Water Ways Technologies (TSXV:WWT)

WWT is an agriculture technoloies company that specializes in providing water irrigation solutions to agricultural producers. WWT competes in the global irrigation water systems market with a focus on developing solutions with commercial applications in the micro and precision irrigation segments of the overall market.

WWT delivers smart turnkey irrigation solutions to projects such as fish farms, vineyards, water reservoirs, etc. WWT maintains 2 streams of revenue:

1 Sales of irrigation equipment assembled in- house and hardware produced by 3rd party OEMs (39% of revenue).

2 Design, manufacturing, and installation of turnkey irrigation 2 systems (59% of revenue).



<New Market Opportunity>

Global Cannabis Sector

  • The cannabis industry has seen rapid growth and opportunities for investment in agriculture, distribution, and retail.
  • WWT offers a solution though a combination of drip irrigation acumen and its Precise Irrigation System, once operational, and is expected to be able to deploy specialty container drip solutions creating optimal conditions for cultivation.
  • Competition within the global cannabis market is expected to drive cannabis prices down, pressuring companies to find new and innovative technology solutions to reduce costs.

WWT’s Competitive Advantages

  • Management with over thirty years’ experience and an understanding of the high-end, high-tech segment of the agriculture sector.
  • Targeting the underserved small to medium projects segment of the market, providing these operators with access to irrigation systems and knowhow.
  • Relationships with Israeli irrigation corporations, the world leaders in efficient micro/drip irrigation, without exclusivity provisions which provide Irri-Al-Tal with flexibility to adapt to changing customer needs.
  • Serve as a technical and commercial information hub for both clients and suppliers.
  • Not obligated to a single product or a supplier, allowing Irri-Al-Tal to serve its clients impartially and to deliver the solutions that are suited to clients’ needs.
  • Clients extending across five continents.
  • Experience operating in regions with infrastructure challenges and limited access to clean water.
• WWT’s team comprises experienced professionals from within the
industry.

Fully Diluted Market Cap: $31.44 Mil CAD (125.77 million shares at $0.25)

Revenues in 2017: US $10.58 M (CAD $13.90 M)

Offering: Minimum 8,000,000 Units / Maximum 16,000,000 Units
Over-Allotment Option: up to 15% of Maximum 2,400,000 Units

Issue Price: $0.25 per Unit

Exchange: TSXV

Trading debut: March 19, 2019

Board of Directors

Lots of Cannabis connection on BoD.

balance sheet

New Market Prospect – Legal Cannabis Market

An important factor in the cultivation of cannabis is a proper irrigation system that is efficient and cost effective in growing large quantities of cannabis.

The cannabis production industry has, like other agricultural products, fine-tuned methods of production in which cannabis is grown in highly controlled environments often using micro irrigation techniques. A significant challenge when growing cannabis is ensuring low water flow rates to the cannabis plants to prevent deoxygenation of the substrate and nitrate poisoning. WWT offers a solution though a combination of drip irrigation acumen and its Precise Irrigation System, once operational, and is expected to be able to deploy specialty container drip solutions creating optimal conditions for cultivation.

WWT has identified the legal cannabis market in Canada and elsewhere as an attractive business opportunity as licensed cannabis producers may have a demand for the WWT’s customized advanced irrigation solutions.

Kibbutz Gan-Shmuel Project (CRONOS)

In 2018, WWT received an order to deliver a complete irrigation system to a company operating a licensed cannabis project in Kibbutz Gan Shmuel, Israel which is a strategic joint-venture between Kibbutz Gan Shmuel and Cronos Group Inc. (“Cronos Israel”)

Management structure

Recent projects

Prior Sales of Securities

$0.35 per share…

Share structures

Massive Insider Holding (CEO)

Warrants

Each whole Unit Warrant will entitle the holder to purchase one additional Common Share at price of $0.40 per Common Share for a period of 24 months from the Offering Closing Date, subject to the Acceleration Clause, whereby if following the Offering Closing Date, the closing price of the Common Shares on the Exchange is equal to or greater than $0.75 for any 20 consecutive trading days, the Company may, upon providing written notice to the holders of the Unit Warrants, accelerate the Expiry Date of the Unit Warrants to the date that is 30 days following the date of such written notice

Reasons for the offering

  • Undertake an expansion of its marketing initiatives
  • Complete development of Precise Irrigation System
  • Undertake up to three project finance initiatives in its Project Finance Sub Unit
  • may use a portion of the funds allocated towards working capital towards business development efforts in the cannabis space, but such efforts, if undertaken, will only focus on securing potential business from licensed cannabis producers.

Source: Water Ways Technologies

Disclaimer: All posts made on this website are provided for information purposes only. None of the information here is intended as investment advice, as an offer or solicitation of an offer to buy or sell, or as a recommendation, endorsement, or sponsorship of any security, Company, or fund. Before making an investment decision, you should seek the advice of a qualified and registered securities professional.

Advertisements

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.