First up, Choom Holdings (CHOO.C) has been added to the Horizons Marijuana Life Sciences Exchange-Traded Fund (ETF) alongside industry-giants such as Canopy (WEED.T) and Aurora (ACB.T).
The ETF offers investors exposure to cannabis companies in North America and is the largest of its kind in the cannabis space.
“Our inclusion in Horizons Marijuana Life Sciences ETF provides an excellent avenue for increased exposure to the investment community.”
-Chris Bogart, President and CEO of Choom Holdings
ETFs are marketable securities which trade like stock on an exchange. They have higher daily liquidity and costs less than mutual fund shares.
Choom Holdings also recently announced its application for a much sought-after Master Retail License to sell recreational cannabis in the province of Manitoba, according to Equity.Guru’s Lukas Kane.
“The Master Retail License would give Choom the go-ahead to operate retail cannabis stores and an e-commerce platform in Manitoba.”
Manitoba has awarded only four such licenses for recreational cannabis to date.
C21 Investments
Four executives from C21 Investments (CXXI.C) are scheduled to speak at the Cannabis Capital Convention in Amsterdam tomorrow to discuss the burgeoning Canadian cannabis market.
Representatives The Green Organic Dutchman (TGOD.T), Cannacord Genuity and Berenberg Bank are scheduled to present as well, but the conference’s organizer, Michael Kraland, said C21 Investments will have the most speakers.
“We’re attracting a lot of interest from international investors and we thought this was a great conference to introduce ourselves to the European financial community,” said Rob Cheney, CEO of C21 Investments.
The company was recently listed on the Frankfurt exchange, and Cheney said a US listing complete with ticker symbol will be completed in a few days.
Key C21 investment highlights
- Silver State Relief: First licensed dispensary in Northern Nevada, serves 1200 customers per day, $10m expansion underway, $37.5m in revs over trailing 12 months
- Eco Firma Farms: 23k sq ft grow facility in Canby, Oregon
- Phantom Farms: Four farms in Oregon of over 80k sq. ft., serving over 175 dispensaries with award winning flower
- Swell Companies: Developing public-facing brands that include Dab Society Extracts, Hood Oil, and the cannabis oil processor LoudLab Cannabis Refinement. Over 50 SKUs serving 275 dispensaries
- Dispensary acquisitions: The company has been picking up high performing Oregon based dispensaries as they emerge
With a projected annual revenue of USD$70 million, Cheney said he isn’t concerned about courting Canopy Growth’s $5 billion earmarked for acquisitions.
“We’re focused on building our business, building our brands. Our brands currently touch over 100,000 customers a month…Canopy doesn’t have any brands, doesn’t touch any consumers directly. We’re vertical, we own our own retail locations and that’s a growing segment of our business.”
Dominic Spooner is a investment advisor and a managing director of the Special Situations Group at IA Securities. He said what attracted him to C21 was its structure and the way management carried themselves.
“Rob was putting money [into the company] right beside his investors. From an investment perspective, you don’t see that often in cannabis. Quite often, what you see is management getting a huge discount and a promote to the price they’re asking you to pay.”
VIVO Cannabis
The British Columbia Liquor Distribution Branch was sent its first shipment of recreational cannabis from Vivo Cannabis’ (VIVO.V) today.
The shipment came from Vivo Cannabis’ subsidiary, Canna Farms. The company has signed provincial supply deals with Ontario and Alberta.
“It was satisfying for Canna Farms to ship this first, historic shipment of recreational cannabis. We fulfilled the BCLDB’s purchase order on time and in accordance with our plans and processes. We look forward to making similar shipments in the next few weeks to Yukon, Alberta, Saskatchewan, Manitoba, and Ontario from our production facilities in Hope, British Columbia.”
-Dan Laflamme, president of Canna Farms
Canna Farms is the first cannabis company licensed under ACMPR/MMPR guidelines in BC.
VIVO Cannabis also launched the website for its medicinal cannabis brand, Beacon Medical, yesterday.
Equity.Guru’s Lucas Kane wrote that VIVO Cannabis will be hosting ‘Beacon Road Shows’ across Canada this fall to educate researchers and health-care professionals about the brand.
Highlights:
- Enhanced Financial and Capital Markets Profile: strong cash position of $100 million, combined with Canna Farms’ positive operating cash flow
- Increased Capacity and Scale: Production capacity of 57,000 kilograms, with multiple provincial supply agreements already secured.
- International Leverage: Expedited expansion strategy into international markets, with a focus on Germany and Australia.
With a market cap of $450 million and $100 million in cash assets, combined with Canna Farms’ EBITDA of $4.3 million in Q2, we consider VIVO Cannabis to be a valuable company in the cannabis space.
Full Disclosure: Vivo Cannabis, C21 Investments, Choom Holdings and The Green Organic Dutchman are Equity Guru marketing clients and we own stock.