NEW YORK (TheStreet) -- Puget Technologies (PUGE) has become the latest over the counter stock to radically shift its business plans and announce its intentions to enter the medical marijuana business.
However, unlike so many others, its stock hasn't popped yet. While shares were up 4.62% to 68 cents per share in mid-afternoon trading Friday, that is below their 50-day moving average of 80 cents per share.
According to its latest 10-K, filed Thursday after the close of trading, the Ft. Lauderdale, Fla.-based company, which "was incorporated in the State of Nevada on March 17, 2010 to engage in the development and operation of a business engaged in the distribution of luxury wool bedding products produced in Germany . . . redefined its business purpose to developing and selling leading edge consumer oriented products ready for rapid commercialization."
It acquired a company called B-29 Energy, Inc. on Sept. 2, 2013 whose "product lines under development include B-29 Energy Drinks and several medical marijuana products through its subsidiary, Cannabis Biotech."Even though the acquisition occurred over five months ago, Thursday's filing appears to be the first time the company has mentioned the word "marijuana" in one of its regulatory filings, judging from a keyword search on Web site of the Securities and Exchange Commission. Is Puget Technologies a legitimate business? Who knows? While the fact that it files with the SEC at all is a positive sign, that is scarcely a guarantee it has money-making potential. It had no revenue at all in the last fiscal year. A call to Ronald Leyland, described in the 10-K as Puget Technologies' sole employee, wasn't returned. Follow @dan_freed