Last week the government of Ontario announced the model it intends to follow for the recreational sale of cannabis once legalization arrives next year. Now two of the biggest cannabis licensed producers (LPs) in Canada have shared their responses to this system and what comes next.
As the Investing News Network (INN) reported on the Cannabis Weekly Round-Up, the Ontario government intends to open 150 marijuana stores across the province and through their own online service, while disavowing and continuing to shut down dispensaries.
A report from The Globe and Mail indicated the Liquor Control Board of Ontario will be tasked with overseeing this model. However, cannabis won’t be sold in liquor stores.
“In order to be ready for next July, our government will bring forward legislation this fall to ensure that even after legalization, cannabis remains a carefully controlled substance in Ontario,” Ontario Attorney-General Yasir Naqvi said, according to the Globe and Mail.


Marijuana Business Daily reported the provincial government plans to have 40 of these regulated cannabis stores and their online distribution ready by the time legalization rolls around next year in Canada, 80 by July of 2019 and 150 on 2020.
The government hopes to have 40 cannabis outlets by July 2018, 80 by July 2019 and 150 up and running by 2020. Online distribution will be available starting next July.

Response from two of the top cannabis companies

Vic Neufeld, the CEO of Aphria (TSX:APH; OTCQB:APHQF) said the proposed approach announced on Friday, September 8, is a good start with “the earmarkings” for a system the industry as a whole can work with in the future.
“Aphria shares the government’s commitment to ensuring a safe and sensible approach to the sale and distribution of recreational cannabis, Neufeld added in the company’s response.
Canopy Growth (TSX:WEED) issued a direct response to the news from Ontario, detailing their position through specific statements.
“We are supportive of this announcement and commend the Ontario government for its leadership,” the company said, applauding the objective of keeping minors away from cannabis and “ensuring a strong regulatory framework” on the model used for the distribution of cannabis.
Canopy also asked the provincial government to allow LPs to continue the sale of cannabis through their online portals. The company also warned the province about the need to have education available to consumers on all types of cannabis.
“Plain packaging behind a counter would only lead to unfavorable and potentially unsafe consumer choices while encouraging consumers to return to the illicit and unregulated market,” Canopy added.
Don’t forget to follow us @INN_LifeScience and @INN_Cannabis for real-time news updates!
Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.


US Election 2020 and Cannabis

 
Investing in cannabis? Read what experts have to say about cannabis and the US Election!
 

  • Q3 Systemwide Pro Forma Revenue increased 18% quarter-over-quarter to $22.3 million , 170% year-over-year – Company became cash flow positive from operations in August
  • Company sale leaseback transaction with Innovative Industrial Properties scheduled to close within two weeks. As a result of close, together with proceeds from the recently closed bought deal financing, the Company will have $16 million of cash and $43 million in long-term debt
  • Company is in the process of acquiring acreage to construct up to 210,000 square feet of flowering canopy and supporting manufacturing facility in Cook County, Illinois to exponentially increase capacity in state
  • Initial guidance for 2021 with Systemwide Pro Forma Revenue of $170 -180 million and Adjusted EBITDA of $40 -50 million
  • The Company’s existing projects at maturity represent a long-term revenue and EBITDA opportunity upwards of $650 million and $250 million

4Front Ventures Corp. (CSE: FFNT) (OTCQX: FFNTF) (” 4Front ” or the ” Company “) today announced its financial results for the third quarter of 2020. All financial information is presented in U.S. dollars unless otherwise indicated.

Third Quarter 2020 Financial Results Highlights

Keep reading... Show less
  • Q3 Systemwide Pro Forma Revenue increased 18% quarter-over-quarter to $22.3 million , 170% year-over-year – Company became cash flow positive from operations in August
  • Company sale leaseback transaction with Innovative Industrial Properties scheduled to close within two weeks. As a result of close, together with proceeds from the recently closed bought deal financing, the Company will have $16 million of cash and $43 million in long-term debt
  • Company is in the process of acquiring acreage to construct up to 210,000 square feet of flowering canopy and supporting manufacturing facility in Cook County, Illinois to exponentially increase capacity in state
  • Initial guidance for 2021 with Systemwide Pro Forma Revenue of $170 -180 million and Adjusted EBITDA of $40 -50 million
  • The Company’s existing projects at maturity represent a long-term revenue and EBITDA opportunity upwards of $650 million and $250 million

4Front Ventures Corp. (CSE: FFNT) (OTCQX: FFNTF) (” 4Front ” or the ” Company “) today announced its financial results for the third quarter of 2020. All financial information is presented in U.S. dollars unless otherwise indicated.

Third Quarter 2020 Financial Results Highlights

Keep reading... Show less

Shareholders with losses exceeding $50,000 are encouraged to contact the firm

The Law Offices of Frank R. Cruz reminds investors of the upcoming December 1, 2020 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased Aurora Cannabis, Inc. (“Aurora” or the “Company”) (NYSE: ACB ) securities between February 13, 2020 and September 4, 2020 , inclusive (the “Class Period”).

Keep reading... Show less

Lobe Sciences Ltd. (CSE: LOBE) (OTC Pink: GTSIF) (“Lobe” or the “Company”) is pleased to announce the launch of preclinical research studies using psilocybin and N-Acetylcysteine (“NAC”) for the treatment of mild traumatic brain injuryconcussion (“mTBI”) with post-traumatic stress disorder (“PTSD”). The study is in collaboration with a multidisciplinary team of scientists and physicians at the University of Miami Miller School of Medicine under the lead of Michael E. Hoffer, M.D., professor of otolaryngology and neurological surgery.

NAC has been shown to be safe and efficacious in a phase I human clinical study in treating military personnel who had suffered mTBI. The initial research focus is to demonstrate the safety and efficacy of the combination of psilocybin and NAC using broadly accepted rodent models. Final results are expected in 2021. Once this is established, more specific work can examine dose response, medicine uptake, and medicine levels. The research team at the Miller School of Medicine has conducted prior studies involving NAC with mTBI and has a license from the United States Drug Enforcement Administration to conduct research using Schedule I controlled substances, which includes psilocybin.

Keep reading... Show less

Aphria Inc. (” Aphria “, ” we ” or the ” Company “) (TSX: APHA) (NASDAQ: APHA), a leading global cannabis company inspiring and empowering the worldwide community to live their very best life, announced it has closed the accretive, strategic acquisition (the ” Acquisition “) of  SW Brewing Company, LLC (” SweetWater Brewing Company ” or ” SweetWater “), one of the largest independent craft brewers in the United States (“U.S.”) based on volume. Beginning with the flagship 420 beverage offerings, SweetWater has created an award-winning lineup of year-round, seasonal and specialty beers, a portfolio of brands closely aligned with a cannabis lifestyle.

Keep reading... Show less