mCig, Inc. CEO Provides Corporate Update
HENDERSON, NV–(Marketwired – Oct 24, 2016) – MCIG, Inc., ( OTCQB : MCIG ) a diversified company servicing the legal cannabis, hemp, and CBD markets is pleased to give this corporate update to our current & future shareholders surrounding the operations of MCIG, Inc. First, let me thank the many investor emails I have received over the past few weeks that have made inquiries as to our product lines as well as our Nevada operations, it is for this reason I am providing this update ahead of what we feel is a pivotal moment for the cannabis industry.
The 2016 elections and cannabis related ballots across the United States are exceptionally important to the continued expansion of the industry and we feel MCIG, Inc. is well positioned at many different market verticals, most notable the Nevada cultivation market. Company divisions are fundamentally healthy and we expect to see revenues continues to grow as overall operations expand and are scaled to meet various forms of demand. Currently, 3 of our 4 divisions are profitable as we continue to focus on this profitability via cost cutting initiatives that continue to improve our margins. Also, our cash position has significantly improved while our expenses remain at all-time lows allowing for a good base for future growth.
MCIG continues to expand our shareholders position within the rapidly growing Cannabis market and we have become even more geographically diverse following the addition of new clients, new products roll outs, and continued market penetration via existing product lines and expanded distribution agreements.
In an effort to keep our investors up to date with everything going on within the company, we want to provide this update for each of our portfolio companies and investments as we prepare to enter into the third quarter.
Scalable Solutions – After being established in March 2016, Scalable Solutions has quickly become a leader when it comes to Marijuana cultivation construction. Currently, we have five projects under construction and a backlog of more than $6 million dollars. Scalable Solutions will become a main driver of revenues for mCig as the legal cannabis industry continues to grow within its Nevada, which is expected to be a $629.5 million market by 2020. The company is also currently working on smaller projects in Washington and Oregon in various capacities while expanding its base of operation in Nevada.
It is important to note that if Nevada legalizes adult use cannabis on November 8, 2016 we will witness an unprecedented socio-economic impact in a state already shaped and fueled by tourism and entertainment. . That’s why we are taking an aggressive approach to contract new projects in Nevada while expanding our professional team of engineers and consultants.
Currently, Scalable’s Sin City and Green Leaf Farms projects under contract are ahead of schedule. Both projects will be expanding as the Nevada markets expand to fulfill their eventual maximum space usage for the large land and warehouse they respectively occupy. Sin City will eventually expand from 4,800 square feet to 40,000 square feet and Green Leaf will modify it entire facility in order to occupy all 30,000 square feet of their facility.
Management expects the Solaris project will become the model for future Green Houses which when completed will be the largest approved green house facility in Nevada with room to grow. The current parcel of Land that Solaris occupies is 12 acres, with only 20% currently allocated by the main Solaris Greenhouse. Many licensed producers are planning on scaling their operations as demand increases as it has increased in other markets. Our scalable division has already seen our current projects swell in size and each of our current clients has expanded the construction budgets multiple times, giving mCig, Inc. via Scalable Solutions years of continued project revenue.
Scalable targets a 10% profit margin on its construction, with monthly management fees and performance incentives. This continued growth along with identifying other avenues for revenues and expansion will ensure Scalable’s long term viability.
VitaCig Brand The sale of our flagship VITACIG Brand just had a record breaking quarter as VitaCig continues to expand its operations outside of the united states. VitaCig will soon debut in the Philippines, South Africa, and Hungary. With the recent country additions, VitaCig now exports its product to more than 30 different countries.