It’s time for your Daily Hit of cannabis financial news for April 22, 2019.
On The Site
Ontario-based CannTrust Holdings Inc. (TSX: TRST) (NYSE: CTST) reported preliminary estimates for the quarter ending March 31, 2019, with net revenue expected to be approximately $17 million, an increase of 116% versus the $7.8 million for the same time period in 2018. CannTrust also announced that it had begun an underwritten public offering of $200 million common shares, in which approximately 85% of the common shares are to be sold in the offering by the company and about 15% of the common shares to be sold in the offering by certain shareholders.
FDA Public Hearing On Hemp – Uncle Sam Wants You To Talk
The FDA is however finally allowing the public to weigh in, with the announcement of a Public Hearing to take place on May 31, 2019. What’s more, is that the Agency is allowing submission of public comment until July 2, 2019 and seems to earnestly want feedback from the hemp industry.
In Other News
PAX Labs Inc., a consumer technology company that specializes in cannabis vaporizers, announced that the company had raised $420 million in equity financing from institutional investors, including Tiger Global Management and Tao Capital Partners. Pax Labs is best known as the vaporizer company from which the popular e-cigarette brand Juul originally spun off of. Speaking with Tech Crunch, a Pax Labs spokesperson said that the post-money valuation of the company is now $1.7 billion.
Cannabis One Holdings Inc. (CSE: CBIS) announced that is executed three definitive agreements to acquire certain assets of the Nevada-based cannabis brand house Evergreen Organix. The agreements include the acquisition of cultivation and manufacturing licenses in the state of Nevada, intellectual property rights, product formulations, logistic operations, etc…The president of Evergreen Organix, Jerry Velarde, will also join Cannabis One as Chief Marketing Officer following closing. “Having already established a reputation centered around brand quality and consistency in the minds of cannabis consumers – we are now excited to jointly announce the contribution of our Evergreen Organix suite of brands, which includes the substantial cultivation and manufacturing infrastructure we have been building since 2015 in the Nevada marketplace, to Cannabis One’s growing ‘House of Brands’,” Velarde said in a statement.
The Supreme Cannabis Company, Inc. (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1) announced today that it is launching a cannabis genetics company and has pledged to invest approximately $14 million to develop a research facility for the new company. Named Cambium Plant Sciences, the company will focus on researching and developing new cannabis strains for the adult-use and medical markets, as well as health and wellness applications. Dr. Alan Darlington, who previously served as Director of Special Projects for Supreme’s subsidiary 7ACRES, will lead Cambium as General Manager.