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Samuel Cary
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I have been investing in MMJ and 3D printing sectors for the past 3 years.
  • Creative Edge Nutrition – Beneath The Surface 45 comments
    Aug 5, 2014 1:27 AM | about stocks: FITX

    Creative Edge Nutrition - Beneath the surface

    It's no secret that for many, the definitive climax to the fervently debated OTCPK:FITX saga, would be characterized by the issuance of a license by the Canadian government to grow and sell up to 1.3 Million pounds of medicinal cannabis on an annual basis. We all know FITX is a publicly traded company, and as such, investors seek revenue first and foremost to secure and grow their investment…

    However, by focusing solely on this element of the company, one may "overlook" the full extent of the company's capabilities and aspirations, perhaps subsequently missing out on a very rare investment opportunity.

    Let me draw your attention for a moment if I may, away from the methods and tactics of the company's CEO, Bill Chaaban, away from the pending issuance of a grow license (or 2 to be exact), away from debates about company share structure, shareholder lawsuits, and internet slander.

    If we temporarily remove these elements and distractions from the equation, we can then begin to focus on the actual company that is being built, and we can begin to hypothesize what the end result may be, based upon the steps being taken, and in which direction those footprints appear to be moving.

    There are 2 main aspects of this company to which I would like to address in this article. The first is science and the other (albeit perhaps more briefly) is the company's financial profitability. Both appear to be being built simultaneously into the company's foundation by what appears to be strategically placed building blocks, acquisitions, and world class team and board members.

    The Science - Forging a creative edge in the market

    In the most recent press release from Creative, Dr. Sam Alawieh announces the creation of 5 key research and development divisions that would address the company's vision in growing long term profitability through innovation and research. These divisions are: Genetic Engineering & Cloning, Genomic DNA Mapping & Strain Analytics, Extracts & Delivery Instruments, Pharmacogenetic & Clinical Trials, and Stem Cell & Tissue Proliferation.

    It may be worth mentioning that there are 5 key research and development divisions, and there are also to-date 4 very notable key players driving the construction of the company's scientific foundations. These men are none other than Dr. David L. Felten (Chief Medical Director), Dr. Sam Alawieh (Chief Pharmacology & Acquisitions Officer), Dr. M. Kerry O'Banion (BOD), and most recently, Dr. Jonathon Lakey. Perhaps there is room for one more superstar.

    The company's newest addition, Dr. Jonathon Lakey, takes the position of Chief Science Officer for Creative Edge Nutrition. Dr. Lakey was Director of Research at one of the top 50 US medical schools for research; UV Irvine. Former director of comprehensive tissue bank and perhaps the most prominent name in the field of diabetes research, Dr. Lakey's research at Irvine has been in the preservation and isolation of tissues, especially the insulin producing cells from the pancreas. His work with Dr. James Shapiro led to the improvements in Islet isolation techniques and the development of the Edmonton protocol for patients with chronic type 1 diabetes. Dr. Lakey's resume boasts a long history of ground breaking research and over 250 scientific publications in diabetes, stem cells, and tissue transplantation, as well as several notable patents.

    In his appointment, Dr Lakey states; "It is my goal to take the expertise and infrastructure I have developed over the years and apply it to the field of this research, strong evidence based science will address common misconceptions and provide scientific basis for our efforts. By studying effects of stem cells and differentiation we may gain key insight into pathways of disease treatments and wound healing. Bill Chaaban has done a great job emphasizing that this is the route necessary to take and I couldn't agree more"

    One statement in particular is very telling as to the intent of Dr Lakey and perhaps the company as a whole; "By studying effects of stem cells and differentiation we may gain key insight into pathways of disease treatments and wound healing."

    What does that mean exactly? Well, it's hard to say to what extent, but we can attempt to at least draw some reasonable conclusions by understanding some basics.

    Firstly, cell differentiation is essentially a transition of a cell from one cell type to another, involving a change from one pattern of gene expression to another, while rarely ever involving a change in the DNA sequence itself. The main types of molecular processes that control cellular differentiation involve "cell signaling". There are cells in adult organisms that can "differentiate" into any cell type; these are known as being pluripotent. Levels of differentiation can also be used as a measure of cancer progression. I could go deeper here and attempt to draw more specific conclusions, but my intent is not to turn this article into a scientific research paper, it is merely to highlight the scientific focus of the company on the cellular level of both the patient and plant, coupled with Dr Lakey's intent to utilize stem cell research and differentiation to open doors for disease cures, and possibly even cellular regeneration (known as Dedifferentiation). Though it is difficult to say what could be discovered and unlocked. I am no scientist. However I believe it is important to note that there are important cellular and genetic relationships between human cells and compounds such as THC (Tetrahydrocannabinol) and CBD (Cannabidiol) that have yet to be explored whole heartedly due to restrictions in legality, and that these scientists could very well anticipate being on the forefront of history.

    It is also worth mentioning that the background and expertise of each of these men seem to go hand in hand in covering different scientific aspects of the human condition in very specific and relevant areas, such as Dr. Feltons background in neural biology and Dr. Kerry O'Banion's brain inflammation, epilepsy, and neurodegenerative disease studies. Or Dr Alawieh's studies on the effects of CBD and THC compounds within the Cannabis plant in relation to dopamine, and the relationship between dopamine and diabetes that is well known by Dr Lakey.

    If I was a betting man, I would say that Creative Edge Nutrition is (in part) building a foundation that seeks to develop a strong presence in the world of "big pharma" by concentrating on cures and treatments related to conditions such as neurological disorders and diabetes. One might also wonder that with the sheer level of world class intellect now working at Creative edge, firstly; what is it that attracted such talent in the first place? And secondly, how could each of these geniuses (difficult to find a better term) put their collective heads together and not end up with at least a few new forms of extremely valuable intellectual property? That is of course a rhetorical question.

    The "Business" side of the business

    Now I'd like to draw your attention briefly to the financial side of the business (or the "business" side). It's not the share price or market cap that I'm specifically concerned with, since opinions tend to vary greatly as to what constitutes value here. An emerging developing company such as Creative at the forefront of such a young sector is extremely hard to value as there are so many variables in the market and in the overall global climate in general. Taking merely the initial Pharmaceutical potential, medical marijuana grow & research facilities, hemp division for CBD's and building materials, patented grow technologies, pending incorporation of RXNB with its 50,000 patients, insurance division, world class board of directors, and nutritional aspects; one could probably make a very strong case for a billion dollar valuation even before any grow licenses are issued. However, I have also seen valuations on the very opposite end of the spectrum that take none of these positives into account, focusing primarily on the company's larger than average share structure. Perhaps one could draw a valuation somewhere in the middle of each extreme.

    However, what I would rather focus on is any strategic moves the company may be making, and the talent behind those moves driving each piece forward, and in turn lend an ear to logic in evaluating the potential of the company within the confines of the foundational elements that have been constructed.

    Perhaps I am being presumptuous, but it would very difficult to make a case against the people who are involved with Creative on the business side. This is a company that is being constructed by savvy lawyers, business men, corporate finance specialists, and investment managers. 2 particularly notable mentions I would like to expound upon briefly are Mr. John A. Germinario, and Michael K. Clark.

    On April 17th, 2014, Creative announced the appointment of John Germinario as chairman of the board of directors. Mr. Germinario is a veteran in the global capital market place having worked intimately with the SEC, IRS, and FBI on criminal investigations and has very specific experience in the understanding of global securities that he has brought with him to manage the company's regulatory compliance, manage and mitigate risk, and advise in corporate governance, as well as oversee potential mergers and acquisitions and assessing the market in general. The level of corporate ethics and business skills Mr Germinario brings to the table have seemed to be invaluable in helping to provide a safer level of operational comfort when conducting business in the wake of the SEC onslaught that ripped apart the publicly traded marijuana sector recently, leaving bodies in its wake (so to speak). One could perhaps liken the appointment of Mr Germinario to a strategically timed chess move.

    And of course there is Mr. Clark (Vice Chairman), who is also the CEO of a Wall Street Financial Institution which supports corporations in both the emerging and established capital markets. Mr. Clark was previously chief executive officer in charge of JPMorgan's $15 trillion Worldwide Securities Services business generating over $3 billion in revenue year over year, was on the JPMorgan Executive Committee reporting to CEO, Jamie Dimon (one of Time magazine's 100 most influential people), and later became President of Fidelity Institutional Investments.

    None of these men are even remotely insignificant by any stretch of the imagination; on the contrary, these men have become involved only in the very largest forms of business. In considering these roles, one must in all manner of sound reason, interpret their appointments as such that they are collectively loitering at the doorstep of "big business"… as big business is the only place men like this tend to congregate.

    With a foundation as seemingly remarkable as the one evidently being constructed before us, I needn't persuade anyone to buy stock in this company. As I believe the evidence speaks for itself.

    Disclosure: The author is long FITX.

    Additional disclosure: Note: The author has no affiliation with any company mentioned, and was not compensated in any way shape of form for this article or its content.

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Comments (45)
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  • mc7milo66
    , contributor
    Comments (7) | Send Message
     
    A very enlightening and informative article. Not your everyday "weed" company!!
    5 Aug 2014, 02:53 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Thanks for your feedback. I'm glad you enjoyed it.
    5 Aug 2014, 10:35 AM Reply Like
  • oldorv
    , contributor
    Comments (488) | Send Message
     
    Finally! A great 'pot' stock article!!!
    Perhaps a few of the haters will crawl back into their respective holes...
    5 Aug 2014, 07:46 AM Reply Like
  • tenjed
    , contributor
    Comments (11) | Send Message
     
    Thanks for your perspective. I think many of us tend to focus on current distractions to this stock and not on what the company seeks to achieve.
    5 Aug 2014, 08:06 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Couldn't agree more. There is far more to cover. It just has to be brought into the light and away from the negativity.
    5 Aug 2014, 09:34 AM Reply Like
  • Alan Brochstein, CFA
    , contributor
    Comments (7771) | Send Message
     
    Nice job, Samuel! Congrats on your first instablog!
    5 Aug 2014, 08:16 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Thanks Alan! I did submit as well as a non paid with my fingers crossed.
    5 Aug 2014, 09:06 AM Reply Like
  • Smart guy 1
    , contributor
    Comments (52) | Send Message
     
    Excellent Job Sam! There are too many great things about to happen with this company, that it would be a bad idea to not be heavily invested.
    5 Aug 2014, 08:43 AM Reply Like
  • Natas
    , contributor
    Comments (13) | Send Message
     
    Very well written
    5 Aug 2014, 09:05 AM Reply Like
  • Alien Nation
    , contributor
    Comments (16) | Send Message
     
    Great work.
    5 Aug 2014, 09:11 AM Reply Like
  • Greenerdays
    , contributor
    Comments (21) | Send Message
     
    Thank You Sam........Very informative! The potential of this company is mind blowing!!!!
    5 Aug 2014, 09:33 AM Reply Like
  • 1130619
    , contributor
    Comments (5) | Send Message
     
    Nicely done, i enjoyed reading your perspective!
    5 Aug 2014, 09:33 AM Reply Like
  • joey4407
    , contributor
    Comments (2) | Send Message
     
    Great job writer! Looking forward to reading more articles from Sam!
    5 Aug 2014, 09:34 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » I'll try to write some on a regular basis.
    5 Aug 2014, 11:22 AM Reply Like
  • Newbietitxf
    , contributor
    Comments (25) | Send Message
     
    Good non-emotional, fact based assessment of an emerging global industry leading company.
    5 Aug 2014, 09:39 AM Reply Like
  • BigAddison
    , contributor
    Comments (10) | Send Message
     
    Nice work Sam! Great to read about FITX looking to become Big Pharma and not just a pot grower. Science is the name of the game and FITX has built a pharmaceutical infrastructure like no other in the sector!
    5 Aug 2014, 09:43 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Indeed it has. I don't see any other companies in the sector with this level of talent.
    5 Aug 2014, 10:42 AM Reply Like
  • rise51
    , contributor
    Comments (202) | Send Message
     
    Sam, I love how you focused on how important the board of directors are to the company. It is something people just glance at, without any thought of how the wheels will turn in the bigger picture. EXCELLENT JOB! THANK YOU.
    5 Aug 2014, 10:00 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » rise51, I believe its one of the most "telling" aspects of the company. Invest in the management, invest in the talent.
    5 Aug 2014, 10:19 AM Reply Like
  • Alien Nation
    , contributor
    Comments (16) | Send Message
     
    Yeah like Big Addison said...........
    5 Aug 2014, 10:25 AM Reply Like
  • bidsmaker1
    , contributor
    Comments (2) | Send Message
     
    Focusing on the FITX BOD is a lesson in positioning within an emerging market for the long term. This stock is obviously not going to stay a penny stock for long. Think of FITX as the Microsoft of the marihuana industry.
    5 Aug 2014, 10:26 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » bidsmaker, I agree 100%. Al of the pieces are coming together very nicely.
    5 Aug 2014, 11:21 AM Reply Like
  • elalpha533
    , contributor
    Comments (26) | Send Message
     
    Great work Sam, science will set us apart from any other grower. It will also gives us legitimacy amongst Doctors and Health Canada. I can't wait to bring this same style to the U.S. Market in the not too distant future.
    5 Aug 2014, 11:21 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » We will be perfectly prepared to capitalize on it. FITX seems to be setting the standard for the future of a new industry.
    6 Aug 2014, 02:16 PM Reply Like
  • theomeo
    , contributor
    Comments (14) | Send Message
     
    Facts are great. Remember there are bio techs that make nothing and are worth over 3 dollars. You have the correct insight to see the value of this company. Once facts not huzpah.
    5 Aug 2014, 11:29 AM Reply Like
  • ac7880
    , contributor
    Comments (73) | Send Message
     
    My fear of FITX is that CEO Bill by his actions has increased the likelihood of a possible SEC halt and by his actions has reduced the chance of a license.

     

    If Bill had behaved normally over the past year instead of bizarre social media behaviors I would still own the stock. I sold because Bill is a huge liability. Now the lawsuits against "bashers"? Just more damage to the company based on poor decisions. I choose stocks with reliable and stable CEOs and boards.

     

    FITX will "probably" not get halted and will "probably" get a HC license - but will Bill in charge I will not chance it.
    5 Aug 2014, 06:55 PM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » I firmly believe that the company would not be what it is today were it not for the CEO. It is the drive and determination of Bill, coupled with the ingenuity and creativity of Dr. Sam that have turning this company from a struggling supplement company into what it is today and wI'll continue to drive the company into something else. I feel as though Bill is exactly the kind of CEO that is needed in this sector with such opposition on the doorstep. If we lost Bill, we would lose one of the companies greatest assets.
    5 Aug 2014, 11:59 PM Reply Like
  • Dino Marcic
    , contributor
    Comments (5) | Send Message
     
    Samuel, I appreciate and really enjoyed reading your article. This is actually one of the only real articles that I read that focused on the Company and not just the Company waiting for the grow permits in Canada. Which BTW, should be available April 2015. This Company is much much more. And I'm glad you acknowledged it and shared your opinion.
    6 Aug 2014, 12:39 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Yes sir. Thank you for your feedback. I'm not sure I agree with April 2015 for licences, I feel like more so within a matter of weeks. However, you are right. The company is much more than that and most miss the big picture.
    6 Aug 2014, 12:36 PM Reply Like
  • ac7880
    , contributor
    Comments (73) | Send Message
     
    How did you determine that license is likely within weeks?
    7 Aug 2014, 08:42 AM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Because, it is hard to deny that final inspection happened on Thursday of last week due to eye witness accounts and photos of site activity. And it is said to take approx 10 days for HC to issue a licence.
    7 Aug 2014, 09:37 AM Reply Like
  • hottoddie
    , contributor
    Comments (31) | Send Message
     
    Samuel,

     

    Can you post the photos or give us a link? I really hope this is true. Great article by the way.
    11 Aug 2014, 03:27 PM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Thank you for the compliment. Here you can find photos from 2 weeks ago where all cars were lined up neatly, Bill and team were in suits, security guards car was replaced with a nice shiny one, and property was groomed and prepped, all for the arrival of an unmarked vehicle and a man with a briefcase who the team came out to meet. Apparently alarm's were heard (testing). Also, the next day the property was clear. They prepped a few days for this one day.

     

    http://bit.ly/1kyi9zn
    12 Aug 2014, 04:58 PM Reply Like
  • hottoddie
    , contributor
    Comments (31) | Send Message
     
    Thanks Samuel. It still looks like speculation based upon circumstantial evidence, but you do make a convincing argument with the evidence at hand. If what you perceive is true, then we should be hearing something by the end of this week or the first of next week. I'm going to cross my fingers, hold my breath & pray a lot that it finally happens. :-) Thanks again.
    12 Aug 2014, 05:57 PM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » Looks like it was accurate speculation:

     

    http://yhoo.it/VOBSlJ
    25 Aug 2014, 07:01 PM Reply Like
  • hottoddie
    , contributor
    Comments (31) | Send Message
     
    Samuel,

     

    You nailed it. Congratulations! The license should be coming any day now.

     

    http://yhoo.it/VOBSlJ
    25 Aug 2014, 07:30 PM Reply Like
  • gdr4001
    , contributor
    Comments (14) | Send Message
     
    Still, nothing can be done until after the Lakeshore Meeting. After that then there is no stopping the train. Full Steam Ahead!!!!
    11 Aug 2014, 03:57 PM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » gdr4001, there's nothing in lakeshore stopping them from moving forward. At the last meeting, the town stated "this is happening", also, stated that there is nothing they can do because it's a government facility. They also revealed that CenBio is grandfathered in, and the new zoning by-law changes would apply to future facilities, not our current facility. They also revealed that it was them, the town, who put the investor and the Chaabans together. Bill has said there are no zoning issues all along, and he is right. We are weeks, (likely days or hours) away from licence announcement imo.
    12 Aug 2014, 04:50 PM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » http://bit.ly/1sOYP3b
    12 Aug 2014, 05:01 PM Reply Like
  • The Desert Diamond
    , contributor
    Comment (1) | Send Message
     
    what day is the meeting scheduled to take place?
    12 Aug 2014, 09:23 AM Reply Like
  • hottoddie
    , contributor
    Comments (31) | Send Message
     
    Today at 6:00pm. Click on the live link to watch the council meeting live.

     

    http://bit.ly/1sNWXb3
    12 Aug 2014, 01:02 PM Reply Like
  • Samuel Cary
    , contributor
    Comments (47) | Send Message
     
    Author’s reply » The meeting happened last time. We learned all we needed to know. The town has absolutely nothing to do with the licence at this point. All by-laws are appeased, and all requirements are met. We are just waiting for licence announcement.
    12 Aug 2014, 04:52 PM Reply Like
  • levinextreme
    , contributor
    Comments (5) | Send Message
     
    Great Article
    14 Aug 2014, 05:45 PM Reply Like
  • HMMM!
    , contributor
    Comments (5) | Send Message
     
    I am the suprme pumper on the yahoo MB. WHY! Too much bash-TURDING, attacking retail of course. Retail is always the last to find out, buy and sell. Disadvantaged normally,but I like to boost retail's confidence. My view is we buy stocks for next quarter next year. Pink sheet clientele are now people... HMMM! LOL!
    6 Nov 2014, 05:32 PM Reply Like
  • Seeking Mary
    , contributor
    Comment (1) | Send Message
     
    Samuel Cary according to domaintools whois history you own mmj.today fitx.us etc... Since Mason Godric is the founder of MMJ.today that would make you the same person.
    24 Mar, 07:10 PM Reply Like
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