It’s time for your Daily Hit of cannabis financial news for July 12, 2021.
On The Site
MJardin Group, Inc. (CSE: MJAR) (OTCQX: MJARF) said that it has decided to suspend construction and certain business activities at the company’s Warman facility effective July 12, 2021. Additionally, MJardin said in a statement that it has launched a Sales and Investment Solicitation Process related to the company, and all its Canadian and US assets.
Curaleaf Holdings, Inc. (OTCQX: CURLF) named Ranjan Kalia as the company’s new Chief Financial Officer replacing Michael Carlotti, who is stepping down from the role of Chief Financial Officer for medical reasons. Since 2008, Kalia has served as Executive Vice President and Chief Financial Officer of digital company Virtusa Corp. Curaleaf said in a statement that Kalia brings extensive experience and deep knowledge across corporate tax regulations, U.S. SEC regulations, and Sarbanes Oxley compliance requirements to the role. He starts his new role on July 19.
Midwestern states began delivering the results from June cannabis sales and it seems it was all good news. Illinois continues to post impressive cannabis sales numbers. The state reported that it had approximately $115.5 million in sales that come from selling roughly 2.5 million products. This was down slightly from May.
On March 31, New York Governor Andrew Cuomo announced that the state would legalize medical and adult-use cannabis in the coming year. According to Cuomo, it’ll create over $350 million in revenue, and at least 30,000 jobs. New York is just one of 17 states across the country legalizing cannabis. In the coming months, marijuana plant-related businesses are going to be popping up all over the east coast, now that New York, New Jersey, Maine and Massachusetts have legalized cannabis, among other states with limited capacity (like Pennsylvania). A cannabis real estate boom is likely to follow. The global legal cannabis industry is predicted to hit $40.6 billion in global spending by 2024, which will be a 300% increase from 2019, according to a report from Arcview Market Research & BDS Analytics.
In Other News
EVIO Inc. (OTC: EVIO) has entered into a Letter of Intent to acquire Leading Edge Pharms, Inc. (LEP) of Henderson, Nevada. LEP is a biotechnology company focused on the research, development, and commercialization of novel cannabinoid therapies and innovative drug delivery systems that provide safe and effective topical solutions for pain management.
Terms of the acquisition include EVIO performing detailed due diligence, including technical review and testing of the company’s products and methods. Pending regulatory review and shareholder approval, EVIO will authorize additional shares to support the acquisition. EVIO will also add at least two board members and executive positions from LEP, and EVIO will release its audited financials.
Lori Glauser, the interim CEO, says, “While EVIO continues to operate in the testing space, we have been on the lookout for complementary businesses that align with our mission and also strengthen our portfolio. Leading Edge Pharms offers an established product line with proven efficacy that offers higher margins and entrance into the consumer marketplace. I am also pleased to partner with a strong team of experienced executives who will help lift EVIO to the next level.”