Think of Canada as the pioneer of the global cannabis industry, the test market for government-licensed legal marijuana. Countries the world over are watching the Canadian experiment with interest as the wave of cannabis legalization, initially in the form of medical cannabis programs, builds momentum around the globe. European and South American countries seem to be leading the charge, but many of them don’t have the production and cultivation infrastructure in place to serve their nascent markets.

Some Canadian companies, like Valens GroWorks Corp. (CSE: VGW), are looking far beyond Canada’s 36 million potential customers to the exponentially larger opportunities in the global market. A key component of the company’s international plan is to build and utilize facilities that comply with the European Union’s Good Manufacturing Practices (GMP) standards, currently the most stringent regulations in the world. ‘EudraLex’ is the term for these rules and regulations governing medicinal products, and compliance with EudraLex is the key to unlocking the global export potential of Canadian cannabis products.

Facilities and Certifications

Valens runs a laboratory that holds a dealers license called Supra THC Services. Supra recently became the first cannabis-focused, licensed Canadian lab to achieve ISO 17025 accreditation for cannabis testing. This standard allows the lab’s test reports and certificates to be accepted internationally, validating the company’s testing results and processes for international trade. Supra is partnered with $90+ billion ThermoFisher Scientific to create a Centre of Excellence for Plant Based Medicine Analytics in its lab.

Supra recently moved into a second Valens subsidiary’s facility, Valens AgriTech. Valens AgriTech also holds a dealers license. With Supra more focused on testing and analytics, Valens AgriTech handles cannabis cultivation, processing, oil production, and sales of oils through licensed producers. AgriTech is also in the late stages of its application to become a licensed producer. The AgriTech campus is in the process of becoming Eudralex GMP certified, the importance of which has been noted above.

The third Valens subsidiary, Valens Farms, is a joint venture with a real estate development company, in the process of constructing a 400,000 square foot greenhouse cultivation and production facility. The company expects to plant the first crop by the end of 2018, and the cannabis produced there will provide the raw material for the state-of-the-art extraction and production at the Valens AgriTech site. This greenhouse is being built from the ground up to EudraLex standards, ensuring the company’s ability to export products around the world once all of the proper licenses and certifications have been achieved. Valens Farms also has the option to build another 400,000 sf greenhouse at the site should the need arise.

The International Opportunity

Germany is home to about 83 million people, more than twice the population of Canada. It is also home to a medical marijuana program, covered by national health insurance, that is just getting off the ground. The country has experienced hiccups in permitting its own cultivation, and companies from Canada and the Netherlands are swooping in to satisfy soaring demand.

Italy, with a population of about 60 million, adopted a medical program in 2013. Strangely, the cultivation of cannabis there remains illegal, though the country recently introduced regulations allowing for some hemp cultivation. The Italian army is responsible for the country’s legal medical production capacity, totaling 220 pounds of output for the entire country in 2017. Supply and demand forces there will likely force change. Norway, Greece, Poland, Switzerland, even the United Kingdom have very recently implemented, or are in the process of implementing, some form of legal medical cannabis. In many places, the focus is on allowing medicines that have very low levels of THC.

South America is another leading market for cannabis and cannabis-derived products. In 2014, Uruguay became the first country in the world to fully legalize, though the rollout has come in fits and starts. Medical cannabis programs were established by Chile in 2014, Colombia in 2015, and Peru in 2017. Brazil has allowed the use of certain medicines for a few indications, and some provinces in Argentina allow for medicinal use.

The Valens Plan

Multi-subsidiary, multi-licensed Valens GroWorks is creating a vertically integrated, quality controlled, interdependent and complementary company that is primed to launch into lucrative international markets. Utilizing its scientific approach and certified commitment to strict quality standards throughout its processes, the company stands ready to provide cannabis and cannabis-derived products to emerging markets that employ even the most stringent regulations. Valens plans to take advantage of its experience in the world’s most mature cannabis market, Canada, parlaying that experience into market opportunities that dwarf those in its own country. Stay tuned.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Pure Global Cannabis Inc. (TSXV:PURE) (OTC: PRCNF) is launching Canada’s first multi-ponic cannabis farm – a patent-pending system that is expected to produce several fold greater yields over traditional methods while reducing cost and eliminating pesticide and herbicide use.   

Utilizing leading-edge pharmaceutical technologies, the company’s vision is to harness the therapeutic properties of cannabis to produce world-class products for the medical, wellness, and adult-use markets. Pure Global Cannabis is currently in Phase 1 of its facility development plan and has obtained sufficient resources to fund development and operations through Phase 4.   

Phases of Development

Pure Global’s Phase 1 objectives are to obtain its Canadian sales license and to secure sufficient product from other quality producers to develop extraction methods and to package new and innovative brands and products. To that end, Pure Global has recently announced that the company’s wholly owned subsidiary, PureSinse Inc., has signed agreements with the Supreme Cannabis Company Inc. and two other ACMPR Licensed Producers, to obtain premium quality medical cannabis to meet the high-quality standards of the PURE brand. Pure Global President and CEO, Malay Panchal stated, “Procuring adequate supply of quality cannabis is an important milestone for PURE as we approach our full market launch for serving medical cannabis patients across Canada within the next several months. We will continue to work with Supreme and several other premium quality ACMPR producers to execute Phase I of our business model to initiate revenue generation.”

The Phase 1 facility is comprised of a Level 9 vault, a lab that focuses on extraction and microbiology, and order processing, packaging, and shipping capabilities. Pure Global received its ACMPR license to cultivate in December 2017, without any cultivation capacity at the time. The uncommon strategy helped the company derisk its application to some extent by limiting the capital expenditure for a cultivation facility, while allowing the company to focus on capabilities that can more immediately impact revenue generation upon receipt of a sales license. Phase 1 is projected to be completed imminently.

Phase 2 will involve implementing an 18,000 square foot cultivation facility able to produce 4,000 kg/year. Phase 2 will also implement multiple tiers of vertical farming cultivation and a state-of-the-art multi-ponic system to create a soil-less, pesticide-free environment.  This patent-pending hybrid system delivers a degree of automation in a closed-loop nutrient delivery system, which allows tailoring of the biochemistry and nutrients to deliver exactly what the roots need at every stage for optimal growth. Additionally, the vertical grow system enables growing multiple tiers of canopy, exponentially increasing potential yield 3 or 4 times the production from the same square footage without herbicides or pesticides. The drying, trimming, processing, extractions, and packaging processes will also be implemented during Phase 2, which is scheduled to be completed within the fourth quarter of 2018.

Phases 3 & 4 will include the building of an adjacent 23,000 square foot vertical farming cultivation and processing facility capable of producing 8,000 kg/year. This facility will include an extraction, distillation lab, an advanced analytical R&D laboratory, and will look to commercialize finished product at scale. These phases are slated for completion during the first quarter of 2019.

The Way Forward

On the customer acquisition front, Pure Global is strategically partnering with cannabis clinics, referring physicians, and one of the largest medical groups in Canada, which has an electronic database of millions of patients.  This with an innovative marketing strategy that opens new patient touch points across various customer verticals will ensure the growth of market share for sustained success.

Pure Global is positioning itself to obtain Good Manufacturing Practice (GMP) and ISO certifications for Canadian markets and for export of its products eligible for worldwide markets. Such a certification of the company’s facilities and processes is essential to achieve its  goal of expanding commercial operations to South America, Europe, Australia, and Asia.

PURE is preparing for the upcoming legalization of cannabis for adult use nationwide in Canada.  Rather than focus on just recreational use, the company will put its emphasis more on the wellness aspect, providing unique pharmaceutical, nutraceutical, food & beverage, beauty, and topical value-added cannabis products. These products lend themselves to brand development and offer the possibilities of higher margins, which will be especially important as the cannabis industry matures and cannabis flower itself becomes more commoditized.

Pure Global has also recently applied for eligibility to the Depository Trust Company (“DTC”) for its share trading, as well as on the United States OTC market under the symbol “PRCNF”. The company expects to be fully DTC eligible in the coming weeks. Combined, these moves would make it much easier for US investors to buy the company’s stock and should help to expand its investor base. The company is also in the process of listing on Germany’s Frankfurt exchange in the coming weeks for broader capital markets exposure.

Pure Global Cannabis Inc. is a growth-oriented life sciences cannabis company led by experienced pharma-industry, horticultural and supply chain experts. The Pure Global  portfolio will feature a wide spectrum of products, formulations, and infusions for both the medical and adult-use markets, at home and abroad.

For more information, visit the company’s website

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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New York is about to be surrounded by legal weed. Medical marijuana has been legal in the Northeast and Canada for some time now, but Massachusetts and Vermont have now legalized adult use, and momentum is building in New Jersey as Gov. Phil Murphy makes good on a top campaign promise. Canada kicks off its adult-use program in October.

“For all intents and purposes it is going to be here anyway,” New York Gov. Andrew Cuomo admitted as much to the New York Post in April.

And now, the New York Department of Health, which oversees the state’s medical marijuana program, has essentially endorsed adult-use legalization in a recent 75-page report commissioned by Cuomo himself.

“The positive effects of a regulated marijuana market in NYS outweigh the potential negative impacts,” the report concludes. “It has become less a question of whether to legalize but how to do so responsibly.”

Legalization is also a hot topic of discussion as the state moves to the November elections, and there is broad support for legalized adult-use among the top candidates. Pot could soon be legal in the Big Apple and that would be a game-changer.

The New York Market

The Department of Health’s report estimates there are about 1.3 million marijuana users in the state and that adult-use could reach US$3.5 billion in annual sales, about 16 times greater than today’s medical marijuana market and on par with California’s current retail sales estimates. California is the world’s largest legal cannabis market.

Aside from sheer market size, New York would further legitimize this fast-evolving industry. Adult-use is already legal on the entire West Coast, further legalization on the Northeast of the country, a center of politics, commerce and culture, would give the industry another big push toward the mainstream, bringing more customers and investment capital.

There are only 10 cannabis license holders in the state’s current medical cannabis program. Each licensee is allowed to operate a cultivation and manufacturing facility and four stores to sell its products. When the state legalizes adult-use, these licensees would meaningfully benefit from existing infrastructure and first mover advantage. They are also likely to be some of the first to receive adult-use licenses given they have already been operating under the scrutiny of the state for years.

New York state’s medical marijuana program has been growing steadily and now has about 60,000 active patients.  The state has expanded access by gradually increasing the list of qualifying medical conditions and variety of products allowed. Most recently, the state added opioid use as a qualifying condition, offering cannabis as a substitute.  Arcview Market Research forecasts medical sales in the state will total US$219 million this year.

MedMen’s Position

MedMen 5th Avenue

Among the 10 medical marijuana license holders in the state is MedMen Enterprises Inc. (CSE: MMEN) (OTCQB: MMNFF) with a flagship store on Manhattan’s 5^th Avenue.  In sharp contrast to the other license holders in the state whose message and brands are very medical in nature, MedMen has been outwardly courting general cannabis consumers. The brand is already synonymous with cannabis retail with its shops being called the “Apple Store of Weed.” MedMen’s consumer brand appeals to medical marijuana patients as well. Its Manhattan store, one of only three allowed in the borough, is the company’s best performing in New York state.

While the New York Department of Health report recommended that the state limit the number of licenses initially available, even if the number of licenses doubles to 20 and the number of stores each is allowed to open doubles to eight, there would be 160 stores in the state.  At US$3.5 billion in annual sales, this would represent an average of US$22 million in revenue per store – consistent with the run rate of MedMen’s more mature stores in California.  MedMen should outperform in New York, given the brand equity it has already built with cannabis consumers. Even at average market share and applying a 5x multiple to its New York operations alone, it would result in an enterprise value of US$775 million. That would account for about half of MedMen’s current enterprise value, not including the 41 stores outside New York state the company plans on opening by 2020. The company already has eight stores in California and two in Nevada and has a license to open 25 stores in Florida.

The foresight MedMen had to acquire one of only five medical marijuana licenses in New York in early 2017 seems poised to pay off handsomely. The report from the Department of Health cites other positive benefits of legalization including improved quality control and consumer protection, potentially significant tax revenue and job creation, and the potential to reduce opioid prescriptions and deaths, as well as addressing social justice concerns.

Disclaimer  

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Planet 13 Holdings Inc, (CSE: PLTH), known for the award-winning Planet 13 cannabis dispensary located in Las Vegas, is in the process of changing the game in a huge way. To the delight of its customers, who have long been drawn to the dispensary’s welcoming environment, knowledgeable staff, and wide variety of cannabis products, the company just unveiled the interior design for the new Planet 13 Superstore & Entertainment Complex, slated to open in November 2018.   

Visitors to the new superstore and entertainment complex will experience a sensory overload of special effects – with a sophisticated outdoor water feature, giant electric interactive lotus flowers on the roof, a huge interactive LED floor, laser graffiti walls, and overhead aerial orbs circling every hour. Planet 13 is giving its one-of-a-kind cannabis attraction the “full Vegas treatment” according to Co-CEOs Bob Groesbeck and Larry Scheffler.   

See a preview of entertainment features at the Planet 13 Superstore.

Planet 13’s new interactive entertainment experience has been designed to appeal to both cannabis aficionados and the general public. When all phases are complete, it will be the world’s largest cannabis entertainment complex encompassing 112,000 square feet.   

The first phase is currently under construction at the new location, just off the Strip at 2548 W. Desert Inn Road in Las Vegas. The 40,000 square foot Phase 1 of the new complex will boast 16,500 of retail space, 45 registers, and all of the same knowledgeable staff and variety of cannabis products Planet 13’s customers have come to expect.

Planet 13 Holdings  is a vertically integrated cannabis company that holds two licenses in Clark County (where Las Vegas is located) – its recreational dispensaries will operate under The Planet 13 brand, while the sister company, Medizin, will be the primary branded product line with capsules, syrups, and other high margin products. Expanding on the success of it’s existing dispensary, which this past April released revenue figures amounting to $9 million in 2017 with EBITDA of $1.6 million, Planet 13 hopes to stand out in the midst of all the Vegas razzle-dazzle to attract a fair share of the over 55 million annual visitors to the City of Lights.   

Las Vegas and the Nevada Market

Tax revenue from marijuana sales in Nevada surpassed official projections for the first year of recreational sales in just 10 months, according to new figures released recently by the Nevada Department of Taxation. The state of Nevada collected $55.53 million in marijuana tax revenues through the end of April, accounting for about 17% of the state’s total taxable sales. The total combined sales through April for medical, recreational and marijuana-related goods since recreational use became legal in July, 2017 is $433.51 million.

With Clark County comprising about ⅔ of Nevada’s total population, accounting for the vast majority of the state’s tourist traffic, and hosting 48 out of the 63 dispensaries licensed as of June 2018, Las Vegas is obviously driving a majority of that revenue. With no dispensaries allowed on the Strip itself, Planet 13’s location as close to the Strip as legally allowed is ideal for generating as much interest, traffic, and revenue as possible.

Planet 13 has further plans to diversify its revenue streams by offering new tinctures, ingestible oils, and infused food/drinks, merchandising, and its new online ordering and delivery system. The company was recently voted as the #1 cannabis dispensary in Las Vegas and has produced five award winning marijuana strains.

For more information on the company please visit the website: Planet 13 Holdings, Inc.

Disclaimer 

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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James E. Wagner Cultivation (TSX.V: JWCA), or JWC for short, is revolutionizing the cannabis industry with its aeroponic cultivation technology. The company’s innovative GrowthStorm™ system, based on NASA-developed technology, allows for high yield and efficient production of clean and consistent cannabis crops. In an increasingly crowded Canadian cannabis market, the proprietary system sets JWC apart from its competitors and provides unique value to the company.

GrowthStorm™ Aeroponics

JWC’s proprietary GrowthStorm™ platform is a 4-part aeroponics growing system that allows the roots of the cannabis plants to be suspended in the air in a closed-loop growth chamber.  The roots are misted with nutrient-rich water at prescribed intervals, and because the roots are dangling in nothing but air, they are better able to absorb the nutrients and oxygen, which, in turn, has several benefits, including larger yields, a short growth cycle, and overall improved plant health.

GrowthStorm™ uses less water and much less space to grow the same number of plants as a soil-based grow system. GrowthStorm™ also limits crop disease by eliminating the need for soil or other growing media, which are often the vehicles for disease transmission. Additionally, if a plant does become infected it can be easily removed without disturbance to the surrounding plants.

JWC’s ground-breaking platform allows for a level of control that is not possible with any other system.  The company has worked diligently to expand its original operation’s consistent methodology to a much larger production scale. The team designed a system that starts with healthy plant cuttings and finishes as clean, consistent medical cannabis, using processes and equipment designed to maximize the efficiency of the total system.

Typically grown cannabis plants have a higher cannabinoid count in the buds near the top of the plant and a lower cannabinoid count on the lower branches. The GrowthStorm™ system allows for more standardized cannabinoids over the entire plant resulting in a more consistent dose and a higher quality product for the company’s patients.

Additionally, the facility utilizes a series of grow rooms to enable perpetual harvesting. This allows for significantly greater yields and more accuracy in the prediction of harvest volume and timelines to meet patient demand for its products. JWC has partnered with Price Industries to create a system that results in the perfect humidity and temperature control to create an ideal growing environment, resulting in a product without any need for irradiation or cold pasteurization.

Growth for the Future

It is important to note that JWC is a family business, built on the legacy of the family patriarch James E Wagner.  James was a farmer who spent most of his life out in the fields, growing everything imaginable on the family farm.  Throughout his long farming career, he passed his knowledge and passion for growing quality crops on to his children and grandchildren. He grew cannabis too, and it was Grandpa Jim who offered support and advice when the first members of their group proposed the addition of medical cannabis to their business model.  James E. Wagner passed away peacefully at the age of 89, in November 2017, but his legacy lives on in the family business.

JWC is looking to the future with the construction of a second site facility at its Kitchener, Ontario operation. This expansion will increase its current 15,000 square feet facility to 345,000 square feet, and it is anticipated that targeted production will increase from around 1500 kg/year to more than 28,500 kg/year. The new facility also brings an increase in staff as well – from the nearly 50 currently, to over 400 employees.  JWC anticipates that when completed, the new facility will be the largest aeroponic grow operation for any crop in the world.

Ever forward-thinking, JWCA is also looking to expand its product line by adding cannabis oils to the current line of dried cannabis products. To this end, the company is in the process of fusing industry partnerships that will result in industrial scale cannabis oil extraction infrastructure. It is anticipated that the company will soon bring its premium cannabis products to the oils and extracts market through a variety of applications.

As James E. Wagner Cultivation looks to the future of cannabis, both in Canada and in the worldwide market, the company is committed to further developing the disruptive technology that will create new processes to cultivate cannabis and final product delivery systems that truly make it a leader in the industry.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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As Canada approaches full legalization of adult-use cannabis, licensed producers are scrambling to increase production levels and gain leverage by acquiring or investing in retail brands. Though there are currently 113 licensed producers, much of the production capacity and most of the retail investment is coming from a few of the larger producers. This market concentration is even more distinct when viewed geographically: 85 of the 113 licenses are located in either Ontario or British Columbia. That leaves about half of Canada’s population being served by less than 30 licensed producers.

Biome Grow was formed by Canadian cannabis industry veterans who have recognized these patterns and have developed a plan to address areas of the Canadian market that are underserved. The company is building a conglomerate of producers and brands with an initial focus in the Atlantic provinces. From there, Biome intends to spread both throughout the nation and into key international markets. With near term plans to go public, investors may want to keep an eye on Biome Grow as it implements its unique and comprehensive plan.

The company expects to ink key distribution agreements in the near term, perhaps even before finishing all of its production facilities. Such agreements would differentiate Biome in a market where much of the value has been assigned speculatively, both from a production and a sales standpoint. They would also serve to de-risk an investment in the company to some extent, with some level of sales guaranteed going into the production phase.

Click here to get Biome Grow’s investor overview and receive an alert prior to the company going public.

What Biome Grow Has Now

Looking to fill a vacuum in the market, Biome Grow has assembled under its umbrella a production footprint under development across three provinces, with plans to eventually cover all of the Atlantic provinces. The most advanced is Highland Grow in Nova Scotia, one of only three licensed producers there. Highland was awarded a cultivation license in December, 2017, and the company is expecting to achieve the first sales authorization in Nova Scotia in the summer of 2018. Highland Grow has plans to add another 100,000 sf to the original 8,500 sf, in two stages in the first half of 2019.

Back Home Medical Cannabis Corp. is located in Newfoundland and Labrador and is a late stage ACMPR applicant. There are currently no LPs licensed in the province. Construction has started on Phase I there, a retrofit of an existing 18,000 sf facility that would be the first cannabis production site in the province. The company plans to expand in two more phases of new construction, ending up with 168,000 sf by mid-2019.

Biome Grow Ontario is a late stage applicant with a 12,000 sf building that is currently being retrofitted. Plans are to add another 75,000 sf of new construction by the end of 2018. This facility is intended primarily to provide cannabis for the company’s operations in the other provinces while production capacity in those locations ramps up. The facility is also located on a 180 acre tobacco farm, which will be utilized for outdoor cultivation starting in 2019.

The company’s model is to create local production and brands in the notoriously provincial Atlantic provinces where there is little competition. In Nova Scotia for instance, the brand will be Highland Grow. In Newfoundland, it will be Back Home. In each case, Biome found an existing business and team that aligned with its own high standards, acquiring the company and lending cash and considerable expertise to the ongoing efforts. It’s a unique take on the conglomerate model, as each brand will develop locally on its own under the guidance of the parent company.

Click here to get Biome Grow’s investor overview and receive an alert prior to the company going public.

Who Is Biome Grow?

Biome Grow’s team consists of cannabis industry veterans with deep experience in all areas of the sector. From raising capital, to facility design, to licensing procedures, to commercialization, Biome Grow has been there and done that. Members of the team have been crucial in the development of many licensed producers, including KindCann/Emblem, THC Biomed, HydRx, Tweed, Organigram, and Mettrum Health.

Founder and Interim CEO Khurram Malik has deep experience in both the US and Canadian capital markets across a variety of industry sectors. Over the last five years he has advised over 20 cannabis companies around the world, including Canadian LPs and applicants. He was the first research analyst in North America to cover the cannabis sector, and his insights have been crucial in formulating Biome’s strategic vision. He plans on remaining very active with the company after a new CEO takes his place.

All of that knowledge and experience has allowed Biome Grow to identify market inefficiencies and quickly implement a structure to take advantage. The team’s background with Health Canada processes and people give the company a leg up on less experienced applicants trying to navigate the complex approval procedures. For example, the Highland Grow operation received its cultivation license the week following completion of its facility, an extremely quick turnaround that reflects the company’s experience with the licensing process.

Where is Biome Grow Headed?

There is much more to cover with Biome Grow, including the compelling applications of its Weed VR technology which it plans to incorporate into all of its subsidiary operations. The virtual reality platform offers educational, retail, and medical possibilities. The idea is to create a catalog of strains that includes a visual 3D representation, lab data, and user reviews that help guide consumers to informed choices without the need to physically visit a dispensary.

The company also plans to springboard off of its development of Canadian brands and expand to international markets as those mature. Canada is seen globally as a pioneer in the industry, blazing a trail of legal cultivation and product development that is showing the way for the rest of the world.

Biome Grow also has a partnership with St. Francis Xavier University in Nova Scotia. The two organizations are collaborating on research initiatives, including the development of genetic strains to be used in clinical trials; new and more effective cannabis delivery methods; and more efficient industrial scale growing techniques. The company also is looking to the University as a source of trained employees for its regional operations.

Put it all together, and Biome Grow is certainly a unique operation when compared to other licensed producer models. With the company’s plans to go public in the near term, combined with cultivation operations coming online in the coming quarters, Biome Grow is in a catalytic stage of its development. Keep an eye out as the company executes on its ambitious plans.

Click here to get Biome Grow’s investor overview and receive an alert prior to the company going public.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Abattis Bioceuticals Corp. (CSE: ATT) (OTCQB: ATTBF) has been solidifying and growing its vertically integrated cannabis operations in British Columbia for the last few years. With a licensed producer applicant, cannabis-based product development programs, and a mature product distribution network, Abattis is positioned to control and profit from the highest growth sectors of Canada’s cannabis industry. The company’s recent agreement to develop a new laboratory in Ontario represents a major expansion into Canada’s most populous province.

The Importance of Heading East

Abattis has national aspirations, certainly for its own lines of cannabis-related products but also for its lab services. Laboratories holding dealers licenses offer a host of important services, including: R&D, formulation, and manufacturing of cannabis products; extraction of cannabis oils; and testing and analytics for licensed producers. Having a lab in Ontario greatly expands the company’s reach.

Ontario is home to almost 40% of Canada’s people, and a staggering 60 out of the 112 total licensed producers currently approved in the country. When combined with BC’s 24 current licenses, Abattis will be offering critical lab services (contingent on completion and licensing of the Ontario operation) in provinces with 75% of the nation’s licensed producers and about 50% of the total population.

The lab will be located in Belleville, between Toronto and Ottawa, in a 320,000 square foot building judged to be suitable for a medical cannabis research laboratory by an outside consultant. The plan is to build the initial 10,000 sf operation in the building and expand as needed. The joint venture, with XLABS Therapeutics (ONT) Inc. (XLABS), is intended to create an extraction, purification, formulation, and production giant in the heart of Canada’s population and LP center.

Abattis recently completed the sale of its remaining interest in Northern Vine Labs, the small operation in British Columbia. Northern Vine was an excellent pilot lab for Abattis and a useful launching point for greater ambitions. Using the lessons learned over the last few years there, the company is focusing its efforts on the highest margin and highest upside aspects of the laboratory business in its new Ontario venture. Basically, the name of the new game is industrial scale extraction and consumer product development.

How It All Fits Together

Abattis has been busy over the last few months, developing and advancing all aspects of its comprehensive business plan. The company’s 100% owned subsidiary, late-stage licensed producer applicant Gabriola Green Farms, is constructing a cultivation and extraction facility in a final push to secure licensed producer status. Controlling its own raw material production is an important step for Abattis, both from a financial/bottom line and a product development/quality control standpoint.

Through its wholly-owned subsidiary Green Tree Therapeutics, Abattis has introduced three new cutting edge, Abattis branded vaporizers to the retail market. These types of products, along with other alternative methods of cannabinoid delivery, represent a fast growing segment of the cannabis market. Consumers are moving away from smoking, for health reasons and for reasons of convenience and public perception, and toward vaping, sublinguals, creams, and oils. Going forward, through Gabriola’s pending license to produce, Abattis would be able to load its vaporizer line with its own cannabinoid formulations and sell directly to consumers.

Many of these product categories are in their infancy, and Abattis is developing and distributing them using all arms of its operation. Products can be formulated for other companies on a white-label basis, or they can be developed for in-house brands. The company is developing a variety of cannabis-based beverages in partnership with other companies, and offers its own CBD sunscreen.

Abattis’ Vergence Naturals subsidiary is key in the company’s distribution model. With an established network of retail distribution, and a recently-launched marketing campaign to increase sales both through distribution partners and through the company’s own e-commerce site, Vergence plays a large role in monetizing Abattis’ expanding product line.

Additionally, Abattis is invested in one, and has a strategic partnership with another, blockchain technology company to help it keep track of product development history, sales, testing results, and similar data. The technology provides completely reliable records to the satisfaction of regulators and customers alike, and saves the company time and money by streamlining Abattis’ processes.

All of these initiatives together show a company constantly widening its reach into the most profitable and high growth sectors of the cannabis industry. Abattis is not racing the mega-producers to see who can grow the most cannabis flower. Instead, it is supporting these producers with critical lab services and product development capabilities. Meanwhile, Abattis is building its own empire, from seed to sale, of cannabis derived products across a wide variety of  industry niches.

Disclaimer  

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Recreational cannabis may be capturing headlines throughout North America, but medical cannabis remains the most established form of cannabis legalization in the United States. Thirty states have already legalized medical cannabis, while a bipartisan group of legislators introduced a bill earlier this year that could protect state marijuana legalization, medical marijuana, and decriminalization laws from federal interference.

With US medical marijuana retail expenditures estimated around $3 billion for 2017, it’s already an attractive market. A study in 2016 found that, in states with medical cannabis laws, Medicare prescriptions fell on average 11% for conditions commonly treated with cannabis. That 11% is no small slice of the prescription drug pie. Take just the most prevalent indication for medical marijuana users, chronic pain management, and the growth potential is astounding. According to Transparency Market Research, the global market for pain management is expected to grow from about $62 billion in 2016 to about $88 billion in 2025.

That’s a lot of opportunity, even when using the 11% figure for the market potential of cannabis as an alternative to prescription pharmaceuticals, the potential impact impact is billions of dollars.

Medical Marijuana Patient Breakdown

Empower Clinics Inc. (CSE: EPW) is capitalizing on these trends by establishing a nationwide network of medical cannabis clinics aimed at helping patients navigate a confusing market for cannabinoid-based treatments for various medical conditions. Empower is the first publicly traded medical marijuana clinic company with operations in the United States.

The Need for Medical Cannabis Clinics

The medical cannabis industry is changing quickly. Scientific research, hampered by federal regulations for years but on the rise recently, has shown important medical benefits from cannabis. Patients with real medical needs are increasingly looking at cannabis as an alternative to conventional treatments. It used to be that getting a ‘green card’ for medical purposes was mostly used as an avenue for legalized possession. Now, non-cannabis users are increasingly pursuing cannabis treatments, and they are looking for trustworthy medical advice and non-synthetic drug alternatives.

Cannabis retail shops are not medical clinics and do not have the expertise to diagnose conditions and prescribe treatments. The medical marijuana retail model started with people filling prescriptions from doctors but has become entangled in recreational sales. In short, budtenders are not doctors. There is a real need for licensed physicians, trained in the effects specific cannabinoids can have on specific conditions, to provide professional medical advice and patient care, and this is the Empower Clinic opportunity.

Even when licensed physicians are involved, most clinics do not have their own in-house formulated products so they are subject to the whims of what is available in local cannabis retailers. The store may not offer the ideal cannabinoid-based product for the treatment of a patient’s medical condition. Additionally, the prescribing physician cannot control the quality or reliability of the products offered at the retail store.

Building a Leading Presence

Empower Clinics is solving these issues by spreading its proven clinic business model and proprietary cannabis formulas across the US in legal medical jurisdictions. The company currently has 15 clinics across three states (Oregon, Washington, and Illinois) that are staffed with physicians from leading hospitals and medical schools, including Harvard, Johns Hopkins, and UCLA. In Oregon, Empower is responsible for issuing more than ⅓ of the state’s medical cards. Since its inception, the company has helped over 90,000 patients and has a roster of more than 27,000 active patients. Revenue from these patients topped $1.6 million last year and those figures are only projected to grow over the coming years.

After raising C$4 million in a private placement, the company looks to begin the process of building out a national clinic brand across all 30 states that have legalized medical cannabis with high-quality physicians, innovative patient tools (such as its mobile app), and a line of branded medical products. The company has already developed seven unique products under the Sollievo brand name that are available in more than 150 dispensaries in Portland alone.

Executive Team Experience

CEO Craig Snyder, a former US Naval Officer and graduate of the United States Naval Academy, previously founded two companies, SnapNames and Moniker, that he grew and sold. He also held executive positions with two companies from startup through IPO, Marchex and Go2Net. Experienced Board of Directors member Lorne Gertner is a legend in the cannabis industry, co-founder of Tokyo Smoke (now Hiku Brands), Cannasat Pharmaceuticals (first TSX listed medical marijuana company), and PharmaCan Capital (now NASDAQ-listed Cronos Group).

With Mr. Snyder’s start up experience in building young companies and Mr. Gertner’s acclaimed cannabis industry expertise, Empower’s leadership is well versed in creating value for shareholders.

Looking Ahead

Empower Clinics Inc. (CSE: EPW) represents a unique opportunity to capitalize on the medical cannabis industry. With 15 clinics in operation and the right model at the right time, the company is in position to grow across the United States’ legal markets. Investors may want to take note of the stock given the significant growth opportunities ahead.

For more information, visit the company’s website at www.empowerclinics.com.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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The cannabis industry is projected to reach $50 billion by 2026, according to Cowen & Co., driven by the legalization of adult-use cannabis across several states. While cultivators and dispensaries garner much of the attention, investors may want to take a look at ancillary companies that produce highly specialized products that could experience faster growth rates and have higher barriers to entry.

Koios Beverage Corp. (CSE: KBEV) (OTC: SNOVF) is developing cannabis-infused beverages that could make a dent in the nearly $2 trillion beverage industry. Investors may want to take a closer look at the stock given the industry’s recent developments and the company’s strong track record in producing functional beverages.

Growing Interest in Cannabis Beverages

The global beverage market is worth nearly $2 trillion and is projected to grow at a three percent compound annual growth rate through 2021, according to Research and Markets. In the U.S., the market is worth upwards of $350 billion, with alcoholic beverages making up about 60 percent of total revenue, according to Park Street, which added that smaller brands have been gaining market share across the board and disrupting the industry.

Last October, Constellation Brands Inc. (NYSE: STZ), a leading international producer of beer, wine, and spirit brands, announced a C$245 million investment in Canopy Growth Corp. (TSX: WEED), a leading licensed producers of cannabis in Canada, in exchange for a 9.9 percent equity stake. The move signaled that many leading beverage companies believe that cannabis has the potential to dramatically reshape the market.

Constellation Brands and many larger companies have been waiting on the sidelines thus far, but there are signs that the market could experience a near-term breakout. For example, the Cannabis Drinks Expo will debut in San Francisco next year and bring together drinks producers, manufacturers, brands owners, distilleries, and breweries, along with the beverage supply chain, to discuss the implications of legal cannabis on the market.

Koios’ Cannavated Beverage Looks to Capitalize

Koios Beverage recently announced the creation of Cannavated Beverage Co., a wholly-owned subsidiary, that will be among the first companies to produce cannabis-infused beverages. By leveraging its experience in the functional beverage space, the company aims to develop a line-up of beverages that merge the nootropic health benefits of its existing drink formulas with the significant potential of cannabis for medical users.

On June 28 the Company announced the first of its moves into the cannabis space, with an exclusive agreement with CanCore Concepts Ltd., which owns the industry-leading Keef Brands line of cannabis products.

The licensing agreement allows Keef Brands to include the Cannavated nootropic formula in Keef’s line of cannabis beverages. Keef Brands, through its licensed manufacturing partners, will produce, market and sell a line of beverages that are not only infused with cannabis, but also contain the nootropic supplements from the Koios line of brain enhancing functional beverages. The resulting product will be the first in the world to combine cannabis infusion with nootropic supplements that enhance the consumer’s mental acuity.

“The industry has proven it is going in the direction of cannabis-infused drinks,” said Koios CEO Chris Miller. “It’s healthier. Nobody wants to smoke anymore. The market for beverages is vast, especially when you consider the aging population and the demand for medical cannabis among seniors … We are especially excited about the possibility of combining CBDs with our proprietary nootropic blend to create cannabis-based cognitive beverages.”

Koios has been traditionally focused on developing functional beverages that improve cognitive performance. Using a proprietary blend of nootropics and natural organic compounds, the company’s growing beverage line-up aims to enhance productivity without the use of harmful chemicals or stimulants. The ingredients are specifically formulated to target brain function by increasing blood flow, oxygen levels, and neural connections.

With a distribution network of more than 2,000 retail locations across the U.S., the company has a well-established presence and is well-prepared to scale up into the cannabis industry. The company also has agreements with major distributors like Europa Sports, Muscle Foods USA, KeHE, and Wishing-U-Well, among others. These distributors are capable of reaching more than 80,000 locations, including Whole Foods and other major retailers.

The company also expanded into the Canadian market with direct shipments through its new online sales portal at www.mentaltitan.com/shop. After ramping up production following the construction of a new factory in Colorado, the company hopes to expand beyond Canada and the United States to international markets around the world.

The company’s experienced management team is backed by an equally impressive advisory board. Earlier this month, the company announced that CoorsMiller executive Josh Luman would join its board of advisors. Mr. Luman has built his own beverage brand and is an executive at one of the largest beverage brands in the world, making his expertise and industry experience priceless for the company moving forward.

Looking Ahead

Koios Beverage Corp. (CSE: KBEV) (OTC: SNOVF) represents a compelling investment opportunity focused on both nootropic beverages, and soon, cannabis-infused beverages. With Constellation Brands’ investment in Canopy Growth, the cannabis industry appears to be quickly moving in the direction of beverages as users look for alternatives to smoking and vaping, which may have adverse health effects associated with them.

For more information, visit the company’s website or download their investor presentation.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Tree of Knowledge International Corp. (CSE: TOKI) (OTC: TRKWF) recently began trading on the Canadian Securities Exchange, or CSE, following the reverse merger of Courtland Capital Inc. by private Nevada company Tree of Knowledge Inc.

Investors interested in capitalizing on the growing demand for cannabidiol (CBD) from hemp-based sources may want to take a closer look at the company — particularly given its strong management team and advisory board. According to the Hemp Business Journal, U.S. hemp-based product sales could reach nearly $2 billion by 2022, making it one of the fastest growing segments in the burgeoning cannabis space.

Unique Focus on Hemp-based CBD

Since its start in 2011, Tree of Knowledge has grown to become a leading producer and distributor of CBD rich hemp oil, capsules, tinctures, salvation balms, and other hemp-based products designed to provide consumers with a high-quality source of cannabidiol (CBD) — even in jurisdictions where marijuana isn’t legal, including much of Europe and Asia. CBD can be derived from either marijuana or hemp, and when it is derived from USDA approved industrial hemp, there is protection under US Farm Bill legislation from enforcement action by regulators in the US.

The company’s products consist of hemp-based CBD cannabinoids along with other organic, gluten-free, and vegan natural ingredients. After using a third party to test all of its products, the company labels each product with a QR code where customers can login and see the Certificate of Analysis to confirm purity and be assured that there are no pesticides, microbial, or heavy metals in the product. These products are sold throughout North America, South America, Asia, and Europe, with support from many medical professionals.

The company also plans on launching an innovative genetic enzyme marking technology in the near-term to help healthcare practitioners read the genetic disposition of a patient to see how they will metabolize various cannabinoids. In addition, the company’s exclusive BrainBot™ license also enables it to provide healthcare practitioners with an EEG headband to see how cannabinoids affect patients. These tools could make it easier for healthcare practitioners to recommend hemp-based products to their patients.

Experienced Founders

Brian Main and Michael Caridi founded Tree of Knowledge as a small boutique hemp oil operation in 2011 that has become an internationally recognized firm.

Mr. Main began his career in the U.S. Marine Corps in a security role guarding classified materials with an ETNAC-5 security clearance. After serving his country, he studied microbiological genetic technologies at Eastern Washington University before being recalled to duty in Operation Desert Storm in 1991. Upon returning, he worked in the family real estate business before starting several of his own ventures in the mid 1990s. He has focused exclusively on the medical marijuana and industrial hemp industries since 2011.

Mr. Caridi is the Managing Director of Bedford Capital Partners, which specializes in business development and consulting across various industries. With over $200 million in deal flow in his career, Mr. Caridi has held roles in the development of diabetic, Alzheimer’s diseases, and regenerative skin companies, as well as worked in real estate projects, such as the demilitarization and scrapping of the USS Bennington aircraft carrier and various construction projects with Fortune 500 companies over several years.

These two co-founders are well positioned to grow the company over the coming years given their extensive expertise across many different industries in the past.

Strong Advisory Board

Tree of Knowledge has amassed a strong advisory board following its success in growing its operations around the world.

Dr. Sanjay Gupta is perhaps one of the most well known advisory board members. In addition to serving as President of DrCircle.com, he has appeared on various television platforms and as the Director of Health Time TV, comprised of more than 160,000 medical professionals. He is a Harvard trained pain specialist and President of the American Pain Association, as well as an outspoken proponent of medical marijuana and its role in fighting the opioid epidemic.

Ambassador Jack Brewer is also very well known as a NFL player for the Minnesota Vikings. After a career as an exceptional special teams player and versatile defensive back, he accepted a position as a wealth manager at Merrill Lynch in the Global Private Equity Client Group in New York City. He then struck out on his own as the CEO and Portfolio Manager of The Brewer Group, which makes investments into private and public companies across many different vertical markets.

Christopher Kaplan has over 25 years experience in life sciences with a successful track record that covers R&D, operations, strategy, business development and M&A. He has pioneered new drug development activities in support of a more personalized medicine approach to patients care. Throughout half of his career, he lived and worked outside of the U.S., providing TOK/EVR with a strong global biopharma perspective. He has also held significant Global, European, and US leadership roles at Bristol-Myers Squibb, Novartis, Boehringer-Ingelheim, and most recently, as Senior Vice President and Head of North American for Sanofi. Chris holds a Bachelor’s degree from Columbia University and a Masters degree from the University of Pennsylvania.

The company also has several other advisory board members that have strong expertise throughout the cannabis industry supply chain and related industries. This experience will help guide the company as it continues to make progress building out its business presence around the world.

Looking Ahead

Tree of Knowledge International Corp. (CSE: TOKI) represents a compelling investment opportunity in the global hemp industry. After going public on the CSE, the company’s strong management team and advisory board are well positioned to capitalize on the growing demand for hemp-based products and ultimately build long-term value for shareholders. Management expects to generate $5.3 million and $28 million in revenue in 2018 and 2019, respectively, before reaching $49 million in revenue by 2020.

For more information, visit the company’s website at www.evrcbd.com.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Cannabis producers may have been the best investment opportunities in the early phases of the industry, but retail and brands are quickly growing in importance as the market evolves. Today, investors have real access to businesses across higher-value areas of the supply chain than growers. Last week’s announcement regarding Canopy Growth Corp.’s (TSX: WEED) (NYSE: CGC) $350 million (fully diluted) acquisition of Hiku Brands Co. Ltd. (CSE: HIKU) — owner of the Tokyo Smoke chain of coffee shops in Canada — underscores this new trend.

Hiku has a handful of coffee shops in Ontario that sell cannabis accessories, but it won’t be allowed to sell adult-use marijuana in the province unless Premier Doug Ford changes the rules. The company also has a shop in Calgary. The only clear path Hiku has to selling legal cannabis is in their 10 locations in the Province of Manitoba with a population of 1.3 million. The company has applied to open stores in Alberta, population 4.3 million, and is working with an applicant to open stores in Newfoundland, population 0.5 million.

Canopy Growth acquired Hiku to strengthen its retail and brand portfolio. While Hiku was already set to merge with another licensed producer, which required a $10 million break-up fee, Canopy Growth went over the top to own Hiku’s brands. This is a sign of how competitive the cannabis industry has become in recent months, on the heels of the two pre-eminent cannabis companies in the U.S. going public: Green Thumb Industries Inc. (CSE: GTII) and MedMen Enterprises Inc. (CSE: MMEN) (OTCQB: MMNFF).

MedMen appears particularly well-positioned as a branding machine; having built to date one of the most recognized brands in the industry, being dubbed “the Starbucks of Weed” and drawing comparisons to Apple Stores.  At the core of MedMen’s success has been their marquee retail locations in the most iconic shopping districts in the United States. The company currently has 13 stores in three states and licenses for 45 in 5 States which the company says will all be open by 2020, plus five large scale cultivation and manufacturing facilities.

MedMen 5th Avenue Retail Store, New York

The current MedMen stores are located in Tier 1 markets in California, Nevada and New York.  These three markets collectively address 383 million potential customers based on demographic data compared to 44 million in Canada. By putting the stores in high profile shopping districts such as Los Angeles’ Abbot Kinney, Beverly Hills, near the Las Vegas Strip, Downtown Las Vegas and New York’s Fifth Avenue, MedMen is creating a dominant retail brand that is building equity with the consumers of this emerging industry.

Transaction Highlights Value of MedMen’s Assets

While establishing its robust retail presence and brand, MedMen aims to control the entire supply chain in all the markets where it operates. The company has its own production facilities capable of producing about 5,000 kg/year currently. Next year, the company will be going live on a new facility in California that will double its production capacity. Owning the entire vertical gives MedMen leverage against vendors and the ability to build and distribute product brands consistently across the U.S.  In the U.S., cannabis cannot cross state lines so products must be produced and consumed inside each state. With factories and retail presence in every market, MedMen is uniquely positioned to manufacture and distribute nationally branded products consistently.

It is a model the company plans on replicating in all the markets it enters. In early June, the company announced that it secured one of 13 licenses in Florida with the right to open 25 dispensaries. Florida is the country’s fourth most populous state with a thriving medical marijuana program and one of the largest addressable markets in the world.

The verdict is still out on who will own the U.S. market, but MedMen has a large head start. The Florida acquisition is proving that going public has only added velocity to the execution of its strategy.

Looking Ahead

Canopy Growth’s willingness to pay $350 million for a brand with a retail niche in a small Canadian market suggests that companies like MedMen — with presence in major U.S. markets, with cultivation and manufacturing to boot — hold tremendous value.

Key U.S. cannabis markets where MedMen operates, such as California and Nevada, already offer a full spectrum of cannabis products legally to consumers, whereas the Canadian industry will start with limited varieties.  There is a clear pathway to supporting states’ rights to legalize cannabis and the majority of the public supports legalization in the U.S. Accordingly, U.S. investments could offer a better value than Canadian investments given their lower valuations when looking at tangible revenue growth and earnings.

For more information about MedMen, visit the company’s website or download their investor presentation.

Disclaimer  

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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NanoSphere Health Sciences Inc. (CSE: NSHS) is on the cutting-edge of cannabinoid delivery science with its patented NanoSphere Delivery System™. Its cannabis brand, Evolve Formulas, has commercialized this delivery platform through its pioneering product, NanoSerum™, which uses one-of-a-kind nanotechnology to encapsulate cannabinoids in lipid membranes for direct delivery through the skin and into the circulatory system within minutes for rapid and effective relief from pain, inflammation and anxiety. The product has been called life-changing by some, opening new doors for people exploring alternatives to more conventional treatments.

David Sutton, COO of NanoSphere, knew they had something special after his mother tried an early formulation of Evolve Formulas NanoSerum™ to help ease symptoms of Crohn’s disease.

“When we were in the initial R&D stage of applying our technology to cannabis, we had a couple of prototypes, and my father – CEO of NanoSphere – brought one home. My mom had a Crohn’s attack about to begin, and when that happens, she gets a lot of spasms in her GI tract, and it’s extraordinarily painful, and it lasts for up to 12 hours. My father said, ‘Why don’t you just try this?’ Not even really thinking about it, just trying to give her some relief. She rubbed it on her stomach and her abdomen, and within a minute her spasms stopped, and they did not return.”

Sutton calls the effects “incredible,” stating that no mainstream medication he’d heard of had ever been able to do what the NanoSerum™ did.

“From there, we went full force into creating the best product we could,” he explains.

Emily Anderson, a 21-year-old college student, began using NanoSerum™ after being told about it by a friend. Anderson has suffered from extreme PTSD following a sexual assault in 2015.

“It was the only thing that ever actually worked,” she tells CFN Media. “I’ve been on so many different medications, the majority of which had terrible side-effects, but NanoSerum™ has given me my life back.” Anderson states she uses the product for both anxiety and to help combat shoulder pain that she believes is exacerbated by her PTSD.

“NanoSerum™ is anxiety relieving, but the pain relief in my shoulders is the most important benefit. Anxiety causes loads of knots in my shoulders and Evolve Formulas products help to soothe the pain.”

NanoSphere Health Sciences Inc. (CSE: NSHS) is on the cutting-edge of cannabinoid delivery science with its patented NanoSphere Delivery System™. Its cannabis brand, Evolve Formulas, has commercialized this delivery platform through its pioneering product, NanoSerum™, which uses one-of-a-kind nanotechnology to encapsulate cannabinoids in lipid membranes for direct delivery through the skin and into the circulatory system within minutes for rapid and effective relief from pain, inflammation and anxiety. The product has been called life-changing by some, opening new doors for people exploring alternatives to more conventional treatments.

David Sutton, COO of NanoSphere, knew they had something special after his mother tried an early formulation of Evolve Formulas NanoSerum™ to help ease symptoms of Crohn’s disease.

“When we were in the initial R&D stage of applying our technology to cannabis, we had a couple of prototypes, and my father – CEO of NanoSphere – brought one home. My mom had a Crohn’s attack about to begin, and when that happens, she gets a lot of spasms in her GI tract, and it’s extraordinarily painful, and it lasts for up to 12 hours. My father said, ‘Why don’t you just try this?’ Not even really thinking about it, just trying to give her some relief. She rubbed it on her stomach and her abdomen, and within a minute her spasms stopped, and they did not return.”

Sutton calls the effects “incredible,” stating that no mainstream medication he’d heard of had ever been able to do what the NanoSerum™ did.

“From there, we went full force into creating the best product we could,” he explains.

Emily Anderson, a 21-year-old college student, began using NanoSerum™ after being told about it by a friend. Anderson has suffered from extreme PTSD following a sexual assault in 2015.

“It was the only thing that ever actually worked,” she tells CFN Media. “I’ve been on so many different medications, the majority of which had terrible side-effects, but NanoSerum™ has given me my life back.” Anderson states she uses the product for both anxiety and to help combat shoulder pain that she believes is exacerbated by her PTSD.

“NanoSerum™ is anxiety relieving, but the pain relief in my shoulders is the most important benefit. Anxiety causes loads of knots in my shoulders and Evolve Formulas products help to soothe the pain.”

Learn more about NanoSphere Health Sciences Inc. (CSE: NSHS) by visiting their website or downloading their investor presentation.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post NanoSphere Health Science’s Evolve Formulas NanoSerum™ Shows Promise According to Users appeared first on CannabisFN.

The blood brain barrier is highly effective at protecting the brain from blood-borne pathogens, but it makes it challenging to treat many nervous system disorders. While there are several techniques that researchers have tried, they only work with a small subset of active pharmaceutical ingredients. There is no widely used solution that enables researchers to embed any active ingredient and effectively reach the brain.

Lexaria Biosciences Inc. (OTCQX: LXRP), which originally developed its DehydraTECH™ platform to increase the bioavailability of cannabinoids, has since broadened its focus well-beyond the cannabis industry. A recent discovery suggests that the proprietary platform may be effective in enabling researchers to deliver APIs past the blood brain barrier. And, investors may want to take note of these developments.

Blood Brain Barrier Challenges

The blood brain barrier is designed to protect the brain against circulating toxins in the blood stream. Most charged molecules and molecules over 700 Daltons in size are unable to pass through the barrier, and smaller molecules are often conjugated in the liver. A leaky blood brain barrier is associated with neurological diseases, like epilepsy, brain trauma and edema, and systemic diseases, such as liver failure.

While the blood brain barrier is helpful for protecting the brain, it makes it difficult to treat diseases and disorders of the brain and central nervous system, such as Alzheimer’s disease, Parkinson’s disease, bacterial and viral infections, and cancers of the brain. Many traditional pharmaceuticals try to get around these issues by creating liposome-based carriers, synthesizing polymers, or binding the drug to a carrier — but each method has its drawbacks.

Researchers continue to seek out innovative new technologies to enable active pharmaceutical ingredients, or APIs, to cross through the blood brain barrier without degrading or becoming less effective. For example, insulin can be transported across the blood brain barrier, but the specificity of the transporter is too high for most pharmacological agents covalently linked to insulin to cross the barrier.

DehydraTECH’s™ Advantages

Lexaria Biosciences recently announced that its DehydraTECH™ drug delivery platform demonstrated enhanced drug delivery to brain tissue. In particular, the company’s in-vivo nicotine animal studies showed that up to 560 percent more nicotine was delivered to brain tissue utilizing DehydraTECH™ compared to concentration-matched controls lacking the DehydraTECH™ enhancements — which conjugate or join with  APIs for maximum delivery.

The researchers were originally focused on the development of nicotine replacement products. After all, the company could develop oral nicotine products with the same effect as inhaled nicotine, but without the harmful cancer-causing effects of combustion. But, the surprising discovery also suggests that DehydraTECH™ could have a much larger role in treating nervous system disorders by effectively transporting across the blood brain barrier.

After making the discovery, the company filed a new patent application with the USPTO for innovative treatment options for central nervous system diseases and disorders, including ADHD, anxiety, depression, OCD, schizophrenia, Alzheimer’s, Huntington’s, Parkinson’s, neuropathic pain, and more. The company hopes to leverage this patent in the future to develop or outlicense innovative new products using its DehydraTECH™ platform.

Looking Ahead

Lexaria Biosciences Inc. (OTCQX: LXRP) represents a compelling opportunity in the biotech space with its DehydraTECH™ platform. With about 50 patents granted or pending worldwide, the company has made tremendous progress in building its DehydraTECH™ franchise to include the delivery of cannabinoids, terpenes, terpenoids, NSAIDs, vitamins, nicotine, testosterone, and many other drugs.

For more information, visit the company’s website at www.lexariabiosciences.com.  

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post Lexaria DehydraTECH™ Shows Promise in Nervous System Disorders appeared first on CannabisFN.

The cannabis industry is projected to exceed $50 billion by 2026, according to Cowen & Co., driven by the legalization of medical and adult-use cannabis across a growing number of states. While the federal government is making progress towards legalization, many states have introduced their own medical or recreational programs that have seen enormous success. Investors may want to take a look at companies building market share in these states.

Grown Rogue is a ‘seed-to-experience’ cannabis brand with a focus on environment, community, and education. With over 50 years of combined cultivation experience, the company develops top-shelf flower and extract products with unparalleled transparency and integrity. All of the Grown Rogue products are Clean-Green Certified and classified by experience or “effect” based on a scientific study designed by research psychologists at University of California – Santa Barbara. The team began in Oregon and plans to continue expanding in California and Nevada where recreational and medical cannabis has been legalized.

Click Here to Receive a Going Public Alert.

Highest Standards Growing Operations

Grown Rogue has both state of the art indoor and outdoor cultivation operations that work together to produce an industry-leading line-up of cannabis products.

The company’s two outdoor operations are located in the world famous Rogue Valley region of Southern Oregon, one of the most well renowned cannabis production areas in the entire world. With a diverse microclimate, the company’s experienced team produces the most consistent and high-quality products in the market.

The company’s two outdoor growing operations include:

• Manzanita Glen – A wide open valley with individual cedar beds nestled between groves of manzanitas and madrones.
• Trails End – The first garden built by Grown Rogue’s team under Oregon’s Medical Marijuana program in 2006, sports long terraces on a south facing hillside that results in excellent terpene development..

In addition to its outdoor properties, the company operates a 17,000 sq. ft. state-of-the-art indoor cultivation facility with eight flower rooms at full capacity and a dedicated team of cultivators and scientists that ensure the highest quality products. This facility allows the Grown Rogue team to produce year round flower (harvests every 10 to 14 days) to provide the best and most consistent products possible to the Oregon market.

All of the company’s products are certified by two leading programs:

• Clean Green Certification indicates that the company’s flower is produced using sustainable, natural and organically-based best practices.
• Phylos Certification is designed to provide a detailed, interactive genetic map of thousands of cultivars.

These diverse cultivation operations and the dual-certification of products set it apart from many competitors in the space focused exclusively on maximizing revenue rather than developing high-quality products that maximize profitability.

Diverse Product Portfolio

Grown Rogue has a diverse portfolio of cannabis flower, pre-rolls, concentrates, and oils, which are designed to deliver ‘the right experience every time’. Dispensaries and customers trust the company to provide consistent, high-quality products in a wide range of sizes and experiences that each produce a different therapeutic or recreational experience.  Grown Rogue aims to provide a consumption method for every consumer and has partnered with an international award-winning chocolatier to launch a high end edibles line in 2018.

Click Here to Receive a Going Public Alert.

The company has partnered with industry leaders to research and develop proprietary genetics for its cannabis strains. Using proprietary algorithms that consider all aspects of the finished product and qualitative data from the cannabis community, the team quantifies the experience that a given strain will produce and determines on an ongoing basis what strains to include in its select portfolio that is continuously optimized over time.

These strains target five different medicinal and recreational aims:

• Relax – Strains designed to help people slow down and sleep.
• Optimize – Strains designed to help people focus and become creative.
• Groove – Strains designed for casual conversations and mindfulness.
• Uplift – Strains designed for daytime hikes or other activities like a concert.
• Energize – Strains designed for parties or vigorous activity.

These products are leagues apart from many generic competitors that don’t have methods in place to discern the effects of various strains. By taking a scientific approach to the process, the company has developed products that consumers can rely upon for a certain experience.

Looking Ahead

Grown Rogue has not only built up a presence in California and Oregon — it has pending licenses in Nevada and plans to expand into more markets in the near future. In addition to this geographic footprint, the company’s innovative cannabis flower, pre-rolls, concentrates, and oils are leagues apart from the competition. Investors may want to take a closer look at the company given management’s strong track record of execution and the many near-term catalysts.

For more information, visit the company’s website at: www.grownrogue.com

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The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Canada recently passed the Cannabis Act and full federal legalization is finally set to happen in mid-October. Licensed producers have been working to scale up their production, but relatively few investors are familiar with micro-cultivation.

RavenQuest BioMed Inc. (CSE: RQB) aims to help micro-cultivators move from the black market into the legal ACMPR framework in exchange for equity and/or royalty agreements. Investors may want to take a closer look at the stock after the company signed its first letter of intent in the space to prove out the business model.

Micro Cultivation & Processing

The Government of Canada introduced Bill C-45 — better known as the Cannabis Act — in April 2017 to legalize and regulate cannabis throughout the country. After passing the Senate this week, the bill will be signed into law following the Royal Assent and Prime Minister Justin Trudeau expects cannabis to be fully legalized on October 17 — a slight delay from the anticipated July launch date.

A little-known element of Bill C-45 is the introduction of micro-cultivation and processing as a means to produce cannabis. This license category is designed to enable the participation of small-scale growers in the legal cannabis industry by authorizing the same activities as a license for standard cultivation at a smaller scale.

The final draft of the bill cited the following requirements:

• Micro cultivation permits would authorize a canopy area of no more than 200 square meters — or 2,153 square feet.
• Micro processing permits would permit the processing of no more than 600 kilograms — or 13,228 pounds — of dried cannabis per year, or the entire output of a single micro-cultivation license.

The government’s intent with these micro-cultivation licenses is to bring former MMAR and compassionate-use producers into the legal fold. With limited resources and a small production footprint, many of these cannabis producers operate in the black market and outside of the scope of the ACMPR. The government hopes to bring these producers into the legal realm and help them comply with the new laws.

RavenQuest Acquires Elephant Extracts

RavenQuest BioMed Inc. (CSE: RQB) recently announced a letter of intent to acquire a majority 51 percent equity stake in Elephant Extracts, a license applicant under the ACMPR and a distributor of cannabis products and accessories. The company owns a. production facility that will be classified as a “micro cultivator” license upon passing of the Cannabis Act in Canada — meaning it could produce up to 600 kilograms per year.

“RavenQuest is committed to helping micro cultivators come into the legalized space across the country,” said CEO George Robinson. “We expect this will be the first of many micro cultivators to work with RavenQuest. Our services division, which has helped several LPs become licensed, brings an expertise which is unmatched in the cannabis space. Our experience in this highly regulated space brings precisely what is needed by the many micro cultivators who wish to properly transition to the legalized space.”

Under the terms of the agreement, RavenQuest BioMed would receive a controlling 51 percent interest in the company that can be redeemed at any time after it receives a license to produce under the ACMPR. The company will also be granted an ongoing royalty of 15 percent of the gross revenue from production at the facility developed by Elephant Extract. The transaction is subject to due diligence and other considerations before being executed.

The company’s goal is to help a select group from these thousands of these smaller producers move into the legal market through the micro-cultivation license option. Because of its consulting division and lengthy experience in this area, RavenQuest is uniquely qualified to do just that. In addition to helping them navigate the legal requirements, RavenQuest BioMed offers these companies access to its breakthrough cannabis cultivation technologies including the Orbital Garden 2.0. These technologies can help micro-cultivators greatly increase their production from the limited footprint that they’re permitted.

Looking Ahead

Micro-cultivation will play a big role in the newly legalized cannabis market. For a historical comparison, consider the fact that tobacco companies leveraged small producers to meet tremendous demand early in that industry’s formation. These same dynamics are true in the cannabis industry where standard licensed producers will have trouble meeting the significant demand for cannabis following recreational legalization.

RavenQuest BioMed Inc. (CSE: RQB) is well positioned to capitalize on these dynamics by working with micro-cultivators. In exchange for its expertise, the company could gain access to a combination of equity and royalty payments from these smaller producers.

For more information, visit the company’s website at www.rqbglobal.com.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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BlissCo Cannabis Corp. (CSE:BLIS)(FRA: GQ4B) is a Canadian licensed producer of legal cannabis, and a company that subscribes to the old maxim, “From humble beginnings come great things.” Considering recent company developments, BlissCo appears to be much closer to the ‘great things’ end of the saying than to the ‘humble beginnings’ phase. The company is quickly moving forward with its plan to develop a complete ecosystem of cannabis product development, focusing on branding and packaged goods for both the Canadian market and for the emerging global industry.

Advancing the Licensing Process

BlissCo received its cultivation license under the Health Canada ACMPR program on March 29, 2018, and started cultivation within a month. Not content to wait, with full legalization scheduled for this fall, the company took advantage of its supply agreement with The Supreme Cannabis Company (TSX-V: FIRE) to jumpstart the application process for its sales license. BlissCo accepted the first shipment from the two year, 3,000 kg agreement so it could properly package and process the flower for its application to sell dried cannabis. The company plans to complete that application in July and is hopeful of award in September, ahead of the scheduled October 17 legalization date.

Meanwhile, BlissCo submitted its application for a cannabis oil production license on June 6. The oil license is a crucial piece in the company’s strategy, as it has designed its Vancouver-area facility to be a medical-grade, high volume production, packaging, and distribution center for cannabis derived products. BlissCo anticipates producing 420 kg annually from Phase 1, with an expansion to follow. The company intends to create both medical and recreational products, utilizing an advanced extraction system to create full spectrum oils that maintain the extensive terpene and component profiles of the original plants.

International and Alternative Markets

With Canada’s licensed producers providing much of the supply due to the maturity of its regulated market, the emerging world export market is estimated at around $200 billion dollars. That number will likely grow in the coming years as more countries recognize the benefits of cannabis as medicine. An impressive list of countries have recently developed medical programs, including Australia, Peru, Mexico, Germany, Greece, Italy, and Poland. It’s a trend that is turning into a wave, and BlissCo intends to ride it.

Upon the anticipated receipt of its sales license, the company intends to apply for export permits to a variety of countries. In preparation, and as an example of the company’s strategy, BlissCo announced a letter of intent with a German company to sell and distribute 720 kg of flower product in Germany. The German market is the most mature in Europe and has the greatest potential at this point due to the size of the population and the fact that the government provides insurance coverage for medical cannabis. Demand is expected to far outstrip domestic German supply over the next few years, making it an even more enticing market for the company. In another nod to the German market, BlissCo is colisted on the Frankfurt stock exchange, an emerging source of capital and investor interest for public cannabis companies.

The company is also looking to enter the alternative and complementary medicine market. Development of natural medicines derived from cannabis, medicines that don’t require elaborate and expensive clinical trials, will give BlissCo access to another lucrative market that is estimated to reach nearly $200 billion globally in the coming years. It’s a natural fit for the company’s overall strategy of building a complete ecosystem of cannabis-related products. Still, the company plans to pursue the clinical trial model as well, recognizing the value that scientific validation and drug approvals can return for the company.

The BlissCo Ecosystem

From its humble beginnings in 2013, BlissCo has patiently built the foundation and is executing on the construction of the great things envisioned by the company. Maintaining its small company approach has allowed BlissCo to nimbly adapt to the ever-changing industry, and developments are coming fast and furious over the last few months. By leveraging key partnerships and licenses, the company continues to build the ecosystem of a small organization with big global aspirations.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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As the cannabis industry comes of age, gains acceptance among a wider population, and develops more rigorous standards, companies that produce trusted, consistent, safe, and proven products should tend to win out. The science of cannabis is really in its infancy due to long-standing legal difficulties with studying the plant, but it is moving forward now at increasing speed. Along with the science of how cannabis works comes the necessity to consistently produce and test for certain characteristics, like cannabinoid and terpene profiles, in order to achieve the desired results. And, as several Canadian producers have discovered, selling products with unapproved additives can lead to a disastrous erosion of public trust.

Valens GroWorks (CSE: VGW) is a licensed producer going to great lengths to ensure quality and consistency throughout its operations. With three subsidiaries that cover the product life cycle from seed to sale, and a company-wide commitment to adhering to the strictest standards of quality, Valens is aimed squarely at the high value market for cannabis extracts and related products both in Canada and internationally.

ISO Certified Lab

Valens recently announced that its wholly-owned lab, Supra THC Services, obtained ISO 17025 accreditation for cannabis testing. Achieving such accreditation validates the laboratory and its results, engendering trust for the company’s clients. According to the International Organization for Standardization (ISO), this certification standard makes it so “test reports and certificates can be accepted from one country to another without the need for further testing, which, in turn, improves international trade.”

Supra THC Services lab equipment

Supra is the first cannabis-focused, licensed Canadian lab to achieve the certification. With recent product recalls due to pesticides fresh in both consumers’ and licensed producers’ minds, the ISO accreditation could be a major boon to the company’s testing business. But the implications go deeper than that. Valens is developing its own line of products, utilizing the company’s state of the art production and extraction techniques. Having these products tested in the ISO-certified lab should help the company validate its products and meet even the strictest regulations, whether in Canadian or international markets.

Supply Chain Control

One thing about extracted and derivative products is sure: like the old computer programming adage GIGO, if you put garbage in to the front end of the process, you’ll get garbage out of the back end. In order to produce consistent and high quality end products, the best cannabis raw material must be used. Right now, the highest standards for production in the industry come out of Europe. With that market emerging as a major target for cannabis trade, companies are smart to meet those standards.

Valens Farms, another Valens GroWorks subsidiary, recently announced the progress being made on the company’s 400,000 square foot greenhouse cultivation and production facility in Armstrong, BC. The facility is a joint venture with a real estate development company, and is already permitted to expand up to 800,000 sf if the companies choose. Importantly, it is being built to European Union Good Manufacturing Practices (GMP). The addition of this high volume, state of the art facility will allow the company to ensure the highest quality of cannabis as a starting point for its derived products.

Those products will be developed through the company’s third subsidiary, Valens AgriTech. That company’s 17,000 sf facility houses cultivation, extraction, and research activities and is in the process of becoming GMP-certified. Valens also recently moved its Supra THC Services operation there, increasing the company’s efficiency and utilizing the synergies between the subsidiaries. Valens AgriTech holds a Dealer’s License that allows for cultivation, processing, oil production, and sales of those oils through licensed producers. The company is in the late stages of the ACMPR application process to become its own Licensed Producer.

Put it all together and you have a company that is committed to the highest quality standards on the planet throughout the cannabis life cycle. Valens may seem like a small licensed producer located in the heart of British Columbia, and it is. But the company’s goals extend far beyond the Okanagan region, and it appears that the foundation is in place to achieve those goals.

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The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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With several states within the US offering legal adult-use cannabis now, and after years of Canadian legal medical sales, data can be parsed to reveal market trends and see where the industry is headed. In all cases, sales of oils and extracts (and products created from them like edibles) are greatly increasing whereas flower sales have plateaued or are growing much more slowly. In Canada, where figures are from the medical market only, oil sales are growing at a compounded rate of about 170% per quarter over the last three years. Flower sales have grown about 20% per quarter over the same period. In Colorado last year, concentrate sales grew 37.5% and edible sales grew 25% from the previous year, while flower sales grew 1.8%.

While many Canadian Licensed Producers have focused on maximizing flower production ahead of recreational legalization, some are taking a more strategic approach. BlissCo Cannabis Corp. (CSE: BLIS) (FRA: GQ4B) is a prime example of a smaller LP focused on the highest growth sectors of the industry. With a purpose-built facility designed for high-throughput extraction, production, and packaging, BlissCo is focused on branding and distribution of high margin, consumer friendly products for both medical and recreational applications. The company’s recent corporate update does a fine job of summarizing BlissCo’s position in light of Canada’s historic vote to fully legalize cannabis for adult use.

BlissCo Recent Developments

BlissCo recently announced its application for a cannabis oil license amendment to the company’s ACMPR cultivation license. At the same time, the company brought in Canada’s first MIDAS XII CO2 extraction machine. The patented system allows for clean extraction of cannabis terpenes and cannabinoids, delivering the whole plant profile to take advantage of the well-documented entourage effect of cannabis actives.

Vanguard Scientific, a Portland Oregon based company, spent years developing the technology in search of the most efficient way to extract oils while maintaining the viability of the widest range of active ingredients possible. The company claims the MIDAS system offers the lowest cost per gram of oil in the industry.

Upon receipt of the oil license, BlissCo anticipates producing up to 420 kilograms of oil in the first year of production. The cannabis oil will be used to create medical cannabis tinctures and capsules, and BlissCo is projected to apply for a medical cannabis oil sales license this winter. Considering that new cannabis products (e.g. vape pens and edibles) are likely going to be federally legal in Canada for the recreational market later in 2019, BlissCo will begin to do initial product development work in advance of the company earning its Dealers License to conduct research and development.  

The company grows its own cannabis to supply these efforts, and has an agreement in place with Supreme Cannabis (TSX-V: FIRE) to purchase 3,000 kgs of flower to ensure the flow of raw material as the company ramps up its own production.

Branding in Lucrative Markets

BlissCo’s focus on branded products makes a lot of sense in numerous market verticals as the cannabis industry spreads out. According to BDS Analytics, brands in Colorado held a 19% market share in 2014 and a 38% market share in 2017. Some of the highest growth brands in legal markets are offering products marketed toward specific uses, like sleep aid or anxiety help.

These trends dovetail nicely with BlissCo’s plan, and their recently-announced entry into the complementary and alternative medicine market highlights the strategy. The company added naturopath Dr. Bryn Hyndman, former director of Qi Integrated Health in Vancouver, to its advisory board. She will help guide the company as it develops products aimed at the alternative medicine space and will also assist the company in designing clinical trials for its products.

The complementary medicine market has exploded in recent years as consumers seek alternative and preventive methods for improving general health and staying away from chronic conditions that require extensive treatments. Cannabis has shown promise in a number of areas such as chronic pain, anxiety, and sleep issues, and there is currently plenty of room in the market for newly-developed cannabis products designed to mitigate these conditions. Overall, Grand View Research estimates global spending on alternative medicine will reach nearly $200 billion by 2025.

In another sign of BlissCo’s commitment to expanding into a variety of markets, the company recently signed an LOI with an established German distributor. The outline of the agreement is for BlissCo to sell 720 kilograms of dried flower to the German entity, pending the finalization of the agreement and the necessary licenses and certifications. “BlissCo is focused on building a strong ecosystem that includes partnerships in countries where cannabis is federally legal such as Germany to further establish the BlissCo brand as a premium craft cannabis product in the medical and recreational market,” said BlissCo CEO Damian Kettlewell.

BlissCo Development on Track

BlissCo is smartly executing on its plan to build brands, both medical and recreational, that return high margins as the cannabis industry moves away from dried flower and toward extracts, oils, and derivatives. It has facilities in place, supply secured, and is actively moving toward full licensing that will trigger the whole thing. With recreational cannabis coming online in Canada, the company’s timing appears to be spot-on.

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The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Sproutly Inc. is going public today, Monday July 9, on the Canadian Stock Exchange under the ticker (CSE: SPR). What follows is an overview of the company, originally published a couple of weeks ago. Going forward, there will be more information in this space regarding Sproutly. For now, please take a look at the company’s unique position and groundbreaking cannabinoid discoveries…

In the nascent, ever-evolving cannabis industry, value drivers rise and fall. For a while, securing a Canadian license to cultivate was the big thing. As more companies cleared that hurdle, footprint and production capacity took over. Looking into the not too distant future, consistent and quality production at low cost seems likely to be very important. Then, as flower becomes commoditized and prices settle, a focus on branding and high margin products derived from cannabis could become a focus. But there is one underlying issue many companies are trying to solve that has the potential to open up whole new worlds of cannabis products: cannabinoid delivery.

Sproutly Inc. is a private company going public in Canada in the very near future. The company’s wholly owned subsidiary, Toronto Health Remedies, recently received its ACMPR cultivation license for its state of the art 16,600 square foot production facility. On a parallel track, Sproutly is nearing completion of the acquisition of Infusion Biosciences Canada, a company with Canadian and international rights to a proprietary technology platform for the extraction of water soluble cannabinoids. The company’s discovery of, and ability to recover, naturally occurring water based cannabinoids has the potential to revolutionize the cannabis industry and solve many of the issues surrounding cannabinoid delivery.

Revolutionary Cannabinoid Technology

As an overview, cannabinoids have been traditionally thought of as lipophilic and hydrophobic. In other words, they travel in fats (think of oil extracts or butters used in edibles) and don’t mix with water. When ingested in edibles or drinks, this means that the body needs to digest them before they can enter the bloodstream, leading to a host of problems including delayed and inconsistent onset, low percentage of active ingredients actually reaching the bloodstream, and an uncertain end to the desired effects of the drug. It’s a commonly known issue in the industry, and in the interest of brevity we won’t delve too deeply into the science right now but the research is out there to be found by interested parties.

What Sproutly and Infusion Biosciences have found turns the science of cannabis on its head. The company has discovered naturally occurring versions of cannabinoids and terpenes in the cannabis plant that are water based, not oil based. It has developed a patent-pending technology to gently and completely extract these cannabinoids while maintaining all of the qualities of the original cannabis flower. As opposed to traditional oil based extraction methods which often damage or alter some active ingredients, the company’s APP (Aqueous Phytorecovery Process) Technology accomplishes complete and clean extraction without denaturing any molecules.

Sproutly believes that APP represents a fundamental paradigm shift within the cannabis industry. Replacing traditional water-compatible solutions with true water-solubility improves the body’s ability to utilize the effects of cannabinoids. By utilizing the platform, the company is able to deliver effects comparable to vaping or smoking without the smoking but with very precise dosing. It takes less than 5 minutes to feel the effects, and 90 minutes for them to wear off. Compare that to the common experience with edibles: delayed onset, unknown but long lasting duration, imprecise dosing. In essence, the technology provides a known and predictable experience akin to drinking a glass or two of wine.

The company currently has two products from the APP technology. One is Infuz2O, the first truly water-soluble cannabis solution to be formulated into beverages. The other is Bio-Natural Oil, a cannabinoid oil for edibles or transdermal delivery that carries with it all of the unique characteristics of the original cannabis strain.

The implications are vast. Industry wide, there is a trend toward alternatives to smoking. Edibles and extracts are on the rise, flower consumption is decreasing. In Canada, oil sales have surpassed flower sales and are growing at a much higher rate. As recreational use hits the market casual and curious consumers are even more likely to be interested in non-smoking solutions, but not if eating one cookie could lead to a seemingly unending bad trip. People want the effects of cannabis in a known and quantifiable dose, and APP Technology provides just that.

Additionally, the water-solubility creates an easy solution for cannabinoid beverages. This potential application is a major focus of producers across North America, with companies announcing joint ventures and partnerships with breweries and health product makers alike. Constellation Brands famously invested $245 million in top Canadian licensed producer Canopy Growth with an eye toward developing cannabis beverages. It’s a hot sector, and Sproutly has the technology to launch it even further.

Sproutly’s Supply

Peak production is expected to be in the neighborhood of 1,400 kg/year at Toronto Health’s cultivation facility. This amount pales in comparison to some of the larger producers in Canada, but it translates nicely into 18.9 million 5mg doses of the company’s Infuz2O water product and 39 million doses of the company’s Bio-Natural Oil product.

Sproutly can control its own strains and production methods through Toronto Health Remedies, important since the APP process brings along with it any impurities or additives present in the source plant material. Should the company exceed its own supply capacity, it can enter into supply agreements with other trusted producers.

There is much more to cover with Sproutly, including international market opportunities and management experience among other subjects. We will be covering all of that and more, but for now it’s important to realize that the company is going public very soon, giving investors a chance to get involved in a technology that is fundamentally disrupting cannabis science and some of the highest growth sectors in the market. Stay tuned for more developments.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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The Canadian cannabis industry is projected to reach C$22.6 billion over the coming years, according to Deloitte, driven by the legalization of adult-use cannabis nationwide later this year. While most of the roughly 100 licensed producers in the market are focused on marketing to men, the market is starting to realize that women actually account for at least half — and possibly a majority — of the overall market.

48North Cannabis Corp. (TSX-V: NRTH) recently began trading on the TSX Venture exchange as the first vertically-integrated house of brands focused on women’s health and wellness in the cannabis industry. As one of the only publicly-traded cannabis companies with a female CEO, the company is uniquely positioned to target this underserved demographic with innovative brands and top-shelf product.

Women and Cannabis

Men are more likely to use almost all types of illicit drugs, according to the National Institute on Drug Abuse, and have higher rates of dependence on drug and alcohol. Since cannabis has historically been grouped in with illicit drugs under the federal government’s Controlled Substances Act, most people assumed that men were the largest audience for cannabis following legalization, and have skewed their marketing toward that demographic.

According to the Cannabis Consumers Coalition, these assumptions are wrong and companies could be making a big mistake by only targeting men. The organization’s survey found that 53 percent of women consumed cannabis compared to only 42 percent of men. A narrowing gender gap would mirror other national trends, such as the fact that women make a majority of purchasing decisions in households.

Marijuana Business Daily also found that the percentage of women who held executive positions in the cannabis industry was sharply higher than the national average for all companies at 36 percent in 2015. These figures fell to about 27 percent in 2017, but are still higher than the national average of 23 percent across all companies. This suggests that women play an important role in the burgeoning cannabis industry.

48North’s Pure Play

48North Cannabis is an ACMPR licensed producer of medical cannabis with a 40,000 sq. ft. state-of-the-art facility in Ontario, Canada. Management believes that the facility will be capable of producing around 2,500 kilograms of cannabis each year, although it has plans to build out an additional 200,000 sq. ft. facility to boost production to 40,000 kilograms per year on its 800 acres of fully-owned land.

While there are more than 100 licensed producers in Canada, the company sets itself apart with its focus on women’s health and wellness and its high-quality genetics that have been sourced from the Netherlands. Management plans to leverage its intellectual property and proprietary formulations, as well as partnerships with existing U.S. and global brands, to bring licensed products to Canada’s upcoming recreational market — with a focus on women.

“48North is a future-focused company on track to serve the female health and wellness cannabis market with innovative next-generation products and brands,” says CEO Alison Gordon. “As Canada’s first female CEO of a now publicly-traded licensed producer of cannabis, 48North will provide an intrinsic and authoritative view to a valuable demographic that is currently underserved in this industry.”

Looking Ahead

48North Cannabis Corp. (TSX-V: NRTH) represents a compelling investment opportunity in Canada’s burgeoning cannabis market. With a focus on women’s health and wellness, the company is targeting a unique and underserved demographic with high-quality cannabis that’s packaged into innovative brands. Investors may want to take a closer look at the company after it recently went public on the TSX Venture exchange.
For more information, visit the company’s website at www.48nrth.com.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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Canada’s cannabis industry is projected to reach C$22.6 billion over the coming years, according to Deloitte, driven by the legalization of adult-use cannabis nationwide. But, the international market for cannabis could be much larger. For example, Canada’s cannabis oil extracts nearly tripled last year due to strong demand from Germany, while the United States has become the world’s largest market at over $50 billion per year in projected revenue.

The Green Organic Dutchman (TSX: TGOD) (OTCQX: TGODF) became the world’s largest cannabis initial public offering (IPO) in recent weeks. In addition to its funded 130,000 kilograms of capacity and 1,095,000 sq. ft. of cultivation facilities under construction, the company has developed a leading brand in the cannabis industry with an eye for international markets.

New Global Division

The Green Organic Dutchman recently announced the launch of a new global division focused exclusively on the beverage industry. With over 125 years of combined experience in the beverage industry, the company plans to work with large-scale beverage companies to provide a strategic pathway into the cannabis industry. These agreements may take the form of direct investment, joint ventures, or other opportunities depending on the circumstances.

The initial focus will be on creating industry-leading branded products and to supply organic base ingredients for global beverage brands. As part of its $55 million R&D budget, the company is developing a 40,000 sq. ft. state-of-the-art research and development center that will include space for product development and pilot manufacturing. The facility is one of many within the 72-acre Valleyfield property designed to create cannabinoid-infused drinks.

TGOD President Csaba Reider, in the press release announcing the deal, stated, “We will create unique, healthy and organic products for the recreational and medicinal markets. We have the best access to capital, organic production capabilities and R&D resources in the world.”

GMP Compliant Facilities

The Green Organic Dutchman also recently secured a supplemental license from Health Canada for the production of cannabis oils. Using its supercritical CO2 extraction system, the company is capable of processing up to 6,600 kilograms of ultra-pure, environmentally-friendly, organic cannabis oils each year. The cannabis oils are designed to be as close to the original plant as possible, including terpene profiles, to realize potential entourage effects.

The company’s laboratory was built to GMP (Good Manufacturing Practices) specifications and management is pursuing European Union GMP certification. Once it secures this certification, the company will be able to begin exporting its cannabis oil products throughout the European Union where the market is ripe for high-quality organic cannabis oil products.

Organic Certification

In May, the Green Organic Dutchman announced that its Ancaster, Ontario facility received organic certification from Ecocert Canada, an internationally-recognized world-leading organization in organic certification. Ecocert Canada provides inspection and certification for sustainable development and works to maintain rigorous respect of organic standards on products, services, and systems.

Organic products have commanded premium prices in both traditional agriculture and the cannabis industry. With product recalls plaguing many licensed producers, organic products provide an added layer of protection from these issues, since they avoid the use of potentially dangerous pesticides. The organic certification could also make the products more attractive for importers in regions like Europe and Australia.

“This is another step in TGOD’s planned expansion to be the world’s largest branded organic cannabis company,” said CEO Robert Anderson. “Consumers world-wide are interested in quality products and TGOD will continue to strive to provide the highest quality organic product that complements the natural product preferences of today’s consumer.”

Expanded Technology

The Green Organic Dutchman has also been expanding its technology portfolio. The company signed a deal with Evolab and CBx Sciences to license its proprietary technologies and formulations in Canada and other jurisdictions outside of the United States. Evolab is a top cannabinoid vaporization brand that has gained significant market share in the U.S., while CBx Sciences is a leader in cannabinoid R&D and consumer product development.

“This licensing partnership for industry leading technologies and formulations will further allow TGOD to execute on its plans of offering novel and safer delivery methods of both non-psychoactive and psychoactive cannabinoids to patients and consumers around the globe,” said Mr. Anderson.

In late-May, the company also announced an exclusive agreement with Stillwater Brands to license RIPPLE SC (Soluble Cannabinoids) ingredient technology and other proprietary beverage and food technologies within Canada and certain international jurisdictions outside of the United States. The move could pave the way to develop cannabinoid-infused consumer packaged goods, including micro-dose and full-dose tea sticks.

Jamaica and Beyond

The Green Organic Dutchman’s latest development is a partnership with and 49% investment in Epican Medicinals, an early mover in the Jamaican market. Epican is the first completely vertically integrated cannabis company there, with cultivation, extraction, manufacturing and distribution licenses. The company has an extraction facility that has been built to GMP standards, and the new deal includes a plan for construction of a second 125,000 sq. ft. facility. TGOD will assist Epican as it pursues Eco-Cert’s organic certification.

This deal shows TGOD’s international plan in action, as the company brings all of its expertise and acquisitions to bear in entering a foreign market. “This is the first example of how we can partner with and introduce companies like CBx Technologies and Stillwater Brands to foreign jurisdictions,” said Mr. Reider. “Through the development of GMP compliant, state-of-the-art extraction labs, TGOD will begin manufacturing these proven brands in international jurisdictions as regulations permit.”

Looking Ahead

The Green Organic Dutchman (TSX: TGOD) (OTCQX: TGODF) has made tremendous progress in expanding its reach over the past several months. In addition to licensing new technologies, the company has achieved internationally-recognized organic certification and is well on its way to achieving the GMP certification that’s necessary to export into the European Union. TGOD is also entering the Jamaican market with an established company, opening the possibilities of near term revenue in that country’s fairly new legal cannabis industry. Investors may want to take note of the stock given these recent catalysts.

For more information, visit the company’s website at www.tgod.ca.

The post The Green Organic Dutchman: Well Positioned for International Expansion appeared first on CannabisFN.

Nevada legalized adult-use of cannabis in July, 2017, and sales so far have exceeded state projections. Nevada expected to take in about $50 million in cannabis-related taxes in the first year. Through three quarters (as of the end of March 2018) cannabis tax revenues reached just under $49 million. Total combined taxable sales topped $385 million over the period, and adult-use sales (as opposed to medical marijuana and cannabis-related goods) are gaining momentum. In short, Nevada’s legalization has been an unqualified success to this point.

Friday Night Inc. (CSE: TGIF) (OTCQB: TGIFF) is an early mover in the Nevada industry, especially in the Las Vegas area. Las Vegas and the surrounding Clark County account for nearly 75% of Nevada’s population, and the city drew about 39 million tourists in 2017. If a company wants to be a player in the Nevada cannabis market, Las Vegas is the place to be. Friday Night’s 91% owned Alternative Medicine Association (AMA) was the first licensed cannabis cultivator in Southern Nevada, and the company recently announced expansion plans in the area to grow its capacity in the crucial market.

What Friday Night Has

Friday Night holds a 91% stake in the aforementioned AMA, as well as a 91% stake in Infused Manufacturing. AMA focuses on cannabis cultivation and branded products, including extracts. It operates a ~12,000 square foot facility and is currently building a 67,750 sf to significantly increase its cultivation capacity to meet the increased demand. The company’s own brands, which include flower strains, Vegas Js prerolls, and various concentrates, are available in dispensaries throughout the state. AMA also produces concentrates on a white label and licensed basis for other brands.

Infused Mfg. is focused on cannabidiol (CBD) extracts from hemp. Featuring the extensive Canna Hemp™ line, Infused products can be found in dispensaries throughout Nevada as well as in other states such as California and Colorado. Online ordering is available, and the company also manufactures products for other brands through a white label program.

Where Friday Night Is Headed

Friday Night’s biggest developments lie in its new facility construction. The company is vastly expanding cultivation capacity with its new, purpose-built, state of the art grow operation. But Friday Night’s recent acquisition of a ~12,000 sf building adjacent to the new cultivation site could be just as important to the company going forward.

On its current 12,000 sf foot site, AMA devotes about 2,000 sf to extraction and product manufacturing, as opposed to flower production. Though operating in a much smaller area, this aspect accounts for over 50% of the company’s revenues. Having the new 12,000 sf building, intended for extraction and product manufacturing, right next door to the new cultivation site should streamline operations and significantly add to the company’s revenue generating abilities.

Infused Mfg. will also expand into the newly-acquired building, setting up the “CBD Lab” to process hemp into CBD extracts at the rate of about 200 kg/extract per month. The company anticipates the new facility will cut its production costs by more than 33% and will increase the quality of its extracts. Friday Night anticipates the CBD Lab will add a significant revenue stream for the company.

Friday Night is also looking to expand its presence outside of Nevada. Infused recently signed a licensing agreement with Denver Dab Company, whereby DDC will manufacture and distribute Canna Hemp™ products throughout Colorado, including creams, lotions, vape pens, vape cartridges, and pet products.

What’s the Outlook?

Oil and extract products have been gaining market share on cannabis flower in pretty much every legal market in North America. As more products are introduced, and as consumers realize they don’t have to smoke anything to realize the benefits of cannabis, that trend will likely only escalate. Friday Night is firmly positioned to capitalize on this trend in Nevada with its two subsidiaries, and is beginning to branch out into other markets as its capacity grows. The company bears watching in the coming months as the Nevada market reaches new heights, Friday Night’s expanded facilities come online, and revenue streams expand.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post Friday Night Inc. a Major Player in Nevada’s Booming Cannabis Market appeared first on CannabisFN.

Many countries are starting to recognize the medical benefits of cannabis. In Australia, Ireland, germany, and the Philippines, major legislation and fast tracking policies have been introduced that could open up the market. The problem is that the industry has struggled to introduce products that the Australian medical industry or other governments can approve or endorse since they’re not formulated or studied like typical pharmaceutical drugs.

Canntab Therapeutics Ltd. (CSE: PILL) aims to solve these issues with its Canntab XR cannabinoid tablets that offer pharmaceutical-grade formulation to help doctors and patients control their dosing, as well as help researchers better study the drug in clinical trials. The company is pioneering this work in a new Australian joint venture that investors may want to note when looking for investment opportunities in the medical space.

Australia’s Market

Australia has one of the highest cannabis prevalence rates in the world with about one-third of citizens over the age of 22 having tried the drug. While prohibition has been in place for several decades, much like the rest of the developed world, the government has long avoided the punitive drug policies enacted by the United States and its Asian neighbors. Legislation has also been recently introduced that supports the cannabis movement.

On February 24, 2016, the country legalized medical cannabis at the federal level, which put it closer to Canada in terms of being a pioneer in the space. The Office of Drug Control in the Federal Department of Health issued its very first cannabis research license about a year later under the medicinal cannabis provisions of the Narcotics Drugs Act of 1967. The move paves the way to make the country a key researcher of cannabinoid-based drugs.

The country also became the fourth country in the world to allow the export of cannabis-based therapies in January of 2018. The move allows the country to produce oils, lozenges, sprays, and pills that can be sold overseas into lucrative Asian and European markets. Some of the most promising end markets include South America, Spain, Canada, and Germany. This could make the country one of the largest cannabis exporters in the world.

Canntab’s Tablets

Canntab Therapeutics’ proprietary Canntab XR extended release tablets make it easier for physicians and patients to manage dosage and ensure a consistent experience. In addition, the tablets are easier to administer in any environment, eliminate the social stigma of cannabis, and do not have the adverse side effects associated with inhaled cannabis. The extended release nature of the product also enables patients to experience a relief over a long period of time.

In dissolution studies, the tablets demonstrated a 12 to 18 hour duration of action from a single dose. These time periods cannot be achieved using other delivery mechanisms, such as inhalation (smoking or vaping) or edibles. The tablets are available in many different unique formulations that target various medical conditions with 2.5mg, 5mg, and 10mg doses, enabling patients to effectively titrate with full knowledge and awareness of their intake.

The tablets are ideal for youth and elderly patients given their ease of portability and storage compared to other forms of medical cannabis. In addition, they are designed to specifically regulate the percentages of cannabinoids and terpenes depending on the needs of the patient. For example, patients that require high CBD concentrations or chemotherapy appetite restoration patients that require high THC will have consistent options.

Joint Venture

Canntab Therapeutics recently announced a joint venture with Queensland Bauxite Limited (ASX: QBL) subsidiary Medical Cannabis Limited (VitaCann). Under the terms of the joint venture, VitaCann will be responsible for the first $1 million in costs with the remaining expenses being split 50/50. All profit will be split equally between the two partners and the JV will attempt to distribute the products both in Australia and throughout Asia.

While there is a lot of anecdotal research supporting medical cannabis, the missing link has always been the ability to conduct legitimate trials using a lawful source of whole plant extract rather than a single natural cannabinoid or synthetic analogue. The joint venture will seek to complete the missing link by collaborating on preclinical formulations, development, regulatory approval, and commercialization of prescription cannabis drugs in Australia.

Most new drugs take five to ten years to reach the market at a cost of hundreds of millions of dollars, but the Australian government has already started to fast-track imports, develop new policies, and make public announcements related to cannabis exports. These are positive developments that could pave the way for faster and cheaper clinical trials, especially given the anecdotal safety and efficacy of the drug across a wide patient demographic.

Looking Ahead

Canntab Therapeutics Ltd.’s (CSE: PILL) partnership with Queensland Bauxite Limited (ASX: QBL) subsidiary Medical Cannabis Limited (VitaCann) represents a strong move into the Australian and Asian markets that investors may want to note.

“We’re excited about the new Australian export laws and our collaboration with VitaCann and MCL in Australia,” said Canntab Therapeutics Ltd. CEO Jeff Renwick. “It is a testament to the forward thinking of MCL and the medicinal delivery technology developed by our team at Canntab. Canntab’s patent-pending extended release formulation, for the first time, lets doctors understand the actual products and establish the appropriate dosage for their patients.”
For more information, visit the company’s website at www.canntab.ca.

The post CannTab: Advancing Cannabinoid Research in Australia appeared first on CannabisFN.

Vermont recently passed a bill to legalize adult-use of cannabis, with the new law set to take effect July 1. In an effort to bolster public safety amid concerns of cannabis-impaired driving, the state legislature introduced a bill to allow for the use of saliva tests as an alternative to the current system, which requires blood tests, a hospital visit, and a warrant. In a decision that highlights the conundrum public health officials face in regard to cannabis impairment, the Senate Judiciary Committee recently rejected the bill amid concerns of scientific validity, accuracy, and infringement on civil liberties.

As the search for appropriate testing methods continues across North America, Cannabix Technologies Inc. (CSE: BLO) (OTC: BLOZF) (8CT: FRA) is closing in on a potential solution. The company is developing its Cannabix Marijuana Breathalyzer that aims to solve the dilemma with an accurate, non-invasive, portable solution that could be used by law enforcement at roadside.

The Problems with Current Marijuana Testing

The chairman of the Vermont Senate Judiciary Committee, Sen. Dick Sears, raised two main issues with the current reliance on blood tests and the proposed saliva test solution. One is technical, and the other pertains to the civil requirement for a search warrant. The two problems intertwine into a vexing, circular problem.

First, the technical side. “My reason [for opposing the bill] was basically that the science isn’t there yet, and that I believe in a few years they will have a standardized test, particularly for marijuana, that would give us the amount that somebody would be impaired by,” Sears said.

Second, the civil rights side. “I would be fine with the oral fluid test if there was a warrant, like we have for blood. There’s a warrant [required] to take blood. It’s one thing to take a breath test, it’s another to take oral fluids or blood,” said Sears.

Unlike alcohol, which is absorbed and metabolized by humans in predictable and documented ways, marijuana in the blood is a bit more fickle. Different people metabolize the active ingredients at different rates. Forms of THC, the psychoactive ingredient in cannabis, are stored in fatty tissues and can be detected long after ingestion, yet high concentrations of THC in the blood can dissipate quickly when compared to alcohol. By the time a warrant is obtained for either a blood or saliva sample those high levels of THC may have come and gone, making the tests nearly useless in many real-life field applications.

In short, there is a glaring need for accurate, timely testing of THC levels that does not require a warrant to execute. Fortunately, the current widespread and accepted use of the breathalyzer for alcohol detection provides a blueprint for the solution to the cannabis detection conundrum.

The Cannabix Marijuana Breathalyzer

Cannabix Technologies, in conjunction with researchers at the University of Florida, has developed a potential solution. Currently in advanced Beta 3.0 prototype form, the Cannabix Marijuana Breathalyzer utilizes cutting edge spectrometry technology to provide the sensitivity and accuracy necessary to overcome the complex technical issues surrounding THC, and THC metabolite, detection.

Again, it’s important to note the complexity of THC detection due to the various forms the drug can take when metabolized. Readers should click on the above-linked release to see a discussion of 11-nor-9 vs. 11-hydroxy-delta-9 versions of THC and their relative half-lives. Suffice to say, Cannabix is developing technology with the ability to detect and distinguish various THC metabolites which should go a long way toward distinguishing between recent users and those who may simply have lingering THC in their system.

Cannabix is diligently working its way through the scientific end of things, fine-tuning and proving the device’s sensitivity and reliability. The creation of a portable breathalyzer for THC would be a critical development in overcoming the civil liberty questions surrounding blood and saliva tests. With years of breathalyzer use on the books as precedent, use of the device should assuage any concerns that public health officials may have over violating civil rights. Combined with the immediacy of the roadside breathalyzer test, the Cannabix Marijuana Breathalyzer has the potential to solve the cannabis testing conundrum once and for all.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

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MedMen Enterprises (CSE: MMEN), a California-based cannabis retailer that’s well-known for its sleek Apple Store-like retail locations across the United States, has finalized its reverse takeover and today is becoming one of the largest publicly-traded cannabis firms in the world.

The company is listing on the Canadian Securities Exchange, or CSE, following its reverse takeover of Ladera Ventures Corp. It is one of the first U.S. marijuana companies to list on the CSE. U.S. marijuana companies are currently barred from the TSX, Nasdaq and NYSE. The exposure on the CSE gives MedMen access to retail investors on a global scale and could fuel its already robust growth pattern.

Unique Experience

MedMen operates 12 licensed retail outlets in California, New York, and Nevada, including a 2,000 sq. ft. flagship store on New York City’s Fifth Avenue and another location on Santa Monica Boulevard in West Hollywood. In addition to dispensary operations, the company owns a 45,000 sq. ft. state of the art cultivation facility in Nevada and has broken ground on another in California to expand its cultivation operations.

CFN Media recently interviewed MedMen CEO Adam Bierman. Mr. Bierman discusses the reasons behind and the benefits of going public, along with the company’s potential going forward.

MedMen has taken the cannabis buying experience a long way from back-alley transactions just a few years ago. Its dispensaries are more akin to Apple Stores in terms of their bright and open architecture, as well as knowledgeable staff members in memorable red T-shirts. Management’s goal is to destigmatize cannabis and make mainstream adults feel comfortable purchasing product and carrying it out the door in the open.

“MedMen’s vision is simple but revolutionary: cannabis as a consumer product,” said MedMen Co-founder and CEO Adam Bierman. “For the better part of a decade we have been singularly focused on that vision – creating the systems and infrastructure that raise the bar on product quality and safety and providing a retail shopping experience that is second to none. By transitioning to a publicly-traded company, MedMen gives public investors a ground-floor opportunity to participate in the enormous and untapped potential of the fastest growing industry in the United States.”

MedMen Fifth Avenue

Growing Footprint

MedMen is primarily focused on acquiring top real estate to ensure that it will remain compliant with laws prohibiting locations close to schools, churches, or parks, as well as increase the reputability of its brand as a top-shelf option in major metro markets. The goal is to expand into these major markets as quickly as possible to build up a competitive edge against competitors that have been rolling out slowly in states like Colorado.

At the same time, the company recently partnered with Cronos Group Inc. (NASDAQ: CRON) to create a joint venture that will develop products and open MedMen-branded locations across Canada when recreational cannabis is legalized this summer. The move should help diversify operations and significantly increase revenue as it competes with the primarily mail-order industry that has built up in Canada around licensed producers.

Compelling Investment

With a pre-money valuation of $1.65 billion, MedMen could immediately become one of Canada’s ten largest cannabis companies and the most valuable U.S.-based cannabis company by market capitalization. The majority of the cannabis unicorns, or those companies with $1+ billion market capitalizations, are licensed producers of medical cannabis in Canada, including Canopy Growth Corp. (TSX: WEED) and Aurora Cannabis Inc. (TSX: ACB).

Investors may want to take a closer look at the stock given its unique reach into diverse U.S. markets and its focus on building a defensible national brand. At the same time, the company efforts to expand into Canada could unlock incremental value for shareholders following recreational legalization later this year.

MedMen Enterprises (CSE: MMEN) represents a compelling opportunity to invest in the cannabis industry. With its growing U.S. footprint, the company offers one of the only truly diversified plays on the U.S. cannabis industry. Meanwhile, its listing on the CSE ensures that investors across North America can easily acquire a piece of the company.

The post CFN Exclusive Interview: MedMen Becomes Canada’s Next Billion Dollar Cannabis Listing appeared first on CannabisFN.

The cannabis industry is one of the fastest growing industries in North America. The legalization of medical and adult-use cannabis helped the industry grow more than 30 percent in 2016 to nearly $10 billion last year, according to ArcView Group, and there are no signs of a slow down. By 2021, the Oakland, CA-based research firm believes that the market could exceed $24.5 billion, representing a blistering 28 percent compound annual growth rate.

In this article, we will look at how cannabis companies and cannabis-focused investors have navigated opportunities in both the United States and Canada.

Canada’s Favorable Regulations

Canada legalized medical cannabis under the Marijuana for Medical Purposes Regulations, or MMPR, back in 2013, making it the first G20 country to federally legalize the drug. With the election of Justin Trudeau as Prime Minister in 2015, voters green-lighted the legalization of adult-use cannabis on a federal level as well under what’s now known as a the Access to Cannabis for Medical Purposes Regulations, or ACMPR.

By comparison, the election of Donald Trump in November of 2016 brought a lot of uncertainty to the cannabis industry, especially with the appointment of Jeff Sessions as attorney general. Lawmakers in the House and Senate have made a lot of progress in moving towards a federal framework – at least for medical cannabis – but the country has a long way to go before its regulations reach the maturity of Canada.

While many North American industries are concentrated in the United States, Canada’s progressive policies have helped create the largest companies in the cannabis industry. Canopy Growth Corp. (TSX: WEED), Aurora Cannabis Inc. (TSX: ACB), and several other licensed producers have amassed multi-billion dollar market capitalizations by cultivating cannabis for the domestic market and for export all around the world.

The regulatory environment is so favorable that many U.S. companies have opted to go public in Canada to avoid federal intervention in the United States. For example, California-based MedMen Enterprises, which operates dispensaries and production facilities in three states with about 700 employees, plans to go public in Canada through a reverse takeover with a listed shell company rather than an initial public offering.

Growing Appetite for U.S. Exposure

The corollary is that there is strong global investor appetite for U.S. cannabis companies – and especially those with exposure to California’s massive market. In November 2016, California voters legalized adult-use cannabis in a move that created the world’s largest single market. ArcView Market Research believes that the market will grow from $2.8 billion in 2016 to $6.5 billion by 2020, representing a strong 23.1 percent compound annual growth rate.

“The Canadian public market offers access to a lot of capital, with a lot of certainty and a lot of speed, and there is this appetite among global investors to invest in a U.S. play,” said MedMen CEO and Co-Founder Adam Bierman at the Canaccord Genuity conference in Vancouver this year. “Specifically, global investors want to invest in a U.S. play that has California exposure. Now is the time where it makes the most sense.”

Many Canadian licensed producers trade at lofty valuations by conventional earnings metrics, while there is growing uncertainty about the true size of the domestic market. With over 100 licensed producers (and counting) approved by Health Canada, the growing supply could lower prices and create thinner profit margins than investors were initially expecting to see. Those dynamics have led many Canadian investors to look at ancillary opportunities.

Looking Ahead

Investors may want to take a closer look at U.S. companies focused in California as an opportunity to diversify licensed producer holdings in Canada. MedMen Enterprises is a great example, particularly given its size and growth, as it looks to go public through a reverse merger.

The post The Cross Pollination of Cannabis Investments in North America appeared first on CannabisFN.

As the cannabis industry matures, both in North America and across the globe, regulations and consumer demands will require companies to produce consistent, high quality products that are safe and effective. Gone are the days of illicit weed grown with questionable practices, as the black market is being replaced by regulated operations offering a variety of cannabis products scientifically developed for use in distinct applications. With the wide variety of strains and chemical profiles now available to companies making legal cannabis products, a commitment to sourcing quality plants and developing scientifically researched products tailored for a range of needs is more important than ever.

RISE Life Science Corp. (CSE: RLSC) is a prime example of a company committed to quality from start to finish. RISE is creating a line of cannabis-derived sexual health and wellness products that it intends to market globally, starting in California. From sourcing the best cannabis strains, to rigorous research and development standards, to the commencement of a major cannabis/sexual health study, the company is committed to the highest standards throughout the entire life cycle of product development.

Quality Starts with the Plant

Working toward the highest level of quality, RISE plans to use the best plant sources for the consumer products it develops. As such, the company is exploring a comprehensive supply partnership with Jamaican premium strain producers who meet standards for CGMP (current good manufacturing processes) as set out by the FDA. These standards are designed to assure that quality is built into the design and manufacturing process at every step; facilities are in good condition; equipment is properly maintained and calibrated; employees are qualified and fully trained; and, processes are reliable and reproducible.

Jamaica is not only considered one of the best growing regions in the world, it is also viewed as one of the most experienced, producing cannabis for well over 400 years. With such a deeply established botanical relationship it is no surprise that Jamaican marijuana strains are widely recognized as some of the highest quality in the world.

RISE is targeting strains with the appropriate terpene and cannabinoid profiles to form the basis for its medical line of products to ensure that only the highest quality raw material is utilized in the formulation and development process.

Laboratory Science Important for RISE

RISE Life Science is partnered with experts in the manufacture of premium medical cannabis extract products for physician and patient use. They are leveraging deep experience with whole plant extracts utilizing proprietary extraction and compounding methods.

RISE is launching in California, but has its eyes on markets around the world. International certification is important for companies pursuing global market opportunities. With a patchwork of regulatory demands across markets, the company is seeking the highest-regarded quality control standards in another indication of RISE’s commitment to quality and global acceptance for its products.

“Validated science is at the core of our product development,” said Anton Mattadeen, CEO of RISE. “Our focus is on producing pharmaceutical grade product derived from highly-controlled processes that are continually supported by a feedback of observational data.”

The formulations of RISE products also draw heavily from botanical traditions. To this end, the company’s product formulation strategy relies on herbal specialists based out of Colorado. RISE’s lead herbalist brings 30 years of experience to the company’s product development.

Sexual Health Study Underpins Product Development

Future products will be developed with insights gained from a proprietary research study RISE will launch this fall. It will be the largest observational study of its kind, looking at the effect of cannabis health products on sexual health, behaviors, and performance.

The RISE Report on Cannabis and Sexual Health and Wellness intends to answer many questions that have gone unanswered, and unstudied, as a result of the long-term prohibition of cannabis and research related to the plant. Starting with about 200 beta participants, the study will expand to thousands of people and the data derived should be valuable in a number of ways.

“We are investing in this study because it is central to the ongoing development of consumer products that individuals and couples believe in and actually want to use,” continued Mattadeen. “The proprietary data generated by this study will not only add necessary information to the subject of sexual health, it will also inform RISE of the best possible product development decisions to meet the needs of our customers, provide us with a competitive advantage in the marketplace, and help us remain right in the middle of this important conversation with our expanding consumer community.”

For RISE, the most obvious benefit will lie in how the findings can inform and improve the company’s own product development. The company views this outcome as a competitive advantage in a market rife with un-researched products and wild claims of efficacy. The data would also add more generally to the growing library of science surrounding cannabis, potentially adding more credence to the idea of using the plant as a legitimate treatment and eliminating some of the social taboos around both marijuana and sex.

All told, RISE Life Science is demonstrating its commitment to quality ingredients, practices, and products based on the science of cannabis. With an initial product launch coming soon in California, keep an eye out for further developments in RISE’s quest to legitimize cannabis as a tool to improve lives of consumers and patients wherever the law allows.

Disclaimer 

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post RISE Life Science: Commitment to the Highest Quality Cannabis Products for Sexual Health and Wellness appeared first on CannabisFN.

The cannabis industry is projected to reach $50 billion by 2026, according to Cowen & Co., driven by the legalization of adult-use and medical cannabis across a growing number of states. Despite the significant growth rates, many cultivators and processors have struggled to raise capital to finance the variety of goods and services that they need due to federal regulations that prevent mainstream lending institutions from participating in the sector’s growth.

Crop Infrastructure Corp. (CSE: CROP) aims to solve these issues by providing land, infrastructure, and equipment to individual operators to increase accessibility, efficiency, scalability, and sustainability. At the same time, the company’s investors benefit from recurring revenue from long-term lease agreements and management fees from tenant growers, making its structure similar to a real estate investment trust (REIT) in many ways.

Turnkey Solutions for Cannabis

Crop Infrastructure specializes in providing turnkey greenhouse projects to licensed cannabis producers and processors. These projects consist of 12 greenhouse buildings that are each 3,640 sq. ft. With 1,350 plants per greenhouse, each project is capable of generating over 2,000 pounds per month or approximately $2.76 million in monthly wholesale revenue. These revenues expand by approximately 25% once factoring in the high-grade concentrates and edibles that are produced in a state-of-the-art extraction facility on site.

Management is initially focused on the Washington State market where there are 1,284 producers and processors and 436 retailers doing about $3.12 billion in annual sales, according to 502Data. After completing it’s first MEGA Greenhouse Project, the company will be well-positioned to expand this footprint across all legal jurisdictions across the United States and Canada. The tenant grower’s product is currently being sold in over 60 dispensaries in Washington State under various different brands.

In mid-March, the company announced that six of the 12 greenhouses are under construction at the first Washington project. Management intends to immediately lease these greenhouses to licensed tenant growers along with brand licensing. The company will then move on to the second phase of development for the second set of six greenhouses. Once completed the 12 greenhouses are projected to yield over 24,000 lbs per year, which is grown using $0.02/kw hour electricity, some of the lowest cost power in North America.

In early-May, the company also agreed to advance up to $2 million to Humboldt Holdings LLC for land and equipment purchased and the development of a 30,000 sq. ft. greenhouse project intended for lease and brand licensing by Humboldt to licensed cannabis tenant growers in exchange for a 30 percent interest in the company. The California-based property consists of a 10,000 sq. ft. existing cannabis greenhouse and existing building permits to expand.

Stable, Recurring Income for Investors

The cannabis industry may be rapidly growing from a top-line perspective, but it’s a difficult market for investors looking for bottom-line profitability. Many cultivators and retailers have been forced to raise equity capital and reinvest any revenue to expand, while those in the United States are still subject to significant political risk, particularly under the Trump administration. Investors have few “safe” options from both an asset and risk standpoint.

Crop Infrastructure aims to fill this void by purchasing real estate, building infrastructure, and leasing it to licensed cannabis producers and processors. In exchange, the company receives a 60 percent preferential payback via lease and management fees on greenhouse infrastructure and related equipment until its deployed capital is returned in full. Once that happens, the company applies an indefinite 30 percent land management fee that provides the company with an ongoing income stream.

Investors in the company’s stock benefit from stable, recurring income from lease and management fee agreements, as well as real estate assets that provide a solid core. The company benefits from the cannabis industry’s growth, but there’s little political risk since it’s solely involved in leasing real estate/infrastructure. By working with high-quality established tenant growers, the company aims to reduce any ancillary risk factors and ensure stable, long-term relationships.

Looking Ahead

Crop Infrastructure Corp. (CSE: CROP) represents a compelling investment opportunity in the North American cannabis industry. By taking a REIT-like approach, the company aims to capitalize on the growth of the cannabis industry without the uneven income and political risks. Investors may want to consider the company as an addition to their cannabis portfolio as it completes its initial Washington State project and sets its sights on additional North American opportunities, such as the new opportunity in California.
For more information, visit the company’s website or download their investor presentation.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post Crop Infrastructure: An Investment in North American Cannabis appeared first on CannabisFN.

The Canadian cannabis industry is projected to reach C$9 billion or more in sales over the coming years, not counting ancillary products and services. With recreational legalization coming later this year, many analysts are projecting an initial — and potentially protracted — shortfall in supply, despite rising production, funded expansions, and yield improvements. The problem is that many licensed producers are struggling to effectively scale up their operations as they had originally projected, learning that there’s much more to it than building a greenhouse. The risks are great, as in many cases supply agreements have been signed and large amounts of cannabis have been promised.

Village Farms International Inc. (TSX: VFF) (OTCQX: VFFIF) has a 30-year history in large — some would say — mega-scale hydroponics, 750 years of combined master grower experience, and 10.5 million sq. ft. of greenhouse capacity, located in both Canada and the United States. In its new joint venture, the company will apply its years of experience to the rapidly growing cannabis industry in Canada with the potential to scale up to more than 300,000 kilograms of production per year. That production level could be reached by converting all of Village Farms’ existing 4.8 million square foot greenhouse complex in Delta, B.C., the largest single site greenhouse operation in Canada, to cannabis.

Village Farms’ Pure Sunfarms Cannabis Project

Village Farms is one of the largest producers of premium-quality, greenhouse-grown tomatoes, bell peppers, and cucumbers in North America — sold through the top grocers — and consumed by you and me and everyone reading this. These vegetables are grown hydroponically in a glass-enclosed high-tech environment using sophisticated computer systems to control irrigation, fertilizers, carbon dioxide, light, temperature, ventilation, humidity, and other climatic factors, which leads to superior taste, quality and consistency.

Now, with its deep history of success in large-scale greenhouse operations, Village Farms is ideally positioned to capitalize on the rapidly growing cannabis industry in Canada. The company has established a joint venture with Emerald Health Therapeutics, a licensed producer under the ACMPR. Under the agreement, Emerald contributed C$20 million in cash and Village Farms contributed an existing greenhouse with 1.1 million square feet of capacity to a new entity called Pure Sunfarms that will become a vertically-integrated, large-scale, low-cost supplier of high-quality cannabis. Leveraging Village Farms’ tremendous operational know-how and Emerald Health’s significant cannabis expertise, the Pure Sunfarms’ goal is to produce high quality cannabis for less than $1/gram at full production. Conservative estimates place full production levels at more than 75,000 kg/year for the initial 1.1 million square foot facility.

Pure Sunfarms’ Delta3 greenhouse

Pure Sunfarms received a cultivation license in March, 2018, for the initial 1.1 million square foot greenhouse. Until last November, the greenhouse was a fully operational tomato facility but it takes some retrofitting to make it optimized for year-round cannabis production and continuous harvesting. The first 250,000 square foot retrofit is substantially completed. The rest of the 1.1 million square feet will be finished in stages throughout 2018 and is anticipated to be fully complete and operational by the end of the year. Pure Sunfarms has agreed to sell 40% of its production in 2018 and 2019 at a fixed price to Emerald Health, accounting for about 21,000 to 24,000 kilograms using current and conservative production estimates.

“Pure Sunfarms’ agreement to supply Emerald with a portion of Pure Sunfarms’ projected production provides a strong initial revenue stream for our shared joint venture, while allowing flexibility to capitalize on other sales opportunities as we continue discussions with multiple parties including provincial governments and other licensed producers,” said Michael DeGiglio , Director, Pure Sunfarms, and CEO, Village Farms.

Village Farms’ Institutional Advantage

It is not easy to grow plants on a massive scale, and it’s just as difficult to run a company that does so. Village Farms has been doing this for decades and has learned many difficult lessons that other licensed producers are only beginning to encounter.

One major challenge — and Village Farms’ CEO Mike DeGiglio would argue, the most important —  that is easy to overlook is that of staffing and managing the labor for such a large operation where the task is to grow living things that are susceptible to disease, stress and pests. To be sure, greenhouses are not widget factories with automated production lines. All kinds of headaches can arise as a producer ramps up from small-scale to large-scale production, and finding and training a reliable, knowledgeable workforce — and keeping them — is chief among them. When Village Farms built its most recent greenhouse in Texas a few years ago, the company went through literally thousands of workers to establish a stable workforce, highlighting the difficulty of finding the right employees. The Pure Sunfarms facility comes stocked with just such an experienced, reliable workforce already in place, which should avoid some of the growing pains that other producers are likely to experience.

Another underestimated challenge is that of regulatory compliance and safety — always of critical importance for any product ingested by people. Considering some of the widely documented pesticide related recalls in the cannabis industry, the fact that Village Farms has been safely producing food plants for 30 years without incident is reassuring. The company’s VP of Food Safety and Regulatory Affairs, Dr. Michael Bledsoe, is a renowned expert and advocate for the research and registration of safe pesticides, sitting on the USDA’s IR-4 Governing Board and often providing his expertise to Canada’s counterpart, the PMC. He has also begun discussions with Canada’s Pest Management Regulatory Agency to register Canada’s first conventional fungicide for cannabis.

As the recreational marketing in Canada looms, the big question is how successful licensed producers will be at actually meeting their cultivation targets. It’s easy to throw money at building a high-tech cultivation facility, but hiring employees, managing them effectively, and continuously harvesting massive quantities of high quality cannabis in full regulatory compliance is another matter. Many licensed producers have run small-scale operations, but haven’t proven their ability to efficiently scale up much larger.

Village Farms has a proven track record in this regard which could serve to de-risk its production and expansion plans. Factor in the likely commoditization of cannabis flower as the market matures and supply meets demand, and the company’s long experience in producing high quality, low cost agricultural products looks even more attractive.  

Possibilities Beyond Canada

Village Farms International Inc. (TSX: VFF)  (OTCQX: VFFIF) represents a compelling investment opportunity in Canada’s rapidly growing cannabis industry, offering more experience in large-scale agricultural production than any current competitor. There is also the potential for expansion into other markets as the global wave of legalization progresses.

In Texas, for instance, the company owns four facilities with a total of 5.7 million sq. ft. of growing space on 130 acres. If the U.S. legalizes cannabis on a federal level, the company is well positioned to expand into the U.S. market in a big way and generate additional value. Importantly, Village Farms’ U.S. properties are not part of the Canadian joint venture agreement and are free to be developed independently should the opportunity arise. To be clear, the company is not pursuing any U.S. cannabis business while the plant remains federally illegal.

For more information, visit the company’s website or download their investor presentation.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post Village Farms: Bringing 30 Years of Mega-Scale Agricultural Production to Cannabis appeared first on CannabisFN.

Consumer demand for products enhanced with omega-3 fatty acids has grown from $25.4 billion in 2011 to $34.7 billion by 2016, driven by the North American market that accounts for 43 percent of global demand. In fact, nearly half of Canadians have used, or are currently using, omega-3 natural health products and more than half of Americans indicates that they’re attempting to increase omega-3 ingredients in their diets – both trends pointing towards strong demand. Plant based proteins have seen substantial growth in recent years, with Research and Markets forecasting a global market of nearly $10.9 billion in 2022, representing a CAGR of 6.7% in the coming years. Industrial hemp is an ideal source for cannabis extracts like CBD (cannabidiol), a market estimated to reach $2.1 billion annually by 2020. In this regard, industrial hemp provides the perfect balance of omegas supporting human health, has more digestible protein than any plant on earth…and is a lower cost biomass input for cannabis extracts when compared to marijuana.

Naturally Splendid Enterprises Ltd. (TSX-V: NSP) (FSE: 50N) (OTCQB: NSPDF) is approaching this market in a unique way, using its proprietary technology to convert hemp seed oil (rich in omega-3 and other essential fatty acids) into a water-soluble powder that can be integrated into nearly any food or beverage product. Naturally Splendid’s recent acquisition of Absorbent Concepts Inc. and its hemp seed processing facility is a major boon to the company as it seeks to penetrate three significant and growing markets – plant based omegas, plant based protein, and cannabis extracts –  all three categories perfectly positioned for industrial hemp and marijuana.

ACI Acquisition Adds Value, Experience

The acquisition of Absorbent Concepts provides a number of benefits for Naturally Splendid. Perhaps the biggest, and most obvious, is that the company will now have total control over their own manufacturing facility and processes used to produce its extensive line of hemp-based products. This level of vertical integration, from R&D through manufacturing to distribution and sales (both wholesale and retail), strengthens the company’s position considerably as it no longer relies on the whims of third parties.

ACI brings with it a team of experts that add considerably to Naturally Splendid’s existing experience and expertise. ACI is one of North America’s only strictly organic hemp seed processors, and the team there is well-versed in cannabinoid extraction and laboratory analysis. Led by founder Pete Scales, a noted evangelist for the hemp movement and Director of the Canadian Hemp Trade Alliance (CHTA), ACI offers field extension services for hemp farmers to help them with issues such as whole plant utilization and organic growing techniques. ACI also has a history of developing its own nutritional products, and its expertise is perfectly synergized with Naturally Splendid’s mission and goals.

The factory’s location is also ideal in many respects. Located in Abbotsford, BC, ACI is close to Vancouver’s population, international airport, and shipping ports. It provides easy access to the US border and Interstate 5, the Trans-Canada Highway, and the incredibly rich agricultural industry of southwestern BC. In short, it’s a perfect hub for a company with both national and international ambitions.

NSP’s New CEO Providing Strong Leadership

Appointed interim CEO in January, Doug Mason recently took the helm for good. Naturally Splendid has made a fairly speedy transition from a bulk hemp seed distributor to a wholesale ingredient and consumer brand company. Mr. Mason brings his extensive consumer products experience to guide Naturally Splendid through even more expansion and growth as the company moves into the revenue production and marketing phase.

Mr. Mason presided over 20 years of innovative consumer product development and marketing with Jolt Cola and Clearly Canadian. With Naturally Splendid’s consumer product lines ranging from nutraceuticals to cosmeceuticals to pet supplements, he has a lot of raw material to fashion into profitable brands. His track record indicates he is more than capable, and the new factory/lab/extraction facility should solidify the back end of the company as he refines the company’s consumer-facing outreach…possibly into beverage categories where he has had considerable success taking Clearly Canadian to over $200,000,000 annually in just its third year of operation.  

One interesting development to keep an eye on is Naturally Splendid’s pursuit of a Cannabis Dealer License in Canada. A Cannabis Dealer License allows the holder to handle, extract, research, develop, import & export cannabis and related products, from both industrial hemp and marijuana. As Canada’s new legalization of adult-use cannabis takes hold, such a license could prove incredibly valuable to the company, allowing it to expand beyond hemp into the wider variety of products that can be developed from cannabis extracts. This all ties back in to the ACI acquisition and that facility’s capabilities as well, giving Naturally Splendid the perfect factory/lab for such endeavors.

All in all, the Absorbent Concepts acquisition could prove transformative for Naturally Splendid, especially considering its new leadership, consumer focus, and expanding market due to Canada’s evolving regulatory environment.

For more information, visit the company’s website or download their investor presentation.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post Naturally Splendid Acquisition Vertically Integrates Hemp/Marijuana and Nutrition Business appeared first on CannabisFN.

The cannabis industry is projected to reach $50 billion by 2026, according to Cowen & Co., driven by the legalization of adult-use cannabis across many states. With adult-use on the rise, consumer preferences are quickly shifting from smoking cannabis flower to consuming edible products that are better-tasting and faster-acting. Investors may want to consider building exposure to the edibles space to capitalize on these trends.

Lexaria Bioscience Corp.’s (OTCQX: LXRP) (CSE: LXX) DehydraTECH™ platform enables edibles manufacturers to increase bioavailability, improve flavor profiles, and expedite the onset of cannabinoid effects across a wide range of products. Investors may want to take note of the stock since the company’s growing number of licensees represents an attractive way to build exposure to edibles through royalty-based licensing agreements.

Innovative DehydraTECH™ Platform

Lexaria’s patented DehydraTECH™ technology is designed to increase the bioavailability, improve the flavors, and rapidity of onset of cannabinoids across a wide range of products, from capsules to edibles to beverages. Earlier this year, the company secured key patents on the technology covering these use cases, as well as other innovative areas of application, such as for the delivery of NSAIDS, nicotine, and vitamins.

The company is monetizing the DehydraTECH™ platform through partnerships across many different vertical markets. In exchange for the right to use the technology, the company often receives a lump sum payment and royalties on revenue generated from products developed using the technology platform. These agreements provide shareholders with near-term lump sum revenue and predictable revenue streams over the long-term.

Management has signed a number of licensing agreements since DehydraTECH™’s launch earlier this year. For example, the company has been working with Nuka Enterprises to develop chocolates and other edibles using the technology for the past two years, as well as GP Holdings LLC in developing cannabis-infused beverages. These represents multi-billion dollars markets that are rapidly growing throughout the world.

New License Agreement

Lexaria recently signed a new license agreement with Nuka Enterprises LLC, which makes 1906 brand cannabis chocolates and other edibles products. After utilizing the DehydraTECH™ platform for nearly two years, the company has risen to become one of Colorado’s top cannabis chocolate brands available in over 150 locations. The decision to renew its license to use DehydraTECH™ represents a strong vote of confidence in the technology.

“1906 products are a unique combination of nature and science, bringing together natural plant medicines delivered in delicious form factors, such as chocolate, with advanced technologies that make them safe, predictable, fast-acting, and efficacious,” said Nuke Enterprises CEO Peter Barsooom. “We’ve worked closely with Lexaria through 1906’s development and launch phases to create the best possible products that taste great, reduce onset times, and deliver amazing experiences. Fast-acting edibles are the wave of the future – it’s what consumers want – and we are at the forefront of bringing innovations to address customer needs.”

Under the new ten year semi-exclusive agreement, Nuka Enterprises will leverage DehydraTECH™ in its U.S.-based products with a focus on recreational states like Colorado, Nevada, California, New Jersey, and Massachusetts. The company also has acquired an option to expand its products and brand to Canada, including through the use of Lexaria’s existing chocolate and confections contract manufacturer licensee, Cannfections Group Inc.

Looking Ahead

Lexaria Bioscience Corp. (OTCQX: LXRP) (CSE: LXX) represents a compelling investment opportunity in the burgeoning cannabis industry. With its DehydraTECH™ platform gaining traction, the company is quickly building a steady stream of recurring revenue that could unlock significant value for shareholders over time. Investors may want to take a look at the stock sooner rather than later to capitalize on these dynamics.

For more information, visit the company’s website or download their investor presentation.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post Lexaria Solidifies Presence in Edibles Market with New Agreement appeared first on CannabisFN.

Recent investments, partnerships and acquisitions in the Canadian cannabis industry highlight the importance of recreational branding as the country transitions focus from medical marijuana to adult-use, recreational cannabis. The marketing of recreational products to a mass audience differs significantly from the marketing of medical products to a narrower audience, and an examination of investments in the space can serve to put a perceived value on brands that are focused on the mass market.

Choom Holdings Inc. (CSE: CHOO) (OTCQB: CHOOF) is a company that started with one specific goal in mind – develop a brand that would have broad appeal in the nascent Canadian recreational cannabis industry. Choom is a local Hawaiian term for smoking marijuana, and the company aims to bring the spirit of relaxed good times from the islands straight to the Canadian cannabis consumer’s door.

Follow the link to get Choom’s corporate presentation and company updates.

Recent Deals

Shortly on the heels of announcing a supply agreement between the two companies, Emblem Corp. (TSX-V: EMC) announced that it was acquiring an interest in Fire & Flower. Fire & Flower is a corporately-owned retail cannabis lifestyle brand and store concept, and it has announced its application for 37 retail licenses in Alberta. The company is also contemplating retail efforts in British Columbia, Saskatchewan and the Atlantic provinces, though nothing official has been announced.

Determining the value of Fire & Flower is a little bit tricky, but according to a recent press release from TerrAscend Corp. (CSE: TER), its C$2.5 million investment amounts to about 5% of the outstanding Fire & Flower shares. Simple math puts the value at about $50 million for the company, with a retail concept and a number of applications on its books.

Hiku Brands (CSE: HIKU) is another interesting story. The company was very recently formed through the merger of DOJA Cannabis, a smaller licensed producer, and Tokyo Smoke, a cannabis-oriented retailer of coffee, clothing and accessories in British Columbia, Alberta, and Ontario. In a recently-announced deal, Hiku is merging with WeedMD (TSX-V: WMD) to combine the retail company with the more-established medical marijuana producer.

In the end, should the deal pass muster with shareholders and regulators, Hiku shareholders will own about 51.75% of the company and WeedMD holders about 48.25%. This means that the companies are on nearly equal footing, perhaps a surprising development for the merger between the more established medical licensed producer and the smaller producer/retail concept company. The companies currently feature market caps of approximately $178 million for WeedMD and about $195 million for Hiku.

There are also deals like Aphria’s acquisition of Broken Coast Cannabis for $230 million to consider, and Supreme Pharma’s purchase of a 10% stake in BlissCo. But you get the picture. Licensed producers are putting tremendous resources into retail brands and companies in often very early stages of development.

Follow the link to get Choom’s corporate presentation and company updates.

Choom’s Place in the Market

Choom™ emerged in the public markets in late 2017, formed with the intent of developing a great brand focused exclusively on the recreational cannabis consumer. Management was reading the tea leaves, and the company is one of the very few recreational pure-play public entities. It also has a relatively impressive list of assets and accomplishments as it builds a dedicated recreational cannabis company, vertically integrated from seed through retail sales.

Choom owns two late stage licensed producer applicants, both based in British Columbia. It also has agreements in place, pending details, to acquire two more late stage applicants, one in BC and one based in Saskatchewan. All of these applications are anticipated to be approved in the near term. To hedge against delays in ramping up its own production, Choom has a supply agreement in place with ABcann (TSX-V: ABCN). The Ontario-based producer also chipped in $4 million in Choom’s recent $7 million raise.

Choom has announced plans for retail applications and locations throughout Saskatchewan, Alberta, and British Columbia, totalling 48 potential retail outlets to this point. The company is also eyeing further opportunities further east in Canada, but has been initially focused on covering the three westernmost provinces, accounting for about 27% of the country’s population.

With a current market cap in the neighborhood of $60 million, it could be argued that Choom is undervalued when compared with the recent investments in the retail brand space. That argument would only grow more convincing should any of the company’s four applicants advance through the next phases of licensing. Similarly, should Choom receive approval for its planned retail outlets, the company could look like a bargain compared to some of its retail-hopeful brethren. All of the above bears watching.

Follow the link to get Choom’s corporate presentation and company updates.

Disclaimer

The above article is sponsored content. Emerging Growth LLC, which owns CannabisFN.com and CFN Media, has been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: http://www.cannabisfn.com/legal-disclaimer/

The post What is a Recreational Cannabis Brand Worth in Canada? appeared first on CannabisFN.

As the legalization of cannabis, for both medical and recreational uses, spreads across the United States, some markets and locations present better business opportunities than others. Some states’ regulatory frameworks provide high barriers to entry, giving those able to obtain licenses access to a large share of the market. That is the case in states like California, Nevada and New York, which combined account for about half of the U.S. addressable market for cannabis. California and Nevada have commenced adult-use sales. In the Golden State, marijuana businesses must be licensed by municipalities first, before obtaining a state license. The City of Los Angeles with a population of nearly 4 million has issued fewer than 200 retail licenses with no immediate plans for more. By comparison, the state of Colorado with a population of 5.5 million has issued more than 600 dispensary licenses. Nevada has issued fewer than 40 retail licenses.

In New York, only 10 companies are licensed to manufacture and sell marijuana products for medical-use currently. Those companies are expected to be first in line when the state legalizes adult use. And political momentum is building for legalization. Gov. Andrew Cuomo said recently New York will soon be surrounded by legal marijuana with adult use already legal in most of New England, and Canada and New Jersey likely to follow suit. “For all intents and purposes, it is going to be here anyway,” Cuomo told the New York Post.

MedMen is one of the largest and most established cannabis companies in the U.S. with over 800 employees, 12 retail locations, and cultivation and production facilities spread across California, Nevada and New York. MedMen is defining modern marijuana operations with best-in-class facilities across the entire cannabis vertical in key markets. The company’s recently opened facilities in Manhattan and Nevada highlight this strategy.

CFN Media recently sat down with MedMen CEO and Co-Founder Adam Bierman to discuss the company’s strategy, recent developments, and roadmap.

Dispensary on Fifth Avenue

Perhaps the clearest example of MedMen’s approach is the opening of the company’s dispensary in Manhattan, on Fifth Avenue, on 4/20/18. It’s only the third dispensary in Manhattan. The borough boasts a population of over 1.6 million people, and New York City’s overall population is about 8.5 million. The company owns the real estate as well. MedMen also has dispensaries in Syracuse, Buffalo, and Long Island, with its cultivation and production facility located in Utica.

MedMen Fifth Avenue

New York is currently a medical marijuana-only state, but there have been rumblings about going fully legal. In the meantime, the state has granted only 10 licensees the right to open only 40 total dispensaries across the whole state. So MedMen, as one of the licensees, has legal access to theoretically 10% of a market that serves almost 20 million people. Here you see MedMen positioning in New York, taking advantage of a regulatory framework that gives it access to millions of potential customers.

Now, in the state’s fledgling medical program, there are currently about 50,000 registered medical marijuana patients. But that number should expand as the program matures, and the longer term play is for MedMen to gain pole position in a recreational market that could potentially be the nation’s second largest when accounting for tourists from around the world. Massachusetts has already legalized, and New Jersey and Connecticut are in the process of legalizing. It’s not hard to imagine that New York will follow in the not too distant future as the state sees tax dollars accruing for its legalized neighbors.

Nevada Production Facility

MedMen also recently opened a state-of-the-art cultivation and production facility in the Reno, Nevada area. Named Mustang, the 45,000-square-foot factory houses best-in-class greenhouse, extraction, tissue culture, edibles, and laboratory facilities. At peak production, MedMen Mustang will produce about 10,000 pounds of premium cannabis per year, not to mention extracts, edibles, and related products.

MedMen Mustang Flowering Room

With a North Las Vegas dispensary in place and more locations planned in the Las Vegas area, MedMen is tackling the Nevada market with the same gusto it applied in California and New York. The state reported about $200 million in sales in the first six months of full retail operations, and is limiting the number of retail licenses issued to avoid oversaturation of the market.

This returns us to the theme of regulated markets and population centers. In states like Oregon and Colorado there is nearly an unlimited number of licensed retail operators. Establishing a vertically integrated operation in a regulated market like Nevada, and focusing the retail locations in Las Vegas, gives MedMen a powerful position and competitive advantage over less established and more fragmented companies.

Interested parties should keep an eye on MedMen developments as the company executes on its strategic plan to mainstream marijuana. It appears those plans have a solid and fertile foundation.

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