Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Diamond CBD/POTN gonna get bought out by a major player soon IMO.
Cannabis Brief: Explosion of Cannabis Mergers and Acquisitions Predicted to Jump in 2019
Today 8:45 AM ET (PR NewsWire)Print
In nature and business, the bigger fish always ends up eating the smaller fish. If the predictions are accurate, that is what is going to happen to the cannabis industry in 2019. A recent Forbes article had the following headline: "2019 Explosion Of Cannabis Mergers And Acquisitions Predicted." The article continued: "Most of the businesses growing, processing and selling cannabis across the United States are small independently-held entities. That may change in 2019 which looks like a big year for industry mergers, acquisitions and expansion. Large companies, like those in the food, tobacco and pharmaceutical industries have mostly stayed on the sidelines, held back by regulatory concerns, but are now expected to enter the market. The cannabis industry still has a mom and pop feel but that could change rapidly. A few have made that leap and are establishing footholds in states around the country. In 2018, some of the multi-state operators acquired additional licensed operators in new locations. By the end of the year, "We were seeing larger companies merge with one another," said (an industry insider). As the industry continues to grow and mature, he expects to see more of this consolidation in 2019. Multi-state operators aren't the only ones thinking about acquiring cannabis companies. As drug laws and regulations become less restrictive, it is widely believed that large tobacco, pharmaceutical, food and beverage companies will enter the marketplace. Active Companies from around the market with current developments this week include: Marijuana Company of America, Inc. (OTC:MCOA), Cannabis Strategic Ventures (OTC: NUGS), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), Puration, Inc. (OTC: PURA), Aleafia Health Inc. (TSX: ALEF) (OTC: ALEAF).
A member of Brightfield said the following in the Cannabis Business Times: "manufacturers are headed in this direction, aiming to compete with, or be acquired by, large corporations who have their eyes on the CBD space and who are ready to pounce come commercial hemp legalization. For these reasons, drinks are expected to be a huge CBD growth area, projected to jump from a $12 million market in 2018 to a $200 million-plus market in 2019 with a compound annual growth rate (CAGR) of 242 percent through 2022."
Marijuana Company of America, Inc. (OTCQB:MCOA) BREAKING NEWS: Marijuana Company of America an innovative hemp and cannabis corporation, is pleased to announce that the Company has officially acquired a 20% ownership interest in Natural Plant Extract of California (NPE).
Under the terms of the agreement, Marijuana Company of America has committed to contribute $2,000,000 in total cash to the project, as well as common shares of the Company with a value of $1,000,000. In exchange, the Company will own a 20% equity position in NPE. In addition, MCOA and NPE have also officially signed a Joint Venture Agreement (JV) to establish Viva Buds as a premier cannabis delivery company. Both NPE and MCOA will share in the profits on a fifty-fifty basis.
Viva Buds Inc. will serve as the marketing arm for NPE subsidiary Northern Lights Distribution's (NLD) new retail cannabis delivery service in California, first starting with delivery services to Los Angeles County and then rolling out to other major cities throughout the state. NLD will contribute up to $300,000 in inventory of cannabis products to assist in the start-up of this venture, and MCOA will provide a vast array of marketing services and technology to promote and build its Viva Buds brand.
NPE owns both state and city licenses for volatile manufacturing, distribution and retail delivery of cannabis products. NPE will manage all operations pertaining to distribution, manufacturing and delivery of cannabis products, and MCOA will provide capital, consulting and marketing services. NPE is currently operating as a distributor and is completing the build-out of its manufacturing facility, which is expected to be completed and fully operational in August 2019.
Regarding the acquisition, Alan Tsai, CEO of NPE, stated, "We are excited to be one of the first California licensed cannabis companies to partner with a publicly traded company in the US. We believe that partnering with an established company such as Marijuana Company of America will help to build Viva Buds and establish our foothold early by securing manufacturing and distribution contracts with key players in the California cannabis market. We expect that this strategic partnership will be mutually beneficial to both companies." Read this and more news for MCOA at: https://www.financialnewsmedia.com/news-mcoa/
In the industry developments and happenings in the market this week include:
Cannabis Strategic Ventures (OTCPK: NUGS) congratulates portfolio company The Asher House Wellness on its continuing drive to expand the Asher House mission. Most notably, company co-founders Lee Asher and Luke Barton appeared on ABC's The Ellen DeGeneres Show" this week to discuss their deep commitment to move dogs out of shelters and into loving homes on a national and international level. The Asher House team depends on sales of hemp-based "Asher House Wellness Thrive Oil" to fund outreach efforts, is also introducing new phytocannabinoid (CBD) products as part of the Asher House Wellness product offerings.
"We are so grateful for the continued growth of The Asher House. The more people know about the Asher House, the more dogs we will be able to rescue," said Lee Asher. "In addition, the more the community knows about and supports the Asher House Wellness and their industry-leading products that help dogs live well and thrive, the longer we will be able to continue our mission."
In 2017, the Asher House founders embarked on a cross-country mission to get dogs out of shelters and into loving homes. Since then the brand's co-founders have been traveling from state to state and Canada in an RV with six rescue dogs, working closely with local animal shelters or humane societies to set up dog adoption events. To date, the Asher House has successfully enabled the adoption of over 200 dogs.
Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB.TO) and Hempco Food and Fiber Inc. ("Hempco") (TSX-V: HEMP.V) recently announced that the companies have entered into a binding letter agreement (the "Letter Agreement") in regard to the basic terms and conditions upon which Aurora will acquire all of the issued and outstanding common shares of Hempco ("Hempco Shares") not already owned by Aurora. In consideration of the transaction, Aurora has agreed to pay $1.04 per Hempco Share, payable in common shares of Aurora ("Aurora Shares"), reflecting a valuation of approximately C$63.4 million on a fully diluted basis.
Hempco provides Aurora with low-cost, high-volume access to raw material (hemp) for the extraction of CBD, which has been increasingly recognized for its therapeutic benefits across a wide range of medical indications and wellness applications. Aurora identified this potential early on, completing its first investment in Hempco in 2017, and has subsequently expanded its hemp-based infrastructure through the acquisitions of Agropro, Europe's largest producer of organic hemp and hemp-based products, Borela and ICC Labs. The full integration of Hempco into this infrastructure adds further capacity, brands and distribution channels to capitalize on the global CBD wellness opportunity, which is anticipated to grow to $22 billion by 2022.
Puration, Inc. (OTCPK: PURA) recently reported over 350% year to year growth between 2017 and 2018. The Company filed its annual financial statement reporting over $1.2 million in revenue for year-end December 31, 2018 with over $500,000 in net profit. Management attributes the more than 350% revenue growth to the success of the company's EVERx CBD Sports Beverage. With the company's recently reported enhanced partnership with Kali-Extracts, ("KALY"), management expects cannabis beverage diversification and continued rapid growth in 2019. On Friday, this week, April 19th, 2019, PURA management will publish an online shareholder report with more details and insight on the company's 2018 growth and ongoing anticipated growth in 2019. The online report is expected to include updates on PURA's work with KALY to produce new beverages.
Aleafia Health Inc. (TSX: ALEF) (OTCQX: ALEAF) recently announced it will add 50,000 kg of extraction capacity with the Phase II expansion of the Company's processing facility in Paris, ON. The expansion will, when operational, see the Company's products and cultivation division, Aleafia Campus, maintain robust combined extraction and cultivation footprints across three facilities.
The expansion is expected to significantly increase the processing, extraction and packaging of high-margin derivative products including oils, capsules, sprays and other future formats under the Company's adult-use Symbl and medical Emblem brands. Additionally, the Company will offer tolling and white label services to other Licensed Producers looking to leverage the Company's extraction and packaging capabilities. Aleafia Health is currently purchasing the necessary equipment to meet or exceed the 50,000 kg capacity expansion, including milling, decarboxylation, CO2 extraction and winterization machinery. The Company believes that the 30,000 sq. ft. building expansion will provide significantly more space than is necessary to operate the new cannabis production lines.
DISCLAIMER: FN Media Group LLC (FNM), which owns and operates Financialnewsmedia.com and MarketNewsUpdates.com, is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with any company mentioned herein. FNM and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM's market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNM is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNM expects to be compensated forty six hundred dollars for news coverage of the current press release issued by Marijuana Company of America, Inc. by a non-affiliated third party. FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.
Contact Information:
Media Contact email: editor@financialnewsmedia.com +1(561)325-8757
https://c212.net/c/img/favicon.png?sn=IO22047&sd=2019-04-17
View original content:http://www.prnewswire.com/news-releases/cannabis-brief-explosion-of-cannabis-mergers-and-acquisitions-predicted-to-jump-in-2019-300833528.html
SOURCE FinancialNewsMedia.com
Cannabis Brief: Explosion of Cannabis Mergers and Acquisitions Predicted to Jump in 2019
Today 8:45 AM ET (PR NewsWire)Print
In nature and business, the bigger fish always ends up eating the smaller fish. If the predictions are accurate, that is what is going to happen to the cannabis industry in 2019. A recent Forbes article had the following headline: "2019 Explosion Of Cannabis Mergers And Acquisitions Predicted." The article continued: "Most of the businesses growing, processing and selling cannabis across the United States are small independently-held entities. That may change in 2019 which looks like a big year for industry mergers, acquisitions and expansion. Large companies, like those in the food, tobacco and pharmaceutical industries have mostly stayed on the sidelines, held back by regulatory concerns, but are now expected to enter the market. The cannabis industry still has a mom and pop feel but that could change rapidly. A few have made that leap and are establishing footholds in states around the country. In 2018, some of the multi-state operators acquired additional licensed operators in new locations. By the end of the year, "We were seeing larger companies merge with one another," said (an industry insider). As the industry continues to grow and mature, he expects to see more of this consolidation in 2019. Multi-state operators aren't the only ones thinking about acquiring cannabis companies. As drug laws and regulations become less restrictive, it is widely believed that large tobacco, pharmaceutical, food and beverage companies will enter the marketplace. Active Companies from around the market with current developments this week include: Marijuana Company of America, Inc. (OTC:MCOA), Cannabis Strategic Ventures (OTC: NUGS), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), Puration, Inc. (OTC: PURA), Aleafia Health Inc. (TSX: ALEF) (OTC: ALEAF).
A member of Brightfield said the following in the Cannabis Business Times: "manufacturers are headed in this direction, aiming to compete with, or be acquired by, large corporations who have their eyes on the CBD space and who are ready to pounce come commercial hemp legalization. For these reasons, drinks are expected to be a huge CBD growth area, projected to jump from a $12 million market in 2018 to a $200 million-plus market in 2019 with a compound annual growth rate (CAGR) of 242 percent through 2022."
Marijuana Company of America, Inc. (OTCQB:MCOA) BREAKING NEWS: Marijuana Company of America an innovative hemp and cannabis corporation, is pleased to announce that the Company has officially acquired a 20% ownership interest in Natural Plant Extract of California (NPE).
Under the terms of the agreement, Marijuana Company of America has committed to contribute $2,000,000 in total cash to the project, as well as common shares of the Company with a value of $1,000,000. In exchange, the Company will own a 20% equity position in NPE. In addition, MCOA and NPE have also officially signed a Joint Venture Agreement (JV) to establish Viva Buds as a premier cannabis delivery company. Both NPE and MCOA will share in the profits on a fifty-fifty basis.
Viva Buds Inc. will serve as the marketing arm for NPE subsidiary Northern Lights Distribution's (NLD) new retail cannabis delivery service in California, first starting with delivery services to Los Angeles County and then rolling out to other major cities throughout the state. NLD will contribute up to $300,000 in inventory of cannabis products to assist in the start-up of this venture, and MCOA will provide a vast array of marketing services and technology to promote and build its Viva Buds brand.
NPE owns both state and city licenses for volatile manufacturing, distribution and retail delivery of cannabis products. NPE will manage all operations pertaining to distribution, manufacturing and delivery of cannabis products, and MCOA will provide capital, consulting and marketing services. NPE is currently operating as a distributor and is completing the build-out of its manufacturing facility, which is expected to be completed and fully operational in August 2019.
Regarding the acquisition, Alan Tsai, CEO of NPE, stated, "We are excited to be one of the first California licensed cannabis companies to partner with a publicly traded company in the US. We believe that partnering with an established company such as Marijuana Company of America will help to build Viva Buds and establish our foothold early by securing manufacturing and distribution contracts with key players in the California cannabis market. We expect that this strategic partnership will be mutually beneficial to both companies." Read this and more news for MCOA at: https://www.financialnewsmedia.com/news-mcoa/
In the industry developments and happenings in the market this week include:
Cannabis Strategic Ventures (OTCPK: NUGS) congratulates portfolio company The Asher House Wellness on its continuing drive to expand the Asher House mission. Most notably, company co-founders Lee Asher and Luke Barton appeared on ABC's The Ellen DeGeneres Show" this week to discuss their deep commitment to move dogs out of shelters and into loving homes on a national and international level. The Asher House team depends on sales of hemp-based "Asher House Wellness Thrive Oil" to fund outreach efforts, is also introducing new phytocannabinoid (CBD) products as part of the Asher House Wellness product offerings.
"We are so grateful for the continued growth of The Asher House. The more people know about the Asher House, the more dogs we will be able to rescue," said Lee Asher. "In addition, the more the community knows about and supports the Asher House Wellness and their industry-leading products that help dogs live well and thrive, the longer we will be able to continue our mission."
In 2017, the Asher House founders embarked on a cross-country mission to get dogs out of shelters and into loving homes. Since then the brand's co-founders have been traveling from state to state and Canada in an RV with six rescue dogs, working closely with local animal shelters or humane societies to set up dog adoption events. To date, the Asher House has successfully enabled the adoption of over 200 dogs.
Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB.TO) and Hempco Food and Fiber Inc. ("Hempco") (TSX-V: HEMP.V) recently announced that the companies have entered into a binding letter agreement (the "Letter Agreement") in regard to the basic terms and conditions upon which Aurora will acquire all of the issued and outstanding common shares of Hempco ("Hempco Shares") not already owned by Aurora. In consideration of the transaction, Aurora has agreed to pay $1.04 per Hempco Share, payable in common shares of Aurora ("Aurora Shares"), reflecting a valuation of approximately C$63.4 million on a fully diluted basis.
Hempco provides Aurora with low-cost, high-volume access to raw material (hemp) for the extraction of CBD, which has been increasingly recognized for its therapeutic benefits across a wide range of medical indications and wellness applications. Aurora identified this potential early on, completing its first investment in Hempco in 2017, and has subsequently expanded its hemp-based infrastructure through the acquisitions of Agropro, Europe's largest producer of organic hemp and hemp-based products, Borela and ICC Labs. The full integration of Hempco into this infrastructure adds further capacity, brands and distribution channels to capitalize on the global CBD wellness opportunity, which is anticipated to grow to $22 billion by 2022.
Puration, Inc. (OTCPK: PURA) recently reported over 350% year to year growth between 2017 and 2018. The Company filed its annual financial statement reporting over $1.2 million in revenue for year-end December 31, 2018 with over $500,000 in net profit. Management attributes the more than 350% revenue growth to the success of the company's EVERx CBD Sports Beverage. With the company's recently reported enhanced partnership with Kali-Extracts, ("KALY"), management expects cannabis beverage diversification and continued rapid growth in 2019. On Friday, this week, April 19th, 2019, PURA management will publish an online shareholder report with more details and insight on the company's 2018 growth and ongoing anticipated growth in 2019. The online report is expected to include updates on PURA's work with KALY to produce new beverages.
Aleafia Health Inc. (TSX: ALEF) (OTCQX: ALEAF) recently announced it will add 50,000 kg of extraction capacity with the Phase II expansion of the Company's processing facility in Paris, ON. The expansion will, when operational, see the Company's products and cultivation division, Aleafia Campus, maintain robust combined extraction and cultivation footprints across three facilities.
The expansion is expected to significantly increase the processing, extraction and packaging of high-margin derivative products including oils, capsules, sprays and other future formats under the Company's adult-use Symbl and medical Emblem brands. Additionally, the Company will offer tolling and white label services to other Licensed Producers looking to leverage the Company's extraction and packaging capabilities. Aleafia Health is currently purchasing the necessary equipment to meet or exceed the 50,000 kg capacity expansion, including milling, decarboxylation, CO2 extraction and winterization machinery. The Company believes that the 30,000 sq. ft. building expansion will provide significantly more space than is necessary to operate the new cannabis production lines.
DISCLAIMER: FN Media Group LLC (FNM), which owns and operates Financialnewsmedia.com and MarketNewsUpdates.com, is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with any company mentioned herein. FNM and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM's market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNM is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNM expects to be compensated forty six hundred dollars for news coverage of the current press release issued by Marijuana Company of America, Inc. by a non-affiliated third party. FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.
Contact Information:
Media Contact email: editor@financialnewsmedia.com +1(561)325-8757
https://c212.net/c/img/favicon.png?sn=IO22047&sd=2019-04-17
View original content:http://www.prnewswire.com/news-releases/cannabis-brief-explosion-of-cannabis-mergers-and-acquisitions-predicted-to-jump-in-2019-300833528.html
SOURCE FinancialNewsMedia.com
ACB IS $$$$$MONEY$$$$$. GET YOUR SHARES BEFORE THE INSTITUTIONAL INVESTORS BUY THE REST UNDER THE $10 RANGE. NOT TO MANY MORE CHANCES BEFORE THEY ARE GONE FOR GOOD. GOING FAST! $$$$ACB$$$$
Bank of America I thought I heard made the most money of all U.S. Banks in 2018 or early 2019 or something I saw on the news. If they say ACB is a Buy I would say they are the guys who would probably know best...
You think he thought they were saying leopard messiah ? lol
What a leopard messiah? Just curious....
UPDATE: Cannabis stocks rally after 3 surveys find Americans increasingly favor legalization
Today 12:47 PM ET (MarketWatch)
Share
Print
By Ciara Linnane, MarketWatch
Canadian cannabis companies are growing enough of the plant, but are still having problems with delivery
Cannabis stocks rose across the board on Tuesday, as three separate surveys found Americans are increasingly in favor of legalization, demonstrating a major shift in opinion over the last two decades.
The General Social Survey (https://gssdataexplorer.norc.org/trends/Civil%20Liberties?measure=grass)conducted by NORC at the University of Chicago found 61% of those surveyed supported legalization, up from 57% in 2016 and 31% in 2000.
A separate survey by Gallup (https://news.gallup.com/poll/243908/two-three-americans-support-legalizing-marijuana.aspx)conducted last October found 66% of surveyees in favor of legalization, up from 60% in 2016 and 31% in 2000. A Pew survey, (https://www.pewresearch.org/fact-tank/2018/10/08/americans-support-marijuana-legalization/)also from October, found 62% favored legalization compared with 57% in 2015 and 31% in 2000. The surveys were first covered by Vox.com. (https://www.vox.com/policy-and-politics/2019/4/15/18311320/marijuana-legalization-polls-surveys-trump)
Support for legalization has been driven by the acceptance of medical cannabis as a treatment for a variety of maladies, including pain management and to reduce frequency of seizures. But many industry players are confident that public sentiment will help persuade lawmakers to drop the federal ban, which continues to classify the plant alongside heroin as a Schedule I drug.
Smoke Wallin, president of L.A.-based Vertical Companies, said he expects the ban to be dropped in the near term, and likely before the next presidential election in 2020.
"It might be the only issue that we can all get behind," he told MarketWatch in an interview.
From Canada comes the news that cannabis companies are growing enough of the plant, but are still having problems with delivery, as MarketWatch's Max Cherney reported (http://www.marketwatch.com/story/cannabis-companies-say-they-are-growing-enough-pot-they-just-cant-deliver-it-2019-04-15).
Pot producers had to scramble to apply the required excise-tax stamps (http://www.marketwatch.com/story/canadas-pot-party-big-demand-short-supply-and-stamps-with-no-glue-2018-10-20)with no glue as legalization kicked off last October, and many are still having to apply them by hand to some packages months later as supply issues continue.
Organigram Holdings Inc. (OGI.V) on Monday joined a chorus of companies saying their challenge in supplying the Canadian cannabis market is not growing massive amounts of marijuana, but transforming the plant into a product that's ready for sale.
Read now:IPO market faces biggest week of 2019 so far with Pinterest, Zoom and Greenlane on tap (http://www.marketwatch.com/story/ipo-market-faces-biggest-week-of-2019-with-pinterest-zoom-and-greenlane-on-tap-2019-04-15)
While Organigram has figured out how to automate its production of some products, the Moncton, New Brunswick-based company still must manually apply the tax stamps onto its raw-marijuana containers, Chief Executive Greg Engel told MarketWatch in an interview Monday.
"Our pre-roll equipment puts [the tax stamp] on automatically, the oil line does it automatically, but the dry flower jar line, we just can't get it automatic," Engel said, adding that he hopes to have a fix in two weeks.
Organigram posted earnings for its fiscal second quarter to Feb. 28 (http://www.marketwatch.com/story/cannabis-company-organigram-swings-to-loss-in-q2-but-revenue-tops-estimates-2019-04-15) on Monday, showing a loss of C$6.4 million ($4.8 million), or 5 cents a share, in its fiscal second quarter to Feb. 28, after earnings of C$1.076 million, or 1 cent a share, in the year-earlier period. Revenue excluding excise taxes came to C$26.9 million. The consensus of four analysts polled by FactSet was for EPS of 2 cents and revenue of C$24.2 million.
Jefferies analyst Owen Bennett called the results "impressive" in a note, saying Organigram's recreational pot sales were second only to Canopy Growth Corp.(WEED.T), (WEED.T) which is the world's largest pot company by market valuation. Organigram shares were up 4.6%.
CIBC analysts raised their stock price target on Aphria Inc. (APHA.T)(APHA.T) to $12 from $10 on Tuesday, a day after that company posted quarterly earnings.
Analysts John Zamparo and Krishna Ruthnum said the numbers showed a company with "significant future capacity potential," but that it is still in ramp-up mode.
"We continue to believe Aphria's cultivation and automation skills provide a solid competitive advantage, and the company's 10% market share in the recent quarter (our estimate) is notable, but at this stage, we gravitate towards other names in the sector with stronger balance sheets and more defined strategies for the medium term," they wrote in a note to clients.
CIBC rates the stock as neutral. Shares rose 1.9% in Tuesday trade.
Aurora Cannabis Inc. (ACB.T) (ACB.T) announced an agreement to buy the Hempco Food and Fiber Inc. sharesHEMP, +9.89% it doesn't already own in a deal that values Hempco at C$63.4 million ($47.4 million). Aurora's U.S.-listed shares rose 3.3%.
Under terms of the deal, Aurora will pay C$1.04 for each of the 48% of Hempco shares outstanding that it doesn't own, which is 14% above Monday's closing price.
"This transaction will enable us to fully integrate Hempco and its new Nisku processing facility into Aurora's global hemp operations including Agropro, Borela and ICC," said Aurora Chief Executive Terry Booth. "Our goal is to strengthen our CBD-from-hemp supply chain as well as our hemp business of hemp-based superfoods, nutraceuticals and fibers."
Canopy Growth Corp. said it's on track to expand its European production footprint, (https://www.newswire.ca/news-releases/canopy-growth-expands-european-footprint-acquires-spanish-licensed-cannabis-producer-cafina-894705832.html) now that it has completed its all-cash acquisition of Spain-based licensed cannabis producer Cáñamo y Fibras Naturales, S.L. The company is one of three in Spain that are allowed to grow, distribute and export cannabis with less than 0.2% THC for medicinal and research purposes, from a 1,600 square foot greenhouse.
"Operating multiple production assets within Europe will allow us to increase revenue in the EU free of supply constraints," said Mark Zekulin, president & co-CEO, Canopy Growth. Shares rose 4.1%.
Aleafia Health Inc. shares rose 4.3%, after the company said it is adding 50,000 kg of extraction capacity (https://www.nasdaq.com/press-release/aleafia-health-to-add-50000-kg-extraction-capacity-at-paris-on-facility-20190416-00279)at its Paris, Ontario facility through the second phase of its expansion.
"The expansion is expected to significantly increase the processing, extraction and packaging of high-margin derivative products including oils, capsules, sprays and other future formats under the Company's adult-use Symbl and medical Emblem brands," the company said in a statement.
iAnthus Capital Holdings Inc. said it has reached an agreement with retailer Urban Outfitters to sell its CBD for Life line of products at select stores starting later this month. The line produced by CBD for Life includes beauty products and pain treatments. It wasn't immediately clear which will be sold at the retail chain. A spokesman wasn't immediately available for comment. iAnthus shares rose 4.5%.
Elsewhere in the sector, Cronos Group Inc. (CRON.T) (CRON.T) was up 1.2%.
Tilray Inc. (TLRY) was up 0.9%, Hexo Corp. was up 2.0% and Green Organic Dutchman Holdings Ltd. (TGOD.T) was up 3.0%. CannTrust Holdings Inc. (TRST.T) was up 1.1% and GW Pharmaceuticals PLC (GWPH) was down 0.6%.
Read:Tilray stock rises after the company shows it can sell recreational pot (http://www.marketwatch.com/story/tilray-stock-rises-after-the-company-shows-it-can-sell-recreational-pot-2019-03-18)
The Horizons Marijuana Life Sciences ETFwas up 1.7%, and the ETFMG Alternative Harvest ETF(MJ)was up 1.3%.
The Dow Jones Industrial Average and the S&P 500 index were up 0.1%.
See also:In California's Weed Country, wildfires burn both cash and crops (http://www.marketwatch.com/story/in-californias-weed-country-wildfires-burn-both-cash-and-crops-2017-10-17)
(http://www.marketwatch.com/story/in-californias-weed-country-wildfires-burn-both-cash-and-crops-2017-10-17)Cannabis Watch:All of MarketWatch's coverage of cannabis companies (http://www.marketwatch.com/storyno-meta-for-guid)
Additional reporting by Tomi Kilgore and Max Cherney
-Ciara Linnane; 415-439-6400; AskNewswires@dowjones.com
Aurora Cannabis Stock Is Up Because It's Betting Big on the CBD Craze -- Barrons.com
Today 11:42 AM ET (Dow Jones)Print
By Connor Smith
Aurora Cannabis stock was up Tuesday after the company said it agreed to buy the remaining shares of Hempco Food and Fiber.
Canada-based Hempco produces hemp-based foods, hemp fiber and hemp nutraceuticals. The move helps Aurora capitalize on the CBD trend, which has shown no signs of slowing down.
The back story. Congress legalized hemp last December, opening the floodgates for companies to sell creams and sprays that advertise CBD, which is said to have a calming effect that lacks the high of THC.
CVS and Walgreens both have already announced they're on board the hemp hype train. They've announced plans to sell CBD products in select states.
Still, the U.S. Food and Drug Administration says its rules don't yet allow CBD to be added to food, but it will soon hear from experts and evaluate the it going forward.
Aurora Cannabis (ticker: ACB), one of the biggest Canada-based growers, already owned a stake in Hempco Food and Fiber. The stock had gained 72.7% in 2019, through Monday's close.
Aurora lacks an equity investment from a large Fortune 500 company, but hired activist Nelson Peltz as a strategic adviser to help change that.
What's new. Aurora announced a deal Tuesday to purchase the remaining 48% of Hempco Food and Fiber's shares for 1.04 Canadian dollars per share. That values Hempco at 63.4 million Canadian dollars, or $47.4 million.
"Hempco provides Aurora with low-cost, high-volume access to raw material (hemp) for the extraction of CBD, which has been increasingly recognized for its therapeutic benefits across a wide range of medical indications and wellness applications," the company said in a statement.
Aurora stock was up 3.4% to $8.80 Tuesday morning.
Looking ahead. The move puts Aurora in a better position to capitalize on the continuing hemp craze. Still, as Barron's Bill Alpert wrote earlier this month, there are no bargains among hemp stocks. Investors should steer clear of this craze.
Retailers Take Note U.S . Consumers Opinion of CBD Infused Products is Increasingly Positive
Today 8:45 AM ET (PR NewsWire)Print
A well-respected purveyor of cannabis industry reports, the Brightfield Group, is not shy about making projections. Not only do they comment on projected revenues, they also look at where the industry is going and how it will get there. They have recently pointed to a previously closed vertical. They said: "that retailers big box retailers, are "Going after CBD" Hard! If you read their report its easy to see why a recent report said: "New Report Predicts CBD Market Will Hit $22 Billion by 2022. A new analysis estimates that the CBD market could explode -- and outpace marijuana." The company also said on its website that: "CBD is growing faster than cannabis in the U.S. and will soon be a $22 billion industry. Its been flying under the radar but is set to explode having profound impacts on CPG and Pharma. We detail the category growth rates, leading brands, product innovation by segment. Big Box is ready confirms another source: "since CBD for medical use is legal in 46 states and CBD derived from hemp rather than marijuana (it, CBD) is legal in all states. Recently, this past month of March, CVS announced that it will: "begin selling hemp-derived CBD products in eight states. The national drug store chain will be marketing the topical cannabidiol products, such as creams, sprays and roll-ons, as "an alternative source of relief," CVS said in a statement to NBC News. CVS will also be partnering with a company to test and verify the quality of the CBD topicals sold in its drug stores." NBC News reported that: "CVS to sell CBD products in 800 stores in 8 states. We are carrying hemp-derived CBD products in select states to help meet consumer demand for alternative care options," said CVS Health Spokesperson, Mike DeAngelis. The items will be sold in Alabama, California, Colorado, Illinois, Indiana, Kentucky, Maryland and Tennessee." "It's a way to reduce the stigma for a product that really doesn't deserve to be stigmatized," said a nutritionist and cannabis practitioner. Active Companies from around the market with current developments this week include: The Greater Cannabis Company (OTC: GCAN), CBD Unlimited, Inc. (OTC: EDXC), Aphria Inc. (NYSE: APHA) (TSX: APHA), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), Valens GroWorks Corp. (CSE: VGW) (OTC: VGWCF).
Consumers are interested in CBD and that interest is growing and retailers are noticing. A recent opinion poll said: "three-fourths (of respondents) associated (CBD) with at least one health benefit." The poll went on to show: "As consumers' opinions become increasingly positive, they are exploring other compounds of the cannabis plant, including CBD. Fifty-eight percent of survey respondents said they are somewhat, very, or extremely familiar with CBD, while only 14% had never heard of it. Men are more familiar with CBD than women, with 65% reporting at least some familiarity compared to 51% of women. Adults in age cohorts 25-34 and 34-44 are the most aware, with 70-71% in each group reporting at least some familiarity. Survey members living in the Northeast reported the highest level of awareness of any region, followed by the West. Of respondents who have tried CBD, 48% used an oil extract. Vape pens was the second most popular CBD-infused product at 37%, followed by edibles (36%), and capsules/pills (29%). Among adults in age cohort 18-24, vape pens were the most popular form of CBD use, whereas oil extracts were most popular for all other age groups.
Retailers Take Note U.S . Consumers Opinion of CBD Infused Products is Increasingly Positive
Today 8:45 AM ET (PR NewsWire)Print
A well-respected purveyor of cannabis industry reports, the Brightfield Group, is not shy about making projections. Not only do they comment on projected revenues, they also look at where the industry is going and how it will get there. They have recently pointed to a previously closed vertical. They said: "that retailers big box retailers, are "Going after CBD" Hard! If you read their report its easy to see why a recent report said: "New Report Predicts CBD Market Will Hit $22 Billion by 2022. A new analysis estimates that the CBD market could explode -- and outpace marijuana." The company also said on its website that: "CBD is growing faster than cannabis in the U.S. and will soon be a $22 billion industry. Its been flying under the radar but is set to explode having profound impacts on CPG and Pharma. We detail the category growth rates, leading brands, product innovation by segment. Big Box is ready confirms another source: "since CBD for medical use is legal in 46 states and CBD derived from hemp rather than marijuana (it, CBD) is legal in all states. Recently, this past month of March, CVS announced that it will: "begin selling hemp-derived CBD products in eight states. The national drug store chain will be marketing the topical cannabidiol products, such as creams, sprays and roll-ons, as "an alternative source of relief," CVS said in a statement to NBC News. CVS will also be partnering with a company to test and verify the quality of the CBD topicals sold in its drug stores." NBC News reported that: "CVS to sell CBD products in 800 stores in 8 states. We are carrying hemp-derived CBD products in select states to help meet consumer demand for alternative care options," said CVS Health Spokesperson, Mike DeAngelis. The items will be sold in Alabama, California, Colorado, Illinois, Indiana, Kentucky, Maryland and Tennessee." "It's a way to reduce the stigma for a product that really doesn't deserve to be stigmatized," said a nutritionist and cannabis practitioner. Active Companies from around the market with current developments this week include: The Greater Cannabis Company (OTC: GCAN), CBD Unlimited, Inc. (OTC: EDXC), Aphria Inc. (NYSE: APHA) (TSX: APHA), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), Valens GroWorks Corp. (CSE: VGW) (OTC: VGWCF).
Consumers are interested in CBD and that interest is growing and retailers are noticing. A recent opinion poll said: "three-fourths (of respondents) associated (CBD) with at least one health benefit." The poll went on to show: "As consumers' opinions become increasingly positive, they are exploring other compounds of the cannabis plant, including CBD. Fifty-eight percent of survey respondents said they are somewhat, very, or extremely familiar with CBD, while only 14% had never heard of it. Men are more familiar with CBD than women, with 65% reporting at least some familiarity compared to 51% of women. Adults in age cohorts 25-34 and 34-44 are the most aware, with 70-71% in each group reporting at least some familiarity. Survey members living in the Northeast reported the highest level of awareness of any region, followed by the West. Of respondents who have tried CBD, 48% used an oil extract. Vape pens was the second most popular CBD-infused product at 37%, followed by edibles (36%), and capsules/pills (29%). Among adults in age cohort 18-24, vape pens were the most popular form of CBD use, whereas oil extracts were most popular for all other age groups.
The Greater Cannabis Company, Inc. (OTCQB: GCAN) BREAKING NEWS: The Greater Cannabis Company, a market leader and innovator in the development and commercialization of cannabinoid delivery systems, today announced it has entered into a letter of agreement (LOI) with a major Brazilian retail pharmacy company, CBR Participacoes SA, to market Greater Cannabis Company's eluting patch technology for cannabis in Brazil.
As part of the agreement, CBR Participacoes will distribute the technology to its network of 300 pharmacies and more than 1,500 point-of-sale retailers in the country, serving the Brazil's growing demand and market for cannabis products. The agreement is effectively immediately through 2021.
"We continue to see explosive interest and growth for our technology in Brazil as the country's cannabis market continues to expand at an exponential rate," said Aitan Zacharin, Chief Executive Officer of Greater Cannabis Company. "Our new licensing agreement with CBR Participacoes taps into this and will represent the first of many additional agreements we are currently pursuing," concluded Mr. Zacharin.
Cannabidiol (CBD) has been legalized for therapeutic use since 2015 in Brazil, the largest country in both South America and Latin America. The country began allowing import of CBD oil in products that have potential medical benefit later that year and has continued to advance its legislation and legalization of cannabis to date. Greater Cannabis Company's eluting patch technology meets a global demand for alternative methods of cannabis administration and has demonstrated stability and bioavailability across a broad range of lab studies conducted by the Company. The Company believes it is poised for significant market growth and traction in Brazil as its government is increasingly approving the use of CBD and cannabis products by its citizens.
"After a thorough and diligent search and testing process, we found that Greater Cannabis Company would be the ideal partner for us due to its combined technology, knowledge and expertise in cannabis business and products," said Rogerio P. Rabello, Chief Executive Officer of CBR Participacoes SA. "Although there are many innovative and promising solutions in the market, we believe GCANRx's technological advantages are far advanced and will prove to be critical to ensuring the success of a mutually beneficial and long-term relationship," concluded Mr. Rabello. Read this and more news for GCAN at: https://www.financialnewsmedia.com/news-gcan/
In the industry developments and happenings in the market this week include:
CBD Unlimited, Inc. (OTCPK: EDXC) formerly known as Endexx Corporation (EDXC), a provider of innovative phytonutrient-based food and nutritional products, recently announced that the company has completed the production of 7.5 million wholesale products to meet initial demand requirements.
CBD Unlimited recently completed another record-breaking quarter with company projections to hit greater milestones this year. CBD Unlimited has illustrated its ability to produce product at full-scale levels and will continue to expand its full-scale production capabilities as demand continues to increase. The company expects demand to accelerate every quarter over the next 2 years.
"Last year, we grew CBD Unlimited's distribution to over 1,000 distribution channels. With full-scale production capabilities, we are confident that we will reach at least 5,000 by 2020," commented CEO & Chairman Todd Davis. "With the recent passage of the Farm Bill in December 2018, we are seeing an increase in our national product reach and will be able to deliver to meet these high demand levels."
Aphria Inc. (NYSE: APHA) (TSX: APHA) recently reported its results, for the third quarter and nine months ended February 28, 2019 . All amounts are expressed in thousands of Canadian dollars, unless otherwise noted and except for per gram, kilogram, kilogram equivalents, and per share amounts.
"I am proud of the efforts of our over 1,000 employees worldwide as we continue to position Aphria for future growth and success in the global medical and adult-use cannabis industry," stated Irwin D. Simon, Aphria's Chairman and Interim Chief Executive Officer. "Our organization has experienced significant change in a very short period of time which was necessary to propel the Company forward. Our Board of Directors and executive team will remain focused on the advancement of Aphria's leadership position in the global cannabis industry and we are pleased to have announced today the appointment of two new independent directors. Aphria will continue to drive sustainable long-term shareholder value by leveraging its strong brand positioning, superior distribution model, product innovation, industrial scale cultivation and automation, medical-use leadership and strategic global platform."
Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB:TO) recently announced an update on the status of Aurora Sun, the Company's latest and largest Sky Class facility, which is currently under construction in Medicine Hat, Alberta. To support rapidly growing global demand for high-quality medical cannabis in Canada and abroad, the facility will be expanded to 1.62 million square feet, representing a 33% increase from its originally planned 1.2 million square feet. With the Sky Class production philosophy proven at Aurora Sky, the Company is confident in projecting an expected production capacity at Aurora Sun in excess of 230,000 kg of high-quality cannabis per annum.
Aurora's Sky Class facilities are the most technologically advanced in the world. They are not greenhouses, but purpose-built, indoor cannabis grow facilities that create the most optimal growing conditions for cannabis. A sophisticated glass roof, rainwater and snow melt recapture system, and a high-level of technology and automation give Aurora full control over all anticipated environmental and harvest conditions, resulting in the production of consistently high yielding, high-quality cannabis at low-cost.
Valens GroWorks Corp. (CSE: VGW) (OTCQB: VGWCF), a multi-licensed provider of cannabis products and services focused on various proprietary extraction methodologies, distillation, cannabinoid isolation and purification, as well as associated quality testing, recently announced that it had closed its previously announced bought-deal prospectus offering (the "Offering"). The Offering was led by AltaCorp Capital Inc. as lead underwriter and sole bookrunner, along with a syndicate of underwriters, including GMP Securities L.P., Raymond James Ltd., Haywood Securities Inc., and Mackie Research Capital Corp., (together with AltaCorp Capital Inc. the "Underwriters"), pursuant to which the Company issued an aggregate of 14,618,644 units of the Company (the "Units") at a price of $2.95 per Unit (the "Offering Price"), which included the full exercise of the Underwriters' over-allotment option for aggregate gross proceeds to the Company of $43,125,000.
DISCLAIMER: FN Media Group LLC (FNM), which owns and operates Financialnewsmedia.com and MarketNewsUpdates.com, is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with any company mentioned herein. FNM and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM's market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNM is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNM expects to be compensated twenty six hundred dollars for news coverage of the current press release issued by The Greater Cannabis Company, Inc. by a non-affiliated third party. FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.
Contact Information:
Media Contact email: editor@financialnewsmedia.com+1(561)325-8757
https://c212.net/c/img/favicon.png?sn=IO20410&sd=2019-04-16
View original content:http://www.prnewswire.com/news-releases/retailers-take-note-us--consumers-opinion-of-cbd-infused-products-is-increasingly-positive-300832545.html
Aurora's Sky Class facilities are the most technologically advanced in the world.
Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB:TO) recently announced an update on the status of Aurora Sun, the Company's latest and largest Sky Class facility, which is currently under construction in Medicine Hat, Alberta. To support rapidly growing global demand for high-quality medical cannabis in Canada and abroad, the facility will be expanded to 1.62 million square feet, representing a 33% increase from its originally planned 1.2 million square feet. With the Sky Class production philosophy proven at Aurora Sky, the Company is confident in projecting an expected production capacity at Aurora Sun in excess of 230,000 kg of high-quality cannabis per annum.
Aurora's Sky Class facilities are the most technologically advanced in the world. They are not greenhouses, but purpose-built, indoor cannabis grow facilities that create the most optimal growing conditions for cannabis. A sophisticated glass roof, rainwater and snow melt recapture system, and a high-level of technology and automation give Aurora full control over all anticipated environmental and harvest conditions, resulting in the production of consistently high yielding, high-quality cannabis at low-cost.
Analyst Reports
Search News
Enter symbol...
Search
Article Tools
Set News Alert
Companies Mentioned
Symbol Last Change
ACB $8.51 0.00%
Back to News Overview
Press Release: Aurora Cannabis to Acquire Remaining Interest in Hempco Food and Fiber Inc.
Today 8:00 AM ET (Dow Jones)Print
Press Release: Aurora Cannabis to Acquire Remaining Interest in Hempco Food and Fiber Inc.
Aurora Cannabis to Acquire Remaining Interest in Hempco Food and Fiber Inc.
Canada NewsWire
EDMONTON, April 16, 2019
Strengthens Execution of Aurora's Global Hemp and CBD Strategy
TSX | NYSE: ACB TSX/V: HEMP
EDMONTON, April 16, 2019 /CNW/ - Aurora Cannabis Inc. ("Aurora") (NYSE: ACB) (TSX: ACB) (Frankfurt: 21P; WKN: A1C4WM) and Hempco Food and Fiber Inc. ("Hempco") (TSX-V: HEMP) today announced that the companies have entered into a binding letter agreement (the "Letter Agreement") in regard to the basic terms and conditions upon which Aurora will acquire all of the issued and outstanding common shares of Hempco ("Hempco Shares") not already owned by Aurora. In consideration of the transaction, Aurora has agreed to pay $1.04 per Hempco Share, payable in common shares of Aurora ("Aurora Shares"), reflecting a valuation of approximately C$63.4 million on a fully diluted basis.
Strategic Rationale
For more than 12 years Hempco has been a trusted and respected pioneer, innovator and provider of quality, hemp-based foods, hemp fiber and hemp nutraceuticals. Hempco produces and markets the brands PLANET HEMP(TM) and PRAISE, hemp-based foods and nutritional supplements for people and animals. Hempco has developed multiple international distribution channels, selling through highly visible platforms, such as Amazon.com, Well.ca and Metro Inc. Through its combined hemp assets, Aurora is well positioned to drive growth through the sale of hemp products to more than 100 countries around the globe.
Hempco is in the process of commissioning production at its new, state-of-the-art Nisku facility, a 56,000 square foot, 2.9 million kg per year hemp processing facility. The Nisku facility adds further processing capacity, while at the same time enabling the company to expand its product portfolio across different industry verticals.
Hempco provides Aurora with low-cost, high-volume access to raw material (hemp) for the extraction of CBD, which has been increasingly recognized for its therapeutic benefits across a wide range of medical indications and wellness applications. Aurora identified this potential early on, completing its first investment in Hempco in 2017, and has subsequently expanded its hemp-based infrastructure through the acquisitions of Agropro, Europe's largest producer of organic hemp and hemp-based products, Borela and ICC Labs. The full integration of Hempco into this infrastructure adds further capacity, brands and distribution channels to capitalize on the global CBD wellness opportunity, which is anticipated to grow to $22 billion by 2022(1) .
Furthermore, Hempco delivers additional differentiation in the industrial hemp market, with a range of hemp and hemp-based derivative products. These products fuel a global market that offers more sustainable alternatives in production and processing for the textiles, agriculture and agri-food and nutraceutical industries. The industrial hemp market is expected to reach US $10.6 billion by 2025(2) .
With Aurora's growing portfolio of hemp-focused brands and commitment to innovation in product development and industry research, the company's acquisition of Hempco Shares is leveraging its substantial early mover advantage to meet and lead response to global demand for both hemp and CBD products.
Management Commentary
"This transaction will enable us to fully integrate Hempco and its new Nisku processing facility into Aurora's global hemp operations including Agropro, Borela and ICC," said Terry Booth, CEO of Aurora. "Our goal is to strengthen our CBD-from-hemp supply chain as well as our hemp business of hemp-based superfoods, nutraceuticals and fibers. With vertical integration, product innovation expertise, and global reach, we are well positioned to extend our market share in these potential multibillion-dollar industries. We look forward to executing with the Hempco team on our global hemp and CBD strategy, and we invite the Hempco shareholders to join us on this exciting journey."
Joel Watson, Chairman of Hempco, added: "The assets, capabilities, networks and resources that Aurora can mobilize to drive and accelerate growth once Hempco is fully integrated will, we believe, result in significant long-term value for Hempco shareholders, and consequently our board recommends this transaction be approved at our upcoming special meeting."
Transaction Details
Hempco's Board of Directors have determined that the proposed Transaction is in the best interest of shareholders, having taken into account advice from its financial advisor and the recommendation of the special committee of the Board of Directors, and have approved the Transaction. Hempco's Board of Directors recommend that their shareholders vote in favour of the Transaction.
Under the terms of the Letter Agreement, the proposed Transaction is expected to be effected by way of a court approved plan of arrangement under the Business Corporations Act (British Columbia) or by way of an alternate structure as determined by Aurora and Hempco based upon tax, securities and corporate law and other relevant considerations.
Aurora has agreed to pay $1.04 per Hempco Share, payable in Aurora Shares at a deemed value of $12.01 per Aurora Share, being the volume-weighted average trading price of Aurora Shares on the Toronto Stock Exchange in the five trading days immediately prior to the date of the Letter Agreement (the "Transaction"). Hempco's outstanding options and warrants will be adjusted in accordance with their terms such that the number of Aurora Shares received upon exercise and the exercise price will reflect the Exchange Ratio.
As Aurora owns approximately 52% of the issued and outstanding Hempco Shares, it is expected that the Transaction would constitute a "business combination" for the purposes of Multilateral Instrument 61-101 -- Protection of Minority Shareholders in Special Transaction and that Hempco will obtain a formal valuation and a fairness opinion from an independent valuator.
The proposed Transaction will require shareholder approval from two-thirds of the votes cast by the holders of Hempco Shares at a shareholder meeting to be held to consider the proposed Transaction. In addition to shareholder approval, the proposed Transaction will be subject to applicable regulatory and court approvals and the satisfaction of other customary conditions.
Upon completion of the Transaction, Hempco will become a wholly owned subsidiary of Aurora and Hempco's shares will be de-listed from the TSX Venture Exchange and it is expected that Aurora will apply to cause Hempco to cease being a reporting issuer under applicable Canadian securities laws. It is currently expected that, subject to receipt of all regulatory, court, shareholder and other approvals, and the satisfaction or waiver of all conditions, the Transaction will be completed in the second quarter of 2019 or such other date as the parties may agree.
The parties expect to execute a Definitive Agreement on or before May 15, 2019.
About Aurora
Headquartered in Edmonton, Alberta, Canada with funded capacity in excess of 625,000 kg per annum and sales and operations in 24 countries across five continents, Aurora is one of the world's largest and leading cannabis companies. Aurora is vertically integrated and horizontally diversified across every key segment of the value chain, from facility engineering and design to cannabis breeding and genetics research, cannabis and hemp production, derivatives, high value-add product development, home cultivation, wholesale and retail distribution.
Highly differentiated from its peers, Aurora has established a uniquely advanced, consistent and efficient production strategy, based on purpose-built facilities that integrate leading-edge technologies across all processes, defined by extensive automation and customization, resulting in the massive scale production of high quality product at low cost. Intended to be replicable and scalable globally, our production facilities are designed to produce cannabis of significant scale, with high quality, industry-leading yields, and low per gram production costs. Each of Aurora's facilities is built to meet EU GMP standards, and its first production facility, the recently acquired MedReleaf Markham facility, and its wholly owned European medical cannabis distributor Aurora Deutschland have achieved this level of certification.
In addition to the Company's rapid organic growth and strong execution on strategic M&A, which to date includes 15 wholly owned subsidiary companies -- MedReleaf, CanvasRX, Peloton Pharmaceutical, Aurora Deutschland, H2 Biopharma, Urban Cultivator, BC Northern Lights, Larssen Greenhouses, CanniMed Therapeutics, Anandia Labs, HotHouse Consulting, MED Colombia, Agropro, Borela, and ICC Labs -- Aurora is distinguished by its reputation as a partner and employer of choice in the global cannabis sector, having invested in and established strategic partnerships with a range of leading innovators, including: Radient Technologies Inc. (TSXV: RTI), Hempco Food and Fiber Inc. (TSXV: HEMP), Cann Group Ltd. (ASX: CAN), Micron Waste Technologies Inc. (CSE: MWM), Choom Holdings Inc. (CSE: CHOO), Capcium Inc. (private), Evio Beauty Group (private), Wagner Dimas (private), CTT Pharmaceuticals (OTCC: CTTH), Alcanna Inc. (TSX: CLIQ) and High Tide Inc. (CSE:HITI).
Aurora's common shares trade on the TSX and NYSE under the symbol "ACB", and are a constituent of the S&P/TSX Composite Index.
For more information about Aurora, please visit our investor website, investor.auroramj.com
About Hempco
(MORE TO FOLLOW) Dow Jones Newswires
April 16, 2019 08:00 ET (12:00 GMT)
Press Release: Aurora Cannabis to Acquire -2-
At least he looks like one
Mr. Jack Reybold is the Leprechaun at the end of the rainbow holding a big pot of gold for GNCP shareholders
Sounds like the rumors are true! That's how they talk when they are. Rumors murmurs and buzz might finally come thru.
We have been made aware of numerous rumors circulating. We are not in a position to comment further at this time.
Gonna be getting paid! $$$$$$GNCP$$$$$$
Extraction of value for shareholders on Company's Mining Exploration Portfolio; and
Urgent completion and the filing of our outstanding Quarterly and Annual Reports; and
Pending and imminent completion of transactions by the Company.
We continue to evaluate various options relating to the Company's Mining Exploration Portfolio. Only options that deliver value to our shareholders are under consideration. Once a decision has been reached, it will be communicated to our shareholders immediately.
Marijuana Stocks Have Taken a Hit Ahead of Earnings. That's a Chance to Buy, Analyst Says. -- Barrons.com
Today 1:26 PM ET (Dow Jones)Print
By Teresa Rivas
While many cannabis stocks have been white hot this year, not all are seeing green. In fact, as Cowen & Co. notes, there has been a spate of profit-taking recently, as investors take a more cautious stance ahead of first-quarter earnings reports.
The back story. While many marijuana stocks have notched big gains in 2019, volatility is the name of the game. While there could be big growth opportunities for cannabis companies, they also face headwinds ranging from ongoing supply shortages to the U.S.'s patchwork approach to marijuana laws (in which individual states, not the federal government, move toward legalization -- or not). Still, that has done little to dampen investor enthusiasm, not just from individuals, but also institutions, consumer-staples giants, and retailers.
What's new. Cowen & Co.'s Andrew Stein writes that revenue estimates for cannabis stocks have been coming down recently, as investors are moderating their expectations for the coming first-quarter reporting season. That has led to "profit-taking across the sector," with net flows largely weighted toward the sell and short side. "This correlates to the overall consumer sector money flow we have been seeing as investors shift to a more defensive stance after the strong year to date equity returns," Stein writes.
Looking ahead. That said, Stein doesn't think it is all bad news for the industry. Individual companies, including Aurora Cannabis (ACB), Aphria (APHA), and Charlotte's Web (CWBHF), have significantly outperformed over the past week, he notes. On Monday, Aphria reported an adjusted loss of 20 Canadian cents per share, while Wall Street had been expecting a loss of 4.5 Canadian cents.
Meanwhile, Tilray (TLRY), a laggard in the industry with a year-to-date slide of more than 30%, has seen some bullish trends recently, with more investors willing to add to their positions as it trades below $50. However, Cronos Group (CRON) has largely been hit with investors selling their long positions, according to Stein's research.
The recent downward pressure on cannabis stocks looks temporary to Stein. Ultimately, he believes investors will use "this downturn as a buying opportunity as most are convinced that this sector remains a second half 2019- 2020 story."
Write to Teresa Rivas at teresa.rivas@barrons.co
ACB is an international play. Why is it affected by lame as Aphra's shitty weed quality nobody wants? ACB shareholders shouldn't be so overly concerned with one company in Canada who can't compare to ACB.
Growth in Cannabis Remains Strong in North America as Companies Expand
Today 9:00 AM ET (PR NewsWire)Print
Canada moved to legalize cannabis entirely in late 2018, however, cannabis-based companies remain more attracted to the U.S. market. The U.S. has not moved to legalize cannabis federally, instead, states are given the jurisdiction to legalize cannabis for either medical or recreational use. So far, more than half of the U.S. has adopted medicinal cannabis use, while 10 states and the District of Columbia have legalized recreational use as well. Despite not having legalized cannabis entirely, the U.S. market is one of the most attractive marketplaces for cannabis companies and investors. Many of these Canadian-based cannabis companies are beginning to establish operations in the U.S., particularly in large markets such as California, Colorado, and Nevada. On the other hand, some are moving towards emerging markets such as Massachusetts, Michigan, and Oregon. According to data by Bloomberg, most U.S.-focused cannabis companies generated higher gross margins than their Canadian counterparts in the most recent quarter. However, Canadian cannabis companies trying developing operations in the U.S. are often held back by regulatory matters. Pending future clinical trials and studies, more countries are expected to adopt cannabis laws, thus restructuring cannabis regulatory laws both domestically and abroad. According to data compiled by Grand View Research, the global legal marijuana market is expected to reach USD 146.4 Billion by the end of 2025, exhibiting a CAGR of 34.6%. WeedMD Inc. (OTC: WDDMF) (TSX-V: WMD), Canopy Growth Corporation (NYSE: CGC) (TSX: WEED), Molson Coors Brewing Company (NYSE: TAP) (TSX: TPX), Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB).
Despite the U.S. representing vast growth o
Quality article
They did find THC in his system before.
$25 Million in 2018 revs, and much more to come.
Big Partnerships or buyout on the horizon. Expecting product production cost to decrease dramatically with the expansion of hemp farming bringing and much larger profit margins Don't expect to see a decrease in high-end hemp oil prices for at least 3 to 5 years. Worldwide demand is far greater than the supply.
The potential of a Diamond THC product line is a huge reason this stock can be one for the ages. Great products usually sell themselves, But Great products with a great name and logo are usually the ones who win in the end.
The Diamond Logo will be associated with the utmost superior luxury when they are selling Blue Zkittles flavored 90% THC Co2 oil in 15ML and 30 ML bottles. When THC is legal like Alcohol, Diamond THC could be one of the biggest names in luxury consumable goods ever.
Legalization will unleash the fury of the Diamond THC dragon. I expect ACB or Tilray to buy them out or partner with them soon. I'd bet Diamond already has all types of THC product recipes ready to be unveiled.
Their CBD alone will make them a $6-$10 stock within 3 or 4 years If sales double in 2019 and keep up a good pace along with product production cost reduction. $$$$$POTN$$$$$
Is this the same Biocann? Makers of Africas first THC beverage... Sweet!
https://www.facebook.com/BioCannPharmaSA/
ACB trading lately reminds me of a giant volcano that's about to erupt!
Nelson Peltz plans to be cashing in his shares at around $31 to $41 per share.
Diamond CBD is ripe and ready for a buyout or a partnership. $25.5 million in revs speaks louder than $200,000+ gross profits as of now. Diamond CBD has officially become a hot new thing. Established as a top 3 player in the CBD game, getting bigger by the day. Only a matter of time ACB,TLRY or Altria buys them out or partners with them IMO.
Flippers moving money for other opportunities today. They will be back soon.
Cannabis Market Brief: Growing Number of Retailers Adding CBD Infused Products as Revenues Jump
PR Newswire
8:45 AM ET
Recent predictions for the CBD infused products market have created much enthusiasm and the optimists not only see the glass as half full... but they see it as overflowing! The predictions by the Brightfield Group, a well-respected industry reporting firm, in a much-quoted report said, in its headline: " New Report Predicts CBD Market Will Hit $22 Billion by 2022 - Looking forward to relaxed hemp regulations, a new analysis estimates that the CBD market could explode -- and outpace marijuana." The company also said on its website that: "CBD is growing faster than cannabis in the U.S. and will soon be a $22 billion industry. It's been flying under the radar but is set to explode having profound impacts on CPG and Pharma. We detail the category growth rates, leading brands, product innovation by segment, clinical trials and regulatory environment." In fact they also report that retailers... big box retailers, are "Going after CBD." They also said that: "More and more retailers - including larger chains - are announcing both in-house products and partnerships with CBD brands... This is the tip of the iceberg. We expect large-scale entities to publicly enter the CBD market at a faster rate now that these big names have expressed serious interest, and because the potential market growth is staggering. In fact, we estimate that CBD beauty alone will hit nearly $290 million in 2019. This does not account for large sectors in the food, beverage, and pet industries." Active Companies from around the market with current developments this week include: PotNetwork Holdings Inc. (OTC:POTN), MariMed Inc. (OTC: MRMD), CV Sciences, Inc. (OTC: CVSI), Leafbuyer Technologies, Inc. (OTC: LBUY), KushCo Holdings, Inc. (OTC: KSHB).
Brightfield concluded: "Due to the wide range of CBD companies that are in the marketplace today, it is paramount that retailers be attentive to the legitimacy, product quality and safety offered by any CBD brands they intend to partner with. Additionally, retailers should align themselves with CBD companies whose positioning and messaging fit with those of their core consumers, which requires a deep understanding of the CBD marketplace - from a regulatory and market perspective all the way down to an understanding of the end-consumer."
PotNetwork Holdings Inc. (OTCPK:POTN) BREAKING NEWS: PotNetwork today released their fully audited financial statement which shows that the company has made $25 million in revenue over the course of 2018, a 78% increase compared to POTN's performance in 2017.
This growth has been driven primarily the company's wholly-owned subsidiary, Diamond CBD, Inc. The company has cemented its position as an industry leader in the growing market for premium hemp extracts. It has seen success by leveraging an aggressive marketing campaign focused on educating consumers about CBD and demonstrating the company's unique suite of niche CBD products.
The company took advantage of its momentum to expand its research and development, educational marketing campaigns, and successful distribution of an ever-growing range of hemp-derived cannabinoids and other natural hemp derivatives.
PotNetwork Holdings also reported that sales of Diamond CBD Products are coming 60% from its wholesale distribution network and 40% from online sales including from www.diamondcbd.com.
"I am extremely pleased with our year-over-year growth," said Kevin Hagen, CEO of Potnetwork Holdings, Inc.. "These fully audited financial statements underline an incredible year for PotNetwork Holdings and are the culmination of a lot of hard work and are a sign of great things to come over the course of the next year ." Read this and more news for POTN at: https://www.financialnewsmedia.com/news-potn/
In the industry developments and happenings in the market this week include:
MariMed Inc. (OTCQB: MRMD), a leading multi-state cannabis and hemp operator, recently announced an agreement with Ilo(TM) Vapor whereby MariMed is an exclusive distributor of the company's flagship product, DabTab(TM) brand dablets. The product is available now to all cannabis dispensaries in Maryland. It will be introduced to Rhode Island, Massachusetts and Delaware dispensaries later this spring.
Wha t is a DabTab(TM) brand dablet and why is it revolutionary? First introduced at the MJBizCon conference in Las Vegas in November of 2018, DabTab(TM) is a completely new way to consume cannabis concentrate that is precision dosed, clean, and delivers vapor, not smoke. DabTab(TM) preserves all the flavor and effects of conventional dabbing, while also providing a new level of convenience and cleanliness for concentrate consumption. A proprietary natural ceramic tablet is precision-infused with cannabis oil holding exactly 50mg of concentrate by weight per DabTab(TM). They eliminate the mess of handling, burning and cleaning conventional concentrates and shatter, but can still be used in many conventional vaporizers.
CV Sciences, Inc. (OTCQB: CVSI) a preeminent supplier and manufacturer of hemp C BD products, recently announced further expansion of its industry-dominating brand, PlusCBD Oil(TM). As of March 31, 2019, PlusCBD Oil(TM) branded products are available in 3,308 retail stores, up 48% from 2,238 retail stores as of December 31, 2018.
The expansion includes broadening distribution of its best-selling topical, PlusCBD Oil(TM) Extra Strength Balm, into the Food, Drug and Mass (FDM) channel, including programs with leading national retailers. "The passage of the 2018 Farm Bill has accelerated our business development activities and expanded our distribution to new food, drug, mass merchandise retailers," said Joseph Dowling, Chief Executive Officer. "We are at an important stage in the development of the hemp-based CBD market, and the company is well-positioned to capitalize on bot h growing consumer demand and the benefit of enhanced regulation that supports and ensures the safest and highest quality hemp-based CBD products for consumers."
Leafbuyer Technologies, Inc. (OTCQB: LBUY) a leading cannabis technology and marketing platform, recently announced that quarterly cash sales growth rose 36% year over year in the quarter ending March 31, 2019. The increase reflects the cash sales booked in the quarter versus the same quarter of the previous year.
Platform enhancements, including blockchain, order ahead, and Leafbuyer Loyalty, as well as a bolstered, specialized, multi-state sales t eam and diverse product offerings, account for the year over year success.
KushCo Holdings, Inc. (OTCQB: KSHB) recently announced it will issue its fiscal second quarter 2019 results press release on April 11, 2019 after U.S. markets close. The Company will also host a conference call on Thursday, April 11, 2019 at 4:30 PM Eastern Time. Participant Dial-In Numbers:
Toll-Free: 1-877-407-9039 - Toll / International: 1-201-689-8470 - *Participants should request the KushCo Holdings Earnings Call or provide confirmation code 13688958
DISCLAIMER: FN Media Group LLC (FNM), which owns and operates Financialnewsmedia.com and MarketNewsUpdates.com, is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with any company mentioned herein. FNM and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM's market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research a nd due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNM is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNM expects to be compensated forty nine hundred dollars for news coverage of the current press release issued by PotNetwork Holding Inc by distribution wholesale, inc., a non-affiliated third party. FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" withi n the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and othe r filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.
Media Contact email: editor@financialnewsmedia.com+1(561)325-8757
https://c212.net/c/img/favicon.png?sn=IO16204&sd=2019-04-11
View original content:http://www.prnewswire.com/news-releases/cannabis-market-brief-growing-number-of-retailers-adding-cbd-infused-products-as-revenues-jump-300830520.html
SOURCE FinancialNewsMedia.com
https://rt.prnewswire.com/rt.gif?NewsItemId=IO16204&Transmission_Id=201904110845PR_NEWS_USPR_____IO16204&DateId=20190411
Business Wire is a registered trademark of Business Wire. GlobeNewswire is a registered trademark of The NASDAQ OMX Group, Inc. PR Newswire is a registered trademark of PR Newswire Association, Inc.
Please do not reply to this e-mail from Markit On Demand. Markit On Demand and TD Ameritrade are separate unaffiliated companies and are not responsible for each other's service. For questions regarding your brokerage account, please contact TD Ameritrade Client Services at 1-800-669-3900.
To stop receiving this alert from TD Ameritrade, please click here to update your subscription settings. You may also unsubscribe from all of your alerts using the link above. As always, you can manage all of your alert settings by logging into your TD Ameritrade account and navigating to Research & Ideas > Alerts.
We are currently in the process of building a unique solar greenhouse in Las Vegas that will be a showcase as to what is to come. Visit the website for the virtual tour.
I'm sure you will be impressed, and maybe even a little proud of the small part that we can all play in cutting carbon emissions, and greenhouse gases by eliminating thousands of delivery trucks around the country driving up and down the highway to deliver vegetables, that are now grown on rooftops in every local neighborhood.