In a new interview, the CEO of a leading US cannabis company said the industry would receive a huge banking boost if new proposed legislation ends up being passed.

Additionally, a cannabis beverage maker in Canada went public with his criticism of Health Canada’s set of rules for cannabis drinks.


Keep reading to find out more cannabis highlights from the past five days.

 

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Cresco CEO calls for banking reform as part of policy changes

Charlie Bachtell is eager to see cannabis reform in the US. The CEO of Cresco Labs (CSE:CL,OTCQX:CRLBF) told BNN Bloomberg this past week that the changes proposed in Chuck Schumer’s new draft bill would mean the US-based industry could see what he described as “Big B banking” services.

“‘Big B banking’ is where you have access to capital, you have access to leverage, where you could get credit facilities that allow you to smooth out cash flow and really create scale in a way that you would think from a traditional industry can,” the executive expanded.

Due to the federal illegality of cannabis in the US, publicly traded companies working in state-sanctioned markets haven’t been able to engage with traditional banking services.

Similarly, the policy could open the doors to a broader range of institutional investors, Bachtell said.

“I can tell you, for the most part, your traditional institutional investor is absolutely intrigued and is finding out and learning as much as they can about the U.S. (cannabis) operators today, waiting for the opportunity to deploy that capital into this industry,” the CEO told BNN Bloomberg.

Canadian beverage maker complains about regulations

Brad Stewart, co-founder of Canadian cannabis beverage maker Molecule, told CBC he thinks the current set of rules for cannabis drinks in Canada seem like a mistake.

“For anyone specifically focused only on cannabis beverages, it’s particularly challenging,” he said. Stewart directly singled out the calculation Health Canada does when it comes to the allotted quantity of THC per package. As CBC’s article explains:

 

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Using Health Canada’s calculations, a 355 ml drink is considered to have the equivalent of slightly more than five grams of cannabis, even though one beverage can only contain a maximum of 10 mg of THC, the psychoactive chemical in the marijuana plant.

And because Canadians can also only carry 30 grams of cannabis out of a store, it’s illegal to sell more than five 350 ml drinks at a time — frustratingly shy, Stewart said, of the six-pack many consumers are accustomed to buying.

Stewart joins a growing number of voices who believe in the potential of Canada’s cannabis drink market and want to see changes that will help it flourish.

Cannabis company news

  • Halo Collective (NEO:HALO,OTCQX:HCANF) earned a white-label manufacturing contract with California brand Papa’s Herb. According to the company, its first order will be for 45,000 finished 1 gram, 510 thread vape cartridges fully packaged.
  • 4Front Ventures (CSE:FFNT,OTCQX:FFNTF) confirmed the launch of its distinct cannabis brand Terp Stix in the Illinois state market. “With more than 20 recreational cannabis brands and 2,000 products, we believe our future success lies in our ability to bring first-rate, reasonably priced finished goods to market in a timely manner,” Gabe Mendoza, executive vice president of retail operations with 4Front, said.
  • High Tide (NASDAQ:HITI,TSXV:HITI) announced its US subsidiary will acquire cannabis ecommerce platform DankStop in a deal worth nearly US$4 million. “Along with this transaction, our last two acquisitions have increased High Tide’s social media reach by leaps and bounds, giving us access to an invaluable potential customer base,” President and CEO Raj Grover said.
  • Sundial Growers (NASDAQ:SNDL) told investors it has been able to officially close its acquisition of cannabis retailer Inner Spirit Holdings (CSE:ISH,OTCQB:INSHF). “The acquisition of the Spiritleaf cannabis retail network makes Sundial a stronger and more diverse cannabis company,” Zach George, CEO of Sundial, said.

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.

Editorial Disclosure: 4Front Ventures is a client of the Investing News Network. This article is not paid-for content.

 

Cannabis - Will The Fortune 500 Join The Party?

 
Our Exclusive FREE Report Contains Information You NEED To Know About Cannabis Stock Investing!
 

US cannabis received a boost this week with a policy move that may hint at future changes.

Meanwhile, Amazon (NASDQ:AMZN) threw its full support behind cannabis reform in the US by way of a public post confirming the company’s acceptance of the drug.

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  • Research findings originated from cannabinoid-based collaboration with leading epilepsy researcher, Dr. Peter Carlen, at UHN that is also supported by a Mitacs Accelerate program grant.
  • Avicanna’s proprietary formulation showed promising pre-clinical results in reducing seizures and will be developed through the company’s pharmaceutical development pipeline as an epilepsy drug candidate.

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Avicanna Inc. (” Avicanna ” or the ” Company “) (TSX: AVCN) (OTCQX: AVCNF) (FSE: 0NN) a biopharmaceutical company focused on the development, manufacturing and commercialization of plant-derived cannabinoid-based pharmaceuticals is pleased to announce that it has filed a provisional patent application with the United States Patent and Trademark Office, entitled “Methods for Reducing or Eliminating Incidence of Seizures and Sudden Unexpected Death in Epilepsy”, on the use of a novel cannabinoid formulation (the “ Formulation Candidate ”).

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Cannabis legalization in Canada helped kickstart a financial revolution in the stock market with the launch of a diverse portfolio of marijuana firms.

With the boom of public cannabis businesses in full swing, are you thinking about investing in cannabis companies? If so, consider starting your journey here.

A wide spectrum of marijuana stocks have made their mark in the global industry thanks to the amount of money raised from investors and the attention the sector is getting from established industries.

 

Cannabis Market Could Reach $5.5B By End Of Year

 
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What’s to come is anyone’s guess, but it seems this new and burgeoning industry is still in its early days, with diverse nations beginning to move forward with plans for legalizing marijuana.

That means there’s likely still money to be made in cannabis stocks as the market builds and cannabis products expand in availability over the next few years.

There are many differing opinions about how much the global legal cannabis market will be worth in the years to come, with estimates including US$70.6 billion by 2028 and US$91.5 billion by that same year.

But one thing is almost certain: The market is set to grow as opinions surrounding the plant evolve over time and as platforms crop up to supply different consumption preferences. And all of that will mean more cannabis investment opportunities with both existing companies and future entries to the market.

For now, let’s take a look at where you can invest your money at this point in time.

How to invest in cannabis: Canadian cannabis stocks

First thing’s first: Canada. This is the obvious place to start as marijuana is legal at the federal level and Canadian cannabis stocks are less likely than their US counterparts to suffer from political volatility.

That said, due to the uncertainty of investing in the US marijuana space, where the drug is not legal at the federal level, Canadian firms have been forced to make choices about how they operate. For example, Canada’s senior exchanges do not allow companies with American cannabis assets to list.

While the Canadian cannabis space continues to face challenges, investors are eagerly watching as companies move into the edibles and beverages markets and develop new products.

For lists of Canadian marijuana stocks to consider, click here.

 

Cannabis Market Could Reach $5.5B By End Of Year

 
Experts Weigh In On Our Exclusive FREE Report. Can You Afford To Miss Out?
 

How to invest in cannabis: US cannabis stocks

Although some US states have legalized cannabis, American cannabis stocks may be riskier than those in Canada due to federal restrictions on the sale and cultivation of cannabis.

However, as the saying goes, the greater the risk, the greater the possible reward. The US market could grow up to US$43 billion by 2025, and that’s not even including the size of the market if nationwide legalization happens. It’s easy to see that US cannabis stocks could inherit a huge chunk of the pie if federal law finally legalizes the commodity.

All in all, picking the right US cannabis stocks could mean massive gains if the plant is ultimately legalized federally. It’s worthwhile for investors to do their research and to be aware of the risks and potential benefits involved in investing in the space.

For a list of US cannabis stocks to consider, click here.

How to invest in cannabis: A side note

Many companies in the cannabis space have begun to veer in one direction or another.

For example, some of the largest marijuana producers have moved towards deals with beverage or pharmaceutical companies for the production of novel new products. Others in the space continue to pursue innovation in the recreational market.

The beverage side in particular has seen interest from companies, with cannabis firms partnering with brew businesses. One example is Canopy Growth (NYSE:CGC,TSX:WEED), which has teamed up with Constellation Brands (NYSE:STZ), a leading producer in the alcoholic beverage industry.

It’s important to be aware that each niche has its own possibilities and challenges. For instance, while many market participants are convinced of the promise in beverages, these drinks have been hampered by strict marketing rules, among other factors.

Another aspect to consider is whether to pursue big caps or small caps. That has a lot to do with personal comfort. While big caps are often regarded as more stable than small caps, in the cannabis industry there’s been considerable volatility.

 

Cannabis Market Could Reach $5.5B By End Of Year

 
Experts Weigh In On Our Exclusive FREE Report. Can You Afford To Miss Out?
 

How to invest in cannabis: Cannabis ETFs

If you really know your cannabis companies, then you could enjoy larger gains by simply investing in those specific firms. However, if you aren’t overly familiar with the cannabis space or you are new to it, it could be a good idea to check out the cannabis exchange-traded funds (ETFs) available.

A cannabis ETF gives you exposure to several different cannabis stocks and takes the guesswork out of cherry picking which stock to bet on. One issue with ETFs is that like any other group dynamic, if one stock drops off it brings the whole fund down proportionally with it. Of course, the opposite is also true.

Recently investors have seen the addition of new ETFs offering exposure to the US market, including firms with entries into the hemp space, thanks to the sales of CBD products.

For a list of cannabis ETFs to consider, click here.

How to invest in cannabis: Final thoughts

No matter which way you slice it — or grind it, in this case — the cannabis market is an exciting business to invest in right now. Whether you invest in cannabis ETFs or Canadian or US marijuana stocks, or if you’re still waiting on the sidelines for more maturity from the types of cannabis companies trading, this industry is one to watch, and one that looks like it’ll keep climbing in the future.

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TransCanna (CSE: TCAN) (FSE: TH8) (“the Company”) is pleased to announce that plants are going into its first crop management site today – a greenhouse in Wesley, California.

The Company partnered with the 3rd generation cannabis farmers at 365 CannaFarms to consult on the construction of the state-of-the-art, computer-controlled greenhouse and to help manage the crop for the client, Central Valley Growers. The entire crop is comprised of premium genetic strains from Lyfted Farms, TransCanna‘s wholly-owned subsidiary.

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Acquisition strengthens clinic portfolio for mental health treatment using psychedelic-assisted therapies

Numinus Wellness Inc. (“Numinus” or the “Company”) (TSXV: NUMI), a mental health care company advancing innovative treatments and safe, evidence-based psychedelic-assisted therapies, today announced it has closed its acquisition of the Neurology Centre of Toronto (NCT), a leading Canadian provider of clinical neurologic care. The purchase agreement was previously announced on July 6, 2021 .

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