Daily Hit Archives - Green Market Report

StaffStaffJune 1, 2020
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6min20

It’s time for your Daily Hit of cannabis financial news for June 1, 2020.

On The Site

Acreage

Multi-state operator Acreage Holdings, Inc. (OTCQX: ACRGF) said it has entered into two definitive funding agreements to receive up to $60 million. According to a company statement, the two funding agreements are as follows:

A Standby Equity Distribution Agreement with an institutional investor, under which the company may, at its discretion, periodically sell to Investor, and pursuant to which the Investor may, at its discretion, require the company to sell to it, up to $50 million of the Company’s Class A Subordinate Voting Shares, no par value.

Completion of a private placement offering, in which it issued $11 million in a principal amount under a secured convertible debenture, with gross proceeds to the Company of $10,000,000 before transaction fees.

Valens

Valens GroWorks Corp. (VLNCF) has entered into a syndicated credit facility with the Canadian Imperial Bank of Commerce as Co-Lead Arranger and Administrative Agent, and ATB Financial as Co-Lead Arranger. The Lenders will provide The Valens Company up to C$40 million of secured debt financing.

International cannabis company Clever Leaves will be listed on the NASDAQ (NASDAQ:NDAQ) as a result of its agreement with the Schultze Special Purpose Acquisition Corp. (NASDAQ: SAMA). According to a company statement, SAMA and Clever Leaves will combine and become a publicly-traded company on NASDAQ.

New Study

Green Horizons released a detailed report studying cannabis consumers and the cannabis market in general. The report addresses a diverse selection of topics like social concerns with using cannabis, talking to non-users about why they choose not to use cannabis, and dispensary reports and findings. An interesting part of the report focused on cannabis branding, and how that impacts cannabis users at large.

With terms like “social distancing”, “quarantine”, and “safer at home” orders now common parlance thanks to the Covid-19 global pandemic, it seems an odd time to forge ahead with opening new retail establishments, yet several determined cannabis companies are betting on a better future and doing just that.

Dispensaries

Small business website “The Balance” itemizes the expenses associated with opening a storefront, which include licensing fees, rent, inventory, staffing, and equipment to name a few.  To open even a small business in an inexpensive city or town can cost thousands of dollars. Factor in the extra costs retailers will have to swallow to stay within Covid-19 guidelines for reopening such as plexiglass cashier guards, protective equipment for staff, and restrictions on the number of customers allowed in the store at any one time, and the overhead becomes untenable for many current and aspiring shop owners.

In Other News

Jushi

Jushi Holdings Inc.  (OTCQX: JUSHF) is temporarily closing its BEYOND / HELLO™ Center City and Northern Liberties store locations in Philadelphia amid ongoing demonstrations. Chief Executive Officer Jim Cacioppo said, “We fully support an individual’s right to freedom of speech and the touching peaceful demonstrations that we have seen around the country. We are heartbroken by the murder of George Floyd and the pain it is causing communities across the country that we not only work in, but live and love.

Unfortunately, certain opportunistic bad actors have at times manifested unacceptable behaviors. This past weekend, our Center City and Northern Liberties locations in Philadelphia were broken into, making it impossible for us to safely operate. In addition to these two temporary store closures, we have limited our hours at certain locations in Pennsylvania and Illinois.”

M Jardin

MJardin Group, Inc. (OTCQX: MJAR) has terminated its previously announced acquisition of Carson City Agency Solutions, dba Cannabella, a producer of edibles and topicals located in Carson City, Nevada.

The acquisition, which was expected to close in late 2019, could be terminated by the parties if the transaction hadn’t closed by April 2020. Given the delay in transferring the license, the Company elected to terminate the acquisition. The Company and the vendor are in discussions regarding fees, expenses, and the status of the deposit consideration made in respect of the acquisition.


Kaitlin DomangueKaitlin DomangueMay 28, 2020
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5min690

It’s time for your daily hit of cannabis financial news for May 28th, 2020. 

On the Site

Canopy River Tightens Belt, Cuts Employees

Canopy Rivers Inc. (OTC: CNPOF) is laying off employees and cutting back on spending as the company focuses on positive cash flow. The venture capital firm that specializes in cannabis companies said that it is streamlining its operations to preserve its cash on hand.

The company said in a statement that it is making the following changes:

  • A material reduction in the Company’s operating cash outflows, including a reduction in headcount, directors’ compensation, marketing expenses, and general corporate expenses of a minimum of 35% from the Company’s fiscal 2020 operating cash outflows on a normalized basis;
  • A focus on generating positive cash flow from operations for fiscal 2021 (year ended March 31, 2021); and
  • A focus on maximizing returns on existing assets.

MedMen Says COVID Has Hurt Sales

On the company’s earnings conference call, interim CEO Tom Lynch said, “Unfortunately, COVID has impacted our sales since the end of March; we’re down in April overall, but have seen a steady increase since. While we’re still not back to our normal levels, pre-COVID, particularly in California, we’re optimistic about our ability to recapture traffic as soon as stay at home orders are lifted.”

MedMen also noted that its Nevada location had suffered saying, “We saw a decrease in overall sales in this market, particularly given the impact that the pandemic has had on tourism into Las Vegas, we’re encouraged about the recent decision to open up cannabis retail again, and have already begun to see a steady ramp-up in revenue.”

In Other News

Aurora Completes Acquisition of Reliva, LLC

Canadian cannabis company, Aurora, has completed the acquisition of hemp-derived CBD company, Reliva. 

“We are pleased to have closed the Reliva transaction ahead of schedule. The partnership between Aurora and Reliva is expected to create a market leading international cannabinoid platform that we believe can deliver robust revenue and profitable growth,” said Michael Singer, Executive Chairman and Interim CEO of Aurora. “I would like to officially welcome Miguel Martin and his team to Aurora, and look forward to increasing Aurora’s operating scale, international reach, and product and brand diversity while in parallel, we remain focused on delivering Adjusted EBITDA profitability in Canada for the benefit of all shareholders.”

Cresco Labs Announces First Quarter 2020 Results

Multi-state operator Cresco announced a record revenue of $66.4 million in Q1 of 2020. This is a 60% growth over 2019’s Q4. The company also revealed the largest cultivation expansion in their company’s history, adding 6x cultivation space in Illinois and 4x the cultivation space in Pennsylvania. There was a 144% increase year over year from Q1 of 2019 to Q1 of 2020. 


Kaitlin DomangueKaitlin DomangueMay 27, 2020
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6min890

It’s time for your Daily Hit of cannabis financial news for May 27th, 2020. 

On the Site

Green Organic Dutchman Continues to Have High Net Losses

Organic cannabis company The Green Organic Dutchman Holdings Ltd.  (OTC: TGODF) reported revenue of C$3.06 million for the first quarter of 2020 ended March 31, 2020. The company also delivered a net loss of $73.4 million – a staggering amount when the revenues are so small, but it was at least an improvement over the fourth quarter’s net loss of $144 million.

Zynerba Stock Lifts After Positive Study Results For Autism

Zynerba Pharmaceuticals, Inc. (ZYNE) announced positive top-line results from the exploratory, open-label Phase 2 BRIGHT study (An Open-Label Tolerability and Efficacy Study of ZYN002 Administered as a Transdermal Gel to Children and Adolescents with Autism Spectrum Disorder) trial. 

The stock was moving higher by over 8% at one point in early trading to lately sell at $6.69. Most of the analysts covering the stock have rated it a Hold according to Yahoo Finance. The average price target is $15.33.

Michigan Upstart Gage Cannabis Partners With Slang

Up and coming Michigan cannabis company Gage Cannabis has announced a partnership with Slang Worldwide Inc. (OTC:SLGWF) to produce and distribute Slang products. The partnership means that Gage will be including its category-leading products O.penVAPE, Pressies, District Edibles, and Bakked in its dispensaries. SLANG will also provide sales consulting services and will receive royalty payments for each branded product sold in the state.

CFN Media Gets PPP Loan, But Stiffs Workers

CFN Enterprises Inc.  (OTC:CNFN) also known as CFN Media may have gotten a generous PPP loan, but the company isn’t sharing its largesse with its contract labor. Two people who both worked for the company for years have been left unpaid and the company has turned to ghosting them.

“They never actually let us go,” said Hasty. “We just had to stop working for them. They hadn’t paid their bills in six months.” Hasty said that President Frank Lane had even suggested that the company was working on getting the PPP loan and that CFN Media could pay him when the money showed up. “I’ve had zero contact for two months now,” he said.

In Other News

Aleafia Health Changes TSX Ticker Symbols

Here are the changed tickers: 

  • Common shares: “AH”
  • 5% unsecured convertible debentures: “AH.DB”
  • Common share purchase warrants: “AH.WT”

Innovative Industrial Properties Announces Details Surrounding Underwritten Public Offering

The company announced an underwritten public offering of 1,348,389 shares of its common stock for gross proceeds of roughly $100 million. The underwriter has also been allowed a 30-day option to buy up to an additional 202,259 shares. 

The company intends to invest in specialized industrial real estate assets and in general corporate purposes with this generated revenue. 

MedMen Reports Third Quarter Results

The cannabis giant reported revenue of $45.9 million, up 41% year over year. The Adjusted EBITDA loss was reported at $20.7 million for the quarter, an improvement from the $35.1 loss in the previous quarter. MedMen reported their four-wall Adjusted Retail EBITDA margin of 5%, after local taxes and distribution expenses. This is compared to an 8% loss from the previous quarter. 

The company reported positive after-tax cash flow for the month of March.


StaffStaffMay 26, 2020
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5min1260

It’s time for your Daily Hit of cannabis financial news for May 26, 2020.

On The Site

Aphria Inc. NYSE: APHA has decided to throw in the towel on its listing at the New York Stock Exchange and is moving to NASDAQ effective Friday, June 5, 2020, after the market close. Aphria said that shareholders  can expect the common stock will begin trading as a Nasdaq-listed security at market open on Monday, June 8, 2020 and will continue to be listed under the ticker symbol “APHA.” This transition will not impact the company’s primary listing on the Toronto Stock Exchange (TSX: APHA).

It is cheaper for companies to list at NASDAQ than it is to list at the NYSE. The amenities offered to companies that list at NYSE don’t apply to cannabis companies. For example, a cannabis company can list at NYSE, but is not allowed to ring the opening or closing bells. Cannabis companies are treated like second class citizens at the NYSE, but their exchange listing money seems to be considered of equal value.

In Other News

Tilray

Tilray, Inc. (NASDAQ: TLRY) announced that its wholly-owned subsidiary High Park Gardens will close its doors over the course of the next six weeks. As a result of the closure, the company said it expects to realize annualized net savings of approximately $7.5 million (current production costs net of future 3rd party purchases and ongoing depreciation) and avoid significant ongoing capital expenditures.

In 2019, Tilray acquired Natura Naturals Inc., in a deal valued at C$35 million and has since operated it as High Park Gardens.  The deal cost C$15 million in cash and C$20 million in Tilray Class 2 common stock.

The High Park Gardens facility contains 406,000 square feet of Health Canada licensed space for cannabis cultivation and manufacturing. High Park Gardens has worked collaboratively with Tilray’s existing operational sites to primarily serve the adult-use market in Canada.

“We are continuously evaluating the evolving needs of our business, against a challenging industry backdrop, to ensure we’re in the best position to produce world-class products and deliver positive results for our stakeholders,” says Brendan Kennedy, Tilray CEO. “The decision to close a facility is never easy but we are confident that this will immediately put Tilray in a better position to achieve our goals of driving revenues across our core businesses and working towards positive adjusted EBITDA by the end of 2020. We are very confident our existing operations team will continue to serve our valued patients and customers with no interruption. On behalf of myself, the rest of our executive team, and our colleagues across the organization, I’d like to extend my sincere gratitude to the team at High Park Gardens for their contributions to Tilray and High Park.”

TGOD

The Green Organic Dutchman Holdings Ltd.  (OTC:TGODF) has made its first shipment of Highly Dutch, TGOD’s new mainstream brand designed for regular users. Starting today, Highly Dutch is available in Quebec in a one-ounce format (28 grams) of its Rotterdam OG Indica strain and will become available in additional provinces during the weeks ahead. This launch will be followed by additional Highly Dutch strains, sizes, and formats later this summer.


StaffStaffMay 21, 2020
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3min1670

It’s time for your Daily Hit of cannabis financial news for May 21, 2020.

On The Site

Ayr Strategies

Ayr Strategies Inc. (OTCQX: AYRSF) reported that its revenue increased 4% sequentially in the first-quarter ending in March to $33.6 million. The company did note that sales began to decline in March due to the COVID-19 related closures. The company also reported a net income of $3.3 million after a foreign currency translation. The earnings per share were $0.06 basic and $0.05 diluted.

Ayr also made improvements on its loss from operations as it trimmed that number from a loss of $16.9 million in the fourth quarter to a loss of $4.9 million in the first quarter. The adjusted EBITDA was $8.4 million, which dropped from the fourth quarter’s $9.2 million due to the COVID closures.

Planet 13

Planet 13 Holdings Inc. (OTCQX: PLNHF) is expanding beyond its universe of Las vegas Nevada as the company acquires a California dispenary. Planet 13 said it is has closed on its plan to buy Newtonian Principles, Inc. in a stcok and cash deal valued at $4 million.

The acquisition includes the California cannabis sales license held by Newtonian, and a 30-year lease for a dispensary in Santa Ana, California, and certain other assets from Warner Management Group, LLC.

In Other News

FSD Pharma Inc. (NASDAQ:HUGE) announced the sale of 5.0 million common shares of Pharmadrug Inc. (CSE:BUZZ) (formerly Aura Health) in a privately negotiated transaction at C$0.08 per share for cash proceeds of C$400,000. Under the terms of the sale, the buyer has the option through June 26, 2020 to purchase an additional 5.0 million shares of Pharmadrug at C$0.10 per share from FSD Pharma for cash proceeds of C$500,000.

“We are pleased to finalize this transaction as part of our continuing efforts to strengthen disposable cash on our balance sheet primarily to support our pharmaceutical R&D program. We plan to continue to shore up our cash position by strategically divesting non-cash assets, and raising new capital, either through private placement, debt financing or registered offering of our Class B subordinate voting stock,” stated Raza Bokhari, MD, Executive Co-Chairman & CEO.


StaffStaffMay 20, 2020
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5min1210

It’s time for your Daily Hit for your cannabis financial news for May 20, 2020.

Green Growth Brands

Green Growth Brands Inc. (OTCQB: GGBXF) had earlier this week announced that it had defaulted on its debentures due this month, now it is headed to the Canadian equivalent of bankruptcy. Green Growth said that has filed for insolvency protection under the Companies’ Creditors Arrangement Act (Canada) and obtained an order from the Ontario Superior Court of Justice granting the Applicants protection under the CCAA. Ernst & Young Inc. has consented to act as the Court-appointed monitor.

Green Growth said that the Court has granted CCAA protection for an initial 10 day period, subject to extension thereafter as the Court deems appropriate, which expires on May 29, 2020. While under CCAA protection, creditors and others are stayed from enforcing any rights against Green Growth.

Green Growth said it had to file for insolvency due to maturing debt and the effects of COVID-19 on its one dispensary The+Source which is located in Las Vegas, Nevada. The lack of tourists has caused a severe drop in sales in many of the companies located there.

Trulieve

Trulieve Cannabis Corp. (OTCQX: TCNNF) reported that its revenue increased 21% sequentially to $96 million in its first quarter of 2020 ending  March 31, 2020, versus $79 million in the fourth quarter. This beat the Yahoo! Finance average estimate for revenue of $90 million for the quarter.

Revenue increased 116% over last year’s first-quarter revenue of $44 million. Trulieve also delivered a net income of $14 million in the first quarter.  The company has a strong cash position of $100.8 million at March 31, 2020.

The company delivered adjusted EBITDA of $49.4 million, or 51%, for the first quarter of 2020 and reported earnings per share (EPS) of $0.12. This beat the Yahoo! Finance average estimate of $0.11 but was down from last year’s earnings of $0.13 for the first quarter of 2019. The achieved GAAP adjusted margin was 77%.

In Other News

Harvest Health

Harvest Health & Recreation Inc. (OTCQX: HRVSF) reported its financial and operating results for the first quarter 2020. Total revenue in the first quarter was $45.0 million, an increase of 134% from $19.2 million in the first quarter of 2019 and up 19% compared to $37.8 million in the fourth quarter of 2019.

The net loss was $20.0 million for the first quarter compared to net loss of $20.0 million in the first quarter of 2019 and $88.9 million for the fourth quarter 2019.

Outlook
Full year 2020 revenue target is approximately $200 million. Harvest is on track to achieve positive Adjusted EBITDA during the second half of 2020. Forecasts assume no meaningful impacts or disruptions to our operations as a result of the COVID-19 pandemic beyond the new protocols and safeguards already implemented throughout the company.

Management Commentary
“Our improved financial results during the first quarter demonstrate progress toward our primary goal of returning to profitability through cost reduction measures and investments in core markets Arizona, Florida, Maryland, and Pennsylvania,” said Chief Executive Officer Steve White. “In 2020 we have raised additional capital and completed several acquisitions adding strategic assets in core markets while continuing to streamline operations as highlighted by continued improving quarterly trends.”

Aurora Cannabis

Aurora Cannabis Inc. (NYSE: ACB) is buying U.S. CBD company Reliva, LLC for approximately US$40 million of Aurora common shares.  The transaction also includes a potential earn-out of up to a maximum of US$45 million payable in Aurora shares, cash or a combination thereof, over the next two years contingent upon Reliva achieving certain financial targets.


StaffStaffMay 19, 2020
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3min1200

It’s time for your Daily Hit of cannabis financial news for May 19, 2020.

On the Site

Zenabis

Zenabis Global Inc. (OTC:ZBISF) reported rising revenue in Canadian dollars for the first quarter ending March 31, 2020. Zenabis‘s revenue rose 18% sequentially to $12.6 million and easily surpassing last year’s $4.1 million for the same time period. The net losses dropped dramatically to $1.5 million from the fourth quarter’s net loss of $98 million. The 2019 first-quarter net loss was $7.9 million.

The company attributed the increased sales to provincial customers, and the continued shipments of bulk cannabis for prepaid supply agreements and to other LPs (licensed producers) as well as the company’s focus on higher-value products.

 

TerrAscend

Despite the long-running bear market in the cannabis industry, TerrAscend Corp. (OTCQX: TRSSF) announced a non-brokered private placement for gross proceeds of approximately $30 million. TerrAscend also said that it could supersize the offering to between $35 and $40 million. The company said it plans to use the proceeds for its U.S. expansion and other general purposes.

The company said it has received initial investor commitments totaling $28 million, including a $20 million lead order from JW Asset Management LLC  which is expected to close on or about May 21, 2020.

 

In Other News

HEXO Corp. (NYSE: HEXO) stock fell 29% in trading after the company announced the pricing of its previously announced overnight marketed public offering of units of the company at a price of C$0.90 per Unit. The stock was selling at 52 cents per share or C$0.73. The underwriters for the Offering have agreed to purchase 55,600,000 Units from the Company for total gross proceeds to the Company of C$50,040,000.

Each Unit will be comprised of one common share of the Company and one half of one common share purchase warrant of the Company. Each Warrant will be exercisable to acquire one common share of the Company for a period of 5 years following the closing date of the Offering at an exercise price of C$1.05 per Warrant Share, subject to adjustment in certain events.


StaffStaffMay 18, 2020
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4min1210

It’s time for your Daily Hit of cannabis financial news for May 18, 2020.

On The Site

Curaleaf

Curaleaf Holdings, Inc.  (OTCQX: CURLF) reported increased revenue for the first quarter ended March 31, 2020. Total revenue for Curaleaf in the first quarter of 2020 increased by 174% to $96.5 million versus $35.3 million in the first quarter of 2019. Total revenue for the first quarter of 2020 increased 28% sequentially.

The net loss for the first quarter was $15.5 million, compared to a net loss of $10.8 million in the first quarter of 2019. The net losses declined from the fourth quarter which was $26 million.

Retail revenue increased by 197% to $56.6 million during the quarter, compared to $19.0 million in the first quarter of 2019. Growth in retail revenue was primarily due to organic growth and new store openings in Florida, Massachusetts, and New York, along with the acquisitions of three dispensaries in Arizona, two dispensaries in Nevada, and from Maryland due to the addition of the HMS/MI businesses and Elevate Takoma.

Wholesale revenue increased by 134% to $20.4 million during the quarter, compared to $8.7 million in the first quarter of 2019. Growth in wholesale revenue was due primarily to the addition of Select and as a result of the increased number of adult-use dispensaries in Massachusetts.

Acreage

Acreage Holdings Inc. (OTCQX:ACRGF) was once leading the pack of cannabis companies planting its flags in as many states as possible. That strategy has proven to be expensive and hasn’t paid off as quickly as many hoped. Now Acreage, like the others, is pulling back and taking a more targeted approach as it divests assets and takes a big charge.

Acreage said it expects to record a pre-tax, non-cash charge of $80 to $100 million in the quarter ending March 31, 2020. Its first steps to scaling back properties include selling Acreage North Dakota, where it operated one medical marijuana dispensary and selling undeveloped real estate on the island of Nantucket in Massachusetts. In 2019, Acreage reported a net loss of $195 million, so it seems 2020 may be off to a rough start as well.

Pioneers

Many scientists don’t have big public relations teams to promote their work or work at companies that employ marketing efforts to make their achievements known. Instead, they toil away in labs, most unrecognized for their hard work. Green Market Report is happy to give these women the accolades they deserve

In Other News

High Times

Last Friday, Hightimes Holding Corp. extended its REG  A offering once again to June 30,2020. The company also postponed its 11 for 1 stock split and terminated by mutual agreement with Humboldt Heritage, Inc.. a California corporation, its March 27, 2020 letter of intent to acquire the Humboldt Sun Growers Guild and Grateful Eight LLC, subsidiaries of Humboldt.

HEXO

HEXO Corp. (NYSE: HEXO) announced that it will be filing a preliminary prospectus supplement to its amended and restated short form base shelf prospectus dated December 14, 2018 relating to a proposed overnight marketed public offering of units of the Company.


StaffStaffMay 13, 2020
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4min1590

It’s time for your Daily Hit of cannabis financial news for May 13, 2020.

On The Site

Aleafia

Aleafia Health Inc. (OTC: ALEAF) reported its financial results for the first quarter ending March 31, 2020, with revenue increasing 143% sequentially to $14.6 million. Aleafia said that it was due to an $8.9 million increase in cannabis net revenue which was 859% more than the 2019 first quarter.

The company also delivered a net loss of $6.2 million, which has been trimmed sequentially from a net loss of $9.8 million. The company attributed the net loss to non-cash items including changes in the fair value of inventory sold, expenses of $6.2 million, amortization and depreciation expenses of $2 million, and a deferred income tax expense of $1.7 million.

Covalent

Covalent Collective raised millions of dollars from cannabis investors and planned to buy a property called the Colorado 16 (CO16). Now the company is asking those investors for more money to fight a lawsuit over the acquisition and is accusing its former director Geoff Thompson of being a co-conspirator with the CO16 sellers. It also comes to light that there is now an FBI investigation.

Medical Marijuana

Ever since recreational cannabis has stolen the stage, people tend to forget that cannabis is one of the oldest and most trusted medicines on the planet.

The medicinal properties within the plant are responsible for managing the symptoms associated in patients suffering from Epilepsy, Autism, Crohn’s Disease, Cancer, PTSD, and Chronic Pain to name just a few.

These brands have developed some of the best practices and formulations in the industry to treat a myriad of ailments with patents pending across the globe.

Our team decided to break down a list of the most respected medical brands and products within the cannabis industry globally.

In Other News

Khiron

On May 6th, Khiron, the exclusive Latin American supplier to Project Twenty21, a leading UK study that aims to create the largest body of evidence in Europe for the effectiveness and tolerability of medical cannabis, announced that their first import of EU GMP medical cannabis products is complete. Khiron’s products are now available to participating UK doctors, with first prescriptions now received.

Other key takeaways from the press release include:

Khiron has secured a strategic partnership with an EU GMP fulfilment partner which can deliver patient prescriptions to their homes

UK medical cannabis clinics and doctors have received regulatory approval to conduct teleconsultations with patients, a new milestone in opening up patient access

By 2024, the UK medical cannabis market is predicted to be worth nearly £1bn, servicing nearly 340,000 active patients

Tetra Bio-Pharma

Tetra Bio-Pharma Inc. (OTCQB:TBPMF), a leader in cannabinoid-derived drug discovery and development, announces that its Board of Directors has accepted the resignation of Mr. Sylvain Chretien as President of the Company. In light of Mr. Chretien’s resignation, the Board has decided not to appoint another president at this time.


StaffStaffMay 12, 2020
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5min2070

It’s time for your Daily Hit of cannabis financial news for May 12, 2020.

On The Site

Champignon

Psychedelic medicine company Champignon Brands Inc.   (OTCQB: SHRMF) is acquiring California based ketamine treatment company Wellness Clinic of Orange County Inc. It is a cash and stock deal with Champignon paying  $600,000, plus 1 million common shares of Champignon and 500,000 common shares of Champignon payable only if the Wellness Clinic collects top-line revenue of at least $1,500,000, over the 18-month period.

“We are thrilled to begin executing on our North American expansion strategy by acquiring our first U.S. based, revenue-generating ketamine center- Wellness Clinic of Orange County,” said Dr. Roger McIntyre, Chief Executive Officer, Champignon. “This acquisition represents a major milestone as we begin to accelerate our vision of establishing significant scale and a sizable footprint of integrated ketamine centric clinics committed to providing innovative care and therapeutic options to improve the quality of life of patients suffering from chronic disease states that have failed conventional treatments.”

 

MariMed

MariMed Inc. (MRMD:OTCQX) announced preliminary, unaudited, select financial results for the quarter ending March 31, 2020. Revenue increased 112% to $7.5 million versus $3.5 million in the first quarter of 2019. The company did not release a net profit or loss number, but it did say that it had EBITDA of $1.5 million, compared with an EBITDA loss of $4,000 in Q1 2019. MariMed also delivered a gross profit of $4.6 million compared with $2.3 million in Q1 2019.

“The success of our consolidation strategy contributed to our sales momentum in the first quarter of 2020, enabling us to grow quarterly revenues by 112% compared to the prior-year period,” said Bob Fireman, CEO of MariMed. “We are pleased with the consistently strong performances reported by our consolidated cannabis businesses in Illinois and Massachusetts as well as an increase in licensing revenues, in line with our strategic growth plan.”

 

Non Profits

It is not news that medical marijuana companies are constantly innovating to offer cannabis-derived products specifically formulated for those suffering from life-threatening and debilitating illnesses such as autism, cancer, and epilepsy. What doesn’t regularly make the headlines is the fact that many of them are creating and partnering with non-profit organizations in order to support providers and patients in turning that life-saving (or at least life-enhancing) corner.

Hope Grows For Autism, a nonprofit aimed at improving the lives of families affected by autism through research, education, and the advocacy of medical natural treatments was founded by Erica Daniels. Daniels is the mother of an autistic child, and her quest for a better quality of life for her son and family led her to discover the overwhelming significance of diet and medical cannabis in addressing her child’s autism.

 

In Other News

THC Global Group Limited (THC Global or the Company) (ASX:THC) is pleased to announce the Company’s acquisition of Tetra Health (Tetra), a leading clinic network in Australia facilitating access to legal medicinal cannabis medicines to Australian patients.

THC Global CEO Ken Charteris said: “We are very pleased to have acquired Tetra Health. Through this acquisition, we will be able to rapidly increase the number of Australian patients that can access cannabis, including our own high-quality low patient cost products. Going forward, we will look to further broaden the current network and potentially expand across the Tasman and other regions. THC Global believes this acquisition will deliver exceptional value to our shareholders.”

Tetra Health Overview

Tetra operates a clinic network connecting patients and medical practitioners to prescribers of medicinal cannabis medicines in Australia. Tetra’s medical practitioner network is significant, with over 600 referring physicians, 30 prescribing physicians and a national network of dispensing Pharmacies. Additionally, Tetra has over 10,000 prospective patients within its current database, and currently supports over 1,100 active Australian patients.



About Us

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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