The Daily Hit is a recap of the top cannabis business stories for May 2, 2022.
On The Site
A judge decided on Friday that a New York case against Acreage Holdings (OTC: ACRHF) can proceed. Judge Andrea Masley in the New York Supreme Court listened to a week-long case and following closing arguments decided that the case against Acreage would not be dismissed. The case is regarding a New York license whose ownership got muddled through a series of mergers and partnerships. Leading the charge is David Feder, an attorney who is part of a group that is claiming that Acreage Holdings cut them out of a portion of ownership of the converted limited New York cannabis licenses. The lawsuit claimed that Acreage acquired a New York property and this particular investor (EPMMNY) wasn’t included in the sale. A review of the legal document shows that EPMMNY’s equity stake was never finalized and so it wasn’t included in the final application for New York Canna (NY Canna). Read more here.
Khiron Life Sciences Corp. (TSXV: KHRN) (OTCQX: KHRNF) announced its financial results for the year ended and quarter ending on December 31, 2021. In the fourth quarter, Khiron reported revenue of $3.6 million an increase over last year’s $2.5 million for the same time period. The net loss mushroomed to $19.2 million over last year’s net loss of $2.3 million for the same quarter. In 2021, the total revenue increased over 60% YoY to $12.8 million compared to the previous year. the net loss for the full year was $33million versus 2020’s net loss of $24 million. Khiron is forecasting revenue of $4.5 million for the first quarter of 2021. Read more here.
“Psychedemia” is a mix of “psychedelic” and “academia”—meaning the integration of psychedelics into academia—and is a term coined by LSD research pioneer Humphry Osmond in 1957. It has been used since 2012 as the title for a grassroots collaborative psychedelics conference organized to “foster novel contributions to this burgeoning field,” and to “consider data from new research with an open mind.” Read more here.
In Other News
Q4 2021 Preliminary Financial Highlights (vs. Q4 2020)
- Revenue increased 13% to $16.5 million compared to $14.7 million.
- The Expected Operating loss decreased to $(1.6) million compared to $(9.7) million.
FY 2021 Preliminary Financial Highlights (vs. FY 2020)
- Revenue increased 22% to $63.7 million compared to $52.4 million.
- The Expected Operating loss decreased to $(2.4) million compared to $(8.4) million.
AFC Gamma, Inc. (NASDAQ: AFCG) announced that it has entered into a senior secured revolving credit facility (“Credit Facility”) with $60 million of current commitments from two FDIC-insured banks and the ability to increase the facility to $100 million. The two banks have over $70 billion of assets in the aggregate. AFC Gamma intends to use the available capital from the Credit Facility to fund unfunded commitments under loans to its existing borrowers, to originate and participate in commercial loans to cannabis operators that are consistent with its investment strategy, and for working capital and other general corporate purposes. Read more here.