Cuts were made in areas not focused on clinical trials.
Cuts were made in areas not focused on clinical trials.
After the market closed on Wednesday, Mind Cure Health Inc. (CSE: MCUR) (OTCQB: MCURF) announced its financial results for the quarter ending November 30, 2022. Keep in mind that last year in March, Mind Cure announced it needed more money and that was unlikely to be found. Accordingly, Mind Cure made the decision to eliminate all expenses outside those required to preserve the value of its assets including its public company status with Canadian securities regulators and cash and cash equivalents.
At the end of November, the company had $6.4 million in cash and cash equivalents. The company had a comprehensive loss at the end of the quarter of $432,130. The company currently has no sources of cash from operations. Management said in the filing that it estimates it will be able to meet its obligations and to sustain operations for at least the next twelve months.
In addition to that, Robert Hill has resigned as a director of the company’s board of directors effective January 1, 2023. Stephen Inouye has replaced Mr. Hill on the company’s board of directors. “On behalf of the board of directors and the Company, I would like to thank Rob for his contribution and support.” stated Philip Tapley, CEO and Chair of the board of directors of MINDCURE. “I would also like to welcome Steve to the board of directors. Steve has been working with the Company in various roles since the Company’s inception.”
As of November 30, 2022, Mind Cure said it had $33,455 in accounts payable and accrued liabilities due to related parties (2021 – $76,890).
On November 18, 2022, the company signed a binding Letter of Intent with LNG Energy Group Inc., a private company focused on the acquisition of natural gas production and exploration assets in Latin America, after which the company will become the holder of all of the issued and outstanding securities in the capital of LNG Energy. It is intended that the Transaction will constitute a reverse takeover of the company by the shareholders of LNG Energy. In connection with the proposed transaction, the company will complete a 2.4-1 consolidation of its shares and change its name to LNG Energy Group Inc. In connection with the Transaction, LNG Energy will complete a private placement of subscription receipts for proceeds of between $15m and $35m at a subscription price of at least C$0.20 per subscription. Further, LNG Energy will complete a non-convertible debt financing of between $65m and $85m. The Company will further complete a non-brokered private placement for total proceeds of approximately $1m at a price of $0.05 per unit.
Mind Cure will change its name to LNG Energy Group Inc.
More groups are researching the effect of psychedelics on TBI.
The Daily Hit is a recap of the day’s top business news in the cannabis industry for March 16, 2022.
TerrAscend Corp. (CSE: TER) ( OTCQX: TRSSF) reported its financial results for the fourth quarter and full year periods ending December 31, 2021. Net sales in the fourth quarter were $49.2 million as compared to $49.1 million in the third quarter and $49.6 million for the same time period last year. The net loss was $5.9 million versus last year’s net loss of $94 million. TerrAscend said the loss was mainly related to a one-time loss of $3.3 million in lease termination fees, $6.9 million of finance and other expenses, $6.9 million of accrued income taxes, and $2.0 million of transaction costs mostly related to the Gage acquisition. These expenses were partially offset by a $14.4 million non-cash gain on fair value of warrant liability. Read more here.
Law360 reported that federal prosecutors on Monday unsealed the indictment against a Russian tycoon accused of making illegal political contributions in support of a cannabis venture, claiming that he made the donations in the names of straw donors. According to the Justice Department, the group hoped that the donations to certain candidates would help Muraviev and his business partners win the coveted cannabis and marijuana licenses. Read more here.
Mind Cure Health Inc. (CSE: MCUR) (OTCQX: MCURF) announced that it is shutting down after determining it can’t raise the money it needs to continue. The stock stopped trading when the news was announced but did resume after a few hours and fell by 38%. Mind Cure said it will cut all of its C-suite executives and employees, other than its Chief Financial Officer, Vice President of Engineering and certain administrative staff required to wind-down the company’s operations and for limited care and maintenance of the company; and halt all non-committed expenditures related to the development and marketing work of its iSTRYM product, the research and development related to its synthetic ibogaine program, and the research and development related to its Desire Project. Mr. Philip Tapley, the Chair of the Company’s board of directors, will assume the role of the Company’s interim CEO. Read more here.
Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) launched its nationwide Supplier Diversity Initiative. The initiative provides education and professional development resources, while creating mutually beneficial business relationships with a supplier base reflective of the customers and communities Trulieve serves. Read more here.
Raw Garden, the Santa Barbara based premier cannabis brand is expanding into an entirely new product category with the launch of infused cannabis joints. These 100% pure cannabis joints are infused with micronized refined live resin crushed diamonds, and will be available for purchase at dispensaries across California soon.
Mind Cure Health Inc. (CSE: MCUR) (OTCQX: MCURF) announced that it is shutting down after determining it can’t raise the money it needs to continue. The stock stopped trading when the news was announced but did resume after a few hours and fell by 38%.
Mind Cure said it will cut all of its C-suite executives and employees, other than its Chief Financial Officer, Vice President of Engineering and certain administrative staff required to wind-down the company’s operations and for limited care and maintenance of the company; and halt all non-committed expenditures related to the development and marketing work of its iSTRYM product, the research and development related to its synthetic ibogaine program, and the research and development related to its Desire Project. Mr. Philip Tapley, the Chair of the Company’s board of directors, will assume the role of the Company’s interim CEO.
“Though we continue the Strategic Review Process, we have identified no available strategic alternatives that would require further development and execution of MINDCURE’s existing business plan. As a result, we have determined that the Company should immediately move to reduce all non-necessary expenditures except as required to preserve the value of the Company’s cash balance and other assets,” said the Chair of MINDCURE’s Special Committee, Jason Pamer.
Mind Cure said that the company’s Special Committee “determined that the additional capital required to execute the company’s business plan is unlikely to be found under the current and foreseeable market conditions and that none of the strategic alternatives available to the company necessitated ongoing developmental expenditures. Accordingly, the Board has taken the decision to immediately eliminate all expenditures outside those required to preserve the value of the company’s assets, including its public company status with Canadian securities regulators and cash and cash equivalents of approximately $10.57 million on an unaudited basis as at close of business yesterday and without adjusting for any current liabilities as at such date or arising from the elimination of expenditures described in this news release.”
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