If you want to know where to invest, just follow the smart money.
And nowhere is this truer than with CULT Food Science (OTCBB: CULTF), which operates as a sort of publicly traded venture capital fund with an exclusive focus on cultivated meat, cultured dairy, and cell-based foods.
I’ve been quite bullish on cultured meat and cell-based foods for a few years now, but there really aren’t many opportunities for retail investors as most of these companies are still private. But since CULT Food Science is public, and has a piece of nearly every major player in the space, it’s easy to see why the smart money is starting to load up on shares of the company.
A couple months ago, we learned that Marc Lustig acquired 15% of the company through his family office L5 Capital and is now the largest individual shareholder.
If you’re unfamiliar, Lustig is an incredibly wealthy entrepreneur who’s made millions in biotech and cannabis. Pretty much everything he touches makes money.
Here’s what Lustig had to say after becoming the largest individual shareholder …
I am very excited to have taken a significant ownership stake in CULT Food Science. I believe it is inevitable that cell-based foods will sustainably transform our food systems for the better and that these products will be coming to market much sooner than most people think. As a first mover in the cellular agriculture space, CULT has the opportunity to play a unique and valuable role in the industry's exciting scientific innovation.
And yesterday we got word that both Coloured Ties Capital (TSX-V: TIE) and BullRun Capital have acquired a combined 6 million shares of CULT in the open market.
Coloured Ties Capital is an investment company that invests in early stage commercial ventures and provides investee companies with capital market access and advisory services.
And BullRun Capital is a privately held venture capital company based in Vancouver, BC, that incubates and invests in early-stage companies with a goal of providing capital markets advisory services to public market listings.
Basically, not only did CULT just get a nice infusion of capital, but it looks like it's aligning itself with some folks that are likely to promote the shit out of the stock this year. And since it’s still trading below $0.10, it’s a screaming buy.
While there are certainly other ways to play the cultured meat and cell-based food market, including Ingredion (NYSE: INGR), Stakeholder Foods (NASDAQ: STKH), and Agronomics (OTCBB: AGNMF), I maintain that with CULT, you’re going to get the most bang for your buck.
My one-year price target on CULT is $0.13, giving you an estimated gain of 85.7%.
