Puration Inc (OTCMKTS:PURA) shares were down 7.88% on Monday to $0.0479 and flat in after-hours trading. Share prices have been trading in a 52-week range of $0.00 to $0.09. The company has a market cap of $2.60 million at 50.15 million shares outstanding.
Puration Inc is a water purification company, formerly known as Southwest Resources Inc. As such, it designs, develops, engineers, produces, markets and distributes personal and group systems that filter, purify, clean or extract water. The company has also developed, acquired and licensed technology in the fields of water filtration and purification and its operations consist of the design and production of personal-use water filter bottles and other containers. Aside from this, the company is in the process of developing new business opportunities focusing on the Cannabis Extractions Sector.
In a press release yesterday, Puration Inc announced that it is entering discussions to open an extraction facility in the State of Oregon where recreational marijuana is legal. This facility would enable Puration Inc to deliver THC for infusion in edibles and beverages in the state.
The discussions to potentially open an extraction facility in Oregon is a landmark event for the Company,” said Puration Inc CEO Brian Shibley. “The discussions were initiated by an investment group that was attracted to our business model to establish Puration as the gold standard in cannabis extraction for infusion into edibles and beverages and by the test results of our extracted product. These discussions are a landmark event because they demonstrate Puration establishing itself as a recognized extraction source in the cannabis sector.”
Keep in mind that this is just one of the many partnerships that Puration Inc is working on in order to position itself ahead of a potential boom in the cannabis industry. Nine states are set to vote on the legalization of marijuana for recreational or medical use, and the odds are hinting at a likely approval which would open a very large market for cannabis companies.
As it is, Puration Inc has another potential collaboration agreement underway with Alkame Holdings for packing and distribution agreements, to develop and market CBD infused beverages, in addition to increasing distribution of existing Alkame products. Alkame is a consumer goods company specializing in brand development of health conscious beverage products, utilizing its patented water treatment technologies.
In addition to this, Puration Inc is also working with Spanish Peaks ScrumpDelicacies in a $1 million collaboration agreement to produce and co-market THC and CBD infused beverages. Spanish Peaks ScrumpDelicacies is a venture backed startup dedicated to building cannabis consumer product production capacity in Colorado.
More recently, the company announced the EVERx CBD infused water line for the health conscious bottled water consumer market. It is targeting an initial $1 million in 2017 sales of EVERx CBD infused water, as the bottled water market was valued at US $157.27 billion in 2013 and is expected to reach US $279.65 billion by 2020, according to Transparency Market Research. Puration Inc has already partnered with North American Cannabis Holdings to come up with a beverage under the North American Cannabis Holdings EVERx Sports and Fitness Nutritional Supplement Brand Name.
A look at the short-term chart of Puration Inc shares shows a bit of a rising trend line support connecting the recent lows since the third week of October. This near-term floor should offer a good price to go long if you’re hoping to catch the ongoing climb and a potential rally if the polls turn out in the industry’s favor this week.
DISCLAIMER: There is a substantial risk of loss with any speculative asset, especially small cap stocks. The opinions expressed are those of the author, and do not constitute recommendations to buy or sell a stock. Do your own research before committing capital.
