The Cantech Investment Conference 2017 wrapped up last week and “The Emerging Cannabis Sector” panel moderated by Mackie Research Equity Analyst Neal Gilmer, was one to watch.
Not only because it was held during a technology conference, but also because, as Gilmer explained, the cannabis sector is an opportunity investors should look into since it is growing at a very rapid pace.
Members of the panel were a mix of cannabis industry participants that included Michael Gorenstein, President, CEO & Chairman of the Cronos Group (TSXV:MJN), Marc Lustig, CEO of CannaRoyalty (CSE:CRZ), Brad Rogers, CEO of CannTrust, and Robert Lando, CEO of Agronomix.

Opportunities in cannabis

Gilmer started off by asking, “Where do the opportunities lie?”
Rogers thought that opportunities are aplenty, and “the revenue potential is huge both nationally and internationally.” Gorenstein agreed, and said, “we’re really walking into a market where there’s nearly $200 billion in revenue.” He went on to say that they believe in the Canadian market because it is the first G7 country to “recreationalize cannabis consumption.”
Lustig, on the other hand, finds opportunity in “watching the evolution of product development.” He went on further to say that there is tremendous opportunity in Canada, “ if you do things right and work within the confines of the legislation.”



According to Lando, “In any market where things mature, the low cost producer wins so this is an opportunity for those who grow: to take the opportunity with good margins to be able to plow them into low-cost capability so that when the time comes, they’ll be a low cost producer and they’ll be able to make money no matter what the value of the crop is.”

The demand and supply in Canada

Gilmer asked Gorenstein and Rogers about how they saw the cannabis market in Canada in terms of supply and demand. Gorenstein said he sees a very big gap between supply and demand, and that they get a lot of inquiries in the wholesale segment.
Meanwhile, Rogers said, “this industry has a lot of growing up to do, from the regulators to the producers.” He added, ”Because the regulations we work under, our product is worldwide the gold standard. The testing that has to go through the regulatory requirements — although there have been some recalls, etc. — the guys who focus on quality and are able to execute at an enterprise scale, we’re going to win.”
There is no denying that the cannabis sector is booming, and not only for end users. US legalization in late 2016 helped foster growth of this industry, and the Canadian federal government legislation anticipated in 2017 will only enrich it further. With a vast number of companies ranging from growers to dispensaries and even pet products, there is no shortage of ways to get into this market that is said to grow to $21.8 billion by 2020.
 
Don’t forget to follow us @INN_Cannabis for real-time news updates!
Securities Disclosure: I, Pia Rivera, hold no direct investment interest in any company mentioned in this article.

  • Company surpassed 5,600 patient prescriptions for its medical cannabis products in Colombia . Prescriptions filled increased over 450% in Q3 2020 over Q2 2020
  • Khiron declared a National Strategic Project by the Government of Colombia , simplifying and accelerating administration and processes for the Company in executing strategic projects in Colombia and for export
  • Subsequent to the quarter, the Company completed a bought deal financing on November 26, 2020 , selling 32,200,000 units at a price of $0.45 per unit for aggregate gross proceeds of $14,490,000 CAD
  • Khiron signed partnerships with 15 clinics and health centres in Colombia , extending education and sales reach further across the country
  • As a result of the Company’s Doctor Zerenia TM telehealth platform more than 25% of the Company’s medical cannabis prescriptions came from outside of Bogota , expanding geographic presence of its Colombian clinics
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  • Expanded medical cannabis E-Learning platform to UK market in partnership with Medical Cannabis Clinicians Society (“MCCS”)
  • Entered an exclusive partnership with Rappi SAS, Latin America’s largest home multi-vertical app platform to distribute the Company’s CPG product portfolio, introducing Kuida products to Rappi users across the LatAm region
  • Signed agreement to distribute the Company’s Kuida TM CBD skincare brand through pharmacy, beauty retail and online markets serving the Hong Kong territory, with first orders expected in Q4 2020
  • Prudent cash use of $5 million in Q3 2020, compared with $4 million in Q2 2020, $12 million in Q1 2020 and $10 million in Q4 2019

 Khiron Life Sciences Corp. (“Khiron” or the “Company”) (TSXV: KHRN ), (OTCQX: KHRNF), ( Frankfurt : A2JMZC), a vertically integrated cannabis leader with core operations in Latin America and Europe announced today its financial results for the quarter ended September 30, 2020 . These filings are available for review on the Company’s SEDAR profile at www.sedar.com All financial information in this press release is reported in Canadian dollars, unless otherwise indicated.

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  • 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

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  • 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

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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”).

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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.

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