It’s time for your Daily Hit of financial news for October 16, 2019.
On The Site
Green Market Report reported news last week that Trump associates who had been arrested for campaign finance violations had applied for marijuana licenses in Nevada. It also seems one of the gentlemen tried to pursue licenses in California as well.
The San Francisco Chronicle reported that Andrey Kukushkin had attempting to build a cannabis business in the Bay Area. The paper said that Kukushkin had some control in a variety of cannabis companies named Oasis Venture, Legacy Botanical Co., and Venture Rebel Inc. It was reported that Kukushin first entered the space in 2015 as his Rebel Venture Inc. company was contracted by the medical marijuana dispensary MediThrive to manage its Mission Street location.
This information came about as Kukushkin sued his partners in 2018 claiming they cost him $1 million by running the company into the ground. Venture claims it gave MediThrive a million dollars to renovate a storefront and purchase inventory. The case alleges that the inventory got diverted to another business and the investment was squandered.
Following the close of the market on Tuesday, cannabis extraction product company Valens GroWorks Corp. (TSXV: VGW) (OTC: VGWCF) reported its financial results for the third quarter of fiscal 2019 with revenue increasing 87.1% to $16.5 million over last year’s $2.2 million for the same time period. Revenues increased 641.4% sequentially over the previous quarter’s revenue of $8.8 million.
The company delivered net income of $5.9 million (or $0.05 per share basic and diluted) in the third quarter, compared to a net loss of $10.5 million (or a loss of $0.10 per share basic and diluted) in the second quarter of 2019.
In Other News
Harborside Inc. (CSE: HBOR) announced today that key executives, members of the Board of Directors and insiders, have entered into an additional, extended voluntary lock-up agreement with the Company, effective immediately, in respect of 21,143,469 subordinate voting shares of the Company (on an as-converted basis), representing approximately 50.4% of the total issued and outstanding subordinate voting shares of the company, assuming the conversion of all issued and outstanding multiple voting shares of the Company, but excluding the conversion of any convertible securities issued and outstanding of the Company.
High Park Holdings Ltd. (“High Park”), a subsidiary of Tilray, Inc. (NASDAQ: TLRY), today unveiled the second phase of its adult-use product portfolio set to launch throughout Canada over the course of the next year as permitted by regulations. The expanded broad-based portfolio includes innovative cannabis products and formats, including CBD beverages, edibles, and vape products. High Park also announced a lineup of strategic partners which will help accelerate sales across Canada.