In this edition of "Rising High," The Fly conducted an exclusive interview with Graham Farrell, vice president of communications at Wayland Group (MRRCF), a vertically-integrated cultivator and processor of cannabis. Here are some of the highlights:
PORTFOLIO OF BRANDS: Wayland Group is a globally diversified cannabis company founded in 2013 with operations in seven countries across four continents. "The company is based just outside of Toronto, ON, Canada where it has built the most technologically advanced cultivation facility in the world, powered by its proprietary AI Data Grow system," Farrell said. "The company is also one of only five licensed producers in the world to have an EU-GMP certified facility, the gold standard for pharmaceutical production. This certification allows Wayland to access highly lucrative medical markets around the world that most competitors cannot." Wayland's brands include Solara C, Kiwi, Northern Harvest, Lost at Seed, High Tide, Rare Dankness, and Maricann, which recently has been dedicated exclusively to the company’s pharmaceutical products in Canada.
COMPETITION: Farrell said while legalization in Canada and the passage of the Farm bill in the U.S. are "tremendous" opportunities for growth in the space, "growing, manufacturing and distribution of cannabis products remains a complex industry not for the inexperienced." He added that "We welcome competition to keep us nimble and responsive to market demands in order to continue to deliver the quality and consistency of products that our customers have come to expect from us."
LEGALIZATION: When asked which country might follow Canada’s lead in legalization, Farrell said it's challenging to anticipate. "It’s difficult to predict specifics due to the uniqueness of variables affecting every country and state," he said. "However, if we look at general trends, we see a clear shift towards some level of legalization in several countries around the world including significant movements being made in New Zealand and by the EU."
EXPANSION: Farrell said Wayland is absolutely planning to expand more globally as more countries embrace legal programs. "As a company, Wayland is always focused on new and emerging legal markets as potential opportunities for growth," he said, noting that in the fourth quarter of 2018 the company saw significant growth and several acquisitions. Farrell said the moves ultimately position the company "as a truly global player in the medicinal cannabis industry," adding, "We hope to continue this pattern of growth and acquisition in 2019."
CHALLENGES AND OPPORTUNITIES: When asked about challenges in the space, Farrell said Wayland has seen difficulties in the space with supply and demand as well as issues with marketing. "Across Canada we have seen a challenge for most LPs in supply and demand which should be resolved by Q2 of this year," he said. "In addition, the challenges of marketing a product within a strict regulatory environment challenges brands to be highly creative in how they develop customers and loyalty." The VP said he believes opportunities will emerge as the cannabis market grows and access to derivatives becomes available. “As the retail environment expands across Canada and consumables enter the market later this year, we will see another rapid expansion of opportunities from production through to marketing and distribution," he said.
INVESTORS: As investor interest rises in the space, Farrell said it’s important for investors to focus on a company's decisions and products. “Investors should be looking for companies that have established themselves in several markets, have shown a history of making smart, forward-looking business decisions, and have consistently produced a high-quality product," he said. "Across the landscape of cannabis companies and brands to watch, Wayland should be top of mind for both investors and consumers looking for a name they can trust that’s in it for the long term."
OTHER CANNABIS STOCKS: Other publicly traded companies in the space include Aurora Cannabis (ACB), Aphria (APHA), CV Sciences (CVSI), CannTrust Holdings (CNTTF), Cronos Group (CRON), General Cannabis (CANN), Canopy Growth (CGC), Tilray (TLRY), Innovative Industrial Properties (IIPR), India Globalization Capital (IGC), ICC International Cannabis (KNHBF), Biome Grow (ORTFD), MediPharm Labs (MLCPF), Indiva (NDVAF), OrganiGram (OGRMF), KushCo (KSHB), MedMen Enterprises (MMNFF), Elixinol Global (ELLXF) and Planet 13 Holdings (PLNHF).
“Rising High" is The Fly's recurring series focused on cannabis stock news.
Wayland Group
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Aurora Cannabis
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APHA
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CV Sciences
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CNTTF
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Cronos Group
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Trees Corporation
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Canopy Growth
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Tilray
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Innovative Industrial Properties
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IGC Pharma
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ICC International Cannabis
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ORTFD
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INDIVA
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Organigram
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KushCo Holdings
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MedMen
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Elixinol Global
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Planet 13 Holdings
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