LONDON, December 20, 2018 /PRNewswire/ --
After the M&A wave died down in 2018, many analysts thought the so-called "Green Rush" was over, but we think they were wrong. With a combination of newcomers and veterans vying for market share, it's safe to say the competition is getting intense. And with competition comes innovation. Included in today's commentary are: Auxly Cannabis Group (OTC:CBWTF) (TSX.V:XLY), merald Health Therapeutics (OTC:EMHTF) (TSX.V:EMH), Curaleaf Holdings (OTC:CURLF) (CSE:CURA), OrganiGram Holdings (OTC:OGRMF) (TSX.V: OGI), CannTrust Holdings Inc. (OTC:CNTTF) (TSX:TRST).
Gone are the days of simply cutting, drying and selling organic cannabis…Now there are hundreds, if not thousands of new products to manufacture, market and move. From THC and CBD oils to edibles and even beverages, the industry is evolving.
Technology is taking over, with automation, data and artificial intelligence quickly becoming a necessity in the next stage of the Green Revolution. But it's not only about technological know-how.
Staying relevant in today's cannabis markets requires grit, but more importantly, a global perspective. And the best positioned of the bunch are the ones with their feet on the ground, wheeling and dealing across the globe to snatch up the best opportunities at the right time.
Here are 5 cannabis companies investors should be following closely going into 2019:
#1 - Auxly Cannabis Group (OTCQX: CBWTF) (TSX.V:XLY)
Auxly is a newcomer to the marijuana industry, with a growing presence in Eastern Canada, especially Newfoundland. Through 2021, however, Auxly expects to capitalize on the massive supply shortage in Canada's newly legalized markets. Eventually supply will catch up with demand. In response, the company is aggressively climbing the value chain.
Investors are bullish on Auxly primarily because of its rapid rate of growth. And its recent strategic partnership with Atlantic Cultivation highlights that sentiment. In the $2.5 million deal, Auxly gained a 50 percent equity stake in Atlantic, in addition to a hefty agreement to purchase up to 30 percent of dried cannabis and trim at Atlantic's Newfoundland and Labrador Facilities
Hugo Alves, President and Director of Auxly commented: "This partnership with Atlantic, coupled with our premium craft producer Robinson's Cannabis in Nova Scotia and our world class innovation and extraction hub at Dosecann in PEI demonstrates Auxly's commitment to Atlantic Canada where we are building meaningful cannabis businesses that have a positive impact on the region."
The Wayland Group is leading a technological progression in the cannabis space that looks set to bring the next wave of profits for companies. The low hanging fruit has very much been picked in this space - and it is now the companies that can produce efficiently and with low costs that will lead the way into the future.
By partnering with Rockwell Automation, Wayland Group became one of the first companies in the space to automate its facilities using AI - giving it the ability to produce product with roughly 10 percent of the workforce of some of its competitors.
But it didn't just improve its automation, this innovator also focused on renewable energy and recycling of resources which significantly cut costs. Its Langton facility, for example, has been categorized as "88-percent-to-net-zero," meaning that it doesn't have to rely much on external sources of water and power. A natural gas well on-site means electric charges have been reduced from $0.20/kilowatt hour to $0.05/kilowatt hour.
All of this efficiency and cost cutting combines with a business and growth strategy that will likely see Wayland Group become one of the biggest cannabis names in many countries. It has already succeeded in becoming a GMP certified producer in the EU - only one of 5 companies in the world to have such a certificate. The other 4 companies all have market caps of over $5 billion.
Wayland Group has the potential to become a major global player during the second cannabis phase, focusing on efficiency and the globalization of a product that has proven to have insatiable demand. With a solid base and an impressive growth target, Wayland group is certainly a company to watch in 2019.
#3 - Emerald Health Therapeutics (OTCQX: EMHTF) (TSX.V:EMH)
Based in British Columbia, Emerald Health is fully licensed by Access to Cannabis for Medical Purposes Regulations (ACMPR) and provides high quality medicine of different varieties. With a focus beyond dried plant matter, Emerald Health offers a variety of solutions for its patients.
Its primary "Endo" brand provides supplements focusing on pain relief, insomnia, anxiety, memory and more. The supplements utilize different combinations of herbs, not just cannabis, allowing users to find a more targeted solution to fit their needs.
Most significantly, however, Emerald Health has also just received the green light from Canadian regulatory officials to sell its award-winning Endo product line of endocannabinoid-supporting nutritional products across the country.
The company's unique approach to research is what really sets the company apart from the competition. With the razer-sharp focus on isolating the most important qualities of each plant and creating new products for patients, it is no wonder their supplements are so popular. In 2018 alone, Emerald Health secured over 500 acres of hemp harvest for the extraction of low-cost cannabidiol, and the company plans to double that in the next few years.
#4 - Curaleaf Holdings (OTCPK:CURLF) (CSE: CURA)
Curaleaf is a multi-faceted U.S. cannabis company, operating both in the East and West of the U.S.
After a much-heralded debut on the stock exchange, Curaleaf stocks fell in what has been a general correction in global cannabis markets in the last two months. Currently, the company is operating in 12 different U.S. states and has just opened its 35th dispensary. Next to operating dispensaries, cultivating product, and marketing, The company also produces a wide range of cannabis products, including concentrates, edibles, tinctures, capsules, vaporizer cartridges, and dry natural marijuana.
Despite the fact that the company only just went public, it has seen a lot of attention from investors, securing a valuation of over $2.8 billion. Its Florida dispensaries were the first in the industry to receive the Safe Quality Food certification under the Global Food Safety Initiative, setting a new standard of excellence.
Curaleaf's third-quarter financials shocked analysts, with Q3 revenue soaring by 289 percent. "Boasting the largest retail dispensary footprint under a single, unified brand, with now 33 locations across 10 states, Curaleaf has established itself as a leader in the burgeoning U.S. cannabis industry," CEO Joe Lusardi noted.
#5 - OrganiGram Holdings (OTCQX: OGRMF) (TSX.V: OGI)
With strains like Low Tide, Hunter's Corner and Wabanaki, and a number of cannabis oil and vaporizers, OrganiGram is aiming to corner the Canadian cannabis markets. The holding company represents a number of subsidiaries from which it produces and distributes recreational and medical marijuana, OrganiGram is well positioned to ride the next Green Wave into profits.
The company has carved out its place in cannabis royalty by securing deals across Canada, from Saskatchewan to British Columbia. In addition to its in-person sales strategy, OrganiGram also offers another unique method of distribution. Online and over-the-phone options. More than that, however, OrganiGram and its partners knows how to manage the surging Canadian demand that has left other distributors without product for periods of time.
While its share price has fallen a bit since early October, the company expects that Q1 results alone will exceed the total of entire 2018. OrganiGram's is a market leader in New Brunswick, Nova Scotia, and also has a strong presence in Alberta and Ontario. The company has made several key investments in European medical marijuana companies in countries such as Germany and Serbia.
Bonus runner-up: One more company working to reshape the cannabis industry
CannTrust Holdings Inc. (OTCPK:CNTTF) (TSX: TRST)
Canntrust is a cannabis company focusing on the numerous medical benefits of the plant. They offer a number of cannabis-derived products, from CBD and THC pills to actual plant matter.
In September, the company made history with the first approved shipment of a cannabis product to Denmark. The company shipped cannabis oils overseas in a breakthrough deal with its Danish joint venture partner, STENOCARE.
"Thanks to CannTrust's consistent quality and standardized products, we are the first in Denmark to have cannabis oil products approved for the market," noted Thomas S. Schnegelsberg, CEO of STENOCARE.
**IMPORTANT! BY READING OUR CONTENT YOU EXPLICITLY AGREE TO THE FOLLOWING. PLEASE READ CAREFULLY**
Notice for Forward-Looking Information
Certain statements in this press release are forward-looking statements and are prospective in nature. Forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events, and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. Such forward-looking information includes that cannabis use and sales will grow as currently predicted; Wayland's intended acquisition of various foreign companies and expansion into international markets; that Wayland can become one of the biggest cannabis names in many countries; Wayland's plans to bring automation and the latest technology to projects in various locations throughout the world; that it could be granted growing licenses; that Wayland can close on its announced purchases and joint ventures; that through efficiency and technology Wayland can substantially lower its production costs below competitors; that Wayland can sell its product at huge gross margins; that Wayland will create a range of cannabis consumer brands, to be distributed through their own digital platforms and retail facilities; that Wayland can successfully integrate pharmaceutical breakthroughs into its products; that Wayland can achieve its sales targets and gross profit margins as planned; and that it will be able to carry out its business plans.
Readers are cautioned to not place undue reliance on forward-looking information. Forward looking information is subject to a number of risks and uncertainties that may cause actual results or events to differ materially from those contemplated in the forward-looking information, and even if such actual results or events are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Wayland. Such risks and uncertainties include, among other things: that a regulatory approval that may be required for the intended acquisitions and subsequent sales are not obtained or are obtained subject to conditions that are not anticipated; growing competition for intended acquisitions in the cannabis industry; announced or expected acquisitions or joint ventures may not close because of inability to come to final terms, or inability to obtain regulatory compliance; potential future competition in the markets Wayland operates for sales; competitors may quickly enter the industry; general economic conditions in the US, Canada and globally; the inability to secure financing necessary to carry out its business plans; competition for, among other things, capital and skilled personnel; the possibility that government policies or laws may not permit legal cannabis sales or growth or that favorable laws in place may change; interruption or failure of information or other technology systems; the cannabis market may not grow as expected; Wayland's technology and drive for efficiency may not achieve the expected results and its accomplishments may be limited; Wayland may not successfully develop a cannabis consumer brand; and it may not be successful in developing a cannabis based treatment for medical uses; even if it develops a successful treatment, it may not be able to protect its intellectual property; its patent applications may be rejected or successfully challenged; Wayland's business plan also carries risk, including its ability to comply with all applicable governmental regulations in a highly regulated business; incubator risk investing in target companies or projects which have limited or no operating history and are engaged in activities currently considered illegal under US federal laws; and regulatory risks relating to Wayland's business, financings and strategic acquisitions.
PAID ADVERTISEMENT. This communication is a paid advertisement and is not a recommendation to buy or sell securities. Safehaven.com, Leacap Ltd, and their owners, managers, employees, and assigns (collectively "the Company") has been paid by the profiled company or a third party to disseminate this communication. In this case the Company has been paid by Wayland fifty-eight thousand three hundred thirty three US dollars for this article and certain banner ads. This compensation is a major conflict with our ability to be unbiased, more specifically:
This communication is for entertainment purposes only. Never invest purely based on our communication. Gains mentioned in our newsletter and on our website may be based on end-of- day or intraday data. We have been compensated by Wayland to conduct investor awareness advertising and marketing for Wayland. Therefore, this communication should be viewed as a commercial advertisement only. We have not investigated the background of the company. The third party, profiled company, or their affiliates may liquidate shares of the profiled company at or near the time you receive this communication, which has the potential to hurt share prices. Frequently companies profiled in our alerts experience a large increase in volume and share price during the course of investor awareness marketing, which often end as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in volume and share price is likely to occur.
We do not guarantee the timeliness, accuracy, or completeness of the information on our site or in our newsletters. The information in our communications and on our website is believed to be accurate and correct, but has not been independently verified and is not guaranteed to be correct. The information is collected from public and non-public sources but is not researched or verified in any way whatsoever to ensure the information is correct.
SHARE OWNERSHIP. The owner of Safehaven.com will not notify the market when it decides to buy or sell shares of this issuer in the market. The owner of Safehaven.com will be buying and selling shares of the featured company for its own profit. This is why we stress that you conduct extensive due diligence as well as seek the advice of your financial advisor or a registered broker-dealer before investing in any securities.
NOT AN INVESTMENT ADVISOR. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. ALWAYS DO YOUR OWN RESEARCH and consult with a licensed investment professional before making an investment. This communication should not be used as a basis for making any investment.
INDEMNIFICATION/RELEASE OF LIABILITY. By reading this communication, you agree to the terms of this disclaimer, including, but not limited to: releasing The Company, its affiliates, assigns and successors from any and all liability, damages, and injury from the information contained in this communication. You further warrant that you are solely responsible for any financial outcome that may come from your investment decisions.
RISK OF INVESTING. Investing is inherently risky. While a potential for rewards exists, by investing, you are putting yourself at risk. You must be aware of the risks and be willing to accept them in order to invest in any type of security. Don't trade with money you can't afford to lose. This is neither a solicitation nor an offer to Buy/Sell securities.
DISCLAIMER: Safehaven.com is Source of all content listed above. FN Media Group, LLC (FNM), is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with Safehaven.com or any company mentioned herein. The commentary, views and opinions expressed in this release by Safehaven.com are solely those of Safehaven.com and are not shared by and do not reflect in any manner the views or opinions of FNM. FNM is not liable for any investment decisions by its readers or subscribers. FNM and its affiliated companies are a news dissemination and financial marketing solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM was not compensated by any public company mentioned herein to disseminate this press release.
FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.
Media Contact - FN Media Group LLC
U.S. Phone: +1(954)345-0611