The Morning Blunt
Volume 3| Issue 2
November 2, 2018
“ If your ship doesn’t come in, swim out to meet it!“
GW Pharmaceuticals rallied 7.1% after the announcement of its cannabis-based seizure medication became available to severely epileptic patients, primarily children in the US via prescription.
Cannabis stocks broadly were up Thursday, putting the sector on track for a third straight gain for the first time in six weeks. ETFMG Alternative Harvest ETF rose 2.2%, Horizons Marijuana Life Sciences ETF climbed 1.6%, and both Aurora Cannabis and Canopy Growth edged upward by .4%. Check out how the rest of the sector played out on Thursday.
After raising $400M in the company’s oversubscribed offering, CuraLeaf Holdings debuted on the CSE Monday with an impressive market cap of $4.5B via reverse merger with Lead Ventures. Motley Fool’s Sean Williams explains how Curaleaf is a high-risk stock despite its crazy valuation due to expansion costs and black-market competition.
With only $30K cash on hand and a debt $2.73M, Cannabis Science’s balance sheet isn’t pretty according to Investing Daily’s John Persinos, who advises investors to stay away from highly indebted and poorly managed microcaps.
Motley Fool’s Sean Williams gives his picks for October’s close out, which were the only three cannabis stocks that ended the month in the green, MedMen Enterprises, MariMed, and Origin House. Take a look how and why these stocks smoked their competition.
The CEO of Molson Coors Mark Hunter is bullish on cannabis infused beverages, noting that Canada’s cannabis industry will be worth an estimated $10B, adding that cannabis infused beverages could make up 30% of the market.
Canada issued a warning to travelers heading to Singapore that customs officers can request a drug test upon arrival to the country. A positive screening can lead to arrest. The warning comes after a statement was release by the Singapore government announcing that citizens who abuse drugs overseas would be held accountable upon their return.
Thailand’s National Legislative Assembly’s standing committee of public health is pushing to legalize medicinal cannabis use. A draft bill was sent to the legislative body and will be reviewed within the month.
With the Canadian cannabis industry booming, Cannabis firms see huge potential in Europe’s estimated 5M potential medical patients. Germany has been struggling to meet domestic demand for 18 months catching the attention of cannabis firms globally. Take a look at how global cannabis firms are positioning themselves to take advantage of the future of the European cannabis market.
The Cannabis Investor Symposium, held Thursday at the W Hotel in West Kowloon Hong Kong, called on local authorities to legalize medical cannabis use. Tickets for the symposium ran for $1000USD and attracted 200 cannabis entrepreneurs looking to invest in legal cannabis markets.
Arizona Attorney General Mark Brnovich stepped down from a case to defend the state’s position in a medical marijuana case, giving the position to Yavapai County Attorney Sheila Polk. The case could determine if extracts and concentrates are legal in the state of Arizona for nearly 180K medical patients.
According to Market Watch’s Daniel J. Mallinson argues that the push for cannabis legalization will run out of steam after the midterm elections. Mallinson notes that recreational states have all passed legalization through ballot initiatives not state legislature, and lawmakers are working on compromise bills that are more restrictive than the recreational and medical policies they are intended to replace.
SF Weekly issued a guide for pro-cannabis voters listing the biggest issues to hit the California ballots this midterm. Take a look at some of the biggest initiatives and races that may have the biggest impact on the cannabis industry.
Non-licensed cannabis retailers, such as restaurants will soon be barred from selling CBD infused products due to a series of regulations recently passed by the state. Gov. Jerry Brown recently passed a bill banning the sale of alcoholic CBD-infused beverages starting January 1, 2019.
California’s Alcoholic Beverage Control Act has decided to roll out some regulations surrounding the consumption of alcohol and cannabis, prohibiting the combination from being sold or consumed at the same location, including hotels.
The State of California Department of Public Health Manufactured Cannabis Safety Branch has issued a conditional license renewal to Plus Products Inc which will expire January 24, 2019.
Marijuana Business Daily reports despite regulators efforts to fast-track licenses for cultivation, shortages were inevitable based on mathematics alone. Canada regulators have licensed a cumulative 13M square-feet for cannabis cultivation according to data from Health Canada. According to experts 13M square-feet is only a fraction of the cultivation space needed to meet demand of both the medical and the recreational markets.
To add to Ontario Cannabis Store’s backorder kerfuffle, some 1,000 complaints were launched this week to the ombudsman after items were mislabeled by the producers delaying deliveries further. This comes after 150K orders put the Ontario Cannabis Store drastically behind. To make matters worse supply shortages and strikes at Canada Post further exacerbated the back up.
Cannabis Industry Journal’s Khyrrah-Cymone Shephard discusses the realistic challenges that genome sequencing for genetic tracking and traceability face in the cannabis industry. Shephard argues that advances in technology are required before sequencing technology will be readily available. Take a look at her analysis on equipment being developed and the opportunities sequencing may generate in the market.
Drexel University is leading a longitudinal study that will track how the states changing cannabis laws impact the health and behavior of young adults living in Los Angeles. The study should give insight as to how changing regulations can impact public health.
Before rushing out to get a job in the hot new cannabis industry, consider the full ramifications of working in the industry. According to Milford Daily News’ Gregg Padula there are no shortage of opportunities in the cannabis industry however the stigma, high turn over rate, and the possible impacts on future employment might be reason enough to stay away.