Kaitlin Domangue
It’s time for your Daily Hit of cannabis financial news for March 4th, 2021.
On the Site
Columbia Care Guides Higher for 2021
Columbia Care Inc. (OTCQX: CCHWF) released preliminary results for the fourth quarter and full year ended December 31, 2020 and issued 2021 guidance. Actual revenue rose 228% in the fourth quarter to $76 million versus $23 million for the same time period in 2019.
While this is a solid performance, it does miss the analyst estimates for revenue of $79 million in the fourth quarter according to Yahoo Finance. The combined results for the fourth quarter are listed as $81 million.
Cannabis Companies Go On Buying Spree
This week has been unusually active as cannabis companies have been on a major buying spree.
- Schwazze acquires Star Buds for roughly $72.3 million
- Greenlane acquires Eyce for an undisclosed amount
- Terra Tech buys UMBRLA, Inc., recently rebranded as Unrivaled for an undisclosed amount
PACT Act to Apply to All Vaping Products
Amendments to the Prevent All Cigarette Trafficking (PACT) Act may have caused cannabis to hit yet another setback. The PACT Actt has been amended to include “electronic nicotine delivery systems”, which looks inclusive to cannabis at first glance. However, it’s described as followed:
“any electronic device that, through an aerosolized solution, delivers nicotine, flavor, or any other substance to the user inhaling from the device including an e-cigarette; an e-hookah; an e-cigar; a vape pen; an advanced refillable personal vaporizer; an electronic pipe; and any component, liquid, part, or accessory of a device described without regard to whether the component, liquid, part, or accessory is sold separately from the device.”
This means that USPS can no longer deliver cannabis vape products to consumers.
Delic Moves To Focus On At-Home Mushroom With Homestead Acquisition
Psychedelic media company Delic Holdings Inc. (OTCQB: DELCF) has acquired mushroom kit maker and media company Homestead brands in an all-stock deal. DELIC issued subordinate voting shares worth $50,000 and 50,000 incentive stock options were also granted to Homestead founder David Tatelman, with an exercise price of $0.58. David Tatelman will act as a consultant to the company.
Charlotte’s Web Moving Beyond Hemp
Well-known hemp CBD company Charlotte’s Web Holdings, Inc. (OTCQX: CWBHF) is expanding beyond its current model with a planned acquisition of privately-held Stanley Brothers USA Holdings. Stanley Brothers is a cannabis wellness incubator currently operating in three states (Colorado, California, Florida) with expansion plans underway in eight additional states.
The acquisition though isn’t immediate. Instead, Charlotte’s Web is pursuing a five-year option plan valued at $8 million, which could be extended to seven years.
In Other News
Tryp Therapeutics Announces Application to List on OTCQB
Pharmaceutical company focused on identifying and developing clinical-stage compounds for diseases with complex and unmet medical care, announced today their application to list on the OTCQB® Venture Market OTCQB.
Illinois Dispensaries See $2.88 Million in Daily Sales in February
Illinois dispensaries sold almost $2.9 million dollars worth of cannabis last month, outpacing the record set just one month earlier. The state’s retail shops sold more than $80 dollars in adult-use cannabis last month, a slight drop from $88 million in February.
