It’s time for your Daily Hit of cannabis financial news for October 28, 2020.
On The Site
Akerna Corp. (Nasdaq: KERN) has priced a public offering of 5,000,000 shares of its common stock at a public offering price of $2.40 per share. The company said it expects that the gross proceeds of the offering of the shares will be approximately $12,000,000. Akerna said it intends to use the net proceeds from the offering to fund its growth initiatives, including product development, sales and marketing, strategic acquisitions, working capital, and general corporate purposes.
The stock was falling in pre-market trading from $2.93 to $2.39, a decline of 18%. According to Yahoo Finance, the company’s price to sales is $3.56.
Alcohol and logistics platform company Saucey and cannabis delivery platform have been acquired by the newly formed Pacific Consolidated Holdings (PCH). The two will debut as the vice platform centered on delivery, data insights, and logistics. PCH said its goal is to become the next generation, vertically integrated vice platform, with a focus on e-commerce, delivery logistics, and cross-industry behavioral insights that have yet to exist in the vice industry.
PCH said that the merger of Saucey and Emjay is a direct response to over 70% of Saucey respondents within the California market reporting that they’d strongly like the opportunity to purchase cannabis products, highlighting a consumer desire for ordering across vice-related commodities. To start, Saucey users in Los Angeles will be able to seamlessly create an Emjay account using their Saucey login. Customers will now able to toggle between and create accounts for Saucey and Emjay with the tap of a button, making the experience convenient, streamlined, and efficient.
Liberty Health Sciences Inc. (CSE: LHS) (OTCQX: LHSIF ) announced that Victor Mancebo has resigned from the Board of Directors and his role as Chief Executive Officer, effective December 31, 2020. George J. Gremse, a member of the Board of Directors, has been appointed as Interim CEO during the process of identifying a permanent CEO.
This comes after shareholders expressed dissatisfaction with the company’s disappointing cannabis production in the state of Florida. A recent state report from the Office of Medical Marijuana dated October 16-22 showed that Liberty, with 26 dispensing locations, had produced only 3,937,111 mgs of medical marijuana with THC. AltMed Florida, which also has 26 locations, produced 14,854,911 mg. of medical marijuana with THC.
In Other News
TILT Holdings Inc. (OTCQB: TLLTF ) announced preliminary financial results for the third quarter ended September 30, 2020, the promotion of Gary Santo to President of TILT, and the appointment of Brad Hoch as TILT’s permanent chief financial officer. Third-quarter revenue is expected to be $40 – $41 million, a 4% – 6% increase from Q2 2020 revenue of $38.6 million. Third-quarter adjusted EBITDA of $2.5 – $3.0 million, is a 108% – 150% increase from Q2 2020 Adjusted EBITDA of $1.2 million. The company did not report any net profits or losses.
The company also reported a new monthly record for total cartridges shipped by Jupiter Research, LLC in September. Expanded product offering at Standard Farms LLC, Pennsylvania contributing to a new monthly revenue record for Standard Farms in September. 31% quarter-over-quarter revenue increase at Commonwealth Alternative Care Inc., Massachusetts