Happy Pride weekend everyone. Celebrate safely.
Canopy Growth Corporation (NYSE: CGC) and Acreage Holdings, Inc. (OTCQX: ACRGF) stunned markets when the two companies agreed to an unusual deal in 2019. The agreement was that when cannabis was legalized in the U.S., Canopy would buy Acreage. It was called the “triggering event.” A lot has changed since then and now the deal has changed accordingly. Acreage shareholders will now get an initial up-front payment of $37.5 million in connection with the modification of Canopy Growth’s rights. That’s a big drop from the original price tag of $3.4 billion. In addition to that CEO Kevin Murphy is resigning from the company.
Aurora Cannabis Inc. (NYSE: ACB) is the latest cannabis company to destroy the job argument as a reason for legalization. The Canadian cannabis company laid off 25% of Aurora’s SG&A staff, most of those to take place immediately and a roughly 30% reduction in production staff over the next two quarters. The cuts went to the highest levels including a restructuring of the executive leadership team and the recently announced retirement of President Steve Dobler. Aurora said it has initiated a plan to close operations at five facilities over the next two quarters in order to focus production and manufacturing at the Company’s larger scale and highly efficient sites.
Jushi Holdings Inc. (OTCQX: JUSHF) is planning on buying Vireo Health’s (OTC:VREOF) Pennsylvania Medical Solutions, LLC as the company looks to strengthen its position in the state’s market. Jushi will pay Vireo $16.3 million in cash, a $3.8 million seller note, and assume a $17 million facility associated with a long-term lease obligation. The $37 million deal is expected to close by the end of August 20.
GW Pharmaceuticals plc (Nasdaq: GWPH) said that the UK Home Office has reclassified Epidiolex, the company’s cannabidiol medicine as a Schedule 5 drug. A big relief to patients and pharmacists.
TILT Holdings Inc. (OTCQB: TLLTF) reported Quarterly revenue of $42.4 million, up 27% Quarter over Quarter and 23% over Q1 2019. The company reported a positive net income of $50,925.
Organigram Holdings Inc. (NASDAQ: OGI) issued a very brief announcement stating that the company was facing a lawsuit and that it was changing its newly launched Trailer Park Buds brand. Organigram said it wouldn’t comment on the case, which was started in the Court of Queen’s Bench in Alberta. It is a class-action case that seeks damages from many cannabis companies including Organigram.
A Cease Trade Orders have been issued by one or more securities commissions.
|Alternate Health Corp.||AHG||Ontario Securities Commission|
|Champignon Brands Inc.||SHRM||British Columbia Securities Commission|
|CIM International Group Inc.||CIM||Ontario Securities Commission|
|iAnthus Capital Holdings Inc.||IAN||Ontario Securities Commission|
|Ionic Brands Corp.||IONC||Ontario Securities Commission|
|Sunniva Inc.||SNN||Ontario Securities Commission and British Columbia Securities Commission|