Buy your tickets now for the Green Market Summit to be held on Sept. 14 in NYC. Go to www.greenmarketsummit.com for details.
The big news this week was the $5 billion investment by alcohol company Constellation Brands (STZ) into Canopy Growth (CGC). Constellation made an earlier investment in the company late last year and this recent move brings its total ownership up to 38%. Constellation also paid a premium for its shares. Canopy plans to use the money for strategic expansion into other countries.
That wasn’t the only big deal this week.
The longtime Bay Area Harborside dispensary which is actually a company called FLRish Inc. is entering into a binding letter agreement with Lineage Grow Company Ltd. (CSE:BUDD) for a reverse takeover in a deal valued at C$200 million. Lineage will acquire all of the outstanding shares of Harborside in exchange for newly issued shares of Lineage.
C21 Investments Inc. (CSE: CXXI) has entered into an agreement to acquire Oregon-based premium cannabis edible companies Grön Chocolate and Grön Confections. The deal is expected to close by November 1, 2018. C21 has agreed to pay Grön unitholders $6.8 million plus the bonus earn-out shares of $4.375 million
Cronos Group (CRON) stock popped over two percent in early market trading after the Canadian cannabis reported that its revenue for the second quarter jumped 428% to $3.4 million. It was an increase of $2.8 million over the previous year’s quarter.
The main drivers behind the revenue increase were an expansion in patient onboarding, an increase in average sales price and the strong growth in cannabis oil sales. Second quarter cannabis sales were responsible for 40% of the company’s domestic medical sales.
The Green Organic Dutchman (TGODF) reported its quarterly results that demonstrate the company is still in a phase of ramping up as there are no sales to report as of yet. The net loss for the quarter ending June 30, 2018, was C$8.5 million or C$0.04 per share versus last year’s C$2.3 million loss or C$0.02 per share.
MedMen (MMNFF) reported its unaudited fiscal fourth-quarter sales of $19 million. The sales come from 7 locations in Southern California and do not include the newest store in Abbot Kinney or the store that was just opened in Las Vegas. The company said it would release its full-year audited results in October.
Stifel initiated a buy rating on GW Pharmaceuticals (GWPH) and $181 (36% upside) price target citing bullish prospects for Epidiolex.