Nutritional High Archives - Green Market Report

Debra BorchardtAugust 17, 2020

Nutritional High International Inc. (CSE: EAT) said that it has completed the previously announced acquisition of Psychedelic Science Corp. In June, The company announced it was buying Kruzo LLC, a company focused on developing products and conducting research on the psychoactive cacti Peyote. Kruzo also develops other plant-based medicinal products derived from Asian herbal medicine as well as cannabis.

The company didn’t say the value of the deal, but it did plan to raise $1.5 million prior to the acquisition. The company though announced in July that it closed the offering with gross proceeds of only $1.0 million.

“The Transaction is part of our plan to continue to pivot Nutritional High’s focus to its highest-margin product categories,” said CEO John Durfy. “While we continue to develop, manufacture, and sell cannabis products, the PSC acquisition will give us a unique position in this emerging part of the plant-based wellness and medical market.”

The two companies then formed Psychedelic Science Corp. (PSC) to develop health and wellness products while performing research on the therapeutic effects of psychoactive and non-psychoactive plant-based compounds. PSC’s research as well as the initial development of products will be located in Thailand in partnership with Rangsit University (RSU).

Under its agreement with RSU, PSC is developing cultivation and extraction methodologies for cacti, mushrooms, and other plant-based compounds. Further, clinical trials are currently being designed to determine the safety and efficacy of full-plant extract from cacti for the treatment of various indications including, pain, anxiety, and depression. PSC is also working with RSU to source and develop non-psychoactive plant-based wellness products for sale in North America.

RSU is in the process of securing plant material and is expected to commence testing growth rates as compared to the levels of certain desirable alkaloids including the psychoactive compound mescaline. The company expects to cooperate with RSU to develop the commercial supply of certain psychedelic cacti for clinical use in Thailand and abroad. The company is also supporting efforts to legalize psilocybin for medical research purposes and will work with RSU, who has Asian GMP standard grow facilities, to grow various psychedelic mushrooms.

Calyx Brands Sold

Last week, the company said that it was selling Calyx Brands and NH Distribution California Inc. to a company listed as DB12 LLC. The deal was valued at $7 million and included minority ownership in the company DB12.

“Through retaining minority ownership in DB12, Nutritional High will continue to have access to the California market for distribution of our own brands, potentially significant upside associated with ownership of the larger and more integrated DB12 operation, while continuing to improve our balance sheet,” said Durfy. “We are very pleased to partner with DB12 and look forward to a successful partnership.”

Calyx is a distributor of cannabis and cannabis-derived products, which holds a Type 11 distribution license from the Bureau of Cannabis Control of the State of California, which permits the distribution of medical and adult-use cannabis, and cannabis products from manufacturers to dispensaries.

The company said in a statement that the sale of Calyx was a directive established by the company as part of the strategic review process. Through completing a sale to a strategic partner, Calyx will have access to funding and a significant source of flower products to supplement it’s product offering and profitably grow the business.

Debra BorchardtApril 1, 2019

GrowGeneration

GrowGeneration Corp. (OTCQX: GRWG) reported revenue of $29.0 million or 102% over 2017 revenues of $14.4 million. The company delivered a net loss of $5 million for 2018 a big increase over 2017’s net loss of $2.5 million. Gross profits were $6.4 million for 2018, as compared to $3.3 million for 2017, an increase of approximately $3.1 million or 97%. The company’s same-store sales, in the 4^thquarter increased by 12.4%.

Darren Lampert, Co-Founder, and CEO, said, “This was our 5th consecutive year of record growth for GrowGeneration, with revenues growing over 100% year over year. GrowGen is now EBITDA profitable, starting in Q1 2019. We are forecasting 2019 revenue of $52M–58M and adjusted EBITDA of $.12–$.16 per share for 2019.”

Since the quarter ended, GrowGeneration made the following moves:

Q1 2019, acquired certain assets and product trademarks from the 3^rd largest hydroponic distributor.
Q1 2019, we acquired 3 additional stores, in Denver, CO, Palm Springs, CA and Reno, NV.
Opened stores in Brewer, ME and Tulsa, OK.

Nutritional High

Nutritional High International Inc. (CSE: EAT) (OTCQB: SPLIF) reported revenue of $6.1 million for the second quarter of 2019 from the sale of Cannabis related products in California primarily via its wholly owned distributor, Calyx Brands Inc. The company also reported a gross profit of $1.5 million, but a net loss of $6.8 million. At the end of January 31, 2019, the company has now recognized a trailing-twelve-month revenue from Cannabis sales of approximately $17.6 million.

Jim Frazier, Nutritional High’s CEO said, “With Q2 2019, we continue to deliver on our results. We have maintained and increased our revenue base in California, while also successfully executing on margin enhancing initiatives. Our plan to expand in other major US jurisdictions are starting to take further shape. Green Therapeutics continues to make strides towards vertical integration in Nevada and we are also laser-focused on expanding our product and commercial footprint in Oregon and Washington.”

The company continues to expand its California product portfolio by signing a letter of intent in January 2019, to purchase a controlling 51% interest in Tres Ojos Naturals, LLC d/b/a SolDaze. In January 2019, the Company entered into a license and trademark agreement with Docklight, LLC of Seattle, Washington, providing Nutritional High the rights to produce, market and sell inhalable cannabis products (whole flower, pre-rolls and oil cartridges) in the state of Washington and Oregon, under the iconic brand Marley Natural, which is the official cannabis brand of Bob Marley. Additional brands secured as part of the Docklight License include Dutchy, Headlight, Irisa, Grail, and Martian Gardens, which together with Marley Natural, are the “Branded Products”. In Washington, Nutritional High will sublicense the rights to manufacture the Branded Products to a locally-licensed facility, while production of Marley Natural will begin in short order in Oregon.

1933 Industries

1933 Industries Inc. (CSE: TGIF) (OTCQX: TGIFF) reported that for the second quarter FY2019, the company had consolidated revenues of $3,720,993, gross margin of $2,088,740 and a net loss of $2,926,981.

Mr. Chris Rebentisch, USA COO and Founder of Infused, said, “Year to date, the Company has experienced a steady 54% growth in sales revenues over the same period last year. Sales in Q2 were lower than in the previous quarter due to the performance of our AMA subsidiary, which experienced slower than expected sales due to challenges with yield and access to supply. We are seeing dramatic increases in yield and quality since appointing an experienced master grower.”

On March 13, the company announced a non-brokered private placement of 10,000,000 units at $0.45 per Unit for total proceeds of $4.5 million and subsequently announced its close on March 15th as the Offering was fully subscribed by one place.

StaffJuly 25, 2018

It’s time for your Daily Hit of cannabis financial news for July 25, 2018.

On the Site

New Mexico Sales

Though marijuana remains illegal in New Mexico for recreational use, the growth seen for medicinal purposes has surged in 2018, surpassing $50 million in sales, due in large part to a huge rise in patient enrollments.

According to data compiled by the New Mexico Department of Health (NMDOH), the 35 commercial cannabis producers in the state reported $51 million in sales in the first six months of the year. That marks a 27 percent increase year-over-year.

Nutritional High

On July 3, Nutritional High International Inc. (SPLIF) published a press release boasting Q3 revenues of $2,680,444 CAD, an increase of 408% over Q3 2017. That figure, however, differs from the Q3 financial statements Nutritional High filed with SEDAR. Nutritional High’s formal financial statements show lower 2018 Q3 earnings and the discrepancy remains unaccounted for. Nutritional High did not respond to a request for comment.

In March, Nutritional High acquired Calyx Brands Inc., a California-based distributor, for $3,433,784 CAD. In Q3, Calyx Brands posted sales $1,674,269 CAD, accounting for the majority of Nutritional High’s Q3 2018 revenue. This number is not misstated in Nutritional High’s July 3 press release.

In Other News

MedMen Enterprises

MedMen Enterprises Inc. (MMEN.CN) (MMNFF) and The Hacienda Company announced that MedMen has completed a strategic investment in The Hacienda Company, which owns Lowell Herb Co., a California-based cannabis brand known for its pack of pre-rolls called Lowell Smokes.

“Lowell shares a similar vision with MedMen that recognizes cannabis as a consumer product,” said Adam Bierman, MedMen CEO and co-founder. “As we continue to build and promote the MedMen retail experience, we believe that investing in top cannabis consumer brands like Lowell furthers our efforts to secure a loyal consumer base in this nascent industry while delivering growth and long-term value to our shareholders.”

Radient Technologies Inc.

Radient Technologies Inc. (TSXV:RTI) has released its financial results for the fiscal year ended March 31, 2018. The filing read, “The Company has incurred significant losses and generated no significant revenues in its recent history. The Company had a cumulative deficit of $62,010,103 as of March 31, 2018. As a growing business, Radient will likely need more capital than it currently has. The continued operation of the Company will be dependent upon its ability to generate operating revenues and to procure additional financing.”

Still, the company’s cash balance as of March 31, 2018, was approximately $21.9 million, up from $11.4 million on March 31, 2017. Long-term debt of over $8.1 million as of March 31, 2017, was extinguished through a series of pay-downs and restructuring initiatives. The Company completed a private placement with Aurora Cannabis Inc. (ACBFF) for gross proceeds of $6.2 million. Aurora also converted its $2 million convertible debenture into 14.2 million units comprising of one common share and one common share purchase warrant

Novus Acquisition and Development, Corp.

Novus Acquisition and Development, Corp. ( NDEV), through its wholly-owned subsidiary WCIG Insurance Services, Inc., is a diversified insurance entity in health, liability, annuity and accident, and, the nation’s first carrier/aggregator offering a cannabis health plan announced continued expansion of its cannabis dispensary network that carries Novus Cannabis MedPlan in the U.S. The company has successfully added 13 dispensaries, cultivators, and manufacturers that offer anywhere from 30% to 50% on cannabis medications to the Novus Cannabis MedPlan patient member base.

CV Sciences Inc.

CV Sciences, Inc. (CVSI) announced unaudited second quarter 2018 revenue and selected business highlights for the quarter ended June 30, 2018. Second quarter 2018 revenue is expected to be $12.3 million, up 203% compared to the second quarter of 2017, and a 53% sequential increase over Q1 2018. Company increased retail store count to 1,968 natural and organic health food stores as of June 30, 2018, representing an 11.1% sequential increase over the company’s retail store count for the first quarter.

Jeffrey YozwiakJuly 25, 2018

Nutritional High is a Toronto-based company that distributes edibles, concentrates, and oils. Nutritional High both develops its own products under its FLÏ flagship brand and acquires other brands for distribution and development. On July 18, Nutritional High announced a Letter of Intent to acquire a 51% interest in Bright Green Lights LLC (d/b/a J:MEDS), which produces cannabis-infused lozenges and mints.

Nutritional High’s Q3 financial statements, though, do not show top-line revenue of $2,680,444 CAD. It’s unclear how the company arrived at this figure. In addition to the sales by Calyx Brands, Nutritional High reported earnings of $585,156 CAD from various asset holdings. Incorporating these earnings brings Nutritional High revenue total to $2,257,425 CAD, still short of their $2,680,444 figure.

Nutritional High reported 408% year-over-year growth by pointing to their Q3 2017 revenues of $527,227 CAD. This was income from asset holdings—specifically, interest on a loan to Palo Verde LLC and rent from real estate holdings. However, Nutritional High’s gross profits show more modest growth. In Q3 2017, Nutritional High’s revenue was entirely profit. But, in Q3 2018, income from their asset holdings was down and Calyx Brands contributed $1,346,722 CAD in COGS. Nutritional High’s gross profits were only $693,821 CAD.

Nutritional High “has been incurring operating losses and cash flow deficits since its inception,” according to their financial statements. In Q3 2018, they reported a net loss of $2,397,163 CAD—roughly the same as in Q3 2017. Nutritional High raised $8 million CAD in Q3 2018 and has $19,227,881 CAD in assets. With a solid amount of cash under its belt, it’s unclear why these numbers don’t add up and why the company didn’t respond for a request for clarity.

StaffApril 23, 2018

This is your Daily Hit of cannabis news for April 23, 2018:

On The Site:

Maricann & Broken Coast Add More Capacity

Aphria Inc. (APHQF) announced that its subsidiary, Broken Coast Cannabis received a license amendment from Health Canada that provides Broken Coast with an additional 18,000 square feet of production space as part of its Phase III expansion, bringing total production space to 44,000 square feet.

In addition to Broken Coast, Maricann Group Inc. (MRRCF) announced that it received all of the necessary approvals from Health Canada to commence cultivation in Phase One of the company’s new facility in Langton, Ontario, Canada. This is Maricann’s third license issued by Health Canada. Maricann is currently undertaking an expansion of its cultivation and support facilities in Canada in a 942,000 sq. ft. build out, with a designed expected capacity of producing 95,000 kg (based on conservative estimates) of dry cannabis flower per year to support existing and future patient growth.

Is YouTube Blocking Spanish Cannabis Channels?

For many Spanish-speaking cannabis users, Marihuana Television is their go-to source for all things cannabis. Featuring how-to guides and up-to-date news, Marihuana Television looks like any other mainstream YouTube channel but with cannabis; which is why many were shocked to find that the channel had been deleted with no explanation.

In Other News:

Nutritional High International Inc.

Nutritional High International Inc. (SPLIF) announced that it signed an agreement to purchase California-based Pasa Verde, LLC. a leading cannabis extraction and toll processing facility in Sacramento, California. Pasa Verde operates a 17,600 sq ft extraction facility in Sacramento’s “Green Zone” and was the first operator in Sacramento to receive its Conditional Use Permit. Pasa Verde’s large-scale facility is located in a fully-serviced industrial area and has excellent space and infrastructure to house a significant extraction and marijuana-infused products operation – capable of production volumes suitable for the California market which is expected to reach US$6.5 billion in annual sales by 2020.

Emblem Corp.

Emblem Corp. (EMMBF) announced that it purchased C$2.5 million of units of Fire & Flower Inc. at a price of C$0.80 per unit as part of a larger unit offering conducted by Fire & Flower. According to the company statement, each unit consists of one common share in the capital of Fire & Flower and one common share purchase warrant entitling the holder thereof to acquire one (1) additional Fire & Flower Share at a price of C$1.05 per share for a period of two (2) years, subject to adjustments in certain events.

General Cannabis Corp.

General Cannabis Corp. (CANN) announced that it completed the closing of a private placement transaction with various private parties, including existing and new investors in General Cannabis. The company issued $5.54 million of senior secured promissory notes and an aggregate of 4,432,000 warrants to purchase common stock at the closing. The notes bear interest at 8.5% per annum and are secured by all of the Company’s assets. The warrants have an exercise price of $2.35 per share. The proceeds of this debt raise will be used primarily to fund the company’s expansion and for working capital.

ABCD Cannabis Data

ABCD, a data-driven media campaign outlet, has released new data which reveals the number of marijuana head and grow shops in 120 cities around the world. This research, which builds on the 2018 Cannabis Price Index released earlier this year, reveals which locations around the world are ready to embrace cannabis legalization.

With a total of 156, Los Angeles, USA has the most headshops.
Madrid, Spain has the largest amount of grow shops, with a total of 68.
Tokyo, Japan has the most expensive cannabis, at 32.66 USD per gram, while Quito, Ecuador has the least expensive marijuana, at 1.34 USD per gram.
Based on the average US marijuana tax rates currently implemented, New York City could generate the highest potential tax revenue by legalizing weed, with 156.40 million USD per year. New York City also has the highest consumption rate of cannabis, at 77.44 metric tons per year.

StaffMarch 13, 2018

Here are the quick hits for March 13, 2018:

Aurora Cannabis

Aurora Cannabis (ACBFF) announced the grant of three permits by the Australian Government, Department of Health, for the importation of cannabis into Australia for research purposes. The Permits were granted to the Pharmacy Australia Centre of Excellence (PACE) at the University of Queensland and allow PACE to import shipments of cannabis plant material for research purposes. Aurora, in turn, has received the required Canadian permits to export the cannabis to PACE. The cannabis will be shipped from Canada by Aurora and used for PreveCeutical’s soluble gel drug delivery research program, which is being conducted by PreveCeutical’s research partner UniQuest Pty Inc. and led by PreveCeutical’s Chief Research Officer, Dr. Harendra Parekh.

Nutritional High International Inc.

Nutritional High. (SPLIF) announced it has entered into an agreement to acquire a 75% interest in cannabis producer Green Therapeutics in the State of Nevada. In conjunction with the acquisition, the company will also purchase certain lands and premises owned by Nevada-based cultivation company Meridian Companies which is utilized by Green Therapeutics. Nutritional High and Green Therapeutics have also entered into a binding lock-up agreement while purchase and sale agreements are negotiated and due diligence is completed.

Aphria Inc.

Aphria (APHQF) announced that it received a license amendment from Health Canada that provides Aphria with additional production space of 200,000 square feet, as part of its Part III expansion at its facility in Leamington, Ontario. This will more than triple the Company’s production capacity of medical cannabis from 9,000 kg annually to 30,000 kg annually.

CannaRoyalty Corp.

CannaRoyalty (CNNRF) announced the appointment of Brent Cox to the Board of Directors of Trichome Yield Corp. a subsidiary of CannaRoyalty. Following this board appointment, the board consists of five members, four of whom are independent of CannaRoyalty. Cox is a founding partner of The Inception Companies, a private investment vehicle focused on the global cannabis market, following a number of years at The Yucaipa Companies, where he helped invest and monitor over USD$4.0 billion of private equity transactions. He currently serves on the boards of two successful vertically integrated U.S. cannabis companies, MedMen and The Pharm.

The Hydropothecary Corporation

Hydropothecary announced the addition of three new members to its management team. Roch Vaillancourt (General Counsel), Sonia Isabel (Vice-President of Sales), and Jocelyn Racine (Vice-President of Finance) bring decades of management, financial, business, and legal experience to Hydropothecary as the company strengthens its leadership in the lead-up to the legalization of adult-use recreational cannabis.

TerraTech

TerraTech (TRTC) gave a business update ahead of the company’s earnings. It read as follows:
Company secures $40 million investment, to be made in eight tranches of $5 million over 24 months. Capex to be directed toward the build out of the Company’s cultivation, extraction and retail infrastructure in California, Nevada and New Jersey Capital injection positions the Company to leverage M&A opportunities and ramp its sales and marketing strategy 1 for 15 reverse split to be effected on March 13, 2018, to position the Company for a potential uplisting.

Michelle JanikianDecember 22, 2017

It’s the final countdown to Christmas, and if you’re like me, you still have some last minute shopping to do. But, have no fear! The Green Market Report has you covered for the cannabis enthusiasts in your life, both in legal states and nationwide. It can be a stressful time of year, but we’ve collected the best holiday strains and products to help ease your elf on the shelf anxiety and make your cannabis-loving friends and family happy as can be.

THC Designs: 12 Holiday Strains

For the 12 days of Christmas, THC Designs has released 12 festive cannabis strains complete with holiday aromas and flavors, like spices, pine, and sugar plums. They have uplifting sativa-dominant strains for holiday parties, like XJ-13, as well as hybrids and indica-dominant strains to help with stress, migraines, and other pains the holidays can induce, like GG #4, Lemon Meringue, and Gelato #33. With 12 options to choose from, there is something for everyone on your shopping list.

“These strains will help get consumers into the holiday spirit and manage holiday stress during one of the best, but busiest, times of the year,” said Co-Founder Ryan Jennemann.

Daily High Club’s Signature Smoking Supply Box

Daily High Club boxes are stuffed with high-quality smoking supplies like premium rolling papers, filters, and glass pieces. Because there’s no actual cannabis included in the kits, they can be shipped to all 50 states, making them a great gift for your 420-friendly family nationwide. Just in time for the holiday season, they teamed up with legendary pot-activist, Tommy Chong, to create Chong’s Choice box curated by the king of cannabis himself.

Lowell Farms: One Ounce Tasting Flight

For your cannabis-loving buds in California, Lowell Farms has released their own gift box, filled with eight 1/8^th jars of premium, organic flower. Lowell has become one of the biggest names for pre-rolls in the state, and with this gorgeous limited edition and hand-crafted box, you and your loved ones can taste them all.

Nutritional High Chocolates

For your edible loving, chocolate-fanatic friends in Colorado, Nutritional High has just released two chocolate bars for the holiday season. They have a premium milk chocolate bar and a dark chocolate with sea salt bar, each containing a total of 100 mg of THC, 10 mg per serving. These gourmet chocolates were the vision of CEO Jim Frazier, who manufactured chocolate for 20 years before entering the cannabis industry.

CBD Goodies

CBD was all the rage this year, so treat your loved ones (or yourself) to some premium CBD products this holiday season. Phivida makes a CBD-infused iced tea specially designed to improve GI health, as well as other CBD products. Cannabinoid Creations also makes CBD drinkables, like CBD Hemp Soda in five different flavors, including ginger ale and honeydew melon.

Both of these products only contain CBD – sans THC – so they’re legal to ship to all 50 states. Plus, CBD doesn’t have psychoactive properties like THC, so it’s perfect for a loved one that’s curious about the medical benefits of cannabis, but doesn’t want to get “high”. I’m looking at you, grandma!

Club M 24K Box

This last gift is ideal for that person who appreciates the finer things in life. Named the 24K MBox because it’s actually worth $24,000, it’s filled with 120 curated cannabis products and includes a two-year subscription to Club M, a private, VIP cannabis concierge service used by celebrities.

“Here at Club M, we have seen the California cannabis market blossom, and I thought this was a timely offering and these products represent not only the best, most notable items of 2017, but it also reflects the increasing expectations of the sophisticated cannabis consumer,” said Club M Co-Founder, Chris Husong.

Extremely limited, there are only five total available boxes this holiday season and only in California. However, for that exclusive someone in your life, it really is ideal. Included is a crystal-encrusted vaporizer with over 200 individually placed Swarovski crystals, 10 hand-rolled, gold-foiled cannagars, Royal Tips 24K gold blunt tip with 420 diamonds, limited edition strains, edibles, and topicals, plus 3.5 ounces of the highest quality flower from brands like THC Designs. Each category, (edibles, vapes, tinctures, concentrates, and flower) has 24 unique products included, and it’s available until New Year’s Eve if they don’t sell out.

Daily Hit: June 5, 2023

Monthly Illinois Cannabis Sales Inch Upward in May, State Reports

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Nutritional High Archives - Green Market Report

Nutritional High Completes Psychedelic Science Acquisition

Calyx Brands Sold

Earnings Roundup: GrowGeneration, 1933, Nutritional High

The Daily Hit: July 25, 2018

On the Site

In Other News

Nutritional High Overstates Q3 Revenue

The Daily Hit: April 23, 2018

On The Site:

In Other News:

The Daily Hit: Today’s Cannabis Briefs

The Green Market Report’s Last Minute Holiday Gift Guide

Daily Hit: June 5, 2023

Monthly Illinois Cannabis Sales Inch Upward in May, State Reports

Atlas Global Shutters Alberta Site, Lays Off 50 Workers

Calyx Brands Sold

On the Site

In Other News

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