The MJ Biz conference happened this week. It’s the biggest marijuana conference in the country.. There are 25,000 people attending the conference here in Las Vegas.
But the biggest news this week is that Acreage Holdings began trading on the Canadian Securities Exchange using the symbol ACRG.U. The shares were priced at $25. The multistate operator is in 17 states and is valued at over $2 billion. Acreage hasn’t released any revenue projections and instead would like investors to focus on its extensive footprint.
However, Acreage wasn’t the only company to begin trading this week. MJardin acquired GrowForce in a deal valued at $275 million and the company began trading on the CSE. The symbol is MJAR. MJardin projects that it will bring in $162 million in revenue in 2019 according to an investor presentation. The 2020 estimates are for $325 million in revenue.
Think that’s it for new cannabis stocks today? You are wrong! Harvest also began trading on the CSE today with the symbol HARV. This multistate operator is operational in four states and has licenses for 11. The RTO has brought the company’s capital raise to $218m. The stock was priced at C$8.67, but opened lower at C$5.50 and then closed at $7, opened at C$5.50.
We had some big earnings this week too.
Canopy Growth (CGC) stock fell after the company missed analysts estimates. Canopy Growth reported that its second-quarter fiscal 2019 revenues jumped 33% to C$23.3 million, but analysts had estimated the company should have had revenues of C$60 million. Sales and marketing expenses were $7.6 million or 43% of revenue.
Tilray (TLRY) stock fell after the company reported third-quarter revenue of $10 million, an increase of 85% versus the same time period for last year. The company said that the average net selling price was $6.21 versus last year’s $7.53. The net loss for the quarter was $18.7 million or $0.20 per share compared to last year’s $1.8 million or C$0.02 per share.
Cronos Group (CRON) reported a 186% increase in third quarter revenuesto $3.8 million versus last years $1.3 million for the same time period. Gross profits were essentially flat with C$2.09 million for this past quarter versus C$2.0 million for the previous year.
The net loss increased to C$7.2 million for the quarter over last year’s net income of C$1.0 million. The net loss per diluted share was four cents versus last year’s net income per diluted share of one cent.