Business
Final Results for the Year Ended 30 November 2019
Final Results for the Year Ended 30 November 2019.
About this update from Serval Resources Plc
[{"type":"text","content":"\n \n 21 July 2020\n EUROCANN INTERNATIONAL PLC\n(the “Company” or “Eurocann”)\n Final Results for the Year Ended 30 November 2019\n Eurocann International plc, the AQSE Growth Market Company is pleased to announce its audited results for the year ended 30 November 2019.\n Director Statement\n The 2019 financial year proved to be a transformative period for the Company, culminating at the General Meeting of 21 June where shareholders voted to approve a restructuring and refinancing of the business. Concurrently the name of the Company was changed to Eurocann International plc, and two new directors, Burns Singh Tennent-Bhohi and Jeremy Ross, both joined the board, whilst £262,742 was raised before expenses.\n At the General Meeting, shareholders also approved a change in the Company’s strategy, from being a generic investment company to having a more specific focus on the burgeoning medicinal cannabis sector. Since the General Meeting we have conducted due diligence on certain businesses that we have had the opportunity to either acquire outright or to invest in. However, we have not felt that any opportunity met our criteria to move forward with, and as such we have refrained from making any new investments in the medicinal cannabis sector to date.\n One of the challenges faced by would-be investors in hot sectors such as medicinal cannabis has been, is determining what might be fair value for such investments. So frequently throughout history hot new assets and industries have overshot fair value, a result of a range of factors such as the greater fool theory, a misunderstanding as to the likely demand and thereby growth of such investments and industries, and the emotional state of greed. As Mark Twain reputedly said, “history doesn’t repeat itself, but it often rhymes”, and we have seen time and again, throughout history, instances where irrational exuberance has occurred, such as tulipomania, the South Sea bubble, the dot-com bubble, and, more recently, the cryptocurrency bubble.\n To a degree, the medicinal cannabis industry has experienced its fair share of irrational exuberance, which has taken the prices of assets and companies to trade at levels well in excess of their fair value. This is supported when looking at the EQM Global Cannabis Index, which had an index value of 113 at the start of 2018, and which bottomed mo...