All posts by admin

Tim Seymour, Guy Adami & The Wolf Discuss Marijuana Stocks & Pop Culture

Tim Seymour, Guy Adami & The Wolf Discuss Marijuana Stocks & Pop Culture




Tim Seymour, Guy Adami & The Wolf Discuss Marijuana Stocks & Pop Culture | Marijuana Stocks | Cannabis Investments and News. Roots of a Budding Industry.™

























Published at Fri, 27 Nov 2020 17:28:31 +0000

How Marijuana Stocks Can Fight the Opioid Epidemic 

How Marijuana Stocks Can Fight the Opioid Epidemic 




How Marijuana Stocks Can Fight the Opioid Epidemic  | Marijuana Stocks | Cannabis Investments and News. Roots of a Budding Industry.™
























Published at Wed, 25 Nov 2020 21:45:17 +0000

Georgia Now Accepting Cannabis Cultivation Applications

Georgia Now Accepting Cannabis Cultivation Applications

New Jersey, despite its left-leaning politics and proximity to one of the world’s largest urban centers, has lagged behind in cannabis. As the 11th-largest state in the country by population, New Jersey has fewer than 14 medical cannabis dispensaries serving close to 100,000 patients. Possession of marijuana was just decriminalized there last year.

Garden State cannabis also has a racial equity problem. Black residents are between two and three times more likely to be arrested for possession of marijuana despite relatively equal rates of use across races. In some counties, Black people are arrested over 30 times more frequently for cannabis, according to a 2020 report from the ACLU of New Jersey.

New Jersey passed legalization in November’s election by a landslide—more than two in three voters approved. But state cannabis advocates are now calling out serious shortcomings in the proposed A-21/S-21 bill, saying it doesn’t do enough to address the harsh repercussions of the drug war and will keep minority and disadvantaged small businesses from participating in the upcoming industry. 

What’s in (and not in) A-21/S-21?

“[The bill] has been introduced as the most progressive cannabis legislation in the country yet it falls short of substantive social equity provisions seen in other states,” said Jessica Gonzalez, General Counsel for Minorities for Medical Marijuana (M4MM), in an email to Cannabis Business Times and Cannabis Dispensary.

“The bill is riddled with vague language and predatory programs aimed at minority communities while increasing the barriers to entry,” said Gonzalez. Specifically, she identified five points where it falls short:

  • Lack of allocation of cannabis tax revenue to communities harmed by prohibition. For contrast, consider Illinois, where the Restore, Reinvest, and Renew program (R3) uses 25% of state cannabis tax revenue to provide community grants. 

  • Limited definitions of “impact zones.” These are defined as cities or towns with 120,000 or more residents who rank in the top 40% of cities with the most arrests for possession. Dispensaries will open in these areas first, and some lawmakers have suggested allocating tax revenue from cannabis to impact zone grants.

  • Specifically earmarking tax revenue for law enforcement training. The bill includes language that would use cannabis tax money to train designated police officers as “Drug Recognition Experts,” who will serve to “detect, identify, and apprehend drug-impaired motor vehicle operators.”  

There are other issues. Brandon McKoy, president and chief executive at the New Jersey Policy Perspective, recently wrote that the bill’s proposal to allow just 28 state cultivation licenses would “undermine racial equality and privilege larger corporations at the expense of other applications.”

Gonzalez urged the state to go further in defining qualifications for social equity. “The statute must explicitly outline the requirements for a ‘social equity applicant’ and statutorily mandate the Cannabis Regulatory Commission to create a social equity program to assist these communities in the areas of technical assistance, financial assistance, education, etc.

“In the same vein, the statute must also mandate that a portion of the tax revenue collected be specifically earmarked for the funding of equity programming within the Office of Minorities, Disabled Veterans and Womens Cannabis Development,” she added.

“New Jersey lawmakers have shown they have not really looked at the failures and shortfalls of other states’ attempts to provide reconciliation and equity to those harmed by the war on drugs,” said Tauhid Chappell, executive board member at the Philadelphia Association of Black Journalists and founder of the CannAtlantic cannabis conference.

Chappell also pointed out the legislation’s optional Social Equity Excise Fee, a sliding scale in which the fee goes up as the price goes down, an appetizing condition for large MSOs with the corporate cash reserves to absorb these taxes. 

What happens next?

The situation is still developing. According to NBC Philadelphia, New Jersey’s State Assembly and Senate both canceled meetings scheduled for Monday, Nov. 23, that were partially devoted to ironing out these issues. The next scheduled legislative meeting is Dec. 7.

In the meantime, those working to provide fair access to everyone in the state are seeking help. 

“I am asking them [New Jersey residents] once again to use their voice to speak up against the lack of social equity initiatives in the proposed legislation,” said Gonzalez. “There will be additional Senate and Assembly Committee meetings in the upcoming weeks where folks will have the opportunity to provide oral or written testimony.”

“We need a lot of help and support here,” agreed Chappell. “The window is limited.” He encouraged residents in existing recreational cannabis markets to provide testimony to help lawmakers in New Jersey avoid making the same social equity mistakes made in their state.

“This is not the time to kick back and wait for legalization to come,” advised Gonzalez. “This is the time to get louder with our demands to ensure legalization is equitable. … I highly recommend reviewing the video of the Assembly Committee meeting that took place on November 9th available on the state legislative website. It’s time we all step into the arena.

Published at Wed, 25 Nov 2020 16:00:00 +0000

Decriminalizing Psychedelics in D.C., Explained

Decriminalizing Psychedelics in D.C., Explained

As many have noted, the real winner of this year’s election—which mostly thanks to a spineless Republican party, remains dogged by completely baseless accusations of voter fraud by President Trump—was drug decriminalization. A number of states voted to legalize cannabis, the state of Oregon voted to decriminalize all drugs, and in Washington D.C., plant-based psychedelics were decriminalized. Voters in The District went to the polls in November to vote overwhelmingly in favor of Initiative 81 or the Entheogenic Plant and Fungus Policy Act of 2020 which decriminalizes psilocybin (“magic mushrooms”), ayahuasca, iboga and mescaline-containing cacti.

Getting Initiative 81 support was not an easy task and was primarily the work of Decriminalize Nature D.C., who seriously—and creatively—organized to gather enough signatures and raise awareness even amid the pandemic. The Outlaw Report has closely covered Initiative 81 and our coverage is gathered below so that readers can see Initiative 81’s complex and sometimes circuitous path over the past year.

“Coronavirus Threatens D.C.’s Success for Decriminalizing Psychedelics”: The Decriminalize Nature D.C. organization has asked the D.C. Council and Mayor Muriel Bowser to develop and sponsor emergency legislation to authorize the Board of Elections to provide for online collection of signatures, citing the coronavirus. The organization will need to collect more than 35,000 signatures from D.C. voters to get their initiative that hopes to decriminalize psychedelics to be successfully placed on the November ballot.
 

Read More

Published at Tue, 24 Nov 2020 16:14:22 +0000

Rhode Island Lawmakers Consider Cannabis Legalization to Combat State’s Budget Deficit

Rhode Island Lawmakers Consider Cannabis Legalization to Combat State’s Budget Deficit

An audit of the Utah Department of Agriculture and Food (UDAF) under the leadership of former commissioner Kerry Gibson has found issues with the state’s medical cannabis cultivation licensing process, according to The Salt Lake Tribune.

The audit offers numerous recommendations, the news outlet reported, including that the UDAF reassess the eight cannabis cultivation licenses that were issued last year.

According to the audit, Gibson appointed six individuals to serve on an evaluation committee charged with choosing the eight licensed growers, and a statistical analysis of the scoring of the applications found that the numbers for two of the panelists were “highly correlated,” The Salt Lake Tribune reported.

The audit found that the two committee members in question—Natalie Callahan, Gibson’s former director of operations and agriculture programs, and Kelly Pehrson, Gibson’s deputy—ranked the same seven applicants in a similar order, according to the news outlet.

The audit also discovered that there were “significant adjustments” to the initial scores given by the other panelists, which brought the scores in closer alignment with those given by Callahan and Pehrson, The Salt Lake Tribune reported.

Three of the companies that ultimately won cultivation licenses would not have received the licenses if it weren’t for the scoring changes, according to the news outlet.

The audit suggests that the UDAF establish written policies and procedures for Utah’s medical cannabis program and redo the licensing process altogether, which current UDAF Commissioner Logan Wilde said could create “a major setback for the state’s fledgling medical marijuana program,” The Salt Lake Tribune reported.

The UDAF is now asking the Utah Attorney General’s Office and other state agencies for advice on how to proceed, according to the news outlet, and has asked a third party within the state’s government to examine the cannabis cultivator licensing process.

Published at Fri, 20 Nov 2020 17:06:00 +0000

Virginia Governor Plans Adult-Use Legalization Bill, Cannabis Legislation Clears Mexico Senate: Week in Review

Virginia Governor Plans Adult-Use Legalization Bill, Cannabis Legislation Clears Mexico Senate: Week in Review

Liberty Health Sciences, a vertically integrated medical marijuana company with operations in Florida, announced in a Nov. 19 press release that it has reached an agreement to settle a class-action suit. The “memorandum of understanding [is] regarding settlement of the securities class action that was commenced against it in the United States in 2019,” the release states.

The settlement figure is $1.8 million US, according to the release, which states: “The settlement is made without any admission or finding of liability and is subject to court approval. There is no assurance that the settlement agreement will receive court approval.”

An attorney representing Liberty wrote in a letter to the judge, overseeing the case in the U.S. District Court for New York’s Southern District, that “Plaintiffs anticipate filing a motion for preliminary settlement approval by January 8, 2021.”

RELATED: How to Raise Capital Without Running Afoul of the SEC

Investors alleged in their January 2019 complaint that Liberty violated securities law. They claimed that Liberty, headquartered in Toronto, Ontario, Canada, “has had longstanding ties” with Aphria, another Canadian cannabis company. Of the “Class Period” between June 28, 2018, and Dec. 3, 2018, the complaint states:

“Throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Liberty, in conjunction with Aphria, was involved in a scheme whereby numerous fraudulent acquisitions and transactions were made to provide undue benefits to both companies’ insiders; and (ii) as a result, Liberty’s public statements were materially false and misleading at all relevant times.”

Aphria announced that it sold off its Liberty stake in September 2018, according to the complaint. Then, Quintessential Capital Management and Hindenburg Research published the report “Aphria: A Shell Game with a Cannabis Business on the Side,” alleging a scheme by Aphria to acquire shell companies and sell them off at, as the legal complaint states, “artificially inflated prices.”

“On this news, Liberty’s stock fell $0.36, or nearly 34%, over the next two trading days to close at $0.70 on December 4, 2018,” the complaint stated.

Numerous investors joined the suit against Liberty, according to the complaint. “The members of the Class are so numerous that joinder of all members is impracticable,” it reads.

Proceeding court filings, including amended complaints from Liberty’s attorneys, continued to set forth these allegations and highlight the large numbers of people who allegedly lost money in 2018 because of this “scheme.”

Liberty has dispensary and delivery operations across Florida and also cultivates and processes cannabis, according to its website and the legal complaint. Liberty plans to expand its manufacturing and processing facility, located on a 387-acre parcel of land in Florida, to 490,000 square feet of cultivation space, according to a press release.

Published at Sat, 21 Nov 2020 13:00:00 +0000

Israel Is Looking To Use The Canadian Cannabis Industry Framework To Roll Out An Adult-Use Market

Israel Is Looking To Use The Canadian Cannabis Industry Framework To Roll Out An Adult-Use Market

2020 year has been a banner year for the Israeli cannabis industry and is a market that we have been bullish on since we started covering the cannabis sector.

The primary reason for our bullish outlook on the Israeli cannabis industry is related to economics. When compared to Canada, the cost to cultivate cannabis is much cheaper in Israel and the market is much less saturated. While the all-in cost of cannabis is around $1 per gram in Canada, the cost in Israel is less than $0.50.

Last week, Justice Minister Avi Nissenkorn said that Israel is planning to legalize recreational cannabis within nine months. This represents a major step forward for the industry and Nissenkorn said the recommendations would be published by the end of November. If the recommendations are approved, the legislation would go into effect nine months after it the approval date and we find this to be significant.

During the last year, we have seen a steady increase in the number and the quality of companies that are focused on the Israeli cannabis opportunity. Today, we want to highlight 3 companies that are executing on the burgeoning cannabis market and believe that these are opportunities to be aware of.

HEXO: Will Molson Support HEXO’s Leverage to Israel?

A few months ago, we saw a spike in interest in the Israeli cannabis market after HEXO Corporation (HEXO.TO) (HEXO) announced a supply agreement with Breath of Life (BOL), a leading Israeli cannabis company. HEXO is a Canadian cannabis producer that has been focused on the international opportunity and we consider BOL to be a strategic partner for it.

Around the same time of HEXO’s announcement, Marijuana Business Dailey reported that Israel surpassed Germany as the largest importer of medical cannabis flower in the world so far this year and we found this to be an important milestone for the emerging market.

One of the reasons for our positive view on HEXO’s leverage to the Israeli market is related to the relationship that it has with Molson Coors (TAP.CN). We believe that Molson provides HEXO with the necessary infrastructure to expand and expect the relationship to play an important role in how the Canadian cannabis producer can execute on the international side of the industry.

Kaya Holdings: A Less Than Quality Opportunity

During the summer, a small-scale US cannabis operator jumped on the Israeli cannabis bandwagon and announced a strategic partnership with Day Three Labs (DTL), a cannabis innovation and development lab that has scientific research operations in Israel.

The company, Kaya Holdings Inc. (KAYS) was an early mover on the US cannabis industry and had been focused on the opportunity in Oregon. As it relates to the Israeli cannabis market, we do not have a high level of conviction with Kaya. The company had a tough time capitalizing on the Oregon market and do not believe it has the necessary expertise to capitalize on an international market.

Kaya is a great example of a company that needs to learn how to walk before it runs. We believe that the management team needs to prove to be able to execute on the domestic market before it expands abroad and will continue to be cautious with Kaya due to the lack of execution.

IM Cannabis: An International Growth Story

We consider IM Cannabis Corp (CSE:IMCC) (IMCNF) to be an early mover on the Israeli cannabis market and is an opportunity that we are following. The company has been executing on a multi-national growth strategy and has been working to become a leader in the international cannabis producer.

IM Cannabis was founded in 2010 and continues to focus on capitalizing on emerging international cannabis markets. The company is highly focused on the medical cannabis opportunity in the European Union (EU) and has established a presence in Germany. Through the ownership of Adjupharm GmbH, a licensed distribution company, IM Cannabis plans to capitalize on the German cannabis market and this is a market that we have been excited about.

In the third quarter, Adjupharm announced that it added seven distribution partners to distribute and sell company-branded products to German pharmacies. In September, Adjupharm delivered its first shipment of branded medical cannabis to a distribution partner and has made seven shipments to date.

Last month, IM Cannabis issued an operational update and reported that its pace of execution gained momentum in the third quarter. The company announced that it has been recording impressive growth on the delivery side of the business in Israel. IM Cannabis also reported to be delivering cannabis in Germany and we are favorable on how the business has advanced so far this year.

IM Cannabis is operating out of an EU-GMP facility and we find this to be an important aspect of the story. By operating out of a state-of-the-art facility that meets these stringent guidelines, the company can export cannabis products to markets like Germany and we are bullish on this opportunity for the business.

A few weeks ago, IM Cannabis has filed an application to list on the Nasdaq and we expect an approval to be a catalyst for it. We plan to continue to closely follow the opportunity and will monitor how it continues to execute on the international cannabis vertical.

Share

Share - Facebook


Share - Twitter

Authored By

Michael Berger

Michael Berger is Managing Partner of StoneBridge Partners LLC. SBP continues to drive market awareness for leading firms in the cannabis industry throughout the U.S. and abroad.

Published at Fri, 20 Nov 2020 12:54:41 +0000

Will Small Cap Marijuana Stocks See More Gains In December

Will Small Cap Marijuana Stocks See More Gains In December




Will Small Cap Marijuana Stocks See More Gains In December | Marijuana Stocks | Cannabis Investments and News. Roots of a Budding Industry.™

























Published at Fri, 20 Nov 2020 22:57:52 +0000

Liberty Health Sciences Reaches Agreement to Settle Class Action Suit

Liberty Health Sciences Reaches Agreement to Settle Class Action Suit

Liberty Health Sciences, a vertically integrated medical marijuana company with operations in Florida, announced in a Nov. 19 press release that it has reached an agreement to settle a class-action suit. The “memorandum of understanding [is] regarding settlement of the securities class action that was commenced against it in the United States in 2019,” the release states.

The settlement figure is $1.8 million US, according to the release, which states: “The settlement is made without any admission or finding of liability and is subject to court approval. There is no assurance that the settlement agreement will receive court approval.”

An attorney representing Liberty wrote in a letter to the judge, overseeing the case in the U.S. District Court for New York’s Southern District, that “Plaintiffs anticipate filing a motion for preliminary settlement approval by January 8, 2021.”

RELATED: How to Raise Capital Without Running Afoul of the SEC

Investors alleged in their January 2019 complaint that Liberty violated securities law. They claimed that Liberty, headquartered in Toronto, Ontario, Canada, “has had longstanding ties” with Aphria, another Canadian cannabis company. Of the “Class Period” between June 28, 2018, and Dec. 3, 2018, the complaint states:

“Throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Liberty, in conjunction with Aphria, was involved in a scheme whereby numerous fraudulent acquisitions and transactions were made to provide undue benefits to both companies’ insiders; and (ii) as a result, Liberty’s public statements were materially false and misleading at all relevant times.”

Aphria announced that it sold off its Liberty stake in September 2018, according to the complaint. Then, Quintessential Capital Management and Hindenburg Research published the report “Aphria: A Shell Game with a Cannabis Business on the Side,” alleging a scheme by Aphria to acquire shell companies and sell them off at, as the legal complaint states, “artificially inflated prices.”

“On this news, Liberty’s stock fell $0.36, or nearly 34%, over the next two trading days to close at $0.70 on December 4, 2018,” the complaint stated.

Numerous investors joined the suit against Liberty, according to the complaint. “The members of the Class are so numerous that joinder of all members is impracticable,” it reads.

Proceeding court filings, including amended complaints from Liberty’s attorneys, continued to set forth these allegations and highlight the large numbers of people who allegedly lost money in 2018 because of this “scheme.”

Liberty has dispensary and delivery operations across Florida and also cultivates and processes cannabis, according to its website and the legal complaint. Liberty plans to expand its manufacturing and processing facility, located on a 387-acre parcel of land in Florida, to 490,000 square feet of cultivation space, according to a press release.

Published at Fri, 20 Nov 2020 20:46:00 +0000