The trading week was a little shorter as markets celebrated President day on Monday. However, there was still big news this week.
Verano Holdings began trading on the CSE this week using the symbol VRNO after closing the reverse takeover of Alternative Medical Enterprises better known as AltMed and sometimes referred to as AME. The stock quickly shot up from its listed price of $10 to $30 in canadian dollars. On a pro forma basis, the nine months of revenue would be $241 million and the net income would be $172 million making this one of the largest cannabis companies out there.
HEXO Corp. (TSX: HEXO; NYSE: HEXO) is buying Zenabis Global Inc. (TSX: ZENA) in an all-stock deal valued at approximately $235 million. Zenabis had hinted that such a deal was in the making during its fight with Sundial. In January, the company had said it had started talks with another significant licensed cannabis producer, so it seems Hexo was the company.
five-time NBA All-Star Chris Webber announced a partnership with Jason Wild and JW Asset Management, LLC to launch a $100 million private equity cannabis fund that will invest in companies led by entrepreneurs of color pursuing careers in the cannabis sector.
GW Pharmaceuticals plc (Nasdaq: GWPH) reported total revenue for the fourth quarter of $148.2 million. The net loss for the quarter was $29.1 million. The total revenue for the full-year 2020 was $527.2 million, a 69% increase over last year.
Tilray, Inc. (Nasdaq: TLRY) said that total revenue in the fourth quarter increased 20.5% to $56.6 million. For the full year of 2020 total revenue increased 26% to $210.5 million. The net loss for the year decreased to $(271.1) million versus last year’s loss of $(321.2) million
MedMen Enterprises Inc. (OTCQX: MMNFF) reported its net revenue was $33.8 million for the second quarter, up 0.3% sequentially excluding Evanston. Still, the company delivered a net loss of $68.9 million. The company reported that the general and administrative expenses were $33.8 million in the second quarter, a 47% decrease from the same period last year. However, revenues are barely covering the company’s expenses.
California-based cannabis company Harborside Inc. (CSE: HBOR), (OTCQX: HBORF) has been fighting the IRS over tax payments related to IRC Section 280E. The company announced that the United States Tax Court ruled in favor of the Commissioner of Internal Revenue with respect to The SJW case which refers to San Jose Wellness which had two pending tax court cases.