During the past trading week (November 25 to 29), the two co-owners of a marijuana producer in Canada have officially entered a dispute over the ownership status of the entity.
A California-based multi-state operator is pulling back its expansion plans across key states, while NBA superstar Kevin Durant joined the cannabis investment world.
Here’s a closer look at some of the biggest cannabis news over the week.
Emerald contends claims from partner Village Farms
The two public firms created the joint venture in 2017 as a 50/50 split; now, Village Farms has informed investors it advanced a claim of a majority ownership by way of an equity contribution worth C$5.9 million done after Emerald defaulted on a pending payment in question.
“We can’t speculate on Village Farms’ motivation for making this irresponsible and inaccurate claim, but we want to reassure investors that there has been no change in ownership of (Pure Sunfarms),” Riaz Bandali, CEO of Emerald, said. “We are disappointed at the aggressive approach of Village Farms in this matter; however, we continue to believe that cooler heads will prevail.”
Emerald issued an update to investors on Wednesday (November 27) and told the Investing News Network (INN) it is considering all options to maintain its 50 percent stake.
Durant partners with Canadian marijuana investment firm
Canopy Rivers (TSX:RIV,OTC Pink:CNPOF) became the latest marijuana company to secure the participation of a celebrity in its business. Kevin Durant, a basketball player with the Brooklyn Nets, has formed a partnership with the cannabis firm by way of his business associate and sports executive Rich Kleiman and their investment firm Thirty Five Ventures.
“This was a perfect angle for us to work with Thirty Five Ventures, because here’s a company that understands how to create a brand, how to speak to certain demographics … that are passionate about sports in general,” Canopy Rivers CEO Narbé Alexandrian told INN.
With this partnership, the Canadian firm is looking to expand its presence in the cannabidiol (CBD)-based sports products.
“We think there’s a huge market for both the professional and amateur athletes as well as for the general consumers … to really get in on certain brands that would really help (them) in terms of recovery and performance,” Alexandrian said.
This past week, Canadian firm Tetra Bio-Pharma (TSXV:TBP,OTCQB:TBPMF) received a boost in the open market thanks to the unexpected development of its drug development pipeline using cannabis elements. The pharmaceutical company obtained approval from the US Food and Drug Administration (FDA) to relaunch its clinical trial for its candidate, PPP001, in a study as a potential treatment for pain management in cancer patients.
Guy Chamberland, CEO and chief regulatory officer of Tetra, told INN the company was ready to move on from this candidate but was surprised to discover the FDA seemed on board with the revised model of the study. The trial was originally stopped due to the mycotoxins found in its original design.
“Their biggest concern was not the mycotoxins; they obviously thought we were addressing it adequately for them. The issue was patient safety from a liver toxicity point of view,” he said.
The first ever dual listed company from the NEO Exchange in Toronto and the NASDAQ made its public debut earlier in November. In an exclusive talk with INN, the deal makers behind the debut of the Merida Merger Corp I (NASDAQ:MCMJU,NEO:MMK.UN) explained the need for this most recent special purpose acquisition company’s (SPAC) listing.
“We just personally believe the greatest need for capital (is) for companies that are in the smaller end, … three to five hundred plus million market cap ranges,” Peter Lee, president and CFO at Merida, said. “We would like to assess the minority stake and … partner with a company to see it enter the public markets and also grow over the next three to five years.”
The SPAC will pursue its acquisitions within the cannabis market but it is not limited purely to the industry. Lee also said the SPAC will look for assets in the ancillary businesses of cannabis.
Don’t forget to follow us @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.
Meanwhile, two longstanding cannabis partners ended their relationship.
Trulieve to donate $20,000 in scholarship funding and $15,000 to support leadership development
Trulieve Cannabis Corp . (CSE: TRUL) (OTC: TCNNF), a leading and top-performing cannabis company in the United States today announced a new partnership with the Thurgood Marshall College Fund (TMCF), the nation’s largest organization exclusively representing the Black College Community. Trulieve will donate $20,000 to help fund several college scholarships awarded to students who are attending one of the organization’s member-schools as part of Trulieve’s diversity, equity, and inclusion initiatives. The $15,000 in talent funding is earmarked to support TMCF’s internship program, reaching a diverse talent pool of students and alumni from their 47 member-schools to provide immersive experiences at Trulieve.
The new dispensary expands patient access to Florida’s largest inventory of medical cannabis products
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 the opening of a brand-new Florida dispensary, the Company’s 80th nationwide. The new location marks the Company’s first in Tamarac and third in Broward County expanding patient access to Florida’s largest and broadest assortment of high-quality medical cannabis products.
Revive Therapeutics Provides Update on FDA Phase 3 Clinical Trial for Bucillamine in COVID-19 with Planned Completion and Emergency Use Authorization Request
Revive Therapeutics Ltd. (“Revive” or the “Company”) (CSE: RVV, USA: RVVTF), a specialty life sciences company focused on the research and development of therapeutics for medical needs and rare disorders, is pleased to announce an update on the Company’s U.S. Food & Drug Administration (“FDA”) Phase 3 clinical trial (the “Study”) to evaluate the safety and efficacy of Bucillamine in patients with mild to moderate COVID-19.
With its recent $23 million dollar financing, the Company plans to aggressively expand from 14 clinical sites to up to 50 clinical sites to meet the next enrollment goals for the Study in Q2-2020. The Study is a randomized, double-blinded, placebo-controlled trial and the safety and efficacy data analyzed at each interim analysis timepoint of 210, 400, 600 and 800 completed patients are only made available to the Independent Data and Safety Monitoring Board (“DSMB”) for review and recommendations on continuation, stopping or changes to the conduct of the Study. In the event of any serious safety concerns, the DSMB would be notified to determine any risks and provide its recommendations. To date, in this initial 210 interim point there have been no serious safety concerns that required the DSMB to be notified.
HempFusion Wellness Inc. (TSX:CBD.U) (OTCQX:CBDHF) (FWB:8OO) (“HempFusion” or the “Company”), a leading health and wellness CBD company utilizing the power of whole-food hemp nutrition, is pleased to announce that its common shares have been approved for DTC full-service eligibility in the United States by the Depository Trust Company (“DTC”) and can now be both traded and serviced through DTC’s electronic book-entry system.
DTC is a subsidiary of the Depository Trust & Clearing Corp. (“DTCC”) that provides clearing and settlement services for the financial markets and settles the majority of securities transactions in the United States. This electronic method of clearing securities speeds up the receipt of stock and cash and thus accelerates the settlement process for investors and brokers, enabling the stock to be traded over a much wider selection of brokerage firms.