The Daily Hit is a recap of cannabis business news for August 4, 2022.
ON THE SITE
Innovative Industrial Beats On Revenue Gains, Bets On Growth
Innovative Industrial Properties, Inc. (NYSE: IIPR) posted positive results as it continues to inject capital into the cannabis real estate landscape. The real estate trust released results for the second quarter ending June 30, 2022. The company saw $70.5 million in total revenue this quarter, a 44% gain from $48.9 million for the same quarter last year. The increase was mostly due to the acquisition and leasing of new properties, additional improvement allowances and construction funding at existing properties resulting in adjustments to base rent as well as contractual rental escalations at certain properties. Read more here.
CBD Company Ordered To Pay Clint Eastwood $2 Million
A California-based CBD company was ordered by a judge to pay actor Clint Eastwood $2,029,245.07 on August 2, 2022, according to a report by Law360. The company Garrapata, LLC filed a Complaint against Norok Innovation, Inc. and Eric Popowicz and others alleging trademark infringement. Garrapata holds all trademarks related to Mr. Eastwood and Mr. Eastwood’s name and persona rights apart from those he grants in connection with the promotion and exploitation of the films he makes. Read more here.
GrowGeneration Posts Quarterly Sales That Fall Short Of Expectations
GrowGeneration Corp. (NASDAQ: GRWG) slumped in late trading on Thursday after second-quarter results missed expectations — showing that consumer demand for hydroponics in the nation remained muted as a lack of regulatory guidance and recessionary pressures in the sector persist. The company released its financial results for the second quarter ending June 30, 2022. Read more here.
Compass Names New CEO, On Track For Phase 3 Study
Psychedelic drug company Compass Pathways plc (Nasdaq: CMPS) reported its financial results for the second quarter 2022 and gave an update on recent progress across its business. Compass delivered a net loss for the quarter of $21.0 million, or $0.50 loss per share (including non-cash share-based compensation expense of $3.2 million), compared with $17.5 million or $0.44 loss per share, during the same period in 2021 (including non-cash-share-based compensation expense of $1.9 million). The stock was trading higher in early trading rising by 3% to sell at roughly $16.65. Read more here.
Brazia Buys KetaMD In Deal Valued At $6.2 Million
Braxia Scientific Corp. (CSE: BRAX) (OTC: BRAXF), acquired KetaMD, Inc. in a bid to expand ketamine-based psychedelic treatment for depression and other mental health challenges. The overall value of the deal is $6.2 million in a combination of common shares and convertible notes. KetaMD was founded by psychedelic pioneers Zappy Zapolin and Warren Gumpel, along with mindfulness instructor and brand experience expert Kaia Roman and the company’s President and Chief Operating Officer, Leann Taylor. Read more here.
DEA’s Psychedelic ‘To-Do’ List Is Growing
The pressure is ramping up on the U.S. Drug Enforcement Administration (DEA) as more lawyers, clinicians, researchers, investors and business owners working in the psychedelics industry are demanding clear answers about how the DEA should be evolving on its drug scheduling and enforcement strategy. Read more here.
IN OTHER NEWS
Akerna (Nasdaq: KERN), an enterprise software company and developer of technology infrastructure, ecosystem, and compliance engine for the global cannabis industry, today announced the release of its annual mid-year review. This report highlights the current state of the cannabis industry. It takes a look at the needs of growing cannabis operators, and how technology drives that growth and supports the maturation of the industry. Read more here.
High Tide Inc.
High Tide Inc. (Nasdaq: HITI) (TSXV: HITI) (FSE: 2LYA), a retail-focused cannabis company with bricks-and-mortar as well as global e-commerce assets, announced that further to its press release dated July 7, 2022, the company has completed its acquisition through companies’ creditors arrangement act proceedings, of eight operating retail cannabis stores in British Columbia and Alberta for CAD$4.2 Million. The company intends to complete the acquisition of the ninth store in Niagara, Ontario, pending regulatory approvals. Read more here.
Entourage Health Corp., Irwin Naturals Inc.
Entourage Health Corp. (TSX-V:ENTG) (OTCQX:ETRGF) (FSE:4WE), a Canadian producer and distributor of cannabis products, announced it has entered into an exclusive licensing, manufacturing and distribution agreement with Irwin Naturals Inc. (CSE: IWIN) (FRA: 97X), a nutraceuticals and herbal supplement formulator of branded wellness products sold across North America. The new line of CBD and THC products to be produced under the agreement, curated by Entourage alongside Irwin’s wholly owned subsidiary Irwin Naturals Cannabis, are expected to launch first on Entourage’s Starseed Medicinal channel in Q4, 2022, with eventual expansion into retail markets across Canada. Read more here.
MariMed, Inc., Emack & Bolio®
MariMed, Inc. (CSE: MRMD), (OTCQX: MRMD), a multi-state cannabis operator, today announced the availability of a new cannabis-infused ice cream. MariMed collaborated with the legendary Boston ice cream brand Emack & Bolio’s® to develop and market new and innovative vegan and dairy ice cream in outrageous flavors. The ice cream is an extension of MariMed’s top-selling and award-winning Betty’s Eddies infused fruit chews brand and shares the brand’s commitment to being hand-crafted and using all-natural ingredients. Read more here.
Jones Soda Co.
Jones Soda Co. (CSE: JSDA, OTCQB: JSDA), the original craft soda known for its unconventional flavors and user-submitted photo labels, announced its financial results for the second quarter ended June 30, 2022. Read more here.