It’s time for your Daily Hit of cannabis News for May 30, 2018.
On The Site
Trading for MedMen Enterprises (MMEN) has got off to a rocky start. The much-touted first “unicorn” of cannabis began selling shares following a reverse takeover on Tuesday at the Canadian Stock Exchange. The shares were valued at C$5.63, but on the first day of trading, the prices slipped to C$4.95. The stock was lately trading at C$4.65, slipping another 6%.
Matters weren’t helped when a story from Equity Guru was published the day before the stock began trading. The story did not mince words and said, “This MedMen deal is rank AF.” Readers should probably know what the AF stands for.
Canopy Growth Corporation
Canopy Growth Corporation (WEED) is staking a claim in the African medical cannabis market. On May 30, 2018, the company announced that it has acquired Daddy Cann Lesotho PTY Ltd., which trades under the name Highlands.
Highlands is located in the Kingdom of Lesotho, which recently legalized medical cannabis in 2017. Geographically surrounded by South Africa, Lesotho is part of what is known as the “Dagga Belt,” which is a region known for its prolific cannabis production. Dagga is a term used in South Africa for cannabis. Under the agreement, Canopy will issue a total of 999,643 shares of the company to Highlands’ sole shareholder, at a price of approximately $28.76 per share. The sum value of the deal is estimated to be approximately $28.8 million.
In Other News
Sunniva Inc. (OTCQX: SNNVF) released its financial results and management’s discussion and analysis for the three months ended March 31, 2018. During the period ended March 31, 2018, the Company generated $5.2 million in revenue from its two subsidiaries, Natural Health Service Ltd. and FSD, which contributed $2.7 million and $2.5 million, respectively. Net loss for the period ended March 31, 2018, was $6.,3 million as compared to $1.0 million during the period ended March 31, 2017. The key components contributing to the change in net loss from the three months ended March 31, 2018, compared to the three months ended March 31, 2017, comprise the following:
Revenue increased from $2.4 million to $5.2 million due to NHS and FSD being acquired mid-way through the comparative period ended March 31, 2017, and stronger Q1 2018 results from FSD. Costs of goods sold increased from $1.2 million to $3.1 million resulting from the increase in revenue.
NeutriSci International Inc.
NeutriSci International Inc. (OTCQB: NRXCF) and Nutritional High International Inc. (OTCQB: SPLIF) are entering into a binding Memorandum of Understanding to develop, manufacture and distribute THC and CBD infused sublingual tablets utilizing NeutriSci’s patent-pending technology, proprietary ingredients, and formulations.
The tablets will combine the benefits of NeutriSci and Nutritional High’s existing technologies and ingredient mixes. The tablets will be quick dissolving and will offer a measured dose of pure THC or CBD oil, combined with the powerful bio-availability & antioxidant properties of pterostilbene. The tablets will be flavored and optimized for efficacy and taste with zero-sugar. Initial manufacturing will be carried out in Nutritional High’s manufacturing facilities in Sacramento, California and Green Therapeutics LLC facilities in Las Vegas, Nevada, with sales and distribution expected to begin in Q3-2018.
Bloom Farms, one of California’s leading manufacturers and distributors of high quality cannabis products, has launched its line of vape pen sets and refill cartridges in the Nevada market. This is the first market the Company’s products are available outside BLOOM FARMS’ home market of California and the first step in its plan to expand into multiple legal cannabis markets.
Bloom Farms vape pens and cartridges’ are among the best selling pens and oil cartridges in California where customers choose them because they can vaporize at a low, consistent temperature for better flavor and a safer experience.
Jade & Jane
Cannabis cupcake company, Jade & Jane, broadens consumer’s choices in the edibles market with the recent introduction of single serving, recreational 10mg THC-infused cupcakes. Jade & Jane’s products are available to retail customers through licensed Colorado recreational dispensaries. Wholesale dispensary customers may contact Jade & Jane to place orders. Ordering through LeafLink is coming soon.
Ron Silver, Chef and Owner of popular New York City brunch destination Bubby’s, today announced the launch of Azuca, a line of fast-acting cannabis edibles and ingredients made from chef-quality, all-natural ingredients. The product suite—which leverages first-of-its-kind, patent-pending technology—will fill the cannabis industry’s demand for a trustworthy edible product that offers a fast-acting, consistent effect.