U.S. Retail Cannabis Sales on Pace to Potentially Reach $30 Billion by 2023

PALM BEACH, Florida, Sept. 5, 2019 /PRNewswire/ -- According to the Marijuana Business Factbook, an exclusive report by Marijuana Business Daily (MJD) containing market projections, retail sales of medical and recreational cannabis in the United States are on pace to eclipse $12 billion by the end of 2019 – an increase of roughly 35% over 2018 – and could rise as high as $30 billion by 2023. MJD said: "Continued sales gains in recreational markets as well as the rapid development of medical marijuana programs in newly legalized states will spur much of that growth over the coming year. On the recreational side, estimated sales in 2018 were revised up slightly from our original forecast at the beginning of 2018… But by the end of 2018, the number of licensed retail stores and delivery services in California was up considerably, pushing estimated sales past the $2 billion mark." Active cannabis companies in the markets this week include:  Medicine Man Technologies, Inc. (OTCQX: MDCL), Canopy Growth Corporation (NYSE: CGC) (TSX: WEED), Tilray, Inc. (NASDAQ: TLRY), Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB),  Aphria Inc. (NYSE: APHA) (TSX: APHA).

The report continued: "Sales in mature markets such as Colorado, Oregon and Washington state continue to grow (and) by the end of 2019, each of those states could post single-digit, year-over-year sales gains – the first time that's happened in a recreational marijuana market. Nationwide, however, rec sales are set for major growth in the coming years, as California and Massachusetts are expected to hit their strides by 2020 and markets such as Maine and Michigan come online."

Medicine Man Technologies, Inc. (OTCQX: MDCL) BREAKING NEWS:  Medicine Man Technologies announced this week that it has entered into a binding term sheet to acquire Colorado Harvest Company ("Colorado Harvest"), an operator of two leading cannabis dispensaries in Denver and one in nearby Aurora.

Under the terms of the transaction, Medicine Man Technologies will purchase Colorado Harvest for $12.5 million, or 1.25 times its anticipated 2019 revenue of $10 million. The purchase price will consist of $4 million in cash and $8.5 million in Company stock, equating to 2,881,356 shares issued at $2.95 per share. The terms of the transaction can also be referenced in the Company's 8-K, which outlines the closing conditions and are conditioned upon the satisfaction or mutual waiver of certain conditions, including regulatory approval.

"Tim and Ralph are early industry pioneers that built an avid following for their proprietary naturally grown strains when recreational cannabis was legalized in Colorado," said Andy Williams, Co-Founder and Chief Executive Officer of Medicine Man Technologies. "Given their many years of underlying cultivation experience, Tim and Ralph have perfected their formula for growing cannabis naturally with a focus on utmost quality using environmentally sensitive grow practices that many consumers enjoy. Their combined cannabis knowledge even led them to begin producing CO2-extracted cannabis oil that they later turned into a company called O.penVAPE, now the leading cannabis personal vaporizer in the country. Adding their deep retail, cultivation, and product development experience to the Company will prove very beneficial as we continue with our plans to vertically integrate our business and look for future cross-selling opportunities from our expanding operations."

Medicine Man Technologies Also Unveiled its Largest Deal Yet with Entry into a Term Sheet to Acquire a Group of Dispensaries Operating under the Starbuds Brand – Highlights include:

- The Company's addition of a group of five dispensaries will increase the retail footprint and regional coverage of the Company in Colorado

- As part of the agreement, one of the original industry pioneers, Brian Ruden, will join the Company's Board of Directors, enhancing the depth of the senior management team, which is unrivaled in the cannabis industry

- The Company continues to create shareholder value by consolidating some of the most successful cannabis cultivation, manufacturing, and retail operations in Colorado

Read this and additional current news for MDCL at:  https://www.financialnewsmedia.com/news-mdcl/     

Other recent developments in the biotech industry include:

Canopy Growth Corporation (NYSE: CGC) (TSX: WEED) recently announced that it has received a license from Health Canada for its KeyLeaf Life Sciences facility in Saskatoon, Saskatchewan. Including the Smiths Falls site and the recently licensed BC Tweed extraction site, Canopy Growth now operates three significant extraction assets to support the throughput required for large scale value-add product development.

Canopy Growth recently retrofitted the now fully licensed KeyLeaf facility in Saskatchewan, a company with over 50 years of experience in the extraction industry. This facility is expected to be online in the Fall of 2019 and has the capacity to extract up to 5,000 kilograms of hemp or cannabis biomass per day.

Tilray, Inc. (NASDAQ: TLRY) a global pioneer in cannabis research, cultivation, production and distribution, recently announced it has entered into a definitive agreement ("the Agreement") pursuant to which Tilray, through a wholly-owned subsidiary of High Park Holdings Ltd. ("High Park"), will acquire all of the issued and outstanding securities of 420 Investments Ltd. ("FOUR20"), an adult-use cannabis retail operator headquartered in Calgary, Alberta.

FOUR20 provides adult-use cannabis consumers with a premium retail experience focused on high quality product selection, education and community. FOUR20 currently operates six licensed retail locations and has 16 additional high-traffic locations secured in desirable locations in Alberta, including Canmore, Calgary and Edmonton. Tilray and High Park will leverage FOUR20's retail expertise and brand and market knowledge to expand into other Canadian provincial markets where Licensed Producer retail ownership will be permitted in the future.

Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB)  the Canadian company defining the future of cannabis worldwide, recently announced that on September 3, 2019, Aurora disposed of its remaining 28,833,334 shares, representing 10.5% of the issued and outstanding shares of The Green Organic Dutchman Holdings Ltd ("TGOD"), at a price of $3.00 per share for aggregate gross proceeds of $86.5 million. The completion of the sale of TGOD shares represents an approximate 50% internal rate of return for the Company. As a result of this transaction, Aurora no longer holds any shares of TGOD, however does continue to hold warrants to purchase 16,666,667 shares of TGOD.

Aphria Inc. (NYSE: APHA) (TSX: APHA) recently announced that it has filed a preliminary short form base shelf prospectus (the "Shelf Prospectus") with the securities regulators in each province of Canada , except for the Province of Quebec , and a corresponding shelf registration statement on Form F-10 (the "Registration Statement") with the United States Securities and Exchange Commission (the "SEC").

The filing of the Shelf Prospectus satisfies one of the Company's contractual obligations to its syndicate of underwriters in connection with the US$350 million of convertible senior notes issued by the Company on April 23, 2019 . It also provides the Company the flexibility to allow an institutional investor or a strategic partner to invest in its business, or raise funds if necessary.

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