Over 88% sequential growth in Q2 2019 preliminary unaudited revenue (compared to Q1 2019), primarily driven by focused execution in expanding California market.
In between growers and sellers lie several potential places for companies with expertise to firmly establish themselves in the burgeoning cannabis space.
Palm Beach, FL – July 16, 2019 ? Cannabis has quickly become one of the fastest growing industries we’ve seen in quite some time. With Canada legalizing recreational cannabis in 2018, and a growing number of U.S. states approving its recreational and, or medicinal use, sales are just beginning to tick higher. However, within that industry, the CBD industry is just beginning to boom. In fact, a report from Brightfield Group says CBD sales could explode to – a five-year compound annual growth rate (CAGR) of 100%. “The bulk of this growth is coming from large retailers like CVS, Walgreens, and Kroger entering the market and providing that availability to consumers,” says Brightfield Managing Director, Bethany Gomez. That’s opening a wide range of opportunity for companies including (CSE:BOSS) (OTCQB:BOSQF), (CSE:SLNG)(OTCPK:SLGWF), (CSE:GTII)(OTCQX:GTBIF), (CSE:HARV)(OTCQX:HTHHF), and (CSE:OH)(OTCQX:ORHOF).
Cannabis has been used for medicinal purposes for centuries, but despite the therapeutic benefits of cannabis, international regulators ultimately deemed the plant unsafe for the public due to its marijuana derivative. The marijuana plant, which is part of the cannabis family, is linked to containing the majority of THC cannabinoids, which cause the psychoactive effects that cannabis is generally associated with. However, extensive research and studies have uncovered that marijuana can be effectively used to treat a variety of medical conditions. For instance, researchers suggested that marijuana can effectively be used as an alternative to traditional opioids to treat moderate to severe pain. A study published in the Journal of Psychoactive Drugs evaluated over 1,000 subjects taking legal marijuana. Among the participants, 65% of the people said they were taking cannabis for pain treatment and 80% of the group found it very or extremely helpful. As a result, this led to 82% of the group reducing or eliminating their over the counter (OTC) medication intake. Notably, 88% of the group mentioned that they were able to completely stop taking opioid painkillers. Furthermore, 74% of the subjects said that marijuana helped them sleep better. Chronic pain and insomnia are two of the most prevalent medical conditions that adults suffer from and Dr. Gwen Wurm, Assistant Professor of Clinical Pediatrics at the University of Miami Miller School of Medicine, highlighted that 20% of American adults suffer from chronic pain and one in three do not get enough sleep in general. However, in regions where marijuana is legal for medical treatment, patients can obtain a prescription from their doctor to treat their ailments. Furthermore, as research and studies continue to better develop our collective understanding of the plant, scientists are debunking the misconceptions revolving around marijuana. This, in turn, is driving the large influx of first time users. According to data compiled by Zion Market Research, the global legal marijuana market was valued at USD 16.71 Billion in 2017. By 2024, the market is projected to reach USD 62.96 Billion, registering a CAGR of 21% during the forecasted period between 2018 and 2024. Canopy Rivers Inc. (OTC: CNPOF) (TSX-V: RIV), TerrAscend Corp. (OTC: TRSSF) (CSE: TER), Aphria Inc. (NYSE: APHA) (TSX: APHA), Cresco Labs Inc. (OTC: CRLBF) (CSE: CL), Origin House (OTC: ORHOF) (CSE: OH).
22 Capital Corp. (TSXV: LFC.P) (“22 Capital”) and Trichome Financial Corp. (“Trichome Financial”) are pleased to announce that each of 22 Capital and Trichome Financial have received unanimous approval from their respective shareholders for their announced amalgamation under the provisions of the Business Corporations Act (Ontario) that will result in a reverse take-over of 22 Capital by the shareholders of Trichome Financial (the “Transaction”). The Transaction, if completed, will constitute 22 Capital’s “Qualifying Transaction” as such term is defined in Policy 2.4 of the TSX Venture Exchange (the “Exchange”). Currently a subsidiary of CannaRoyalty Corp. d/b/a Origin House (CSE: OH) (OTCQX: ORHOF) (“Origin House”), Trichome Financial is a private corporation. Each of Trichome Financial and Origin House exists under the laws of the Province of Ontario.
CannaRoyalty Corp. d/b/a Origin House (CSE: OH) (OTCQX: ORHOF) (“Origin House” or the “Company”), a North American cannabis products and brands company, provided an update regarding its pending transaction with Cresco Labs Inc. (“Cresco Labs”), the replacement of its debt facility and other business updates.
CannaRoyalty Corp. d/b/a Origin House (CSE: OH) (OTCQX: ORHOF) (“Origin House” or the “Company”), a North American cannabis products and brands company, is pleased to announce that the Company has obtained a final order from the Ontario Superior Court of Justice (Commercial List) approving the plan of arrangement (as amended, the “Arrangement”) with Cresco Labs Inc. (“Cresco Labs”) previously announced on April 1, 2019, pursuant to which, among other things, Cresco Labs intends to acquire all of the issued and outstanding common shares and class A compressed shares of Origin House. Receipt of the final order will allow Origin House to complete the Arrangement upon satisfaction of the remaining closing conditions, including the receipt of required regulatory approvals.
CannaRoyalty Corp. d/b/a Origin House (CSE: OH) (OTCQX: ORHOF) (“Origin House” or the “Company”), a North American cannabis products and brands company, today announced that it has filed its management information circular, letter of transmittal and related proxy materials (collectively, the “Meeting Materials”) and will commence delivery of the Meeting Materials for its special meeting of shareholders (the “Meeting”) to be held on June 11, 2019 in connection with its previously announced statutory plan of arrangement (the “Arrangement”) pursuant to which Cresco Labs Inc. (“Cresco”) will acquire all of the issued and outstanding shares of Origin House.
The cannabis industry made significant progress in 2018, however, many challenges still lie ahead. Last year, the industry reached historic milestones as Canada fully legalized cannabis and numerous other countries ratified the use of cannabis for medical applications. Moreover, three U.S. states also moved to legalize a form of cannabis legislation. Notably, Michigan became the 10th state, including the District of Columbia, to legalize recreational cannabis. Despite ongoing legalization efforts, national governments have played a large role in limiting the industry’s growth. For instance, the Canadian government has curtailed retail hours and limited licensing for companies. As a result, the demand began to outweigh supply, leading to major shortages in certain provinces. The severe shortages then led dispensaries and e-commerce retailers to sell out of products and ultimately close for varying durations of time. Overall, the industry’s growth is heavily reliant on development, positive data, and research. Now, extensive research has already led a handful of countries to legalize medicinal cannabis, however, many still have not registered cannabis as an approved drug. Notably, the U.S. Food and Drug Administration legalized Epidiolex, a CBD-based drug, to treat childhood epilepsy. The FDA also mentioned that in order to approve more cannabis-based treatments, large-scale and positive clinical trials will be required. The FDA’s requirements have led many companies to invest in research and development in order to effectively commercialize cannabis-based treatments. While the medical cannabis segment currently accounts for the majority of the market share, the recreational segment, not to be forgotten, is still prosperous and thriving. The recreational market is expected to grow at a much faster rate, primarily due to states such as Colorado and California, which collectively delivered billions of dollars in cannabis revenue. Furthermore, emerging states such as Nevada and Oregon are expected to contribute to the sum, positioning the U.S. as a dominant player in the cannabis industry. According to Grand View Research, the global legal marijuana market is expected to reach USD 146.4 Billion by the end of 2024 while registering a CAGR of 34.6%. MediPharm Labs Corp. (OTC: MEDIF) (TSX-V: LABS), Acreage Holdings Inc. (OTC: ACRGF) (CSE: ACRG.U), Origin House (OTC: ORHOF) (CSE: OH), Neptune Wellness Solutions Inc. (NASDAQ: NEPT) (TSX: NEPT), KushCo Holdings, Inc. (OTC: KSHB).
Last year was a year of maturation for the cannabis market.