The Daily Hit is a recap of the top cannabis business stories for July 18, 2022.
ON THE SITE
MedMen Sued For Almost $1 Million In Back Rent
Thor Equities must be seeing red whenever a cannabis company wants to rent one of its spaces. The real estate company has sued the High Times group in San Francisco for not paying rent on space and now it is going after MedMen (OTC: MMNFF) for the same thing. In a complaint filed on July 15, 2022, Thor Equities claims MedMen owes the company $950,960.02 in unpaid rent for 942-944 West Fulton Street, Chicago, Illinois 60611. The lease was signed June 28, 2019, and Thor says MedMen hasn’t paid any rent since August 2021. Read more here.
Red White & Bloom Brands Misses Audit Target
Red White & Bloom Brands Inc. (CSE: RWB)(OTC: RWBYF) slid in late trading on Monday after further auditing delays postponed the release of key financial report cards for the second time this year. The company released the news after the markets closed on Friday and on a week when it was expected to deliver its financial numbers. Read more here.
New York Readies Retail Licenses For Adult-Use Sales
The New York Cannabis Control Board (CCB) approved rules on Thursday to establish retail applications for the sale of adult-use cannabis. The state could open up these applications as soon as August, which could potentially set the stage for sales happening before the end of the year. This has been the goal of the CCB, but it seemed like it miss that target. Read more here.
Stable Road’s Space SPAC Faces SEC Charges for Misleading Investors
The SEC has charged cannabis investor Stable Road Capital and its SPAC Stable Road Acquisition Corp. (OTC: SRACU) which became the stock Momentus (NASDAQ: MNTS) for misleading investors. That news caused an investor lawsuit to have the green light to move forward according to a report by Law360. Stable Road is well known in cannabis circles for its financial services to many companies like MedMen (OTC: MMNFF) and Sundial (NASDAQ: SNDL). Investors are accusing the company of pivoting from its initial focus on cannabis to space and then subsequently not telling potential investors of the problems it faced getting regulatory approvals for its space plans. In addition to that, it didn’t disclose its CEO Mikhail Kokorich’s Russian origins. Read more here.
5 Steps To Making A Smart Investment in Psychedelics
Financial advisors will always remind an investor that any investment comes with risk. It can be complicated because it’s more than just following market metrics about past earnings and current standings throughout the history of a company. There are world events that affect many investments across the board—for instance, today’s investment risks include issues with oil supplies and gas prices, the war in Ukraine, and what the current administration is doing to combat inflation, just to name a few. Read more here.
IN OTHER NEWS
Curaleaf International, a vertically integrated cannabis company, announced that it has appointed Miles Worne as President, effective 11 July 2022. Antonio Costanzo, the company’s former CEO, will remain with the company in a consultancy capacity, with his role transitioning to focus on M&A and Regulatory Affairs. Mr. Worne’s appointment as President is part of the company’s long-term strategy to drive growth as the European cannabis market opens up to adult-use, as well to ensure continued expansion in the medical cannabis market. Read more here.
Clever Leaves Holdings Inc.
Clever Leaves Holdings Inc. (NASDAQ: CLVR, CLVRW), a multinational operator and licensed producer of pharmaceutical-grade cannabinoids, announced today the first commercial export to Israel of high THC Flower for medical use from its facility in Portugal through its partnership with InterCure (Nasdaq: INCR, TSX: INCR.U, TASE: INCR). With this initial shipment, medical cannabis patients in Israel will now have access to Clever Leaves’ cannabis flower grown in its IMC-GAP equivalent cultivation facilities. Read more here.
Small Pharma Inc.
Small Pharma Inc. (TSXV: DMT) (OTCQB: DMTTF), a biotechnology company focused on short-acting psychedelic-assisted therapies for mental health conditions, published its financial results for the quarter ended May 31, 2022. A full copy of the results can be found under the Company’s profile on SEDAR at www.sedar.com. Unless otherwise indicated, all currency references are in Canadian dollars. Read more here.