William Sumner
It’s time for your Daily Hit of cannabis financial news for July 11, 2019.
On the Site
Bhang Corporation
Cannabis edible company known for its chocolates Bhang Corporation (CSE: BHNG) began trading on the Canadian Securities Exchange as Bhang Inc. under the stock symbol “BHNG” on July 11, 2019. “We’re proud to announce this major milestone for Bhang and the industry, as we see a national cannabis brand begin trading on the CSE. This public listing fuels our strategy to meet the growing demand for today’s most innovative cannabis products,” Scott Van Rixel, CEO of Bhang, said.
California Cannabis Contract Conundrums For Lawyers
We were prompted to write this article by the juxtaposition of two articles republished by Cannabis Business Executive in its July 4th Edition. The title of the first article, The Top 5 Most Dangerous Cannabis Contracts in California, caught our eye. We were intrigued by the title. What is a “dangerous” contract?
Executive Spotlight: Antonio Frazier, Director of Operations for CannaSafe
Antonio Frazier is the Director of Operations at CannaSafe, the first ISO licensed cannabis lab in the world and the leading marketshare holder in California. He met CannaSafe President, Aaron Riley, while playing football together at Furman University, where he earned a Bachelor of Science degree; he also holds a B.S. in Materials Engineering from Clemson.
In Other News
Demetrix
The biotechnology company Demetrix Inc. announced that it had raised $50 million in Series A funding. The company specializes in the production of CBD through fermentation, using bakers’ yeast to help accelerate cannabinoid production. Tuatara Capital led the fundraise and included investors from Horizons Ventures, who led Demetrix’s previous $11 million Series Seed round. Demetrix plans on using the funds to scale its operations.
Trulieve
Trulieve Cannabis Corp. (CSE: TRUL) (OTC: TCNNF) announced that its company founders have voluntarily entered into a lock-up agreement. Representing 65,253,093 subordinate voting shares of the company (59.25%), shareholders have agreed that they will not sell or offer to sell their shares on or before July 25, 2020. On January 25, 2020, an additional 15%, or 11,205,960, of the subordinate voting shares will be released from the lockup. According to Trulieve CEO Kim Rivers, the lock-up will help increase shareholder value. “This extension of the lock-up period demonstrates the continued confidence the company founders have in the execution of our long-term strategy,” Rivers said.
Green Growth Brands
Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) announced that it had reached a deal with American Eagle Outfitters to sell hemp-based CBD infused products in nearly 500 of the retail clothing brand’s stores, as well as its online store. The products will be specifically designed for the American Eagle brand, and sales are expected to begin sometime in October 2019.
Supreme
The Supreme Cannabis Company, Inc. announced today that the Supreme Court of British Columbia had approved its acquisition of Blissco Cannabis Corp. The arrangement will close on July 12, 2019, upon which Supreme will acquire all of Blissco’s issued and outstanding common shares. “With the closing of this acquisition, Supreme Cannabis will expand its portfolio to include a consumer focused brand that specializes in products for the premium global wellness category,” said Navdeep Dhaliwal, CEO of Supreme Cannabis. “In addition to gaining an established wellness brand, Supreme Cannabis will acquire Blissco’s facility built to EU GMP standards that has been extracting oils for the Canadian market since August 2018.”
