Daily Hit Archives - Green Market Report

Kaitlin DomangueKaitlin DomangueFebruary 24, 2021
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5min830

It’s time for your Daily Hit of cannabis financial news for February 24th, 2021. 

On the Site 

Ardent Life: A Company Revolutionizing Cannabis Technology

Ardent Life Inc., was founded in 2015 by Shanel Lindsay. The Green Market Report is featuring  a series of Black-owned businesses for Black History Month, and Ardent Life is part of that. 

Lindsay developed the sublingual method of administering cannabis after years of fiddling with her dose. This administration route had never been introduced to the cannabis industry before, which led to Lindsay immediately protecting her concepts before other companies could grab hold of it. In 2014, G.W. Pharmaceuticals gave $100 million to the company to support FDA trials of the company’s sublingual sprays, Sativex and Epidiolex.

Besides her work with Ardent, Shanel is an attorney and activist for the cannabis industry, fighting for equity amongst the industry.

 

Michigan May Get Its Own Marijuana Stock Exchange

Cimone Casson is the owner of cannabis insurance brokerage firm Cannas Capital, Michigan Chapter President for Minorities 4 Medical Marijuana, and the driving force behind another initiative that is poised to push Michigan to the forefront of social equity. Casson’s objective is to create a local stock exchange, the Michigan Marijuana Market, that focuses on raising capital for minorities in local communities impacted by the War on Drugs. 

 

Former Eaze CEO Pleads Guilty in Bank Fraud Case

James Patterson, the former CEO of California cannabis delivery platform Eaze pleaded guilty to one count of conspiracy to commit bank fraud according to a report at Law360. The plan was a scheme to deceive banks into processing more than $100 million worth of credit and debit payments for marijuana purchases. The major banks and credit card companies like Visa (NASDAQ: V) and Mastercard (NYSE: MA) refuse to work with cannabis companies as the product is still federally illegal. So any transactions using these products or lying to banks about the nature of the transactions is illegal.

 

The Pros and Cons of CBD Joints

Pros:

  • Great flavor
  • Easy to assemble ahead of time
  • Higher bioavailability

Cons:

  • Potential danger to your health
  • Antisocial 

In Other News

Agrify Announces New Advisory Board

Vertical grow solutions company, Agrify (NASDAQ: AGFY), has announced the formation of its new Strategic Advisory Board. 

Rosie Mattio, Founder and Chief Executive Officer of MATTIO Communications, and Matthew Kressy, Founding Director of the MIT Integrated Design & Management (IDM) program, have both been appointed to serve as trusted advisors to the Company. The Advisory Board has been established to bring together a talented and accomplished group of outside leaders to provide strategic guidance and industry expertise on various aspects of Agrify’s business, including market opportunities, public relations, and hardware and software design and solutions.


StaffStaffFebruary 23, 2021
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4min810

It’s time for your Daily Hit of cannabis financial news for February 23, 2021.

On the Site

GrowGen

GrowGeneration Corp . (NASDAQ: GRWG) is buying San Diego Hydroponics & Organics, a four-store chain of organic, hydroponic and aquaponics garden centers in San Diego, California. The company said that San Diego Hydroponics & Organics is San Diego County’s premier hydroponic equipment supplier, with annual revenues approaching $10 million. GrowGen did not say what it paid for the company. This latest acquisition brings the total number of GrowGen hydroponic garden centers to 50 stores.  In California, the country’s largest legal cannabis market, GrowGen now has 17 stores,  with eight of those stores located in Southern California.

GTI

Green Thumb Industries Inc. (OTCQX: GTBIF) announced it has raised approximately $56 million by selling 10 million of its subordinate voting shares, that was declared effective by the U.S. Securities and Exchange Commission (SEC) as of February 8, 2021.  Green Thumb said it had received and accepted offers from investors to purchase 1.6 million registered subordinate voting shares at $35.50 per share for a total of approximately $56 million.  The stock closed at $35.35 on Monday.

Psychedelics

Massachusetts lawmakers are moving forward to decriminalize psychedelic drugs. The effort began at the city level when Somerville and Cambridge adopted measures that would make possession of psychedelics a low law enforcement priority. Now it has moved to a state-wide initiative.

In Other News

Subversive Acquisition LP (NEO: SVX.U) (OTCQX: SBVRF) announced today that InterCure Ltd. (dba Canndoc) (TASE: INCR), Israel’s leading cannabis company and SVX’s intended target for its “Qualifying Transaction” has released its estimated unaudited fourth-quarter results for the year ended December 31, 2020. Highlights include:

  • NIS ₪27 million in fourth-quarter revenue, establishing a new quarterly revenue record for InterCure
  • Revenue growth of more than 13 times compared to Q4 2019 and more than 3 times compared to InterCure’s annual revenue in 2019
  • Continued increase in profitability, operating profit and net profit

 


StaffStaffFebruary 22, 2021
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5min1080

It’s time for your Daily Hit of cannabis financial news for February 22, 2021.

On the Site

New Jersey

On Monday, New Jersey’s Democratic Governor Phil Murphy signed legislation that legalizes adult-use marijuana possession and licenses retail marijuana sales. NORMAL stated that three bills were signed by the Governor. A21/S21 licenses the commercial production and retail sale of cannabis to adults. Under the new law, adults may legally purchase and possess up to one ounce of cannabis. Retail sales are subject to state sales tax. Seventy percent of the revenue derived from sales taxes on retail marijuana purchases will be directed toward reinvestment in designated, lower-income communities. Sales are expected to begin this summer.

Parallel

Privately-held multi-state cannabis operator Parallel and special purpose acquisition corporation (SPAC) Ceres Acquisition Corp.  (OTCQX: CERAF) have entered into a definitive business combination agreement involving a transaction that, if completed, would result in Parallel becoming a public company. The investors have an over-subscribed private investment in public equity (PIPE) of $225 million. The deal is expected to close in Summer 2021. The deal values Parallel at an implied enterprise value of $1.884 billion with expected net revenues of $447 million in 2021. The expected pro forma cash on hand of $430 million at the close, including the $225 million from the PIPE and $120 million of cash held in Ceres’ escrow account assuming no redemptions.

Delta-8

According to the January 2021 Hemp Benchmarks report, there is an increasing demand for delta-8 THC, which is not derived from hemp plant material but synthesized from extracted CBD. This is helping drive sales of crude CBD oil, CBD Isolate, and some wholesale CBD products. As the popularity of delta-8 THC increases, Hemp Benchmarks observed a consistent decline in prices. Despite the fact that trading volumes of delta-8 THC remain a small proportion of those for CBD products, it is the fastest-growing product in the hemp sector as of the January report. A Tennessee processor told Hemp Benchmarks that they have seen as many as about 20% of their CBD customers shift to purchasing delta-8 THC.

In Other News

Fire & Flower

Fire & Flower Holdings Corp. (OTCQX: FFLWF), today announced that it has entered into agreements with a Canadian private company, operating as “American Acres Managers” including an agreement to license its Fire & Flower brand, store operating system and Hifyre technology platform for dispensaries in California, Arizona and Nevada as the Company aims to deliver its best-in-class technology and retail functionality in these competitive, high growth markets. Fire & Flower anticipates the first branded store to be open in Palm Springs, California, during the first half of its fiscal 2021 year. Under the Strategic Agreements, in recognition of the value of the Fire & Flower license, Fire & Flower will have the option to acquire American Acres at a discount to fair market value. The acquisition is expected to occur upon the federal legalization of adult-use cannabis in the United States 

High Tide

High Tide Inc. (OTCQB: HITIF) announced the closing of its previously announced “bought deal” short-form prospectus offering of units of the company, including the exercise in full of the underwriters’ over-allotment option. The Offering was led by ATB Capital Markets Inc. and Echelon Wealth Partners Inc., together with Beacon Securities Limited and Desjardins Securities Inc. In connection with the Offering, the Company issued an aggregate of 47,916,665 Units at a price of $0.48 per Unit, for aggregate gross proceeds of $22,999,999.20.


StaffStaffFebruary 17, 2021
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6min1660

It’s time for your Daily Hit of cannabis financial news for February 17, 2021

On The Site

Neptune

Neptune Wellness Solutions, Inc.  (NASDAQ: NEPT) (TSX: NEPT) said has entered into an agreement with institutional investors for the purchase of 27,500,000 common shares that will bring the company gross proceeds of approximately $55.0 million before deducting fees and other estimated offering expenses. Neptune said it expects to use the net proceeds for working capital and other general corporate purposes. The Offering is expected to close on or about February 19, 2021.

MedMen

MedMen Enterprises Inc. (OTCQX: MMNFF) delivered its consolidated financial results for its second-quarter fiscal 2021 ending December 26, 2020. Net revenue across MedMen’s operations in California, Nevada, New York, Illinois, and Florida 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 which included $24.0 million of tax provision expense, compared to a net loss of $93.2 million which included a tax provision benefit of $14.6 million in the same period last year.

Hexo

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. Zenabis stock has jumped over 18% to lately trade at 14 cents. The combined organization would be a top-three licensed producer in terms of combined Canadian recreational cannabis sales.

JW Asset Mgmt

While most athletes align themselves with CBD brands,  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.

The sports star is also the founder of Webber Wellness, which will join forces with JW Asset Management to invest in underrepresented entrepreneurs in the cannabis industry and provide them with an ecosystem of business resources that will facilitate research and development (R&D), cultivation, retail licensing, distribution, branding, and marketing. JW has been an active investor in the cannabis industry since 2014 with over $2 billion in assets under management, investing in numerous industry leaders spanning multi-state operators, technology, and retail companies. 

In Other News

Tilray, Inc. (Nasdaq: TLRY) reported financial results for the full fiscal year and fourth quarter ended December 31, 2020. Total revenue increased to $56.6 (C$74.4) million, up 20.5% compared to the fourth quarter of 2019. Cannabis segment revenue increased 46% to $41.2 million (C$53.6 million), mainly driven by acceleration of International Medical sales (+191%) and Canadian Adult-Use sales (+49%). Canadian medical sales grew 26% and there were no bulk sales to other license producers. Hemp segment revenue decreased 18% to $15.3 million (C$20.5 million) primarily due to a shift to private label product with a large customer and the impact of COVID-related changes to consumer shopping patterns.

Net loss was $(3.0) million, or $(0.02) per share, compared to net loss of $(219.8) million, or $(2.14) per share, in the fourth quarter of 2019 and net loss of $(2.3) million, or $(0.02) per share in the third quarter of 2020.

Brendan Kennedy, Tilray’s Chief Executive Officer, stated, “Over the course of 2020, and despite COVID-19 related challenges, we transformed and strengthened Tilray, delivered solid full year results, significantly reduced net loss, and achieved our stated goal of delivering break even or positive Adjusted EBITDA in Q4 2020. We did so by generating meaningful revenue growth across our core businesses, particularly international medical and Canadian adult-use in Q4, and reducing costs by $57 million on an annualized basis compared to Q4 of 2019. As a result, we now operate with a more focused, efficient and competitive cost structure. We also strengthened our balance sheet and positioned Tilray for growth and success in the future in combination with Aphria. These results required hard work and dedication and I sincerely appreciate everything the Tilray team has done to transform our business during 2020. We now look forward to the beginning of the next chapter in our corporate journey.”


StaffStaffFebruary 16, 2021
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7min780

It’s time for your Daily Hit of cannabis financial news for February 16, 2021.

On The Site

GWPH

GW Pharmaceuticals plc (Nasdaq: GWPH) announced that the total revenue for the fourth quarter ending December 31, 2020, was $148.2 million versus $109.1 million for the quarter ended December 31, 2019. This beat the analyst estimates according to Yahoo Finance by $3.66 million. The net loss for the quarter ended December 31, 2020, was $29.1 million versus a net loss of $24.9 million for the quarter ended December 31, 2019. The fourth quarter GAAP EPS for GW Pharmaceuticals was -$0.08 which missed analyst estimates by two cents.

The total revenue for the full-year 2020 was $527.2 million, a 69% increase compared to $311.3 million for the prior-year period. The company said in a statement that cash and cash equivalents on December 31, 2020, were $486.8 million.

Verano

Verano Holdings Corp. (CSE: VRNO) is set to begin trading on February 17 after closing the reverse takeover of Majesta Minerals Inc. and the merger with Alternative Medical Enterprises LLC, Plants of Ruskin GPS, LLC, RVC 360, LLC, and affiliated companies better known as AltMed and sometimes referred to as AME. The company noted that the Subordinate Voting Shares would begin trading on the CSE, but that the Proportionate Voting Shares will not be listed for trading. 

Leafly

Leafly’s fifth annual cannabis jobs report showed the cannabis industry to support 321,000 full-time equivalent jobs in 2021! An incredible number for an amazing and highly-deserving industry. Cannabis jobs aren’t accurately reported to the Department of Labor because it’s federally illegal, so in partnership with Whitney Economics, Leafly has been filling that gap since 2017! The result is a goldmine of knowledge, and always filled with incredible cannabis job data. 

National brand

The cannabis space is red hot right now, with newly powerful Democratic leaders saying they plan to make reform legislation a key priority in the current Congress. Over the past year of the pandemic, the industry has seen massive gains as many states with “stay in place” mandates identified the category as an “essential service.” Nevertheless, we have yet to see a major national player emerge as a ubiquitous brand, either on the retail or product level. If you work or heavily consume in the space, you might have become familiar with some of the players—but there’s no Pepsi or Kleenex in the industry by any stretch of the imagination.

There’s a good reason for that, of course: Cannabis is still prohibited at the federal level. However, it would be silly to think that major players aren’t eyeing this space and aligning themselves for the inevitable moment when that all changes. And rest assured, when this space moves, it’s going to move fast.

In Other News

Hexo

Canadian cannabis company Hexo Corp. is acquiring Zenabis Global Inc. in an all-stock deal valued at about C$235 million ($185.2 million). Under the terms of the deal, Ottawa-based Hexo will pay the shareholders of Vancouver-based Zenabis 0.01772 of a Hexo share for each Zenabis share (ZBISF) owned, equal to a premium of about 19% based on the 20-day volume-weighted average price of Zenabis common shares and HEXO common shares on the Toronto Stock Exchange, as of February 12, 2021.

Supreme

The Supreme Cannabis Company, Inc. (OTCQX: SPRWF) has entered into an agreement with BMO Capital Markets, on behalf of a syndicate of underwriters, under which the underwriters have agreed to buy on bought deal basis 72,600,000 units, at a price of $0.31 per Unit for gross proceeds of approximately $22.5 million. 

Aleafia

Aleafia Health Inc. (OTC: ALEAF) has entered into an agreement with Cantor Fitzgerald Canada Corporation, as lead underwriter and sole bookrunner, on behalf of a syndicate of underwriters, pursuant to which the Underwriters have agreed to purchase 18,000,000 units of the Company, on a “bought deal” basis pursuant to a short form prospectus offering, subject to all required regulatory approvals, at a price per Unit of $0.83 for gross proceeds of $14,940,000.

Field Trip

Field Trip Health Ltd. (OTCQX: FTRPF) reported its third fiscal quarter results for the three and nine months ended December 31, 2020. Q3 2021 patient services revenues of $316,329 represented a 235% increase over the previous quarter. Net loss for our third fiscal quarter of $8,275,669 was primarily due to general and administration expenses of $2,989,160, listing expenses of $2,131,109 relating to the Transaction, research and development expenses of $1,064,744, patient services expenses of $668,911, sales & marketing expenses of $534,848, depreciation and amortization of $375,745, occupancy costs of $288,452 and realized foreign exchange loss of $454,475.


Kaitlin DomangueKaitlin DomangueFebruary 11, 2021
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7min1010

It’s time for your Daily Hit of cannabis financial news for February 11th, 2021. 

On the Site

How CBD Products Work to Improve Your Help

This article talks about the benefits of CBD, and how regularly using it can improve your health. It goes into the endocannabinoid system, and how it can manage stress and anxiety, promote bone health, aid in epilepsy treatment, etc. 

GFive Cultivation Breaking Barriers, Giving Back

Green Market Report highlighted Larry Smith, the CEO and co-founder of GFive Cultivation. He’s the first African-American to have a medical cannabis facility in Clark County, Nevada. He is committed to empowering young men and women in his community and breaking the barriers that prevent others from participating in this booming cannabis industry.

Columbia Care Expects to Sell C$25 Million of Stock to One Investor

Columbia Care Inc. (OTCQX: CCHWF) has entered into an agreement with Canaccord Genuity Corp. to purchase for resale, on a bought deal private placement basis, 2,800,000 common shares at a price of C$9.00 per share for aggregate gross proceeds of C$25,200,000. It is expected that the offering will be primarily sold to one large institutional investor. The deal is expected to close on or about February 25, 2021. The net proceeds will be used for working capital and general corporate purposes.

In Other News 

Supreme

The Supreme Cannabis Company, Inc.  (OTCQX: SPRWF) announced its financial and operating results for the three months ended December 31, 2020. Overall net revenue increased 54% to $18.3 million in Q2 2021 from $11.9 million in Q1 2021. Recreational net revenue rose to $12.7 million, an increase of 70% quarter-over-quarter as a result of distribution gains, improved fulfilment and higher sales as the Company’s products continue to be well received by the recreational cannabis consumer. In particular, a 98% increase in sales volumes and a 3% higher average selling price per gram from the Company’s dried flower and pre-rolls drove the increased recreational net revenue. The company reported a net loss of $7.9 million.

Beena Goldenberg, President and CEO of Supreme Cannabis, said, “Supreme Cannabis continued to execute on its strategy of accelerating revenue and controlling our costs in the second quarter of fiscal 2021, which resulted in record revenue and EBITDA performance. Consolidated net revenue grew by 54% compared to Q1 to $18.3 million, while recreational net revenue – which is a significant area of focus for the Company – grew by 70% compared to last quarter to $12.7 million. Our revenue growth was attributable to distribution gains, improved fulfilment and an overall strengthening of our internal processes. We continued to exercise disciplined cost control across the business, resulting in Supreme Cannabis generating positive Adjusted EBITDA of $3.6 million, up from $0.3 million in the first quarter of fiscal 2021.”

Wholesale net revenue, which includes the Company’s sales in the international medical cannabis segment, in Q2 2021 was $5.6 million, up 28% quarter-over-quarter, driven by a 14% increase in average selling price per gram and a larger contribution from international flower sales volumes.

 

Short Sellers

Short Sellers Have Lost $4.3B in Cannabis Stocks in 2021 

MSN reported that, as of Wednesday, these five cannabis stocks are in the largest short positions, with Tilray’s stock being sent 150% higher last week after a short squeeze: 

  • Canopy Growth Corp. (NASDAQ: CGC): $1.49 billion in short interest 
  • Tilray (NASDAQ: TILRY): $1.33 billion in short interest 
  • Aphria (NASDAQ: APHA): $402.6 million in short interest 
  • GW Pharmaceuticals (NASDAQ: GWPH): $401 million in short interest 
  • Aurora Cannabis (NYSE: ACB): $385.7 million in short interest 

Hempire Direct Launches Mobile App for Hemp & Delta 8

Hempire Direct released a first-of-its kind mobile app serving as an online marketplace for smokable flower, edibles, vape cartridges, and other hemp-derived products. The app will also have Delta 8 products, which is currently trending in the hemp-derived product space. 

Through Hempire Direct’s mobile app, farmers and brand manufacturers can list cannabis products on their app. It’s essentially an Amazon for hemp products.


StaffStaffFebruary 10, 2021
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7min1160

It’s time for your Daily Hit of cannabis financial news for February 10, 2021.

On the Site

Turning Point

Zig-Zag maker Turning Point Brands, Inc. (NYSE: TPB) announced financial results for the fourth quarter and full-year ending December 31, 2020. For the fourth quarter, the company said net sales increased 31.2% to $105.3 million and the net income increased from $25.0 million to $12.7 million. The adjusted EBITDA increased 80.9% to $25.8 million and the diluted EPS of $0.65 and the adjusted diluted EPS of $0.84 as compared to $(0.62) and $0.41 in the year-ago period, respectively. Turning Point beat expectations as the average analyst estimate for the quarter according to Yahoo Finance was $0.76 and the average estimate for revenues was $101 million.

Canopy Rivers

Canopy Rivers Inc. (OTC: CNPOF) released its unaudited condensed interim consolidated financial statements and management’s discussion and analysis for the third quarter ending December 31, 2020. Canopy Rivers reported an operating income of $3.0 million for the quarter. The company said this included royalty, interest, and lease income (before provisions for credit losses) of $5.9 million. The net income was $1.4 million.  Operating expenses were $3.4 million for the quarter, compared with $3.9 million for the same period last year. Other comprehensive income was $80.8 million for the quarter, driven by the increase, net of tax, in the fair value of financial assets that are reported at fair value through other comprehensive income.

Virginia

On February 5th, state lawmakers voted to legalize cannabis in Virginia and establish a recreational market. Both chambers’ initiative would legalize possession of an ounce of marijuana or less, and begin the process of expunging certain cannabis-related misdemeanors on July 1st. Retail sales are predicted to start in 2024, per the plans of both the House and Senate.  Virginia already has a medical marijuana program, but it’s limited compared to most states. Even so, the medical program is expected to be valued at $50 million in sales by 2024, and the adult-use market is poised to grow even bigger. 

Social Media

Can a social media profile improve a company’s stock performance? The market saw what happened on Reddit boards with Gamestop stock as traders chatted with each other about shorting the stock. Could a company that is active in social media, without any specific call to action regarding the stock, influence the interest in the company’s stock? “If investors are looking to determine the popularity of a company or demand for its product, they can analyze the brand’s social media. If they see great engagement on posts, high account following, or virality, high re-share of a brand’s content, they may make an assumption that this company will be even a greater hit with consumers in the future,” said Amra Beganovich.

Tetragram

With the constant advancement of technology, people can easily access what they need with a touch of a button. Over the last two decades, we have seen an increase in the number of digital services available through digital apps. Food delivery, transportation, and prescription medication refills are just some examples of types of services available online. While there are many apps that focus on medical marijuana card applications or dispensary locations, Tetragram provides something different. Tetragram, a black-owned business, is a free app that allows users to record their medical marijuana products via a digital journal.

In Other News

Power REIT (NYSE: PW) announced the closing of its previously announced rights offering on February 5, 2021. At the closing of the rights offering, the Trust sold and issued an aggregate of 1,383,394 shares of the Trust’s common shares at the subscription price of $26.50, pursuant to the exercise of rights issued to the Trust’s shareholders of record on December 28, 2020. The company raised aggregate gross proceeds of $36,659,941 from the Rights Offering. 

MINDCURE (OTCQB: MCURF)  just announced the closing of a $23 million bought deal offering, including full exercise of over-allotment option. The net proceeds of the Offering will be used by the Company for product research, development and expansion, to further the Company’s technological offerings and capabilities, including the build-out of its iSTRYM application and refinement of its bioinformatics statistical analysis platform PsyCollage, marketing expenditures related to company investor relations and product awareness, as well as working capital and general corporate purposes. Kelsey Ramsden, President & CEO of Mind Cure said “We are delighted to have the trust and support of the investment community as we continue with our mission to advance psychedelic medicine through research into novel and classic psychedelic molecules and therapies as well as pioneering and building iSTRYM, the digital infrastructure necessary to deliver these life-transforming therapies at scale.” 

Zenabis Global Inc. (TSX:ZENA) announced that it has established an at-the-market equity program that allows the Company to issue up to C$15,000,000 of common shares in the capital of the Company from treasury to the public from time to time, at the Company’s discretion. Any Common Shares sold through the ATM Program will be sold through the Toronto Stock Exchange or any other marketplace on which the Common Shares are listed, quoted or otherwise traded, at the prevailing market price at the time of sale.


StaffStaffFebruary 9, 2021
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6min960

It’s time for your Daily Hit of cannabis financial news for February 9, 2021.

On the Site

Canopy

Canopy Growth Corporation (NASDAQ: CGC) announced its financial results for the third quarter fiscal 2021 ending December 31, 2020, with net revenue of $153 million in Q3 2021, an increase of 23% versus Q3 2020. Canopy Growth said that $99 million of that revenue was driven by an increase in Canadian recreational and International medical cannabis revenue. Despite the increase in revenue, the company also recorded an eye-popping net loss of $829 million.

Canopy said that this was a $720 million wider loss than the previous quarter and blamed the loss on impairment and restructuring charges and other related charges of $416 million. $382 million of those related charges were as a result of the announcement on December 9, 2020. Canopy shocked investors at the time when it announced it would cease operations at several sites, plus its outdoor cannabis grow operations in Saskatchewan. The company said those decisions were the partial outcome of an ongoing end-to-end review designed to improve its margins. At the time, Canopy said it expected to record estimated total pre-tax charges of approximately $350 -400 million in the third and fourth quarters of Fiscal 2021.

TGOD

The Green Organic Dutchman Holdings Ltd.  (TGOD) (OTC: TGODF) announced preliminary unaudited revenue for the fourth quarter of 2020 and provided an update to the previously provided twelve-month Canadian revenue forecast for the period of November 1, 2020, to October 31, 2021.

TGOD said that the unaudited consolidated gross revenue for the fourth quarter of 2020 is expected to be approximately $10.9 million, reflecting growth of 235% over the prior year, and an increase of 91% over the third quarter of 2020. The company said it reflected the significant progress and growth achieved in Canadian operations and sales, which accounted for $8.6 million of the fourth quarter 2020 gross revenue total.

In Other News

cbdMD

cbdMD, Inc. ( NYSE: YCBD) announced its financial results for its first quarter ended December 31, 2020. Net sales for the first quarter of fiscal 2021 increased by 22% year-over-year to a record of $12.3 million from $10.1 million from the prior year’s quarter. The net loss attributable to common shareholders for the quarter was approximately $9.5 million, or ($0.18) per share, as compared to net income of approximately $12.9 million, or $0.45 per share from the prior year’s quarter. The net loss attributable to common shareholders was principally attributable to an increase of approximately $8.5 million in the non-cash contingent liability which is associated with earnout shares which may be issued under the terms of the December 2018 acquisition of Cure Based Development (which owned the cbdMD brand).

Tilray

Tilray Inc. (NASDAQ: TLRY), a global pioneer in cannabis research, cultivation, production, and distribution, today announced it has established an agreement with Grow Pharma to import and distribute Tilray’s medical cannabis products into the United Kingdom (UK). This agreement allows Tilray to provide authorized UK patients in need with a locally maintained supply of medical cannabis solutions. Tilray expects to have a range of GMP-certified, medical cannabis products available for patients in the UK by March 2021. Patients looking to use medical cannabis will have access to Tilray products in the UK by obtaining prescriptions through private practice or the National Health Service (NHS).

Field Trip

Field Trip Health Ltd. (OTCQX: FTRPF) announced the official opening of the Field Trip Natural Products Limited Research and Development Laboratory for Psychedelic Fungi in Mona, Jamaica. The research facility, which is opening as part of Field Trip’s previously announced strategic partnership with the University of West Indies, is the world’s first legal research and cultivation facility dedicated exclusively to psilocybin-producing mushrooms and other plant-based psychedelics.

“Clinical studies on psilocybin and other plant-based psychedelic compounds have shown that they have great potential to produce profoundly positive changes in individuals, particularly those struggling from serious mental health conditions like anorexia, depression and PTSD,” said Dr. Nathan Bryson, Field Trip’s Chief Science Officer. “With the opening of this facility, Field Trip and UWI will be leaders in the understanding of psilocybin-producing fungi and how they can be best utilized in a treatment setting.”


StaffStaffJanuary 28, 2021
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5min1330

It’s time for your Daily Hit of cannabis financial news for January 28, 2021.

On the Site

Ayr

Ayr Strategies Inc. (OTCQX: AYRWF) has taken the next steps in its Arizona strategy by signing a Definitive Agreement to buy Blue Camo, LLC in a deal first announced in November 2020. the deal is valued at $75.4 million, made up of $9.5 million in cash, $37.4 million in stock, and $28.5 million in seller notes. the deal is expected to close in late March depending upon regulatory approvals.

Blue camo’s operations include three Oasis-branded dispensaries in the greater Phoenix area, a 10,000 ft2 triple-stacked cultivation and processing facility in Chandler, and an 80,000 ft2 cultivation facility under development in Phoenix.

Lightshade

Rohan Marley, who is a longtime New Jersey resident and son of reggae legend Bob Marley is entering the New Jersey medical marijuana market with Lightshade. If New Jersey approves the dispensary application, the Lightshade retail site will be only the second dispensary to open in Montclair and Lightshade’s first outside Colorado.

“Lightshade and our team led by Rohan Marley have assembled a fantastic proposal that mirrors our focus on our customers and the communities that we serve,” said Mike Leach, COO, Lightshade. “From the moment we met Rohan, we knew he shared our same outlook concerning social equity in today’s cannabis space and doing right by the people who use our products. And like those of us at Lightshade, he values a commitment to the community where he works and wants to give back in any way he can.”

Travel

The legal status of weed in Canada is perhaps the best thing that cannabis enthusiasts may have come across in recent years. Buying and consuming cannabis is easy if you are past the legal age, but there are still several province-specific regulations you need to follow. You must be all the more careful if planning to travel around the country with your stash because you will not want to get into legal hassles when away from home. Whether you plan to drive or jet to a destination of your choice, here is a cannabis user’s travel safety guide that will keep you on the right side of the law.

In Other News

Marrone Bio

Marrone Bio Innovations, Inc. (NASDAQ: MBII), an international leader in providing growers with sustainable bioprotection and plant health solutions to support global agricultural needs, announced today that Suping (Sue) Cheung has been appointed chief financial officer, effective Feb. 18, 2021.  She succeeds James Boyd, who previously announced his intention to retire.

Seelos

Seelos Therapeutics, Inc. (Nasdaq: SEEL) closed its previously announced underwritten public offering of 17,530,488 shares of its common stock, at a price to the public of $2.05 per share, which includes the exercise in full by the underwriter of its option to purchase up to 2,286,585 additional shares of common stock. The net proceeds to Seelos from this offering are expected to be approximately $33.5 million, after deducting underwriting discounts and commissions and other estimated offering expenses payable by Seelos. Seelos intends to use an aggregate of $3.8 million of the net proceeds from the offering for the partial repayment of certain outstanding convertible promissory notes and the remainder for general corporate purposes and to advance the development of its product candidates.


StaffStaffJanuary 26, 2021
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It’s time for your Daily Hit of cannabis financial news for January 26, 2021.

On The Site

iAnthus

It’s a bombshell recording between former iAnthus Capital Holdings Inc. (OTC: ITHUF) Hadley Ford and an unidentified investor that has been leaked to the internet. A transcript was published online in which Ford candidly discusses the company’s dealings with its lenders Gotham Green Partners and Oasis Management. Green Market Report reached out to both companies for comment but has yet to receive a response. The most explosive exchange alleges that the lenders conspired to wipe out the unsuspecting shareholders. The stock was plunging another 30% to lately sell at 29 cents as it has also found itself mired in a lawsuit with MPX NJ, a class-action lawsuit, and a fight over the company’s recapitalization or bankruptcy plan.

GrowGen

GrowGeneration Corp . (NASDAQ: GRWG ) is at it again. The hydroponic chain has acquired Indoor Garden & Lighting, a two-store chain of hydroponic equipment and indoor gardening supply stores serving the Seattle and Tacoma, Washington area. GrowGen said it will be consolidating its current Seattle operation into the acquired stores. This acquisition brings the total number of GrowGen hydroponic garden centers nationwide to 40 stores. The company stock was jumping over 2% in early trading to lately sell at $49.66, closing in on its 52-week high of $53.

Martha Stewart

The doyen of lifestyle branding Martha Stewart has launched her line of hemp CBD products for dogs. Martha Stewart CBD for Pet was created in collaboration with Canopy Animal Health, a division of Canopy Growth Corporation (NASDAQ: CGC) which is focused on improving pet health through evidence-based CBD therapies. Stewart had initially begun using CBD for personal use and launched her CBD gummy line in September 2020. This is her entry into the pet side of the business.

MagicMed

As the race to own the psilocybin market heats up, MagicMed Industries Inc. (CSE: MGIC reserved)  announced that it has completed the establishment of the psilocybin-derivatives patent portfolio of the Psybrary and the launch of the Candidate Selection program.  The company said that Psybrary is a proprietary physical and knowledgebase collection of novel psychedelic-derivative drug candidates, manufacturing methods, pharmacological data, and patent filings that protect all of the above.

Delta 8

Delta 8 THC has caught the attention of many in recent years. Although still in the shadow of much more popular and widely used Delta 9 THC and CBD, this cannabinoid is promising something completely new and unseen before, with its own set of benefits. Although it’s still rising in popularity and products are only becoming available, it’s useful to know some necessary information about Delta 8. So, here you’ll find all about what is Delta 8 THC, how it works, and what are its benefits and effects. Then, you can decide whether this cannabinoid is the right choice for you or not. However, most people praise Delta 8 THC for being the perfect cannabinoid providing ultimate relaxation without paranoia or increased anxiety.

In Other News

Seelos

Seelos Therapeutics, Inc. (Nasdaq: SEEL) announced today the pricing of an underwritten public offering of 15,243,903 shares of its common stock, at a price to the public of $2.05 per share. In addition, the company granted the underwriters a 30-day option to purchase up to 2,286,585 additional shares of its common stock to cover over-allotments, if any. All of the shares of common stock in the offering are being sold by Seelos. Seelos anticipates the aggregate net proceeds from the offering will be approximately $29.1 million.

Supreme

The Supreme Cannabis Company, Inc. (OTCQX: SPRWF) announced today the pricing of its previously announced overnight marketed public offering of units of the company at a price of $0.19 per Unit. The underwriters for the Offering have agreed to purchase 105,260,000 Units from the company for total gross proceeds of approximately $20 million.

 



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The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


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