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March 28, 2024

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FinCanna (CALI.C) receives good news from Washington

The majority of weed companies we cover, operate exclusively inside Canadian borders.

The cannabis business in Canada is de-risked because recreational pot is being legalised at a federal level.

It’s more complicated south of the border.

U.S. President Trump is a life-long tea-totaller and drug abstainer; his Attorney General Jeff Sessions is convinced that pot smoking leads to pedophilia, cannibalism and crude language.

Selling cannabis in the U.S. is a state-by-state battle.

FinCanna Capital CALI.C) is a royalty company operating in the licensed medical cannabis industry.  It is building a portfolio of royalty investments in companies in U.S. legal states, with a focus on California.

The FinCanna business model:

  • Money – a percentage of revenue – regardless of productions costs
  • Minimal ongoing Cash Costs – Initial investment only.
  • Low Burn rate – small number of employees
  • Diversification – multiple projects across multiple sub-sectors

Here’s what you need to know.

Earlier this year, Jeff Sessions issued a memo threatening to crackdown on states that have legalized marijuana. One of those states is Colorado. The weed business generates a tonne of tax revenue for the state of Colorado.

The Colorado Republican Cory Gardner said he would block all DOJ nominations until the federal government promised to stay out of the state’s weed business.

U.S. President Trump needs the support of Republican Senators to approve his Justice Department (DOJ) nominees.

According to the Washington post, “In a phone call, Trump told Gardner that despite the DOJ memo, the marijuana industry in Colorado will not be targeted.”

Jeff Sessions assured the President he harbored no bad feelings.

“Since the campaign, President Trump has consistently supported states’ rights to decide for themselves how best to approach marijuana,” Senator Gardner said Friday. “Late Wednesday, I received a commitment from the President that the DOJ…will not impact Colorado’s legal marijuana industry.”

In an April 16, 2018 press release, FinCanna Comments on President Trump’s Hands-Off Approach to Legalized Marijuana, CALI claimed that the company “is strongly positioned to benefit from advancements in federal legislation.”

“While a bill has not yet been finalized, we feel these words of commitment from President Trump to a hands-off approach on states that legalized marijuana is extremely positive and should continue to create further comfort and momentum for investors looking to be a part of the licensed cannabis movement in the United States.” stated Andriyko Herchak, CEO and President of FinCanna.

Something big just happened in Washington that makes FinCanna’s life (and pathway to profitability) easier.

Full Disclosure: FinCanna is an Equity Guru marketing client and we also own stock.

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1 thought on “FinCanna (CALI.C) receives good news from Washington”

  1. Great site ,thank you could you please help me understand why Medmen is entering into a RTO with Outdoorpartners a Canadian company that does not have a listing ,it was my understanding a RTO was to gain access to a ticker ,I can not find any information on why or how a RTO would be done in this manner or what advantage it would hold opposed to obtaining a shell with a listing

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