On The Site
Ascend Wellness (OTC: AAWH) has pulled off the gloves in its latest complaint (filed on February 14, 2022) against MedMen (OTC: MMNFF) calling the company, “A broken and mismanaged cannabis company that has repeatedly reneged on its promises to its employees, suppliers, shareholders, medical marijuana patients, regulators, and now Ascend.” MedMen had agreed to sell its New York assets to Ascend, but the deal was contingent upon New York State giving approval to the deal. The state regulators gave an ambiguous approval in December but tried to clarify that language in the waning hours of 2021. MedMen has since refused to close the deal saying the state hadn’t really given final approval and accusing the state and Ascend of influence peddling. Read more here.
Infused beverage company and celebrity favorite Cann announced a $27 million Series A funding round coming from fresh institutional capital as well as existing investors like Imaginary Ventures who added to its original investment. Cann was launched in 2019 and raised $5 million in a seed round in 2020. Cann added its newest celebrity investors Nina Dobrev, Julianne Hough, Sara Foster, Paul Scheer, and Adam Devine. They join current investors, Gwyneth Paltrow, Baron Davis, Rebel Wilson, Kate Hudson, Rosario Dawson, Darren Criss, Casey Niestat, Tove Lo, and Bre-Z. Read more here.
Hydroponic equipment company iPower Inc. (Nasdaq: IPW) reported its financial results for its fiscal second quarter ended December 31, 2021, with total revenue increasing 52% to $17.1 million. iPower said that the increase was driven by greater in-house product sales and strong demand for ventilation products. The company reported that its net income increased 39% to $0.8 million or $0.03 per share. Read more here.
With so many deals never making it to the finish line, two cannabis companies closed on strategic deals today. Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) completed the acquisition of an operational 64,000 sq. ft. cultivation facility in Phoenix, Arizona. Trulieve said it will pay $13.75 million cash at closing, with potential milestone payments subject to earn-out and escrow requirements. Ayr Wellness Inc. (CSE: AYR.A, OTCQX: AYRWF) has closed the acquisition of Cultivauna, LLC, the owner of Levia branded cannabis-infused seltzers and water-soluble tinctures. Read more here.
Ehave, Inc. (OTC Pink: EHVVF) reported that its wholly-owned subsidiary, KetaDASH has started clinical operations that are offering in-home ketamine therapy to patients suffering from treatment-resistant mental health issues. Ehave said that the treatment will be offered in the San Francisco Bay Area and Greater Sacramento Area first with plans to expand to other markets in the coming months. Read more here.
In Other News
Aleafia Health Inc.
Aleafia Health Inc. (OTCQX: ALEAF) reported its financial results for the three and 12 months ended December 31, 2021, last after the market closed on Monday. Net revenue was $36.1 million for the 12 months ending December versus $44.5 million in the 12 months ending December 2020. For the fourth quarter, net revenue was $8.8 million, compared with $15.2 million in Q4 2020. The company said the decline in net revenue was based on shifting from lower margin, higher volume bulk wholesale commodity cannabis revenue to higher-margin, higher potency and innovative adult-use products, offering a unique value proposition. Read more here.