Staff, Author at Green Market Report - Page 22 of 153

StaffAugust 6, 2021
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6min25070

Throughout his career, Fowle has overseen several divisions such as finance, business operations, business intelligence, and monetization operations. Before joining Akerna, he served as CFO for REV360, a SaaS and business services company, and as vice-president and controller for WELLTOK. While at WELLTOK, Fowle led the successful diligence and integration of six acquisitions valued at over $230 million. Fowle is a certified public accountant. He holds an MBA from the University of California, Irvine, and a Bachelor of Science Degree in Business Administration from the University of Southern California.

GMR Executive Spotlight Interview Q&A:

Title:

Chief Financial Officer (CFO)

Company:

Akerna

Years at current company:

Two

Most successful professional accomplishment before cannabis:

People are the most important asset in any business. From my tenure in Fortune 500 to my time in emerging growth, I have mentored and managed many individuals, with varied backgrounds, across North America, Europe, the Middle East, and Asia.  To see them develop both personally and professionally and move on to have highly successful professional careers, and to know I played a part of that, is by far my greatest professional accomplishment.

Company Mission: 

We are passionate about solving problems that better our world. Akerna provides data-driven cannabis solutions worldwide across the entire cannabis supply chain. Our technology empowers the cannabis industry to prove outcomes that positively change lives every day. 

Company’s most successful achievement: 

Our CEO, Jessica Billingsley, co-founded the company that invented seed-to-sale tracking in 2010. This was done upon identifying the need for organic material tracking and compliance SaaS solutions in the nascent cannabis industry. We recognized that due to the unique complexities and needs of the industry, cannabis needed technology built for it specifically, not just adapted from other industries. We believed visibility across the entire supply chain from seed-to-sale would be a requirement for the industry’s sustained growth. Today, this type of tracking is a requirement of most states that regulate legal cannabis.  

In 2017, we launched MJ Platform, the cannabis industry’s first ERP in response to the maturing of the cannabis market to multi-state enterprise businesses. We also led international expansion in the cannabis technology sector very early on in 2012 in Canada then into Spain. Today, our total footprint spans 23 states and 15 countries. Innovation and seeing what opportunities are next on the horizon – and then being ready for them first – has been a hallmark of Akerna since the inception of our flagship product MJ Freeway.   

In 2019, Akerna became the first cannabis software business to be traded on a major U.S. exchange, Nasdaq (ticker KERN). This listing was an unprecedented milestone for the cannabis industry and signified a shift in beliefs and generated ripples of opportunity for the future of the industry.    

Since then, we have grown the Akerna family to include many leading cannabis and alcohol technology solutions: Ample Organics, Last Call Analytics, Leaf Data Systems, MJ Freeway/MJ Platform, solo sciences, Trellis, and Viridian Sciences.  

Today, Akerna is the cannabis industry’s only scaled technology provider, enabling compliance, regulation, and taxation. We provide the single most comprehensive product ecosystem for cannabis operators that have businesses across any part of the supply chain, from seed-to-sale. This provides transparency and accountability along virtually every piece of the supply chain.   

Over the past decade, we have seen much change in the political and social environments surrounding cannabis. As we prepare for a post-legalization landscape and the industry continues to consolidate and mature, we firmly believe the enterprise capabilities we offer, including comprehensive compliance solutions and financial reporting integrations, will become increasingly crucial to the future leaders of the cannabis industry.    

Has the company raised any capital (yes or no):  

Yes 

If so, how much? 

Since going public Akerna has raised $22,000,000 

Any plans on raising capital in the future? 

 We feel we are well capitalized today and continue to have institutional support and access to the markets should the need arise.  We are always carefully evaluating the needs of the business to maximize long-term shareholder value.  

Most important company 5 year goal: 

To be the dominant provider of technology to the cannabis, hemp, and CBD industries, while also serving additional verticals by providing complete accountability and transparency to what consumers are putting in and on their bodies. 

 


StaffAugust 4, 2021
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10min10210

It’s time for your Daily Hit of cannabis financial news for August 4, 2021.

On The Site

Jazz

After the market closed on Tuesday, Jazz Pharmaceuticals plc (Nasdaq: JAZZ) announced financial results for the second quarter of 2021 and affirmed non-GAAP adjusted financial guidance for 2021. Jazz also said that it plans to expand the use of GW Pharmaceutical’s drug Epidiolex to other forms of epilepsy. Total revenues increased 34% to $751.8 Million in the second quarter of 2021 versus $562 million in 2020. This beat the Yahoo Finance average analyst estimate for $735 million. The GAAP net income (loss) for the second quarter of 2021 was ($363.3 million), or ($6.11) per diluted share, compared to $114.8 million, or $2.06 per diluted share, for the second quarter of 2020. The non-GAAP adjusted net income for the second quarter of 2021 was $240.6 million, or $3.90 per diluted share, compared to $207.3 million, or $3.71 per diluted share, for the second quarter of 2020. The average analyst estimate was $3.42. The average price target is $207 and the stock was moving higher in early trading to $171.

IIPR
After the market closed on Tuesday, cannabis REIT Innovative Industrial Properties, Inc. (NYSE: IIPR)said that it closed on the acquisition of a property in Illinois, and entered into a long-term lease with a subsidiary of 4Front Ventures Corp. (CSE: FFNT) (OTCQX: FFNTF). The purchase price for the property was $6.5 million (excluding transaction costs). 4Front is expected to construct approximately 250,000 square feet of industrial space at the property, for which IIP has agreed to provide reimbursement of up to $43.75 million. Assuming full reimbursement for the construction, IIP’s total investment in the property is expected to be $50.25 million (excluding transaction costs). 4Front intends to operate the property upon completion of construction as a licensed cannabis cultivation and processing facility.

Fire & Flower

Fire & Flower Holdings Corp.  (OTCQX: FFLWF) and its wholly-owned subsidiary Hifyre Inc. has purchased certain subsidiaries of Wikileaf Technologies Inc. (CSE: WIKI), an online platform for cannabis enthusiasts and consumers, as part of its innovative new digital strategy focused on enhancing the company’s proprietary data-driven retail platform.  It is an all-stock deal valued at $7.5 million. The website, associated domain names, e-mail subscriber database, social media channels, content generation platforms, trademarks and technology stack powering the Wikileaf platform generates significant online cannabis user traffic.

Akerna

Jessica Billingsley, Chief Executive Officer and co-founder of Akerna, was announced as the Chair of the newly formed US Cannabis Council, a coalition of organizations, businesses, and individuals seeking to end federal prohibition of cannabis and create an equitable, values-driven cannabis industry in the United States. 

In Other News

IIPR

Innovative Industrial Properties, Inc. (IIP) (NYSE: IIPR) announced results for the quarter ended June 30, 2021.The company generated total revenues of approximately $48.9 million in the quarter, representing a 101% increase from the prior year’s second quarter. Recorded net income attributable to common stockholders of approximately $29.0 million for the quarter, or $1.17 per diluted share, and adjusted funds from operations (AFFO) of approximately $43.0 million, or $1.64 per diluted share (Note: AFFO per diluted share for the period includes the dilutive impact of the assumed full exchange of IIP’s $143.75 million of exchangeable senior notes (the Exchangeable Senior Notes) for shares of common stock). Paid a quarterly dividend of $1.40 per share on July 15, 2021 to common stockholders of record as of June 30, 2021, representing an approximately 32% increase over the second quarter 2020’s dividend.

Grown Rogue

Grown Rogue International Inc. (CSE: GRIN) (OTC: GRUSF) announced record revenues for its Michigan operations, through its partner Golden Harvests, of over US$0.7M and greater than 60% gross margin for the month of June. Golden Harvests’ 80,000 sq ft facility has 35,000 sq ft operational that can yield upwards of 5,000 pounds of high quality indoor “A” flower. Golden Harvests is currently operating eight individual flower rooms with weekly harvests. An additional 25,000 sq ft is expected to be operational by June of 2022 increasing annual yields to over 8,000lbs. Grown Rogue’s products are currently only available in approximately 10% of dispensaries in Michigan and the Company is actively expanding the sales team as production capacity increases to establish more market share.

Planet 13

Planet 13 Holdings Inc. (CSE:PLTH)(OTCQX:PLNHF) announced $11.9 million in sales during July. During the first month of operations, the new Orange County store generated ~$800 thousand in sales. The gross margin for the company during the month was in excess of 50%. “Based on the early results we’ve seen from the Orange County store we are confident in the trajectory of sales and the quality of service and product we are providing. Sales have grown week over week as we start to gain traction as one of the top dispensaries in Orange County,” said Bob Groesbeck, Co-CEO of Planet 13. “Looking back at the early days of Planet 13 Las Vegas is a good reminder that it takes time to build customer trust and awareness. We took that dispensary from generating around $3 million a month to now north of $9 million with gross margins above 50%, all by focusing on the customer and continuing to refine and improve the experience and product selection.”

Jushi

Jushi Holdings Inc. ( CSE: JUSH ) ( OTCQX: JUSHF ) announced the appointment of Brendon Lynch as the Company’s Executive Vice President of Retail Operations, reporting directly to Jushi Chief Executive Officer, Chairman and Founder Jim Cacioppo . Brendon Lynch brings decades of retail expertise to Jushi that he refined and developed while working with companies such as Anthropologie, Rudy’s Barbershop, TOMS, David Yurman and the Gap.

Simplifya

Simplifya announced the appointment of one of the country’s top cannabis banking, financial services and compliance experts, Katrina Skinner, as the Company’s General Counsel and Chief Banking Officer, reporting directly to Simplifya CEO and Co-Founder Marion Mariathasan.

 


StaffAugust 4, 2021
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Robin Arnott is the CEO of Entheo Digital, a digital therapeutics company developing and distributing experiences to support psychedelic therapists at all stages of journey work. Robin has been recognized as an early maverick of Virtual Reality since the re-emergence of the field in the early 2010s. His VR experience “SoundSelf: A Technodelic” has been measured to produce states of consciousness comparable to psilocybin, and is currently being ported to mobile VR solutions.

GMR Executive Spotlight Interview Q&A:

Full Name: Robin Arnott

Title: Founder and Lead Link

Company: Entheo Digital

Years at current company: Since Company Founding in Q1 of 2021

Most successful professional accomplishment before psychedelics: 

Robin was the lead developer and designer of the VR experience “SoundSelf: A Technodelic.” Measured to produce psychedelic states of consciousness, SoundSelf was originally distributed as an entertainment on VR platforms under the Andromeda Entertainment label. Robin’s new company, Entheo Digital, is continuing to develop SoundSelf as a protocol for psychedelic therapy.

Before developing SoundSelf, Robin was a multi-award-winning sound designer for independent video games. He led the audio design for Antichamber, The Stanley Parable, Capsule, and Duskers

Company Mission: Entheo Digital is growing the accessibility and scalability of psychedelic therapy with immersive virtual experiences. 

Company’s most successful achievement: Entheo’s first experience SoundSelf has been measured to reliably stimulate psychedelic states of consciousness. They are integrating it into psychedelic therapy protocols as a preparation tool, to ease first-time-journeyers into deep medicine work.

Has the company raised any capital (yes or no): Yes

if so, how much?: As of this writing (July 28, 2021) Entheo is in the middle of it’s $1.5M Series Seed. It has raised $700k thus far.

Any plans on raising capital in the future? Yes. 

Most important company 5 year goal: Integrate SoundSelf and other immersive experiences as FDA Cleared protocols to assist in all aspects of psychedelic therapy, for assisting therapists and their clients with deep psychological healing.

 


StaffAugust 4, 2021
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6min23290

Nina Simosko is Akerna’s Chief Commercial Officer (CCO). With more than 20 years’ experience in bringing strategic innovation to companies such as Oracle, SAP, and most recently, NTT Group, Nina is extremely well suited to her current role with Akerna. She oversees all of the company’s revenue generation streams, builds strategies to drive revenue growth, and plays a pivotal role in aligning revenue generation processes across the entire organization.

GMR Executive Spotlight Interview Q&A:

Title: 

Chief Commercial Officer (CCO)

Company: 

Akerna

Years at current company: 

Two

Most successful professional accomplishment before cannabis:

At the time, I was the only female CEO to serve at NTT Group, a $110B consortium with 325,000 employees. NTT is a provider of fixed and mobile voice related services, Internet Protocol and packet communications services.

Company Mission: 

We are passionate about solving problems that better our world. Akerna provides data-driven cannabis solutions worldwide across the entire cannabis supply chain. Our technology empowers the cannabis industry to prove outcomes that positively change lives every day. 

Company’s most successful achievement: 

Our CEO, Jessica Billingsley, co-founded the company that invented seed-to-sale tracking in 2010. This was done upon identifying the need for organic material tracking and compliance SaaS solutions in the nascent cannabis industry. We recognized that due to the unique complexities and needs of the industry, cannabis needed technology built for it specifically, not just adapted from other industries. We believed visibility across the entire supply chain from seed-to-sale would be a requirement for the industry’s sustained growth. Today, this type of tracking is a requirement of most states that regulate legal cannabis.  

In 2017, we launched MJ Platform, the cannabis industry’s first ERP in response to the maturing of the cannabis market to multi-state enterprise businesses. We also led international expansion in the cannabis technology sector very early on in 2012 in Canada then into Spain. Today, our total footprint spans 23 states and 15 countries. Innovation and seeing what opportunities are next on the horizon – and then being ready for them first – has been a hallmark of Akerna since the inception of our flagship product MJ Freeway.   

In 2019, Akerna became the first cannabis software business to be traded on a major U.S. exchange, Nasdaq (ticker KERN). This listing was an unprecedented milestone for the cannabis industry and signified a shift in beliefs and generated ripples of opportunity for the future of the industry.    

Since then, we have grown the Akerna family to include many leading cannabis and alcohol technology solutions: Ample Organics, Last Call Analytics, Leaf Data Systems, MJ Freeway/MJ Platform, solo sciences, Trellis, and Viridian Sciences.  

Today, Akerna is the cannabis industry’s only scaled technology provider, enabling compliance, regulation, and taxation. We provide the single most comprehensive product ecosystem for cannabis operators that have businesses across any part of the supply chain, from seed-to-sale. This provides transparency and accountability along virtually every piece of the supply chain.   

Over the past decade, we have seen much change in the political and social environments surrounding cannabis. As we prepare for a post-legalization landscape and the industry continues to consolidate and mature, we firmly believe the enterprise capabilities we offer, including comprehensive compliance solutions and financial reporting integrations, will become increasingly crucial to the future leaders of the cannabis industry.    

Has the company raised any capital (yes or no):  

Yes 

If so, how much? 

Since going public Akerna has raised $22,000,000 

Any plans on raising capital in the future? 

 We feel we are well capitalized today and continue to have institutional support and access to the markets should the need arise.  We are always carefully evaluating the needs of the business to maximize long-term shareholder value.  

Most important company 5 year goal: 

To be the dominant provider of technology to the cannabis, hemp, and CBD industries, while also serving additional verticals by providing complete accountability and transparency to what consumers are putting in and on their bodies. 

 


StaffAugust 4, 2021
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4min14440

Jessica Billingsley, Chief Executive Officer and co-founder of Akerna, was announced as the Chair of the newly formed US Cannabis Council, a coalition of organizations, businesses, and individuals seeking to end federal prohibition of cannabis and create an equitable, values-driven cannabis industry in the United States. 

The USCC aims to raise ethical standards within the industry, achieve restorative justice for communities that have been disproportionately impacted by misguided state and federal cannabis policies, and create a healthy, inclusive, and well-regulated cannabis industry with social, financial, and environmental benefits shared by all.  

The USCC credited Billingsley’s leadership experience in the cannabis industry for her unanimous appointment. Billingsley was the first cannabis technology CEO to list on the Nasdaq, invented seed-to-sale tracking for the industry, won exclusive contracts for Washington, Pennsylvania, and Utah’s cannabis regulatory track-and-trace programs, and has engaged with members of Congress on cannabis reform for nearly a decade.  

“Billingsley is a proven leader who will elevate our voice for cannabis reform and an equitable, values-driven cannabis industry,” said Steven Hawkins, USCC CEO. “Her extensive background working in the cannabis industry and with the government will greatly assist USCC in reforming cannabis policy and advancing an equitable, well-regulated cannabis industry in all fifty states. 

“I am honored by this appointment and look forward to continuing my work with the USCC’s diverse collection of cannabis leaders striving to push forward critical and meaningful policy change in US cannabis,” said Jessica Billingsley, Akerna CEO and new Chair of the USCC Board. “A crucial part of the legalization process is to address the harms incurred by the mostly Black and brown populations who have served criminal convictions and prison sentences due to nonviolent marijuana offenses. We must, and we will fight for change.” 

USCC’s founding members represent the broadest group of organizations and people in the cannabis industry seeking to end federal prohibition. The group includes Acreage Holdings, Akerna Corp., American Trade Association of Cannabis and Hemp, Association for Cannabis Health Equity and Medicine, BellRock Brands, Buckeye Relief, Cannabis Trade Federation, Canopy Growth Corporation, Central Coast Agriculture (CCA), Columbia Care Inc., Cresco Labs Inc., Cronos Group, Culta, Curaleaf, DNA Genetics, Eaze, Flowhub, Global Alliance for Cannabis Commerce, Good Chemistry, The Grove Cannabis Dispensary, Headcount’s Cannabis Voter Project, Husch Blackwell, iAnthus Capital Holdings, Inc., Jushi, Keef Brands, Lightshade, LivWell Enlightened Health, Marijuana Policy Project, Medicine Man, MedMen, Native Roots Cannabis Co, 1906 New Highs, PAX Labs, PharmaCann, ProKure, Schwazze, Scotts Miracle-Gro Company, Urbn Leaf, Veterans Cannabis Project, Vicente Sederberg LLP, Vireo Health, and Wana.

 


StaffAugust 4, 2021
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3min8090

After the market closed on Tuesday, cannabis REIT Innovative Industrial Properties, Inc. (NYSE: IIPR)said that it closed on the acquisition of a property in Illinois, and entered into a long-term lease with a subsidiary of 4Front Ventures Corp. (CSE: FFNT) (OTCQX: FFNTF). The purchase price for the property was $6.5 million (excluding transaction costs). 4Front is expected to construct approximately 250,000 square feet of industrial space at the property, for which IIP has agreed to provide reimbursement of up to $43.75 million. Assuming full reimbursement for the construction, IIP’s total investment in the property is expected to be $50.25 million (excluding transaction costs). 4Front intends to operate the property upon completion of construction as a licensed cannabis cultivation and processing facility.

“We are excited to expand our partnership with IIP as the Illinois marketplace continues its record-breaking sales streak,” said Leo Gontmakher, Chief Executive Officer of 4Front. “This next-generation cultivation and manufacturing facility will not only allow us to best meet the state’s robust market demand, but it will also broaden the reach of our innovative, low-cost cultivation and manufacturing methodologies.”

Illinois, the eleventh state to legalize cannabis for adult-use, commenced adult-use cannabis sales at the beginning of last year. In this first year of adult-use sales, Illinois’ regulated cannabis sales were over $1.0 billion in 2020, including $669 million in adult-use sales and over $366 million in medical-use sales. In June 2021 alone, reflecting the continued strong and growing demand, Illinois adult-use cannabis dispensaries generated over $115 million in sales (excluding medical cannabis sales), according to the Illinois Department of Financial and Professional Regulation. For the first time, in the first quarter of 2021, Illinois’ tax revenues from regulated cannabis sales surpassed tax revenues from liquor sales. IIP owns seven regulated cannabis cultivation and processing facilities in Illinois, representing a total expected investment of approximately $254.9 million, which includes commitments by IIP to fund future tenant improvements and construction at certain properties.

“We are thrilled to expand our long-term real estate partnership with 4Front with this new ground-up development project in Illinois,” said Paul Smithers, President and Chief Executive Officer of IIP. “We look forward to working closely with the 4Front team in the coming months on the development of this state-of-the-art facility, which we expect will provide 4Front with tremendous, cost-effective scalability and a highly controlled environment for production of the quality products that 4Front is known for.”


StaffAugust 4, 2021
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5min16120

Fire & Flower Holdings Corp.  (OTCQX: FFLWF) and its wholly-owned subsidiary Hifyre Inc. has purchased certain subsidiaries of Wikileaf Technologies Inc. (CSE: WIKI), an online platform for cannabis enthusiasts and consumers, as part of its innovative new digital strategy focused on enhancing the company’s proprietary data-driven retail platform.  It is an all-stock deal valued at $7.5 million. The website, associated domain names, e-mail subscriber database, social media channels, content generation platforms, trademarks and technology stack powering the Wikileaf platform generates significant online cannabis user traffic.

Online Virtual Dispensary

Wikileaf said in a statement that it generates significant user traffic through engaging content and domain name strength that will be boosted through the incorporation of Hifyre’s unique data-driven technology solutions into its existing platform. Hifyre said it will transform the Wikileaf website into a virtual online dispensary for cannabis and accessory products utilizing the same e-commerce proprietary technology platform that powers the Fire & Flower retail network. Accessory products will be fulfilled through Fire & Flower’s agreement with Humble & Fume (CSE: HBML) announced last month.

A key aspect of the new digital strategy, Hifyre will create white-labeled online dispensaries fulfilled initially by the Fire & Flower retail network, that can be expanded to other cannabis dispensaries and delivery channels both in Canada and the U.S. In addition, users of all white-labeled websites will be enrolled into Fire & Flower’s proprietary Spark Perks membership loyalty program, expanding upon its ability to capture a high level of engagement and understanding of cannabis consumer preferences and habits both in Canada and the U.S.

Connor Cruise, Wikileaf Chair and Interim CEO said, “We firmly believe this transaction is in the best interest of Wikileaf shareholders. The combination of Wikileaf’s digital assets and Hifyre’s proprietary cannabis digital retail and analytics platform offers the strongest opportunity to realize the value of Wikileaf’s operations to drive continued growth for our online platform. Wikileaf has pursued internally generated as well as the evaluation of merger and acquisition opportunities to monetize the value of the Assets. Through the continued process of internal monetization development of the Assets, it was identified that significantly more financial resources and technical expertise would be required. Wikileaf has actively pursued potential merger and acquisition opportunities to monetize the value of the Assets and determined that the sale of the Assets to Fire & Flower represents the best opportunity to maximize the value of the Assets. Wikileaf intends to retain the Fire & Flower shares for investment purposes at this time and will consider options on what to do with the investment after the transaction is completed.”

“Hifyre’s expanded digital strategy offers a significant opportunity to expand the Company’s e-commerce revenue channels through an asset-light and highly scalable model both in Canada and the U.S.,” shared Trevor Fencott, Chief Executive Officer of Fire & Flower. “The branded online dispensary model is accretive to our retail channel as it offers the opportunity to capture new customers and drive an additional stream of high margin revenue through our Hifyre platform.”

“We believe owning the customer relationship is the most prized part of the value chain and this has been successfully achieved through membership in our Spark Perks program,” shared Matthew Hollingshead, Chief Innovation Officer of Fire & Flower and President of Hifyre. “Our ability to white-label our e-commerce platform offers the opportunity for any brand to create a virtual online cannabis dispensary through our proprietary technology.”


StaffAugust 3, 2021
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5min8010

It’s time for your Daily Hit of cannabis financial news for July 3, 2021.

On The Site

Hemp Prices

July 2021 saw record-setting temperatures in parts of the country, alarming spikes in Delta variant Covid infections, and large numbers of Americans returning to summer vacationing after having last summer’s dreams of ocean breezes and lakeshore barbecues dashed by the pandemic. It was also a notable, if not promising month for hemp. Hemp Benchmarks, a division of New Leaf Data Services and leading provider of financial, business, and industry data for the North American hemp markets, recently issued its report for July, which touches on some of the most high-profile talking points of the hemp market to date.

Parent Co.

TPCO Holding Corp.  (OTCQX: GRAMF) has acquired an operating retail dispensary located in Ceres, California from the owners of Jayden’s Journey. Terms of the transaction were not disclosed and remain subject to customary closing conditions, including regulatory approval. The company said it plans to rebrand the location at a later date. Jayden was the first child to be given CBD on national television by his father Jason who pioneered the CBD movement. Jayden’s Juice began when the company founder, Jason David’s son was diagnosed with Dravet syndrome, a rare and catastrophic form of epilepsy, at four months old. Jayden had hundreds of seizures each day, and doctors believed he might not live past his fifth birthday. After spending more than a thousand dollars a month on 22 pills a day, the founder’s son was still experiencing terrifying seizures.

SPACs

Viridian Capital Advisors pointed out this week that while cannabis SPACs have finished approximately $5 billion of qualifying transactions, there is still plenty of money that remains to be invested. Viridian said it expects the second wave to be equally significant with approximately $5.9B of deals announced or projected.

In Other News

Jazz

Jazz Pharmaceuticals plc (Nasdaq: JAZZ) today announced financial results for the second quarter of 2021 and affirmed non-GAAP adjusted financial guidance for 2021. Total revenues increased 34% to $751.8 million compared to the second quarter 2020. 2021 total revenue guidance affirmed at $3.02 billion to $3.18 billion

Nabis

Petalfast, a full-spectrum sales and marketing agency for the cannabis industry announced today an exclusive partnership with Nabis, the leading licensed cannabis wholesaling platform. By leveraging Nabis’ statewide network and best-in-class technology tools, Petalfast’s portfolio of brands will enjoy rapid fulfillment, low-cost financing, efficient order management and sophisticated data analytics, allowing them to scale more effectively.


StaffAugust 3, 2021
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4min10200

Viridian Capital Advisors pointed out this week that while cannabis SPACs have finished approximately $5 billion of qualifying transactions, there is still plenty of money that remains to be invested. Viridian said it expects the second wave to be equally significant with approximately $5.9B of deals announced or projected.

Chart provided by Viridian Capital Advisors

The company said in a recent note, “Nine SPAC mergers have been completed totaling $5.4B in merger value from $1.8B in IPO proceeds, 2 SPAC mergers are pending totaling $2.1B in merger value from only $270 M in IPO proceeds, and 7 SPACs are searching for a target after raising $1.2B from IPOs. Five of the seven SPACs searching for mergers in the cannabis industry have raised $853 million in IPO proceeds this year, much more than the $397 million raised through traditional IPOs year-to-date.” This confirms that the trend of using SPACs for capital raising in cannabis continues to be popular.

Of course, the drawback of SPACs is that the clock begins ticking creating stress to find an appropriate target. Viridian noted that two of the seven SPACs that are searching for companies are running out of time. Tuscan Holdings Corp II has obtained an extension until September 30, 2021 and Merida Merger Corp I has only until November 2021 to complete a merger.

Viridian pointed out that in addition to the time constraints, larger US-listed SPACS are limited to non-plant touching deals which shrinks the pool of options. “This has led 5 SPACs that started out searching for cannabis targets, to complete a merger in a different industry like Collective Growth Corp’s merger with an automotive company, and Tuscan Holdings Corp. I’s acquisition of a EV battery company.”

Premiums Paid

The lack of options for cannabis SPACs has led to premiums being paid for the few companies that fit the deal parameters. Viridian wrote, “One example is the Silver Spike Acquisition Corp purchase of cannabis software company Weedmaps for 6.8x 2021 projected revenue, while it’s closest public comp traded at 3.9x. Similarly, Mercer Park bought cultivation & retail company Glass House Group for 5.6x 2021 revenues and 28.8x EBITDA compared to peers at  3.94x  and 15.7x, respectively. One counterexample is the Subversive Capital Acquisition Corp. purchase of Caliva and Left Coast Ventures valuing the entities at 1.8x 2021 revenue and 18.1x EBITDA compared to peers at 4.4x and 19.3x respectively.”

Last month, cannabis SPAC Clover Leaf Capital (Nasdaq: CLOEU) closed its IPO raising $138 million.  Clover Leaf is listing on Nasdaq and focuses on Cultivation Technology, Processing Technology, Testing Technology, and Consumer Goods Technology investments. “The deal is a new twist on SPAC structure; most SPACS have included warrants for between ¼ and one share in their units,” said Viridian. The company also suggested that it is likely that Clover will need to bundle more than one acquisition in its de spacing transaction.


StaffAugust 3, 2021
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4min12540

TPCO Holding Corp.  (OTCQX: GRAMF) has acquired an operating retail dispensary located in Ceres, California from the owners of Jayden’s Journey. Terms of the transaction were not disclosed and remain subject to customary closing conditions, including regulatory approval. The company said it plans to rebrand the location at a later date.

“This is a fantastic opportunity to expand our reach and increase the availability of our exceptional product selection and retail experiences to a broader potential audience of consumers and patients in California’s Central Valley,” said Steve Allan, Chief Executive Officer of The Parent Company. “This new location allows us to quickly access this important region and to drive future growth through the introduction of our robust delivery network. We look forward to building off the strong foundation that the team at Jayden’s Journey has created while continuing to honor their commitments to the community.”

Jayden’s Journey

Jayden was the first child to be given CBD on national television by his father Jason who pioneered the CBD movement. Jayden’s Juice began when the company founder, Jason David’s son was diagnosed with Dravet syndrome, a rare and catastrophic form of epilepsy, at four months old. Jayden had hundreds of seizures each day, and doctors believed he might not live past his fifth birthday. After spending more than a thousand dollars a month on 22 pills a day, the founder’s son was still experiencing terrifying seizures.

“In a desperate attempt to save his son’s life, Jason asked his doctor about cannabis as a treatment option. When his doctor advised doing whatever was necessary to save his son, he purchased oil from a CBD-rich cannabis strain. He held onto the product for weeks, too scared to subject his child to a form of treatment he wasn’t familiar with. The day he gave Jayden his first drop was the first day in Jayden’s life he was seizure-free.”

The company says it tests all of its products for pesticides and pathogens. It describes itself as a premier medical and recreational Cannabis dispensary with locations in Modesto and Ceres, Ca. Jayden’s Journey features the CBD product Jayden’s Juice! Results from Jayden’s Juice have been featured on Weed Wars, Discovery Channel, CNN, LA Times, CBS, NBC, ABC and highlighted on the famous Netflix documentary “Culture High.”


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The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


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