The current boom of cannabis stocks in Canada may seem like the paradise for anyone involved in the industry, however, a company from Ontario is in the process of making their mark in the American industry instead.
Canadian Bioceutical (CSE:BCC, OTCQB:CBICF) owns a set of subsidiaries including dispensaries and growers in legal states like Arizona. BCC doesn’t directly sell the cannabis products they work with, but instead through their subsidiaries that have a space in the market. As such, BCC has exercised an option for GreenMart and will get an opportunity at a head start in the Nevada market, which through sped up-regulation will open its doors to adult use in June.
There is a fear among observers of the industry that, at any point, US President Donald Trump and Attorney General Jeff Sessions will come in and shut down the party for cannabis all over the country. That said, Scott Boyes CEO of BCC said that worry was long gone for him.
“Everybody asks you ‘aren’t you worried about Trump and Sessions shutting the industry down?’ Most people in the industry went way past that a long time ago,” Boyes said while pointing the potential revenue this industry produces and a variety of jobs being created. According to Boyes, these two facts will stop a Republican Congress from ending operations for all cannabis companies in the country, despite the fact that the drug is technically still illegal at the federal level.
The company’s investment in the Arizona market has produced a set of dispensaries selling their Melting Point Extracts (MPX) products. “We are probably due $20 million down there in Arizona in our fiscal 2018 year,” Boyes said. Their product is sold at $90 per gram through their dispensaries and other partners.
As such, the Investing News Network (INN) had the opportunity to talk with Boyes on what it means for the company to enter the Nevada market, what prevented the company from investing head on in the Canadian market and the rigorous vetting being conducted in the US in comparison to the process in Canada. The interview has been edited for clarity and brevity. Read on to learn more about what Boyes had to say.
INN: Tell me about the acquisition, why did you guys choose this particular option in Nevada?
SB: The individual we bought the Arizona entity from had a 49 percent equity interest in the Nevada operation. When we closed the original transaction we took an option to acquire her 49 percent interest and we don’t have to exercise it until the end of June of 2018.
With the early start program coming, the fact that the facility is fully built out and operational–and they got some extremely strong management people there–we decided to exercise the option right away. In the meantime, we went and talked to the other 51 percent shareholders and struck a deal with them.
INN: Can you talk about the Nevada cannabis scene with legalization and speak about your decision to exercise your option and enter this particular market?
SB: Everybody knows Las Vegas is the kind of place to go and party and the medical market has been around for a couple of years. It was really slow and evolving. I mean, they had some legislative delays, they had some municipal squabbles getting the program rolled out. It seems like in every state from the time the legislation is passed, for medical use, until the time is rolled out it takes a couple of years. It was moving slowly in Nevada, which is one reason we took the option so far out. But in November, when the ballot initiative passed to move into adult use, that put a whole new shine on it.
The state legislature is very progressive in terms of cannabis utilization and legalization… there’s been a pretty strong lobby within the state legislature to accelerate the program. It was originally scheduled to start on January 1, 2018, but there’s a ton of tax revenue to be generated so the legislation moved early. They actually called it the early start program, which means that any medical marijuana enterprise that is in the state, that is in good standing can apply for an early start license and can enter the adult use market, effective July 1 of this year.
With 40 odd million people moving into the Las Vegas area every year, to have a wide open cannabis-use market we think we are going to see explosive growth in the market, particularly over the next six months. The state will issue some new licenses next year, new dispensary licenses and there will be an application process so we expect we’ll have somewhere between 12 and 18 months head start on any new businesses that are licensed under the adult use program we think it’ll be a big winner for us.
“We think we are going to see explosive growth in the market”
INN: Can you tell me about what the independent inspection process looks like in Nevada in comparison to other states and Canada?
SB: It’s not only in place, even the laboratories are highly regulated and the industry regulations are as tough as they are anywhere if not even tougher… It’s not just frequent or periodic, it’s literally every batch.
In Nevada, cannabis products have to be tested in all three phases at the appliance stage, at the flower/harvest stage, at the production stage and if you go into edibles at the edible stage so testing is very, very rigorous we don’t see the things down there that we’ve seen upset the market a little bit here in Canada.
INN: That’s good to hear because you certainly don’t want to find yourself in a recall situation.
SB: Particularly as litigious as the US market is.
INN: What about taxation? As part of their research into legalization, the government of Canada has cited a tax issue in Colorado leaving a loophole for people to buy the product, from unlicensed local dealers.
SB: I understand it’s taxed at the producer level, at the wholesale level and again at the retail level, so we are talking, I think it’s about a 25 percent total tax. The big issue is the quality of the product if you buy the stuff on the street to the gray market [the concern is] about contaminants, herbicides, pesticides, mold spores. It’s easier and safer to go to an established dispensary and buy a highly regulated product and high-quality product and there seems to be a pretty good market for that.
I mean, quite frankly is the $5 or $6 a gram junk you can buy on the corner going to go away? No, but the discreet buyer–the careful buyer–is going to very quickly drift towards the regulated market, not only because it’s a better quality product but the diversity of product that’s available is much more extensive. A big part of the market now is going towards concentrates and they are vaping, edibles, oils, shatter, wax. You don’t get much stuff available on the street corner; it’s generally just dried flower.
INN: Do you have any current partnerships in Canada or have looked into getting a licensed producer status there?
SB: Well we have applied with Health Canada; we applied in January of 2015. The license application is still there, we have tried to get our Members of Parliament (MPs) involved in finding out where it’s at. We actually have a facility in Owen Sound, Ontario that we are paying rent on and we may start building it out just in anticipation, but that’s one reason we went into the US.
We got frustrated with waiting for information, even questions to Health Canada or a status in terms of where our application lied. So, rather than investing the planned tens of millions of dollars in Ontario, we have invested now almost $30 million in Nevada and Arizona and we got a couple more states that we will be moving into in the not too distant future.
“We don’t have the big boys down there like we do here in Canada and so the margins are much higher”
INN: It seems at times some states are moving faster than what Canada as a whole is doing with recreational use.
SB: Not even just recreational, I mean we are predominantly a medical marijuana [company]. The medical market in Arizona is very robust there are as many patients cards in Arizona as there are in all of Canada, about a 120,000 or so was the last count, the number of producers is limited by statute, it’s a more fragmented producer market, we don’t have the big boys down there like we do here in Canada and so the margins are much higher.
INN: Are you guys interested in conducting any kind of medical research on your own?
SB: We have just brought on our board a pharmacological researcher, a doctor of research that is currently doing a cannabidiol project at the University of California and San Diego. We haven’t announced it yet but he will be on our board very shortly.
We’re moving in that direction, we got an association with a group in Israel that we announced last year but we haven’t pursued that too aggressively yet.
INN: Thank you so much for your time.
SB: Thank you very much
Don’t forget to follow us @INN_LifeScience for real-time news updates!
Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in contributed article. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
Ayurcann Holdings Corp. (CSE: AYUR) (the “Company” or “Ayurcann”) an integrated Canadian extraction company specializing in the processing of cannabis and hemp for the production of oils and various derivative products, announces the granting of stock options and restricted share units.
The Company has announced that it has granted incentive stock options to directors, officers, employees and consultants of the Company to purchase an aggregate of 1,000,100 common shares under the Company’s Stock Option Plan. Each option is exercisable at a price of $0.16 per common share, expires three years from the date of grant and vest six months from the date of the grant.
The Company has also granted restricted share unit grants, pursuant to the Company’s Restricted Share Unit plan, dated April 1, 2021, totaling 1,548,875 to certain eligible participants.
For further information, please contact:
Igal Sudman, Chairman, Chief Executive Officer and Corporate Secretary
Ayurcann Holdings Corp.
About Ayurcann Holdings Corp.:
Ayurcann is a leading post-harvest solution provider with a focus on providing and creating custom processes and pharma grade products for the adult use and medical cannabis industry in Canada. Ayurcann is focused on becoming the partner of choice for leading Canadian cannabis brands by providing best-in-class, proprietary services including ethanol extraction, formulation, product development and custom manufacturing.
Neither the Canadian Securities Exchange nor its Regulation Services Provider have reviewed or accept responsibility for the adequacy or accuracy of this release.
News Provided by GlobeNewswire via QuoteMedia
A planned business merger between two leading cannabis producers hit a small delay this week as a critical vote got moved.
Keep reading to find out more cannabis highlights from the past five days.
Tilray delays critical shareholder meeting
On Thursday (April 15), Tilray (NASDAQ:TLRY) announced it will be postponing its shareholder vote on the fate of its merger with Aphria (NASDAQ:APHA,TSX:APHA). It will take place on April 30 instead of April 16.
Neither cannabis company offered an explanation for the change. Tilray has asked shareholders to participate in this vote regardless of how many shares they may hold. “Tilray stockholders who have not already voted, or wish to change their vote, are strongly encouraged to do so,” the company said.
This news came days after Aphria shareholders overwhelmingly voted in favor of the business transaction, with a total of 99.38 percent of shareholders voting for the deal to continue. Confirmation from Aphria Chairman and CEO Irwin Simon indicated the partnership was en route to being complete.
This past week Aphria also released financial results for the third quarter of its 2021 fiscal year, in which the firm highlights the overall direction of the company with the Tilray deal.
“We expect to have a tremendous runway for long-term sustainable growth as we build upon our existing foundation in Canada and internationally by increasing the scale of our global operations,” Simon said in a statement.
Cannabis retailer celebrates digital trend
Bidding for the piece, named “Non-Fungible Toke“ started at a price of C$4.20. The retailer plans to donate the proceeds to two charities, Second Harvest and Less.
The latter is designed to counter the carbon footprint of blockchain technology, a common criticism drawn against the rise of NFTs and other novel technologies.
As of 11:00 a.m. EST on Friday (April 16), the NFT bid was up to C$169.11.
Cannabis company news
- The Valens Company (TSX:VLNS,OTCQX:VLNCF) issued its financial report for the first quarter of its 2021 fiscal year. In its results, the company highlights a net revenue uptick of 24.7 percent from the previous quarter, resulting in C$20 million for the period.
- Trulieve Cannabis (CSE:TRUL,OTCQX:TCNNF) closed a public offering of 5 million subordinate voting shares at a price of C$50 each for total gross proceeds of C$287.5 million. The company celebrated its financial position after an offering in January, which will lead to the pursuit of merger and acquisition targets.
- Australis Capital (CSE:AUSA,OTCQB:AUSAF) appointed Jason Dyck as its new chief science officer and chairman of the firm’s scientific advisory board. Dyck previously served as an executive at Aurora Cannabis (NASDAQ:ACB,TSX:ACB), leading the scientific efforts for the cannabis producer. “I look forward to providing AUSA with advice and direction in its scientific efforts towards bringing innovations to market with immediate and significant commercial appeal,” Dyck said.
- Truss Beverage, a cannabis drinks venture co-owned by Molson Coors Beverage Company (NYSE:TAP,TSX:TPX) and HEXO (NYSE:HEXO,TSX:HEXO), released the details of its new lineup of infused beverages. Six new drinks will become available around the summer and are intended to pair with the season.
Don’t forget to follow us @INN_Cannabis for real-time updates!
Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.
Partnerships with Minardi Law , Minorities for Medical Marijuana, CultivatED, and the Georgia Justice Project will include clinics and virtual events across Florida , Georgia , and Massachusetts
Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) (“Trulieve” or “the Company”), a leading and top-performing cannabis company based in the United States announced today a series of expungment clinics located throughout south and central Florida as well as virtual events in Georgia and Massachusetts . The clinics are part of the Company’s celebration of the 50 th anniversary of 420.
During the month of April, Minardi Law has hosted expungment clinics and will be hosting two more as follows:
- Releaf Patient Appreciation Day, April 17 th ( Valrico )
- First Annual 4/20 Event ( St. Petersburg Beach )
At these clinics, an attorney will be present to review records and see if someone is eligible for a sealing or expungment of their records. As part of the events, Trulieve will be helping cover the costs for finger prints, legal fees, and court costs.
Trulieve is working with Minorities for Medical Marijuana (“M4MM”) to host a 4/20 Expungement Clinic, part of M4MM’s Project Clean Slate. This event will take place on Saturday, April 24, 2021 , from 9:30am – 4:30pm at Riviera Beach City Hall. Anyone seeking to take place in this event is required to register in advance at http://trulieve.cc/expungementpreregistration .
In addition, Trulieve is sponsoring the First Friday Series , a weekly virtual event from the Georgia Justice Project to help Georgia citizens with record restrictions, and is also sponsoring the Fellowship Presentation and Expungement Clinic being offered through CultivateEd and GBLS on Friday, April 23 from 3:00pm – 4:00pm . You can register for the Massachusetts expungement clinic in advance here: HTTPS://BIT.LY/2Q655KK
“Our mission as a company has always been to improve people’s lives,” said Trulieve CEO Kim Rivers . “We’ve always been dedicated to improving the communities we call home. Partnering with Minardi Law , Minorities for Medical Marijuana, Georgia Justice Project and CultivatED on these clinics was a simple decision for us; we encourage anyone seeking help with the expungement process to attend one of these clinics in your own state to start the process.”
For more information about Trulieve and the April expungment clinics, please visit www.Trulieve.com .
Trulieve is primarily a vertically integrated “seed-to-sale” company in the U.S. and is the first and largest fully licensed medical cannabis company in the State of Florida . Trulieve cultivates and produces all of its products in-house and distributes those products to Trulieve-branded stores (dispensaries) throughout the State of Florida , as well as directly to patients via home delivery. Trulieve also has operations in California , Massachusetts , Connecticut and Pennsylvania. Trulieve is listed on the Canadian Securities Exchange under the symbol TRUL and trades on the OTCQX market under the symbol TCNNF.
To learn more about Trulieve, visit www.Trulieve.com .
SOURCE Trulieve Cannabis Corp.
News Provided by PR Newswire via QuoteMedia
Seth Rogen’s New Cannabis Brand are Now Available at Apothecarium Dispensaries in San Francisco , Berkeley and Capitola
The Apothecarium is offering cannabis from Houseplant, the cannabis lifestyle brand founded by Seth Rogen and Evan Goldberg at its five California dispensaries. The Apothecarium has three San Francisco locations (Castro, SOMA and Marina ) and one each in Berkeley and Capitola (outside of Santa Cruz ).
“With the vast number of dispensaries in California , we put a lot of effort into identifying the right ones that align with Houseplant’s values,” said Seth Rogen , Co-Founder of Houseplant. “The Apothecarium shares the same commitment to creating a strong consumer experience that we pride ourselves on and we are thrilled to bring our three initial strains to their stores in the Bay Area.”
Houseplant is launching with three flower strains, all of which will be available at The Apothecarium, including: Diablo Wind (sativa), Pancake Ice (sativa) and Pink Moon (indica). Like their founder’s groundbreaking film “Pineapple Express”, Houseplant strains are named after weather phenomena. Each strain will be sold in a custom tin.
“We are so proud to be one of the very first dispensaries in California to offer Houseplant to our customers,” said Ryan Hudson , CEO and co-founder of The Apothecarium. “Seth, Evan and everyone at Houseplant love and respect cannabis as much as we do. We simply cannot wait to share their beautiful and delicious flowers with our guests.”
“We’ve been working with the Houseplant team for more than a year and are grateful to have a partner that shares so many of our values, including an emphasis on cannabis education, quality, reform of cannabis laws and beautifully designed, recyclable packaging.”
“Seth has been hands-on during the process, spending time with our store managers to make sure they know the products and how much care has gone into vetting and selecting the best strains. We think our guests are going to love Houseplant.”
About The Apothecarium
The Apothecarium is recognized as one of the nation’s premier cannabis dispensaries, with an emphasis on education via in-depth one-on-one consultations from highly trained cannabis consultants. The company was founded by three first cousins and two family friends in 2011. Our dispensaries are known for providing educational events that are open to the public at no cost — and for welcoming seniors, first-time dispensary visitors, and people with serious medical conditions. The Apothecarium’s flagship San Francisco dispensary was named the best-designed dispensary in the country by Architectural Digest . Patients and customers may order at our dispensaries or online for pickup or delivery at apothecarium.com [apothecarium.com] .
The Apothecarium is committed to giving back to the communities we serve. We have donated more than $400,000 in cash to community groups and nonprofits — plus more than $300,000 worth of in-kind donations.
All Apothecarium dispensaries continue to implement safety measures to protect guests and team members. Protocols include strict social distancing inside and outside the dispensaries, a mask requirement for everyone inside the dispensaries, no contact check-in procedures and ongoing sanitizing throughout the day.
CA Licenses: C10-0000523-LIC; C10-0000522-LIC; C10-0000515-LIC, C10-0000738-LIC, C10-0000706-LIC
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MISSISSAUGA, Ontario TheNewswire – April 16, 2021 Sire Bioscience Inc. (CSE:SIRE) (OTC:BLLXF) (FSE:BR1B) (CNSX:SIRE.CN) (“SIRE” or the “Company”) announces that Brian Nugent has resigned as a member of the Company’s board of directors (the “ Board ”). It has been a pleasure and a blessing to have worked with Brian Nugent over the past few years, his business acumen and tremendous experience will certainly be missed, SIRE wishes him nothing but the best in all his future endeavors.
About Sire Bioscience
SIRE is headquartered in Mississauga, Ontario with its wholly owned subsidiary PLANTFUEL® based in Denver, Colorado. SIRE is managed by a group of successful entrepreneurs who have extensive experience in the areas of consumer-packaged goods, manufacturing, logistics, and distribution. SIRE is a CPG life science company focused on the plant-based foods and supplements industry.
For additional information contact:
Sire Bioscience Inc.
Copyright (c) 2021 TheNewswire – All rights reserved.
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