Aleafia Health Inc (OTCMKTS:ALEAF) acquired an entire stake in Emblem Corp (OTCMKTS:EMMBF) for $173.2 million to create a biggest medical cannabis clinic network. The board of directors and a special committee of Emblem unanimously approved the deal. As per the terms of the deal, the shareholders of Emblem will receive 0.8377 of a common share of Aleafia for each of their share. Following the deal, the shareholders of Aleafia will hold a stake of 59% in the combined entity. The stakeholders of Emblem will own a stake of 41% in the merged entity.
Highlights of the transaction
The annual capacity of the merged entity is 138,000 kg. It will benefit from robust branding, expanded distribution in both domestic and overseas markets, the most significant product development facility. Alefia will meet the supply needs of three Ontario based facilities. The company will focus on capitalizing high growth opportunities and pursue global expansion in categories including Health and Wellness, Cannabis Production, Consumer Experience, and Cannabis Education.
The merger of GrowWise Health and Canabo Medical Clinic forms the largest clinic network in Canada. It will provide access to 40 educational centers and medical networks, which serve 60,000 patients, in the nation. Alefia will sell premium medical cannabis developed using the product innovation and extraction of Emblem to its patients
The patients of Alefia will get access to the high margin and differentiated products of Emblem including oral sprays, oils, and capsules. They will enjoy award-winning customer service, e-commerce platform, and home delivery services of Emblem.
Global and national distribution platform
Alefia leverages the approval of Emblem to meet the supply needs of British Columbia, Saskatchewan, Ontario, and Alberta. The company will make use of Shoppers Drug Mart for the distribution of medical cannabis across the nation.
The merged entity will have cash of C$69.9 million to support brand building and product innovation, development of outdoor growing operations, and cultivation facilities.
To diversify the revenue sources, Alefia invested in overseas opportunities. The company is expanding into recreational space. It established a medical clinic to serve the needs of 50,000 recurring patients. Following the legalization of cannabis worldwide for adult use, the market for Canadian cannabis is expected to reach C$22.6 billion in 2022.
Supreme Cannabis Company Inc (OTCMKTS:SPRWF) Posts A Robust YOY Growth Of 245% In Recreational Sales: Q3 2020 Revenues Up 8% To $11.02 Million
Supreme Cannabis Company Inc (OTCMKTS:SPRWF) has reduced operational expenses to boost growth in the near term. The company has reported revenues of $11.02 million (up 8%) in Q3 2020. Its year-on-year net revenues of recreational products have surged by 245%.
The average selling price of recreational products drops
The unveiling of innovative cannabis products at reduced rates to address new customers has impacted recreational sales. Other factors that impacted the average sale price of recreational products include the lowering of cannabis flower product prices to withstand the competition in some Canadian provinces. Supreme Cannabis has posted incremental revenues by introducing low priced products under brands such as Sugarleaf. Truverra brand medical cannabis products exports to Israel have helped the company to report higher wholesale revenues.
Health Canada grants nod to a premium cultivation facility
Health Canada has approved 440,000 Sq. Ft. facility of Supreme Cannabis for cultivation. The new facilities hold processing, secure storage, and grow rooms. Supreme Cannabis’s 7ACRES facility has obtained a final nod for cultivation on 30,000 Sq. Ft in March 2020. Therefore, the company now holds a space of 280,000 Sq. Ft. for vegetation, flowering, and propagation. The second bottling line of 7ACRES is also productionized in Q3 2020 and increasing the overall daily packaging capacity to 24,000 containers.
The dried flower products of 7ACRES account for a major chunk of recreational sales in Q3. Supreme Cannabis expects to generate significant revenues from the sale of cannabis flower products going forward. The company has also rolled out innovative products from its 7ACRES and expanded its product line beyond the flowers.
Supreme Cannabis’s division – 7ACRES has introduced an innovative and interactive site to help customers navigate and find the right strains nationwide. 7ACRES encourages customers to try its products and enjoy the delicious taste.
Vice President (Marketing and Sales), Nicole Sale said the company is thrilled to introduce interactive for customers and helping them to differentiate the enthralling taste of high-quality products offered by Supreme Cannabis. Taste plays a vital role in providing great cannabis experience to the users. The interactive tool of Supreme Cannabis helps the customers to get relevant information about products from home at this difficult time of coronavirus.
American Green Inc. (OTCMKTS:ERBB) Announce Integration Of Earthly Mist Into Its AGM Vending Solution
American Green Inc. (OTCMKTS:ERBB) has announced that Earthly Mist, which is one of its leading AGM Smart Vending Machine Kiosk clients, has integrated fully into its proprietary AGM vending technology.
American Green’s technology making it possible to don contactless transactions
This will enable their staff and retail customers not to require interaction before completing transactions at its retail outlets. This type of contact-free transaction is a way of keeping all parties safe. Following the coronavirus outbreak, Earthly Mist, just like most retail companies, found itself in uncharted waters. The company had to close its stores and look for ways of serving their customers without putting the lives and its staff and clients at risk. As a result, its management decided to deploy the American Green AGM smart kiosks for completion of transactions.
Danielle Pierce, the manager of Earthly Mist, stated that they take the safety of employees and customers seriously; that is why they moved to use the AGM vending technology. The solution offers a way for customers to make contactless purchases in line with measures of combating the spread of COVID-19. He added that American Green’s solution has helped in dispelling concerns among customers as they are now able to complete transactions without interacting physically.
AGM solution helping Earthly Mist sell products any time
The technology has made it possible for the company’s products to be available to customers at any time of the day. Even with forced shutdowns because of coronavirus restriction Earthly Mist’s popular products can be bought at any time of the day.
American Green’s AGM Division head, Lindel Creed, stated that the two companies had to think of ways of becoming creative. As a result, they put AGM technology into optimum use by ensuring that Earthly Mist is operations and easing concerns among its customers. The company is also planning to open in 10 new markets to vending operators seeking its high-quality CBD products. Besides the AGM vending kiosks, the company also is a top online supplier of CBD products that it plans to incorporate into the kiosks.
Curaleaf Holdings Inc (OTCMKTS:CURLF) Enters A Pact With Mango Cannabis To Distribute Its Select Brand Products In Oklahoma
Curaleaf Holdings Inc (OTCMKTS:CURLF) signed a pact with Mango Cannabis to distribute its Select Brand products in Oklahoma. Following this accord, the company’s Select Brand products are being distributed at Tulsa and Edmond based Mango Cannabis dispensaries for the first time.
Curaleaf expands Select brand in 17 states
Curaleaf is expanding the Select brand in 17 states across the US. After acquiring the brand in February 2020 by Curaleaf, the Select Brand retails in Michigan, Colorado, Arizona, Nevada, Maryland, California, Oklahoma, and Oregon. Select has initially introduced its 1 gram Elite Cartridge in the Oklahoma market. The Elite Cartridge (1g) comprises high THC and broad spectrum-oil. Select brand will also provide Elite Live and other products to the medical patients in Oklahoma soon.
Serves medical patients in Oklahoma
President of Curaleaf, Joe Bayern, said the company is pleased to introduce its Select Brand in Oklahoma through a partnership with the trusted dispensary – Mango Cannabis. He said the Select brand entry into Oklahoma helps the company to focus on rapidly growing medical marijuana market and reap rich rewards. The company expects to serve the wellbeing and health of Oklahoma based medical patients.
The manager of Mango Cannabis Store, Rebeka Tucker, said the company is excited to associate with Curaleaf in introducing Select brand to the patients in Oklahoma. It expects to observe how the patients will receive an Elite product. Cannabis is an essential service in most of the states during the COVID-19 pandemic. Curaleaf is committed to serving the customers and patients with high-quality products while ensuring hygienic measures and following the safety procedures.
Curaleaf will report Q1 2020 financial results on May 18, 2020. The company will hold an audio webcast and conference call on the evening of May 18, 2020, at 5 PM EST.
Acquires three Connecticut dispensaries
Curaleaf has acquired three Connecticut based dispensaries of Arrow Alternative Care (AAC). Chief Executive Officer of Curaleaf, Joe Lusardi, said the takeover of AAC strengthens its footprint in Connecticut. It will also help to augment its position as a leading player in Cannabis in the US. AAC is a leading player in Connecticut by operating three among the eighteen dispensaries in the state.