#SOS

QUOTE OF THE DAY

Excessive costs and bureaucracy."

Activist investor Nelson Peltz in a report tied to his ongoing fight with Procter and Gamble.

Market Snapshot

The S&P and Nasdaq fell as tech stocks retreated from their early-week gains.
Saudi Aramco advisers are pointing towards London for the company’s big IPO.
The dollar rallied on a strong durable goods report.
A U.K. regulator said it would begin to phase out LIBOR.

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I’ve Got A Hidea

High Times Magazine is lighting up on the New York Stock Exchange this August. Once the fog clears, take a second to remember Oreva Capital, an investor in everything from weed publications to elementary school solutions. You know, just your average portfolio.

Oreva was the PE shop that took a 60% stake in High Times back in June.

Now, only a month later, the company is once again being puff, puff, passed.

Origo Acquisitions—a company that specializes in acquiring firms and taking them public, is taking a 100% stake in High Times for $250 million. In return, High Times shareholders will receive 23 million, newly-issued shares in Origo.

Now, Origo is looking to take greens on this budding industry

High Time Magazine is a household name in the cannabis industry, one that has grown organically quite recently. The reason?

Eight U.S. states and Washington D.C. have now legalized recreational marijuana use, while 26 states (and D.C.) have legalized medical marijuana use.

In 2016, the market eclipsed $6.5 billion in revenue with that number expected to reach $23 billion by 2021.

With 40 years of experience and a trusted brand

High Times is in the perfect position to grow within the industry. But, first thing’s first: HT needs to raise some money.

The brand has acknowledged it is "undercapitalized and unable to take advantage of the new opportunities in cannabis-related digital media and e-commerce."

Which is why High Times drives $4 million in revenue through print media, while only bringing in $1 million through digital media.

By teaming up with Origo and raising capital through an IPO, High Times will be able to expand on its three most potent business segments: events (aka the Cannabis Cup), branding/licensing and media.

And so long as you keep tokin’, the High Times party should keep on smokin’.

#SendHelp

Let’s get it trending. Twitter (-14.13%) is proving quarter-after-quarter that it’s tough to fly with a broken wing (or two).

Ever since election season, when the penmanship of our commander-in-chief took Twitter to new heights (helping to attract nine million new users), the site’s performance has fluttered back to the days of old.

One bad earnings tweet after another sent shares falling 13%. Here’s a recap of the Q3 feed:

Number of monthly users remained at 328 million #Sad!

U.S. Twitter accounts fell from 68 million to 66 million #andddtheyregone!

Revenue fell 5% since last Q to $574 million #sh•thappens

Global ads which make up 85% of rev fell 8% #smh

$116 million loss—Twitter has yet to post a profit since its 2013 IPO #tbt

If Twitter hopes to stay afloat, it might need more than just a streaming deal with @MLB and @BuzzFeed. One flickering light at the end of a dark, dark tunnel is video. 55 million unique viewers tuned in to watch over 1,200 hours of live video. That’s up from 45 million viewers last quarter.

Will @jack lead the pack to the promised land?

On that BuzzFood Diet

Calling all millennials!

What if we told you BuzzFeed introduced a Bluetooth-enabled hot plate that will allow you to cook exactly like those chefs in the Tasty videos?

Before you say "yaaas," let’s go over the juicy details.

BuzzFeed’s new "smart" kitchen appliance, the Tasty One Top, will integrate with a mobile application to offer all 1,700+ recipes associated with the Tasty brand, BuzzFeed’s POV cooking video juggernaut (58 BILLION views across Facebook, Instagram and YouTube).

Those massive viewership numbers have translated into fast-growing revenue streams for BuzzFeed through sponsored videos and a physical cookbook that’s outsold all but two of last year’s bestsellers—position #3 for you listicle snobs. Twitter, start taking notes.

Tasty One Top, pre-ordering now for a pricey $149, is BuzzFeed’s attempt to become a comprehensive lifestyle brand, occupying not only your news feed, but your countertop space as well.

For that, though, you’ll need to get your (disembodied) hands dirty.

An Ode to The iPod

The iPod Nano and the iPod Shuffle: gone, but never forgotten. Yesterday, Apple (-1.89%) discontinued both products, officially removing them from its online store.

Why did these old school iPods meet their demise? Without internet connectivity, the devices have become less useful to consumers since their mid-2000s glory days.

Ultimately, the iPhone became the star of Apple’s show and it has been for some time now, cannibalizing the classic iPod models we grew up with.

We know your former tween self may need time to mourn the loss of your dear iPods, but don't fret—the good ol’ iPod touch will still be available in two different models.

Tell Me More…

Slack is raising $250 million at a $5 billion valuation.
Kickstarter CEO and cofounder, Yancey Strickler, is stepping down later this year.
WhatsApp reached 1 billion daily users, while Instagram Stories reached 250 million.
Viacom backs out of the race, while Discovery looks to be closing its grip on Scripps.

Economic Calendar

Monday Earnings: Alphabet (+)

Economic Events: Existing Home Sales (-)

Tuesday Earnings: Chipotle (+), Domino's (+), JetBlue (+), McDonald's (+), GM (+), Caterpillar (+)

Economic Events: Consumer Confidence (+), Home Price Index (+)

Wednesday Earnings: Boeing (+), Buffalo Wild Wings (-), Facebook (+), Ford (+), Whole Foods (+)

Economic Events: FOMC Rate Decision (+/-), Crude Inventories (-), New Home Sales (+)

Thursday Earnings: Airbus (-), Amazon (-), Deutsche Bank (+), Electronic Arts (+), Twitter (+), Intel (+)

Economic Events: Durable Goods (+), Natural Gas Inventories (+), Initial Claims (+)

Friday Earnings: American Airlines, Chevron, Exxon

Economic Events: Michigan Sentiment

The Back Burner

It’s not often you see a school with a better ROI than your standard VC firm, but for Saint Francis High School in Mountain View, California that appears to be the case.

Back when Snap was merely a blip on the average teenager’s radar, a Catholic high school—in a moment of youthful indiscretion—decided to turn its faith to Evan Spiegel.

Five years, a Snap IPO and a whole lot of repentance later, that $15,000 investment is now worth $34 million.

Now it’s time for Saint Francis to ask itself what all good Catholics hope to ask at some point in their lives: What Would Jesus Do with $34 million?

Suggestions range from cutting annual fundraisers and Christmas boutique sales to building a new church and science laboratory.

For now, a good portion of the money will be put towards the school’s endowment fund to offer financial aid to lower-income families (which it defines as households earning $150,000...) and towards a bonus fund for teachers.

Looks like a little bit of prayer can go a long way.

Question of the Day

100 people are attending a newspaper conference. 45 of them are writers and more than 38 are editors. Of the people at the conference, x are both writers and editors and 2x are neither. What is the largest possible number of people who are both writers and editors?

A. 6

B. 16

C. 17

D. 33

E. 84

(Give up?)

Who Am I?

I am the CEO of one of the largest accommodation providers in the world, yet own no real estate.

My inspiration for the company came in college, when I placed air mattresses in my apartment and turned it into a B&B.

I recently pledged to donate most of my wealth.

I still rent out my couch for $50 a night.

(Got any guesses?)

Stat of the Day

$21 billion

That is SpaceX’s newest valuation after Elon Musk raised a fresh round of $350 million. SpaceX’s last round, in 2015, placed it at a valuation of $12 billion.

And let’s be real, the funding was crucial. How else did you expect Elon to send that 1,200-ton Boring machine to Mars?