Spending on Legal Cannabis Products Expected to Grow

cannabis productsNEW YORKMay 11, 2018 /PRNewswire/ — According to data by Arcview Market Research, consumer spending on legal cannabis in North America is outpacing previous estimates. The report emphasises that retail cannabis sales will grow 33% from 2016, to about $10 billion this year. The data published projects that by 2021 the legal cannabis market will reach a value of $24.5 billion and at a 28% compound annual growth rate (CAGR). Arcview also stated that according to BDS Analytics’ GreenEdge point-of-sale tracking service, the medical industry in California is already as big as the total markets in ColoradoWashington, and Oregon combined. Starting January 1stCalifornia has started legal sales of cannabis products for recreational use. Koios Beverage Corp. (OTC: SNOVF), MYM Nutraceuticals Inc. (OTC: MYMMF), Organigram Holdings Inc. (OTC: OGRMF), MYM Nutraceuticals Inc. (OTC: MYMMF), ABcann Global Corporation (OTC: ABCCF)

In a report by Benzinga, Viridian Capital President Scott Greiper indicated that the cannabis market received $1.23 billion investments in the first five weeks of 2018, up from $178 million a year earlier. Viridian Capital Advisors’ Vice President Harrison Phillips explained: “Investments in cultivation and retail this year have been driven predominantly by the Canadian player. This has been happening pretty consistently from late 2016 through 2017. This reflects the necessity to scale cannabis businesses, to get some kind of advantage, and to explore strategic opportunities, both through acquisitions and international expansion.”

Koios Beverage Corp. (OTC: SNOVF) also listed on the Canadian Stock Exchange under (CSE: KBEV). Earlier this week the company announced, “the creation of Cannavated Beverage Co. (“Cannavated”), a wholly-owned subsidiary that will be among the first companies to produce cannabis-infused beverages. Koios brings its proven experience in the functional beverage industry to the growing cannabis sector. Cannavated drinks will have all of the nootropic health benefits of the winning Koios drink formula, and will target medical cannabis users, who have long called for more choice in the market.

“The industry has proven it is going in the direction of cannabis-infused drinks,” said Chris Miller, CEO of Koios. “It’s healthier. Nobody wants to smoke anymore. The market for beverages is vast, especially when you consider the aging population and the demand for medical cannabis among seniors.”

Cannavated’s longer-term plans include partnering with licensed producers, cultivators and other regulated cannabis companies who want to sell their own line of cannabis drinks. By entering into a “white labelling” turn-key agreement, companies will be able to sell Cannavated drinks under their own brand names and labels.

“We have used hemp oil in our previous product line due it’s cognitive benefits and perfect balance of omega’s,” added Miller. “Using our existing knowledge and experience in the beverage space not only allows us to help licensed producers, but to also reach a wider audience of health-conscious consumers. We are especially excited about the possibility of combining CBDs with our proprietary nootropic blend to create a cannabis-based cognitive beverage.”

The introduction of Cannavated enables Koios to target a whole new demographic, increasing its market reach with a broader and expanding base of consumers. Market demand is expected to grow beyond medical users once the Canadian government legalizes cannabis for recreational use, likely to happen later this year. The functional beverage market is quickly becoming the go-to drink-of-choice among a new generation of consumers who want low-calorie, nutrient-dense options. Koios will supply its proprietary nootropic recipes to Cannavated, ensuring the cannabis drinks have all of the nutrients and flavour that consumers have come to associate with the brand.

About the Company’s Business – The Company, through its wholly-owned subsidiary Koios, Inc., is an emerging functional beverage company which has an available distribution network of more than 2,000 retail locations across the United States in which to sell its products. Koios has relationships with some of the largest and most reputable distributors in the United States, including Europa Sports, Muscle Foods USA, KeHE, and Wishing-U-Well. Together these distributors represent more than 80,000 bricks and mortar locations across the United States – from sports nutrition stores to large natural grocery chains including Whole Foods and Sunflower markets. Through its partnership with Wishing-U-Well, Koios also enjoys a large presence online, including being an Amazon choice product.

Koios uses a proprietary blend of nootropics and natural organic compounds to enhance human productivity without using harmful chemicals or stimulants. Koios products can enhance focus, concentration, mental capacity, memory retention, cognitive function, alertness, brain capacity and create all day mental clarity. Its ingredients are specifically designed to target brain function by increasing blood flow, oxygen levels and neural connections in the brain. Koios is one of the only drinks in the world to infuse its products with MCT oil. MCT oil is derived from coconuts and has been shown to help the body burn fat more effectively, create lasting energy from a natural food source, produce ketones in the brain, allowing for greater brain function and clarity, support healthy hormone production and improve immunity. For more information, please visit our website: https://www.mentaltitan.com/

MYM Nutraceuticals Inc. (OTCQB: MYMMF) is an innovative company focused on acquiring Health Canada licenses to produce and sell high-end organic medicinal cannabis supplements and topical products. Recently, the company provided the following update regarding the Sublime Culture Inc. ACMPR production facility located in Laval, Quebec. The Sublime Culture Inc. Laval facility has been completed as per ACMPR standards and guidelines. Sublime Culture submitted the Confirmation of Readiness for a License to Health Canada on December 15, 2017. Since this time, Sublime has worked closely with Health Canada to ensure that all further inquiries into the project have been satisfied. The Sublime Culture ACMPR license application is currently in the queue awaiting final review from Health Canada.

Organigram Holdings Inc. (OTCQB: OGRMF) is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of medical marijuana in Canada. Recently, the company announced it has entered a non-binding term sheet to acquire up to 25 per cent of alpha-cannabis Pharma GmbH located in Stadthagen, Germany. According to the non-binding term sheet, Organigram will invest up to €1,625,000 in cash and €875,000 worth of Organigram common shares for 25 per cent of the aggregate issued and outstanding shares of Alpha-Cannabis Germany on a fully-diluted basis. Once the agreement is final, Organigram will provide ACG with dried cannabis flower as well as sweet leaf for conversion into extracts for the burgeoning German medical cannabis market.  Further, the parties also anticipate entering into an agreement whereby Organigram will have an option to purchase pure synthetic CBD isolate from Alpha-Cannabis Germany.  The parties anticipate jointly submitting for future licenses available to supply medical cannabis in the German market.

Emblem Corp. (OTC: EMMBF), through its wholly-owned subsidiary Emblem Cannabis Corporation, is a fully integrated licensed producer and distributor of medical cannabis and cannabis derivatives in Canada under the ACMPR. On April 17, 2018, Emblem Corp. and Durham College (DC) on behalf of its health and education subsidiary GrowWise Health Limited, are partnering to develop and launch the Cannabis Industry Specialization certificate in fall 2018. The first of its kind in Ontario, the part-time studies program will be delivered both in class and online via simulcast. It is designed to prepare professionals with business experience or who have already completed a diploma or degree in business to pursue a career in the rapidly growing cannabis sector.

ABcann Global Corporation (OTCQB: ABCCF) holds production and sales licenses from Health Canada. Its flagship Vanluven facility in Napanee, Ontario contains proprietary, state-of-the-art, plant-growing technology, which allows ABcann to precisely control all environmental variables to maximize yield and produce pharmaceutical-grade cannabis. Recently, the company provided the following business update. Production capacity and capability for 2018 is 800 kilograms of indoor grown premium dry flower and 1,500 kilograms of seasonal greenhouse cannabis. 2019 capacity is 1,500 kilograms of indoor grown premium bud and 14,000 kilograms of seasonal greenhouse cannabis to be used primarily in finished medical and adult-use products.

Photo credit: david m busto on Visual hunt / CC BY-NC-SA


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