Glance Technologies (CSE:GET) (OTCQB:GLNNF) has received an equity stake in an up and coming cannabis company. This was first announced on January 4 but was then confirmed two days ago. Now, we know that Glance Technologies has received 4 million common shares, valued at $1 million. This is big news for both Glance Technologies and Loop Cannabis Insights. However, it doesn’t appear the market is as gung-ho about the idea as Glance Technologies is.
Loop Cannabis
Fairly unknown to the corporate world, Loop Cannabis is a new cannabis company that plans to offer licensed cannabis retailers and manufacturers an understanding of customer behavior. This will help Loop Cannabis as they venture into using AI and machine learning algorithms to process transaction purchase data.
Where does Glance Technologies come in? Well, because of the sublicense from the Vancouver-based company, Loop Cannabis will be able to gain revenue streams from mobile payment systems. This is why Glance Technologies received these shares; it acts as a partial payment for the sub-license of its mobile payment app technology.
Glance Technologies seems all about moving into new sectors this year. First, the company moved into cryptocurrency, but even that move didn’t reflect well on its stock price. As for its move into the cannabis sector, it doesn’t appear the market is very excited. Glance Technologies only disclosed this information on Wednesday, and if investors were excited about it, I would have forecasted the company to go into the weekend seeing green. That’s not the case here.
Currently, Glance Technologies is trading down more than 20%. That’s a pretty significant plunge. More specifically, as of this writing, Glance Technologies is trading at $0.57 on the Canadian Securities Exchange, which puts the GET stock down $0.20, or 25.97%.
The Takeaway
There’s no direct reason for today’s decline. In fact, the last announcement made by Glance Technologies was about the equity stake. So are investors unhappy with the news? Or is it just a one-off and the stock will be trading up by next week? Only time will tell, I suppose. What I can say is that I’m sure Glance Technologies was expecting a different outcome today.
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