The Daily Hit is a recap of the top cannabis business stories for July 21, 2022.
ON THE SITE
Zynerba Enters New Equity Deal Worth $20 Million
Zynerba Pharmaceuticals, Inc. (Nasdaq: ZYNE) struck an equity purchase deal on Thursday for up to $20 million with Chicago-based firm Lincoln Park Capital Fund (LPC). Lincoln Park Capital is expected to provide financial flexibility and is aligned with Zynerba’s long-term strategy for value creation, the company said. Read more here.
Cannabis Stocks Go Green On New Legislation
Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) formally filed the Cannabis Administration and Opportunity Act (CAOA) today. The long-anticipated legislation was met with cheers by the beleaguered cannabis stocks, which mostly jumped in value on the news. Read more here.
BDSA Says Nearly 50% of Americans Can Get Legal Cannabis
Cannabis data tech company BDSA released findings from its Consumer Insights Survey, which showed that cannabis consumer markets continue to expand as more states approve adult-use cannabis and acceptance of legal cannabis increased among consumers. BDSA noted cannabis consumer “milestones” that had been achieved, including nearly 50% of Americans currently with access to legal cannabis. Read more here.
The Psychedelics Clinic Trials Conundrum
When a psychedelic substance gets to Phase 3 trials, like the one completed by the Multidisciplinary Association for Psychedelic Studies (MAPS) with MDMA in August 2021, there is a general sense of relief. It’s been a long journey from Phase 1 for most substances in a clinical trial process—up to four years for Phase 3 alone in some cases. And only 33 percent of experimental drugs move from Phase 2 to Phase 3. Read more here.
IN OTHER NEWS
InterCure Ltd. (NASDAQ: INCR) (TSX: INCR.U) (TASE: INCR) today announced record preliminary financial results for the second quarter of 2022. All amounts are expressed in Canadian dollars ($) or New Israeli Shekels (NIS), unless otherwise noted. Record revenue estimated to be $36 million (NIS 95 million), more than double the revenues of the second quarter of 2021 and representing sequential growth of over 9%. Read more here.
22nd Century Group, Inc.
22nd Century Group, Inc. (Nasdaq: XXII), an agricultural biotechnology company in hemp/cannabis and hops advanced plant technologies, today announced that it has entered into definitive agreements with institutional investors for the purchase and sale of 17,073,175 shares of its common stock at a purchase price of $2.05 per share in a registered direct offering priced above market under Nasdaq rules. The company also agreed to issue to the investors unregistered warrants to purchase up to 17,073,175 shares of common stock. Read more here.
Zelira Therapeutics Ltd (ASX: ZLD,OTC-QB: ZLDAF), a global company in the research, development and commercialization of clinically validated cannabinoid medicines, is pleased to announce that its groundbreaking insomnia medication Zenivol™ has achieved formal approval from German regulatory authority BfArM to launch in the German medical cannabis market. Read more here.
Incannex Healthcare Limited
Incannex Healthcare Limited (Nasdaq: IXHL) (ASX: IHL), a clinical-stage pharmaceutical company developing unique medicinal cannabinoid pharmaceutical products and psychedelic medicine therapies for unmet medical needs, is pleased to announce that it has received approval from the Bellberry Human Research Ethics Committee for a phase 1 clinical trial investigating its proprietary multi-use, anti-inflammatory drug IHL-675A. Read more here.
Delic Holdings Corp
Delic Holdings Corp (CSE: DELC) (OTCQB: DELCF) (FRA: 6X0), a provider of new medicines and treatments, announced its first annual earnings for 2021 and reported revenue in excess of USD$1.5MM and increased net assets from USD$2.1MM in 2020 to USD$10MM. Delic continues to focus on accelerating growth through the expansion of its national chain of Ketamine Wellness Centers (KWC) and the addition of numerous new programs and services. Read more here.
Green Meadows, a vertically integrated cannabis company based in the heart of Southbridge, Mass., has announced key new leadership changes to position the company for continued growth in the New England cannabis market, including the first non-family member to be appointed to the C-Suite with Max Jones joining as Chief Operating Officer. Bob Patton, co-founder and former CEO, is now chairman and his son and fellow co-founder, Chris Zawacki, has been promoted from COO to CEO. Dan Donahue has been appointed to Vice President Cannabis Operations and Josh Turner is now the Vice President of Cultivation. The expansion of the leadership team will support the rapid maturation of the business. Read more here.
Pervasip Corp. (OTCPK: PVSP), a developer of companies and technologies in high value emerging markets, today announced the decision to reduce the Company’s authorized shares and provide new guidance on reverse splits. Read more here.
Metrc, the most trusted and experienced provider of cannabis regulatory systems in the U.S., announced its new contract with the State of Rhode Island to support the State’s regulation of medical cannabis, the company’s 22nd government contract to date and fifth so far in 2022. Read more here.