CNBC // 12.20.18
Thursday President Donald Trump signed the 2018 Farm Bill into law, an $867B piece of legislation that funds agricultural, nutrition, and other federal programs. The Food and Drug Administration's Commissioner Scott Gottlieb announced after the signing that the FDA is looking into pathways that would legalize the sale of CBD oil in food and beverages. Currently the FDA prohibits companies from adding CBD to food and beverages, as well as making therapeutic claims about the products. Further, the FDA prohibits food, beverages, and products containing CBD from being transported across state lines. Until new policies are adopted, the FDA will continue to enforce the current rules. The FDA has been making an effort to close down companies that make unproven claims, like CBD cures cancer.
The Morning Blunt // 12.21.20
Take a look at how cannabis stocks performed in Thursday afternoon trading and get the most recent updates on the most popular cannabis stocks. Companies were flying high after President Donald Trump signed the 2018 Farm Bill which will legalize industrial hemp. After the bill was signed, Canopy Growth Corp. (NYSE: CGC) announced it will participate in the US market.
NYSE News Updates // 12.20.18
Shares of Aurora Cannabis (NYSE: ACB) (TSE: ACB) have moved 12.68% to the company's 50-day low point. Since Aurora's 50-day high point, stock price has changed a whopping -57.76%. The company's P/S value is 88.64% with a P/B value at 1.54%. The company's forward P/E is sitting at 0.
Seeking Alpha // 12.20.18
Currently Cronos (NASDAQ: CRON) is trading around $11.50 with a market capitalization of $2.08B. According to their most recent quarterly report, the company's revenue was up 186% from the previous year and 11% for the quarter. Cronos also recently partnered with tobacco giant Altria (NYSE: MO). The partnership should bring both companies stability and longevity. While ups and downs will be expected, Cronos offers solid exposure to the cannabis sector.
Motley Fool // 12.20.18
Aggressive growth strategies can be a great way for a company to evolve with rapidly expanding markets. Canadian cannabis firms, however, have been expanding at the significant expense of the shareholder. Motley Fool's Cory Renauer argues that the biggest offenders are Aurora Cannabis (NYSE: ACB), Aphria (NYSE: APHA), and Cronos Group (NASDAQ: CRON).
Green Entrepreneur // 12.20.18
Canadian cannabis firms are developing long term strategies for acquiring US marijuana companies. Ultimately, Canadian cannabis firms will let US companies go through the process of legalizing, establishing strong brands, and developing the market. Once these things are checked off the list of requirements, Canadian firms will rush in to begin a new wave of consolidation process in the US.
Proactive Investors // 12.20.18
ICC International Cannabis Corp (CSE:WRLD) announced Thursday that it has entered into a joint venture with Colombia-based Estrella Verde SAS. The partnership will give ICC access to over 300 genetic strains that are registered with the International Cannabis Association.
Proactive Investors // 12.20.18
Aphria Inc's (NYSE:APHA) announced Thursday that it is signing a letter of intent with the Argentinian state-owned Cannabis Avatãra Sociedad del Estado with the intent to establish cannabis cultivation in the province. Aphria's wholly owned subsidiary ABP will establish a facility in Jujuy for the cultivation, processing, and manufacturing of cannabis products.
Gov. Andrew Cuomo (D-NY) insisted that the New York have a similar cannabis tax framework as its neighbors to ensure that consumers wouldn't attempt to cross the border to get cheaper weed. Massachusetts currently imposes a 20% tax on cannabis sales. And New Jersey is in a standoff, with Gov. Phil Murphy (D-NJ) seeking a 25% tax on cannabis, and lawmakers shooting for 12%.
In a 3-to-2 vote on Thursday, Alaska's Marijuana Control Board approved rules for onsite marijuana consumption at specialty shops. Businesses interested in offering a setting for marijuana consumers will be allowed to apply for a special onsite use endorsement. Retailers offering onsite consumption would be required have the area outdoors or as a separate room with a secured door and proper ventilation. Also, consumers would not be allowed to bring their own cannabis for consumption, but would be required to purchase it at the location.
The Inquirer // 12.20.18
Wednesday afternoon Pennsylvania Gov. Tom Wolf (D-PA) took to Twitter announcing it was time for the state to seriously consider legalizing recreational marijuana. State Senate Majority Leader Jake Corman (R., Centre) strongly opposed Wolf's position and promised to do everything in his power to prevent legalization. Auditor and Democrat, General Eugene DePasquale gave his support for reform, noting the tax revenues the state would generate.
Marijuana Moment // 12.20.18
In a letter to distributors, the California Bureau of Cannabis Control has issued a recall notice to 29 different companies. After an investigation into Sacramento-based Sequoia Analytical Labs, several cannabis distribution companies have been ordered to recall a variety of marijuana products. Vendors that have been impacted by this recall have been notified and have been approved to have their products retested by different laboratories. It will be up to vendors to determine if they would prefer to pay to retest the products or to destroy them.
Scheduled to take effect Dec. 31, 2018, California testing regulations are shifting once again. Phase 3 will unfortunately increase laboratory testing fees to increase by nearly 55% for some licensed cannabis operators. Out of California's 52 licensed cannabis testing facilities, only 14 of them have confirmed they are prepared for Phase 3. Take a look at some of the changes and additional costs associated with implementing Phase 3. It is advisable for legal operators to bank their inventory so as to prepare for testing delays.
Canna Law Blog // 12.20.18
2018 was a wild ride for cannabis businesses in California. Operators have been subject to a barrage of regulatory changes, legal road blocks, and financial burdens. Adding to the complexity, the Medicinal and Adult Use Cannabis Regulatory and Safety Act caused a succession of licensing problems that, through a year long process, has resulted in backlogged applications and delays. To top things off, cannabis businesses that failed to get a temporary license in 2018 will not be granted provisional licensing, leading to further delays for applicants.
Fox 2 KTVU // 12.20.18
Following an explosion that seriously burned one employee, Future2 Health Services of Santa Cruz California was cited for 10 different safety violations. According to the California Occupational Safety and Health Administration on Thursday, the cannabis manufacturer failed to protect workers around flammable vapors, identify hazards, and maintain equipment safety.
Cannabis Executives // 12.19.18
California’s Bureau of Cannabis Control issued a new set of proposed regulations on Dec. 7. Section 5032 of the regulations prohibits licensees from conducting cannabis activities on behalf of, at the request of, or pursuant to a contract with any party that is not licensed under the Act. Ian Stewart, partner in the Los Angeles office of Wilson Elser, goes into the implications of Section 5032.
The Tribune // 12.20.18
San Luis Obispo County began collecting taxes from cannabis businesses in late 2018, despite the fact that those businesses have not yet received licenses and permits to operate. The county has collected roughly $40K from eight businesses who are working through the permitting process. In November the county tax collector's office sent letters to businesses informing them that revenue generated after July 1, 2018 was taxable.
Wednesday the city of West Hollywood California announced license approvals for cannabis restaurants, cafes, and lounges. West Hollywood has been screening applications since April, finally issuing 40 licenses in total. Business owners who were approved now have 12 months to apply for a West Hollywood business license and establish a physical location for their business. Take a look to see which businesses were approved.
Yahoo Finance // 12.20.18
Health Canada has issued the agency's first draft of regulations for cannabis edibles, extracts, and topicals. The proposed regulations limit the amount of THC per package, requires childproof packaging, and restricts products that appeal to children. Under the regulations, each package would be limited to 10 mg of THC. Critics of the new regulations argue that limiting the THC content will drive people to the black market to buy more potent products.
The Growth Op // 12.20.18
Thursday, Canada released a draft of proposed federal regulations for cannabis edibles. Under the the new rules cannabis-infused alcoholic beverages would be banned. An exception to the rule would include tinctures, which would need to be labeled as non-alcoholic. Packaging and labeling cannabis products in the same facility as beer and wine would also be prohibited. Among other changes, edible products will have a cap on the amount of THC in each package. Ottawa will be open to public input until Feb. 20, 2019.
Yahoo Finance // 12.19.18
Kali Inc. (OTCMKTS: KALY) announced Wednesday that the company's subsidiary Kali Cannabis Therapies will develop cannabis biotechnology treatment alternatives to traditional chemical pharmaceuticals. In November Kali acquired NCM Biotech which included intellectual property rights to years of preclinical research studies derived from a patented cannabis extraction process. The IP will be under the control of Kali Cannabis Therapies and will contribute to ongoing research and development. Kali aims to develop cannabis treatments for specific conditions. Kali released the results of preclinical research studies on the treatment of chronic obstructive pulmonary disease (COPD) and asthma.