Cannabis stocks brimming with activities aimed towards growth

Cannabis stocks brimming with activities aimed towards growth

Not a day passed without anything new for the cannabis industry, and the recent weeks were full of activities, particularly after Canada approved the recreational use of marijuana. Companies who have managed to survive in the industry despite tight laws are stepping up their game in order to benefit from the favorable changes in the legislation.

Tilray filed for an initial public offering on the Nasdaq, Cronos Group’s subsidiary in Australia secured a medicinal cannabis Manufacture License from the Australian Office of Drug Control, and FSD Pharma Inc. announced a partnership with Cannara Biotech Inc. for an indoor grow space facility, according to an article in Benzinga.

Over the past trading week, several cannabis stocks also saw an uptick in their share prices, with a few reaching nearly 20 percent increases. MedReleaf Corp.’s stock rose by 18 percent last week, while Hiku Brands Company Ltd. saw its stock up by 19.4 percent. Other big movers are iAnthus Capital Holdings Inc. (13.15 percent), THC Biomed Intl Ltd (11.8 percent), Aurora Cannabis Inc. (10.45 percent), 22nd Century Group Inc. (10.3 percent), and Canopy Growth Corp. (10.2 percent), Benzinga also reports.

Here are other big developments among cannabis stocks during the week of June 18 to 22:

PotNetwork Holdings to file Form 10

California-based PotNetwork Holdings, Inc. (OTCMKTS:POTN), a publicly traded cannabis company focused on hemp-derived CBD, has announced that it will file a Form 10 on the Securities and Exchange Commission no later than the end of June. This pivotal move will make POTN a fully reporting company, which will provide the company increased visibility to a bigger group of eligible investors. More importantly, it demonstrates the company’s commitment to being transparent and credible to its investors.

POTN made the announcement along the release of its audited and consolidated financial statements for 2017. The reports confirmed that the company generated $14.49 million in revenues and more than $5.18 million in gross profits last year.

“We believe that we have developed a company with a business model and market traction deserving of a stronger presence in the financial markets,” said Richard Goulding, POTN’s CEO.

Given its exponential financial performance over the past months, POTN’s stock is undervalued. The company’s stock was trading at $0.36 as of June 22 closing.

High Times acquires rival marijuana publications

High Times, a trusted media brand in the cannabis industry, has acquired two rival marijuana publications ahead of its planned Nasdaq stock market initial public offering (IPO) later this year.

The 44-year-old media company announced last week that it would buy Southland Publishing’s Culture Magazine, which was founded in 2009. The medical marijuana news outlet has featured several celebrities in its cover, including Ziggy Marley and Lamar Odom, per Investor’s Business Daily.

In April, High Times also announced the purchase of New York-based Green Rush Daily, which accumulates more than 9.5 million page views monthly. The details of both deals were not disclosed.

High Times announced as well the launch of its crowdfunding campaign and RegA+ IPO. Benzinga also reports that investors can now buy High Times’ shares before the Nasdaq listing.

With only a few weeks away from its public listing on the said stock market index, High Times’ new board member Vicente Fox told Benzinga, “This is an enormous opportunity for the general populous to buy into the growing green rush, and they’re just getting started.”

These pot companies are just starting to capitalize on the huge potential growth of the cannabis industry. As they gain their momentum, there’s no better time for investors to join the bandwagon.

 

 

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