NEW YORK, October 10, 2018 /PRNewswire/ --
According to data providedby the European investment bank, Bryan, Garnier & Co., the legal global cannabis market is projected to grow more than 1,000% over the next decade and could reach USD 140 Billion by 2027. Data by Arcview Market indicates that while California gets
In the U.S., the potential financial benefits from legalization are vital from an economic and political standpoint. In a report by Benzinga, Viridian Capital President, Scott Greiper, points out that the cannabis market received USD 1.23 Billion in investments in the first five weeks of 2018, a significant increase from USD 178 Million a year earlier. Viridian Capital Advisors' Vice President, Harrison Phillips, explained, "Investments in cultivation and retail this year have been driven predominantly by the Canadian player. This has been happening pretty consistently from late 2016 through 2017. This reflects the necessity to scale cannabis businesses, to get some kind of advantage, and to explore strategic opportunities, both through acquisitions and international expansion."
FinCanna Capital Corp. (OTCQB: FNNZF) is also listed on the Canadian Securities Exchange under the trading symbol (CSE: CALI). Yesterday, the Company announced breaking news that, "due to Cultivation Technologies Inc.'s, ("CTI") re-focused business strategy, FinCanna and CTI have agreed to a restructured agreement ("RA"). Under the RA, FinCanna is to receive approximately US$3.9 million as repayment of CTI's outstanding secured loan and receive payments equivalent to 3.44% of the consolidated topline revenue of CTI in perpetuity.
Upon completion of the RA, the RA will replace the current funding agreement and FinCanna will no longer need to provide additional financing to earn payments in perpetuity on any of CTI's projects, as the RA covers all of CTI's current and future projects. CTI has entered into a sale escrow agreement for US$4 million for its 6-acre property in Coachella, California subject to certain conditions. The sale is expected to close in December 2018 or January 2019, and the expected net proceeds of approximately US$3.9 million after transaction costs will be paid to FinCanna. CTI has the option to increase its cash payment to FinCanna before December 31, 2018, and the payments in perpetuity of 3.44%, based on total cash payments to FinCanna of US$3.9 million, would alter based on total cash payments to FinCanna under a predetermined formula.
Additionally, FinCanna will continue to earn 50% of the profits of CTI's Interim Extraction and Manufacturing Facility that is expected to remain in operation until June 2019, FinCanna will receive certain purchase warrants in CTI's next equity financing and will retain customary security over its overriding royalty.
CTI's refocused business strategy towards extraction, manufacturing, and brand development, instead of large-scale indoor cultivation, is a result of changing market conditions and prioritizing ROI. As a result, CTI intends to retrofit its 5,200 sq ft, building site in Palm Desert, California as a permanent extraction and premium manufacturing facility for various established premium brands such as its own Coachella Premium and for others. CTI also intends to develop its wholly-owned two-acre site in Colusa, California as a biomass processing, manufacturing and distribution facility to serve the Bay Area and other key markets in Northern California."
Andriyko Herchak, President and CEO of FinCanna Capital states, 'The new agreement is a very positive move forward for FinCanna and allows CTI to finance and execute on its refocused business to create long-term value for both parties. We are very bullish on CTI's new strategy and anticipate a much quicker path to royalty revenue to FinCanna without any further financing obligations. Lastly, the expected cash proceeds from CTI of US$3.9 million will provide us with additional non-dilutive funds to expand our royalty investment portfolio with a goal to leverage additional verticals in the U.S licensed cannabis markets that are in need of financing for rapid growth.'
Organigram Holdings Inc. (OTCQX: OGRMF) is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of cannabis and cannabis-derived products in Canada. Organigram Holdings Inc. recently announced that is has closed the previously-announced private placement investment in EvianaHealth Corporation. EVIANA was established to deliver the highest quality, organic, sustainable CBD (cannabinoid) from natural hemp strains of cannabis sativa (industrial hemp). CBD will be used in customized consumer health-care products, pharmaceuticals, nutraceuticals, and cosmeceuticals in addition to topical creams and other health and wellness products. "Our investment in Eviana represents just the beginning of our international aspirations," said Greg Engel, Chief Executive Officer of Organigram. "It is representative of our approach to work with trusted local partners to both move quickly with boots on the ground and to navigate regional regulatory issues effectively."
Emerald Health Therapeutics, Inc. (OTCQX: EMHTF) is a Licensed Producer under Canada's Access to Cannabis for Medical Purposes Regulations and produces and sells dried cannabis and cannabis oil for medical purposes. Recently, the Company had entered into a research agreement with VivaCell Biotechnologies Spain S.L.U. VivaCell is an institute focused on cannabis research, which will provide its cannabis-industry-leading contract research organization (CRO) services to Emerald to elucidate the mechanism of action of proprietary formulations and dosage forms that Emerald is developing. This collaboration has the potential to strengthen Emerald's intellectual property portfolio and assist in establishing Emerald as a leader in the development of proprietary cannabis products for medical-use and improved adult-use products with more precise and consistent delivery, dosage, and formulations. "There are a rare few organizations that focus their understanding of the cannabis plant at the heart of its scientific development and strategic operations. We're fortunate to have VivaCell as part of the Emerald Health group of companies and look forward to working on this project," said Chris Wagner, Chief Executive Officer of Emerald, "With 17 patents filed to date, we are advancing our product development process. The data from this work will aid us in this process. Our goal is to expand our product pipeline with innovative products substantiated by scientific data and protected by our intellectual property."
General Cannabis Corp. (OTCQX: CANN) is the comprehensive national resource for the highest-quality service providers available to the regulated cannabis industry. As the legal cannabis industry grows throughout the United States, the industry's leading service provider, General Cannabis Corp., recently announced that it is expanding its presence on the East Coast with the opening of a New York office. The New York office provides General Cannabis a strategic location to better serve existing East Coast clients while also attracting new talent and partnerships as the cannabis market in the eastern U.S. continues to develop. Further, the opening of the New York office provides a hub for current clients looking for East Coast expansion opportunities. "Given our growing list of East Coast clients and the steps that states like Massachusetts and New Jersey have taken toward launching adult-use sales, this is the ideal time for General Cannabis to further invest and establish itself in the region," said Michael Feinsod, Executive Chairman of the Board for General Cannabis. "The growth potential for the market in this region is unparalleled. An East Coast office is perfectly suited to cater to this territory as General Cannabis continues to expand its presence nationwide. We plan on expanding our security, operations and marketing segments aggressively throughout the East Coast. In addition, we will be utilizing this office to expand and enhance our corporate, marketing and mergers and acquisitions teams."
Vitality Biopharma, Inc. (OTCQB: VBIO) is dedicated to unlocking the power of cannabinoids for the treatment of serious neurological and inflammatory disorders. Vitality Biopharma, Inc. recently announced the filing of national patent applications in the United States and Canada that describe compounds discovered to be effective in a drug screening model for neural repair. The discoveries included a compound that is known to have a positive track record of safety in clinical trials and to provide pain relief through modulation of the vanilloid TRPV1 receptor. Cannabidiol (CBD), a non-intoxicating cannabinoid independently FDA-approved in pharmaceutical form for the treatment of epilepsy, is also known to relieve pain through modulation of the TRPV1 receptor. As a result, Vitality has made broad patent claims covering use of CBD and other TRPV1 agonists for myelin repair and for treatment of demyelinating disorders. "We're excited to pursue this intellectual property in the U.S. and Canada, and to perform additional work characterizing the regenerative potential of these compounds," said Robert Brooke, Chief Executive Officer of Vitality Biopharma. "By targeting fundamental mechanisms of neural repair, we believe the result could be more powerful therapeutics and treatment regimens that benefit patients across a variety of important disease states."
Subscribe Now! Watch us report LIVE https://www.youtube.com/FinancialBuzzMedia
Follow us on Twitter for real time Financial News Updates: https://twitter.com/financialbuzz
Follow and talk to us on Instagram: https://www.instagram.com/financialbuzz
Facebook Like Us to receive live feeds: https://www.facebook.com/Financialbuzz/
FinancialBuzz.com, a leading financial news informational web portal designed to provide the latest trends in Market News, Investing News, Personal Finance, Politics, Entertainment, in-depth broadcasts on Stock News, Market Analysis and Company Interviews. A pioneer in the financially driven digital space, video production and integration of social media, FinancialBuzz.com creates 100% unique original content. FinancialBuzz.com also provides financial news PR dissemination, branding, marketing and advertising for third parties for corporate news and original content through our unique media platform that includes Newswire Delivery, Digital Advertising, Social Media Relations, Video Production, Broadcasting, and Financial Publications.
For further information: Media Contact: firstname.lastname@example.org +1-877-601-1879
Subscribe to our Free Newsletters!