In this week's "Rising High," The Fly's recurring series focused on cannabis stock news, The Fly looks back at a rebranding, acquisitions and a launch of next day cannabis distribution.
MEDICINE MAN REBRANDS AS SCHWAZZE: Medicine Man Technologies (MDCL) announced Monday that the Company will now be doing business as Schwazze (SHWZ). The company said, “The new branding reflects the company’s goal to create a dynamic, innovative culture and brand identity while supporting the current and future house of brands as Schwazze continues to grow. Schwazze originates from the company’s proprietary cultivation technique from the Three A Light methodology, which stimulates plant growth and health. The new corporate brand Schwazze inspires a call to action to innovate, grow and nurture plants, products, experiences, and environment to benefit the human experience.” The company also announced Monday that it had completed its acquisition of Mesa Organics and it’s Purplebee’s business. Mesa Organics operates four dispensaries throughout southern Colorado in Pueblo, Ordway, Rocky Ford, and Las Animas. Purplebee's is a pure CO2 and ethanol extractor and manufacturer, as well as a producer of cannabis products for some edible companies across the state. Under the terms of the agreement, which has been unanimously approved by the Medicine Man Technologies Board of Directors, the purchase consideration for the merger is approximately $2.6M in cash and approximately 2.6M in shares of common stock, subject to certain holdback and adjustment provisions.
IIPR ACQUIRES MICHIGAN PROPERTY: Innovative Industrial Properties (IIPR) announced Wednesday that it closed on the acquisition of a property in Michigan, which comprises approximately 115,000 square feet of industrial space in the aggregate. The purchase price for the property was $5M. Concurrent with the closing of the purchase, IIP entered into a long-term, triple-net lease agreement for the property with a wholly owned subsidiary of Cresco Labs (CRLBF) which intends to operate the property as a regulated cannabis cultivation and processing facility upon completion of redevelopment. Cresco is expected to complete additional tenant improvements for the property, for which IIP has agreed to provide reimbursement of up to $11M. Assuming full reimbursement for the tenant improvements, IIP's total investment in the property will be $16M.
PLANET 13 RENEGOTIATES SANTA ANA ACQUISITION: Planet 13 Holdings (PLNHF) announced Friday that following the announcement that it had terminated a definitive agreement to acquire a cannabis sales license and lease for a dispensary in Santa Ana, California from Newtonian Principles, it has renegotiated the terms of acquisition and has entered into an amendment to the initial definitive agreement. Upon closing of the acquisition, Planet 13 will pay Newtonian $800,000 in cash and 3,940,932 Class A Restricted Shares in the capital of the company valued at $4M. Newtonian will retain the $200,000 deposit that Planet 13 paid to Newtonion upon entering into the agreement. The parties have also negotiated a 25% lease abatement with the landlord, effective during construction and until opening. This compares to the initial definitive agreement pursuant to which Planet 13 would have been required to pay an additional $5.8M in cash and 2,039,808 Class A Restricted Shares in the capital of the company valued at $4M for the acquisition. The closing is expected to occur when final state and local regulatory approvals are obtained, which is forecasted to be obtained in the next one to three weeks.
ALEAFIA’S ASSUREHOME DELIVER LAUNCHES NEXT DAY DISTRIBUTION: Aleafia Health (ALEAF) announced Wednesday that AssureHome Delivery has launched next day distribution of medical cannabis products. The first Toronto deliveries were completed on April 21, 2020. The Company expects to offer same day delivery beginning in June and will expand to other major metropolitan areas including Calgary, Edmonton and Vancouver, while also eventually offering weekend distribution. Additionally the company announced on Friday that it had commenced operations at its Niagara facility, completed 3,300 remote patient consultations since March 16 and enacted measures to eliminate crossover of employees.
TALKS UNDERWAY TO ADD CANNABIS TO CFTA: Canada's federal, provincial and territorial governments have started talks to incorporate recreational cannabis into the Canadian Free Trade Agreement, Marijuana Business Daily's Matt Lamers reported Friday. The discussions, which were spearheaded by The Committee on Internal Trade and began in December, are expected to be delayed amid the coronavirus pandemic.
OTHER CANNABIS STOCKS: Other publicly-traded companies in the space include Akerna (KERN), Aphria (APHA), Aurora Cannabis (ACB), Auxly Cannabis Group (CBWTF), Biome Grow (BIOIF), CannTrust (CTST), Canopy Growth (CGC), Canopy Rivers (CNPOF), Cronos Group (CRON), CV Sciences (CVSI), Delta 9 (VRNDF), DionyMed Brands (DYMEF), Elixinol Global (ELLXF), FluroTech (FLURF), General Cannabis (CANN), Green Thumb Industries (GTBIF), Greenlane (GNLN), GrowGeneration (GRWG), Harborside (HSDEF), Hemp Inc. (HEMP), HEXO (HEXO), India Globalization Capital (IGC), Indiva (NDVAF), ICC International Cannabis (WLDCF), Khiron Life Sciences (KHRNF), Liberty Health Sciences (LHSIF), MediPharm Labs (MEDIF), MedMen (MMNFF), Mjardin (MJARF), Neptune Wellness Solutions (NEPT), Organigram (OGI), Origin House (ORHOF), Real Brands (RLBD), Sproutly (SRUTF), Sunniva (SNNVF), Supreme Cannabis (SPRWF), Tetra Bio-Pharma (TBPMF), Tilray (TLRY), Trulieve (TCNNF), Valens (VLNCF),Vireo Health (VREOF), Wayland Group (MRRCF), WeedMD (WDDMF), Westleaf (WSLFF), Wildflower Brands (WLDFF) and Zynerba (ZYNE).
Medicine Man Technologies
+ (+0.00%)
Schwazze
+ (+0.00%)
Innovative Industrial Properties
+1.95 (+2.72%)
Cresco Labs
+ (+0.00%)
Planet 13 Holdings
+ (+0.00%)
Aleafia Health
+ (+0.00%)
APHA
+
Aurora Cannabis
+0.0106 (+1.49%)
CV Sciences
+ (+0.00%)
CannTrust
+ (+0.00%)
Canopy Growth
+0.14 (+0.93%)
Cronos Group
+0.08 (+1.35%)
Trees Corporation
+ (+0.00%)
IGC Pharma
+0.01 (+2.08%)
Tilray
+0.02 (+0.29%)
Trulieve Cannabis
+ (+0.00%)
ZYNE
+