CANNAINVESTOR Magazine March / April 2017 - Page 36

Insurance Valuations:

Conventional valuation analyses can demonstrate how investors might want to review how an insurance company is valued. By focusing on a company’s balance sheet “equity” divided by the amount of “shares issued” an approximate valuation can be determined at an approximate multiple of “20 times” for emerging growth companies.

Dilution Factor:

The Company did not raise any capital in 2016. All sorts of institutional convertible notes with variable toxic pricing structures approached the Company. Novus did not take and will not consider any such capital as to protect its shareholder equity.

Insider/Affiliate Holdings:

In 2016, Company insiders and affiliates have not liquidated any of its holdings nor have taken any cash salary compensation for the preservation of the shareholder value. Common Shares Issued and Outstanding: direct from Company filings at OTC Markets

https://www.otcmarkets.com/stock/NDEV/filings

As of December 31, 2016: 92,453,624 of common shares issued and outstanding

As of December 31, 2015: 88,953,624 of common shares issued and outstanding

*The increase in shares issued and outstanding is from stock-based compensation to CEO Frank Labrozzi and investor relations firm Hayden IR. Both issuances are in lieu of any cash compensation.

36