The Daily Hit is a recap of the day’s top business stories in the cannabis industry for April 12, 2022.
On the Site
Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI) delivered its results for the second fiscal quarter ended February 28, 2022. Organigram reported that its net revenue increased 117% to $31.8 million, from $14.6 million for the same time period in 2021. The company attributed the increase to growth in adult-use recreational revenue and international revenue, partly offset by a lower average net selling price due to product mix and a decrease in medical revenue. The company trimmed its net losses to $4 million versus last year’s net loss of $66.4 million. The drop in the net loss was primarily due to the higher sales and gross margins in the current quarter. Read more here.
Tilray Brands Inc. (NASDAQ: TLRY) is leaning into its Hexo Corp. (NASDAQ: HEXO) debt buying with the announcement that it would buy Hexo’s remaining $193 million senior secured convertible note. The deal is expected to close by the end of May 2022. The Note will be amended to include conversion rights at a price of C$0.85 per Hexo Share, which would allow Tilray Brands to acquire a significant equity ownership position in Hexo and participate directly in its growth opportunities. Read more here.
Numinus Wellness Inc. (TSX: NUMI) (OTCQX: NUMIF) is buying Novamind Inc. (CSE: NM) (OTCQB: NVMDF) in an all-stock deal valued at C$26.2 million on a fully diluted in-the-money basis. The combined company will operate 13 wellness clinics and will be positioned as a psychedelic-assisted therapy provider in North America. the company expects revenue of approximately C$10 million in annual pro-forma revenue based on the trailing four quarters. Read more here.
In Other News
Icanic Brands Company Inc. (OTCQB: ICNAF) reports its annual financial results for the year ended July 31st, 2021, and delivered record gross revenue of $9.79 million – representing a 23% growth from the prior year for the Fiscal Year 2021. Read more here.
Leaf Trade, a technology company whose platform facilitates ordering and fulfillment for sellers and buyers of wholesale cannabis products, closed its $12.5 million Series B preferred round, led by Artemis Growth Partners, bringing funding to date for Leaf Trade to a total of $22.5 million. Leaf Trade also announces the naming of Brian Ward as the company’s Chief Financial Officer. Brian most recently served as Verano’s CFO, leading them through their IPO and several strategic acquisitions into one of the largest public cannabis companies in the US. Read more here.