MassRoots Releases Shareholder Update and Plans for Continued Growth
Expected completion of infrastructure improvements in August 2018 is anticipated to improve relationship between consumers and regulated dispensaries, with the intended objective of driving user and revenue growth in coming quarters
LOS ANGELES, Aug. 2, 2018 /PRNewswire/ -- MassRoots, Inc. ("MassRoots" or the "Company") (OTCQB:MSRT), a leading technology platform for the regulated cannabis industry, is pleased to release the following shareholder update from its Chairman and Chief Executive Officer, Mr. Isaac Dietrich:
Dear MassRoots Shareholders,
A little over two weeks ago, MassRoots' Registration Statement on Form S-1 was declared effective, permitting the re-sale of shares of common stock and warrants to purchase shares of common stock issued as part of capital raised during the past year. We believe this has caused the market price for our shares of common stock to come under pressure, but we do not believe it is indicative of the underlying health or growth of MassRoots.
We have recently re-launched our mobile applications and business portal to address the increasing needs of cannabis consumers and businesses across the country while improving our network infrastructure to support further growth. The final phase of these platform improvements is the re-launch of MassRoots.com, which we expect to be completed in August 2018. This will give us a unified and cohesive platform which we expect will provide consumers with an easy connection to the top-rated licensed products and dispensaries in regulated markets.
Much like Amazon's product reviews and Yelp's restaurant reviews, we believe the most influential consumers provide the reviews and relevant information that influence purchasing decisions of many other consumers. With our established user-base representing the demand-side of the cannabis market, we believe MassRoots can drive significant traffic and purchasing volume to our advertisers and clients. For the rest of 2018, our primary business objective is building a client base of several hundred dispensaries and ancillary businesses paying MassRoots between $420 - $1,000 per month. Our execution is critical to our success with this model, and if we fall short in that regard, or if we encounter unforeseen roadblocks, MassRoots may not generate significant revenue from this model.
The past few months have been frustrating for management and shareholders as improvements to our platform have taken longer to develop than anticipated while the market capitalization of our company has fallen to some of the lowest levels since we became a fully-reporting public company. However, we believe our core thesis remains intact: the technology platform that can best connect cannabis consumers with top-rated products in regulated markets will be a leading player in the multi-billion-dollar cannabis industry. While some licensed producers of cannabis have had exponential growth in their valuations, technology platforms in the space are often overlooked. As the market for cannabis matures, we believe margins for companies that directly produce and sell cannabis will come under increasing pressure while technology platforms have the potential to generate high-margin revenue with a long-term competitive advantage.
In the near future, California is expected to finalize regulations governing the sale of cannabis for adult-use, Massachusetts is expected to begin adult-use sales, and the first medical-cannabis dispensaries are expected to open in Florida. All of these developments present MassRoots with a significant opportunity to grow our user-base and revenues.
MassRoots continues to partner with some of the leading companies in the cannabis industry, with ownership positions in High Times Holdings Corporation and CannaRegs, Inc., the latter of which continues to scale its clientele and revenues in the California market. We are continuously evaluating opportunities to partner with best-in-class companies in the cannabis space, further building our footprint, and creating new revenue-generating channels for our business. We believe these initiatives position MassRoots to become the preeminent player on the demand-side of the cannabis market and could build significant shareholder value. We greatly appreciate your continued support as we work to create a valuable, long-term enterprise for our shareholders.
Chairman & Chief Executive Officer
MassRoots, Inc. is one of the leading technology platforms for the regulated cannabis industry. Powered by more than one million registered users, the Company's mobile apps empower consumers to make educated cannabis purchasing decisions through community-driven reviews. With a significant market share of medical cannabis patients in certain markets and more than 35,000 shareholders, the Company believes it is uniquely positioned to best serve the needs of the cannabis industry. For more information, please visit www.MassRoots.com/Investors and review MassRoots' filings with the U.S. Securities and Exchange Commission.
This press release contains certain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are identified by the use of the words "could," "believe," "anticipate," "intend," "estimate," "expect," "may," "continue," "predict," "potential," "project" and similar expressions that are intended to identify forward-looking statements. All forward-looking statements speak only as of the date of this press release. You should not place undue reliance on these forward-looking statements. Although we believe that our plans, objectives, expectations and intentions reflected in or suggested by the forward-looking statements are reasonable, we can give no assurance that these plans, objectives, expectations or intentions will be achieved. Forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions that could cause actual results to differ materially from historical experience and present expectations or projections. Actual results to differ materially from those in the forward-looking statements and the trading price for our common stock may fluctuate significantly. Forward-looking statements also are affected by the risk factors described in the Company's filings with the U.S. Securities and Exchange Commission. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.
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SOURCE MassRoots, Inc.
Company Codes: OTC-PINK:MSRT, OTC-QB:MSRT