Earlier this year, we started following ParcelPal Technology Inc. (PKG.CN) (PTNYF) and are impressed with how the company has been able to execute. We believe that ParcelPal represents an attractive ancillary cannabis opportunity and believe that this company has been flying under the radar.
ParcelPal provides on-demand local delivery services in North America and has secured strategic relationships with leading global conglomerates as well as leading Canadian cannabis retailers. We find these relationships to be an important part of the story and are excited about PacelPal for the following reasons:
- The company is led by a management team that is focused on execution
- ParcelPal has secured strategic relationships that have already proven to add value
- The company has significant catalysts for growth and is in the early innings of a major growth cycle
- The valuation is attractive based on the improving fundamentals and growth opportunities
In late March, ParcelPal announced a major milestone and reported to have completed more than 2 million deliveries. This represents a significant achievement for the company, and we are favorable on the growth prospects going forward. During the last year, ParcelPal has been nothing short of an execution story and this milestone is a testament to the strength of the company.
PacelPal represents a multi-faceted growth opportunity that has been executing on its strategic growth initiatives, attracting new strategic partners, and looking at further city expansions. We believe that the company has significant catalysts for growth and believe that these growth opportunities are underappreciated by the street.
Secured Strategic Partners to Support Growth
One of the reasons why we are excited about ParcelPal is due to the strategic relationships that are in place. The company has done an excellent job when it comes to securing strategic partners that will help support growth and we believe that this is an important aspect of the story.
Last year, ParcelPal announced a strategic distribution agreement with Choom Holdings, Inc. (CHOO.CN) (CHOOF), a leading cannabis retailer in Canada. Under the agreement, the companies will jointly develop a roadmap for distribution within various provinces for recreational cannabis, will use their respective platforms to enhance user experience, and will create a delivery platform that complies with the regulations set forth by all regulating bodies in Canada.
We are favorable on this relationship and believe that each company adds strategic capabilities to the partnership. ParcelPal wants to be the Uber of cannabis for Canada and believes that Choom will enhance its national cannabis distribution and delivery strategy. Choom has a strategic relationship with Aurora Cannabis (ACB.TO) (ACB), whereby Aurora owns a significant portion of Choom and we are favorable on the impact this could have on ParcelPal.
ParcelPal is a company that has significant catalysts for growth, and it is in the final stages of launching medical and recreational cannabis delivery platform with Choom and Kiaro. This delivery initiative is expected to commence this month and is expected to open new markets and drive additional users to the platform.
Another relationship that we are excited by is the one with Amazon.com (AMZN). This relationship has already proven to be a major value driver and the company has a contract for Vancouver, British Columbia and Everett, Washington and has expanded its regions within the current cities significantly. We are monitoring how ParcelPal continues expand on its relationship with Amazon and this is something to watch.
A Cannabis Leader in the Making
ParcelPal is well on their way to becoming a leading on-demand delivery company in Canada and this is an opportunity to be watching. The company’s go forward plan includes continuing to expand their technology, completing more symbiotic join ventures and, expanding the platform into new consumer verticals while rapidly expanding their service across North America.
We believe that the market under-appreciates this opportunity and believe that it is flying under the radar. We expect this name to become more well-known as the management team continues to execute and this is something we are watching. ParcelPal represents an attractive ancillary cannabis investment opportunity and we are favorable on it due to the relationships it has in place, the valuation, the growth prospects, and the management team.
Going forward, ParcelPal has an attractive growth strategy and this is an opportunity to be watching. To learn more about this ancillary cannabis company, please email email@example.com.
Pursuant to an agreement between StoneBridge Partners LLC and ParcelParl Inc. we have been hired for a period of 180 days beginning December 11, 2018 and ending June 11, 2019 to publicly disseminate information about (PKG) including on the Website and other media including Facebook and Twitter. We are being paid $6,500 per month for marketing services. We may buy or sell additional shares of (PKG) in the open market at any time, including before, during or after the Website and Information, provide public dissemination of favorable Information.