing warehouses in quick supply as demand for legal weed surgesMar 10:Bank in federal seizure...

SEC halts trading of Advanced Cannabis Solutions' stock

Marijuana is inspected. (Denver Post file)Associated StoriesMar 30:Non-psychoactive CBD oil produced from marijuana plants poised to be game-changer Mar 11:Pot-developing warehouses in quick supply as demand for legal weed surgesMar 10:Bank in federal seizure...

SEC halts trading of Advanced Cannabis Solutions' stock
Marijuana is inspected. (Denver Post file)Associated Stories
  • Mar 30:
  • Non-psychoactive CBD oil produced from marijuana plants poised to be game-changer
  • Mar 11:
  • Pot-developing warehouses in quick supply as demand for legal weed surges
  • Mar 10:
  • Bank in federal seizure says pot-associated accounts are swiftly closed
  • Colorado medical pot registry inches up as recreational shops open
  • Mar 5:
  • First pot organization license issued in Washington
  • Feb 11:
  • Magazines sue Colorado more than marijuana marketing restrictions
  • Jan 31:
  • Pot shops face obstacles to serve young healthcare marijuana patients
  • Jan 21:
  • Sophisticated Cannabis gets $30 million of credit as pot stocks rally
  • Jan 15:
  • Two retail marijuana stores proposed for Denver's 16th Street Mall
  • Jan 8:
  • Colorado marijuana retailers see steady company, dwindling inventory
  • Jan 4:
  • Higher Instances launches private equity fund for marijuana investment
  • Dec 31:
  • Colorado marijuana shops scramble to prepare for New Year's sales
  • Talking pot in a contemporary planet: Vaping, Sour Diesel and beyond

Executives at Sophisticated Cannabis Solutions on Tuesday described the recent temporary suspension of trading on the Colorado Springs' company's stock as an "massive inconvenience," but have been optimistic trading will resume.

Final week's quit-trade order by the U.S. Securities and Exchange Commission comes just 3 months after the commence-up landed up to $30 million in credit to support obtain properties to be leased to marijuana growers, which shot its stock up by 466 percent.

Sophisticated Cannabis Solutions shares, which last traded for $29.99, are up 823 percent for the year.

The SEC issued the order following questions more than "whether or not particular undisclosed affiliates and shareholders (of ACS stock) engaged in unlawful distribution of securities" on the More than-the-Counter Bulletin Board and OTC Link.

The Cannabist
    Recent Cannabist news

The order is scheduled to be lifted April 9, the SEC stated in a statement.

"It is a large situation, in particular for a business that was on a incredibly optimistic trajectory," CEO Robert Frichtel told The Denver Post in a telephone interview Tuesday. "In the purest enterprise sense, this is an enormous distraction."

ACS shares held by organization insiders are restricted from sale until August, Frichtel stated, so it really is unlikely the SEC inquiry &mdash about which the enterprise has received no detailed facts &mdash is seeking at them.

What could be in play are shares from ACS's reverse-merger last summer time with Promap Corporation in Centennial, a smaller oil-and-gas mapping business enterprise that acquired 94 % of ACS in exchange for 12.1 million shares of Promap prevalent stock, an 88 % ownership stake.

Frichtel, 49, became CEO of Promap and Roberto Lopesino, 35, was appointed its vice president, according to SEC filings. Promap executives Steven Tedesco and Robert Carrington Jr. resigned.

That acquisition changed ACS's organization strategy from mostly consulting to one of acquiring true estate to lease to marijuana growers and dispensary owners.

In January, investment firm Full Circle Capital Corp. announced it had reached agreement with ACS to provide it $7.5 million in senior secured convertible notes.

The six-year obligation allowed for an added $22.five million, largely backed by real estate.

David Migoya: 303-954-1506, dmigoya@denverpost.com or twitter.com/davidmigoya





Read More: Denverpost

News topics

Editorial Articles

All

Leave a Comment