In a public letter to investors, Canadian cannabis producer Tilray set the lofty goal of reachinf C$4 billion revenue, if the company can get the support from its investors for its merger and acquisition (M&A) plans.

A fellow cannabis company shared the progress of a partnership designed to elevate the quality of its cannabinoids production.


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

 

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Tilray promises it can make C$4B in revenue if acquisition goes through

In a public plea of support for the company’s ongoing spending plans Tilray (NASDAQ:TLRY,TSX:TLRY) CEO and Chairman Irwin Simon said the company is capable of hitting a C$4 billion revenue mark by the end of its fiscal 2024, if it can complete its current acquisition strategy.

“I want to be clear: our conviction in both the opportunity and our ability to execute on these key growth plans has never been stronger. But our ability to do so rests on the support of our shareholders, from whom we have been seeking support to get important proposals passed,” Simon said in his letter.

Last week Tilray announced a densely planned manoeuvre to buy a “majority of the outstanding senior secured convertible notes” of US-based cannabis operator MedMen Enterprises (CSE:MMEN,OTCQX:MMNFF).

The executive confirmed the company currently has the support of approximately 49 percent of its investor base. However, he explained, the company needs to hit a 50.1 percent line to complete the deal.

The company proposal investors need to approve would make it so Tilray can issue additional shares for its M&A plans. “We need a majority of all the shares issued and outstanding to vote in favor of Proposal 1 in order for it to pass,” Simon said.

A meeting between the company and its investors is scheduled for September 10 to vote on the plans of Tilray.

Cannabinoid development reaches new stage for Cronos partnership

A long running partnership for Cronos Group (NASDAQ:CRON,TSX:CRON) presented some results this past week for the cannabis company as it told investors it had reached a milestone in a novel development method for eight cultured cannabinoids.

Cell programming company Ginkgo Bioworks, which is set to merge with Soaring Eagle Acquisition (NASDAQ:SRNG), said the partnership with Cronos has achieved “the productivity target for cannabigerolic acid (CBGA), which will support the Cronos Group’s planned CBG product launch this fall.”

Jason Kelly, CEO and co-founder of Ginkgo Bioworks said using cell programming methods in cannabinoids can unlock “rare and important molecules”

With the announcement came the confirmation of Cronos also issuing approximately 1.5 million common shares to Ginkgo.

“Ginkgo’s platform enables companies across a multitude of industries to reach their customers with better products,” Kurt Schmidt, CEO and president of Cronos Group said.

Cannabis company news

  • Planet 13 Holdings (CSE:PLTH,OTCQB:PLNHF) issued its Q2 2021 financial results, reporting a net loss line of US$4.4 million despite securing US$32.8 million in revenue for the quarter. Larry Scheffler, co-CEO of Planet 13, said the growing amount of tourism returning to Las Vegas is a positive for the business of the company.
  • The Green Organic Dutchman Holdings (TGOD) (TSX:TGOD,OTCQX:TGODF) confirmed to investors it will be delisting from the TSXV in favor of the CSE, as the company attempts to encounter “reduced filing fees and obligations.” The move is also being described as beneficial to TGOD’s future plans for US market exposure.
  • Jushi Holdings (CSE:JUSH,OTCQX:JUSHF) released its financial results for the Q2 2021 period. The company reported net income of US$4.8 million for the period ended on June 30, which was boosted by a 14.6 percent uptick in revenue, amounting to US$47.7 million. Jim Cacioppo, CEO, chairman and founder of Jushi, told investors he was pleased with the recent batch of results and the company is in a position to continue expanding its national footprint in the US.
  • Avant Brands (TSX:AVNT,OTCQX:AVTBF) announced its shares had been included into the Global X Cannabis ETF (NASDAQ:POTX). “Our inclusion in the Global X Cannabis ETF will provide us with the opportunity to continue expanding our exposure to investors and institutions across North America and globally,” Norton Singhavon, CEO and founder of Avant Brands, said.
  • Flora Growth (NASDAQ:FLGC) closed its investment transaction, worth two-million €2 in Hoshi International, a European medical cannabis company. “Not only has Flora made an investment into Hoshi, but through our securities swap, the Hoshi management team also has a vested interest in the success of Flora Growth and our long-term working relationship,” John Aird, CEO of Hoshi, 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.

 

Cannabis Market Could Reach $5.5B By End Of Year

 
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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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