It would not be premature to believe that Medican Enterprises Inc (OTCMKTS:MDCN) is losing the patience of its investors with each passing day. A strong proof to support the theory is the company’s rough ride on the bourses over the last few days. The stock is extending losses in each session while investors wait for the company’s progress on its much propagated Arizona acquisitions.
Wait is not over
As per the first and very original announcement, Medican Enterprises Inc (OTCMKTS:MDCN) was supposed to conclude the acquisition in January, but then it was extended twice. The last press release of the company indicated that the acquisition will be positively closed by March 31, 2015, and yet there is no further information available in this regard. The absence of flow of information from the company to its stakeholders is creating nothing but only doubts about the future. Moreover, the company is equally failing in reporting its 10-k on time while there is no update on its plans of a reverse split too. Such factors are acting against the company.
Learning from history
In addition, Medican Enterprises Inc (OTCMKTS:MDCN)’s acquisition history is not glorious. It is not long back when the company had announced 50% stake purchase in Canada based International Herbs Medical Marijuana Ltd, after which Medican Enterprises Inc (OTCMKTS:MDCN) boasted of making big moves in the marijuana sector. The announcement made on March 26, 2014 completed its one year and yet there is no information if the company has finally made the acquisition or not. Going by the phrase ‘history repeats itself’, there is little to argue that Medican Enterprises Inc (OTCMKTS:MDCN) may do the same with its Arizona acquisition.
Medican Enterprises Inc (OTCMKTS:MDCN)’s perfect silence makes the case for an investor to stay away from it for now. The stock of the company dipped by over 10% to $0.0160 on Thursday and 60.72 million shares exchanged hands on the day.