The cannabis industry continues with its explosive growth last week
Welcome back to our weekly series, Schaeffer’s Cannabis Stock News Update, where we recap what happened in the world of marijuana stocks last week, and look ahead to how the cannabis industry will develop in the 2021.
Investor interest in the cannabis industry is growing at an explosive growth rate, and the leading players continue to break through legal barrier after legal barrier, especially in the United States. More than 40 U.S. states legalized recreational and/or medical marijuana by the end of 2020. Now, more and more companies are starting to see the opportunity in cannabis cultivation, marketing, distribution, and technology.
After the Senate runoff elections tilted the favor of the Senate towards Democrats this month, there is continuously growing anticipation that the prospects of cannabis legislation can now find some footing in Congress. While full-scale legalization may be out of reach, smaller reforms tied to police and banking could positively impact the cannabis industry.
Here is a quick roundup of major cannabis stock news this week (Jan. 25 through Jan. 29):
Aphria Inc. (NASDAQ:APHA), a leading global cannabis-lifestyle consumer packaged goods company, announced the introduction of topicals to its award-winning adult-use brand Solei on Jan. 26. Known for its occasion-based offerings, Solei Topicals will join a range of other formats currently available, including whole dried flower and pre-rolls, smoke-free oils, oral sprays, soft gels, and vapes.
Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) announced on Jan. 22 that the Compensation Committee of its Board of Directors granted to five new employees inducement stock options to purchase an aggregate of 17,000 shares of its common stock and 3,500 inducements restricted stock units. This occurred on January 15.
Aurora Cannabis Inc. (NYSE:ACB), the Canadian company defining the future of cannabinoids worldwide, announced on Jan. 27 that it has entered into a strategic agreement with MedReleaf Australia. The companies have signed a five-year supply agreement, allowing MedReleaf to act as the exclusive supplier in Australia of Aurora’s MedReleaf, CanniMed and Aurora brands. Products covered by the agreement will be EUGMP certified and include dried flowers, oils, and soft gels, and future products employing new delivery mechanisms.
cbdMD, Inc. (NYSE:YCBD), one of the most highly trusted and recognized cannabidiol (CBD) brands, announced on Jan. 27 that the company is renewing its partnership with Ken Block, a professional rally and rallycross driver currently with the Hoonigan Racing division.
FSD Pharma (NASDAQ: HUGE) issued a corporate update on Jan. 27 indicating that the company had fired the company’s president, Zeeshan Saeed. FSD Pharma, however, did not specifically indicate the justification for the termination. In connection with his termination, which was effective immediately, Saeed is deemed to have resigned from all other positions with the company and its subsidiaries. This includes his role on the firm’s board of directors.
Innovative Industrial Properties, Inc. (NYSE:IIPR), the first and only real estate company on the New York Stock Exchange focused on the regulated U.S. cannabis industry, announced on Jan. 25 that it closed on the acquisition of a property in Alachua, Florida, which comprises approximately 295,000 square feet of industrial space for $23.8 million excluding transaction costs.
Tilray, Inc. (NASDAQ:TLRY), a global pioneer in cannabis production, research, cultivation, and distribution, announced on Jan. 26 that the company has been selected by the French National Agency for the Safety of Medicines and Health Products (ANSM) to supply Good Manufacturing Processes (GMP) certified medical cannabis products for experimentation in France. Tilray will supply GMP-produced medical cannabis products to serve patients in need for the French experiment’s duration (18-24 months), due to begin in the first quarter of 2021.
22nd Century Group, Inc. (NYSE:XXII), a leading plant-based biotechnology company focused on cannabis research, announced on Jan. 28 that the company is moving its corporate headquarters to the up-and-coming Larkinville District in downtown Buffalo.