Shell Summary for Jan. 5, 2018

by Stockwatch Business Reporter

The TSX Venture Exchange gained 15.33 points to 895.71 Friday. Marc Sontrop and Aaron Salz's first capital pool shell, AIM1 Ventures Inc. (AIMI), has arranged a qualifying transaction to acquire a licensed medical marijuana producer, James E. Wagner Cultivation Ltd. (JWC). JWC is a family business, run by chief executive Nathan Woodworth and his two siblings, Adam Woodworth and Laura Foster. The company obtained a licence to grow medical marijuana in January, 2017. It now plans to apply to amend its licence so it can sell marijuana to the public. JWC has two warehouses in Kitchener, Ont., where it can grow marijuana aeroponically. It suspends the cannabis roots in the air, while delivering water and nutrients through a fine mist.

AIM1 says it will provide more information about its QT target shortly. It is planning to roll back 1 for 7.5, and then issue 328.8 million (preconsolidation) shares to JWC. AIM1 listed at 10 cents in September, so IPO shareholders will need a break-even price of 75 cents. A marijuana deal should not come as a surprise to investors. Mr. Salz, 26, runs a marijuana consultancy, Stoic Advisory Inc. He began his career with four years as a marijuana research analyst at Dundee Capital Markets. He then spent eight months with his fellow shellmaker, Mr. Sontrop, atToronto investment company, Interward Asset Management. Mr. Salz left Interward in November, 2016, to set up Stoic, where Mr. Sontrop joined him as an adviser. The company's clients include WeedMD Inc. (WMD: $2.87) and CannaRoyalty Corp. (CRZ: $4.50).

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