Author: CannabisNewsWire (CNW)

About CannabisNewsWire CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge. To receive SMS text alerts from CannabisNewsWire, text “CANNABIS” to 21000 (U.S. Mobile Phones Only) For more information please visit https://www.CannabisNewsWire.com Please see full terms of use and disclaimers on the CannabisNewsWire website applicable to all content provided by CNW, wherever published or re-published: http://CNW.fm/Disclaimer

Intangible Assets Power Growth, Acquisitions in the Pharmaceuticals Sector

CannabisNewsWire Editorial Coverage: Intangible assets such as patents increasingly dominate the global business landscape, especially in the pharmaceutical sector.

  • Intangible assets are estimated to be worth trillions of dollars in the United States alone.
  • These assets drive deals as companies acquire smaller patent holders.
  • In growing sectors such as cannabis, smaller companies are rushing to establish intangible assets ready for expected market growth.

Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) (LXRP Profile) is one of the leaders in the world of cannabis, with applications made for more than 50 different patents and more to come. Tilray Inc. (NASDAQ: TLRY) is also focusing on building its intellectual property (IP) portfolio, including exclusive rights to at least 22 issued or pending patents. In wake of receiving FDA approval of its Epidiolex® (cannabidiol) oral solution for the treatment of seizures associated with two rare and severe forms of epilepsy, GW Pharmaceuticals Plc (NASDAQ: GWPH) has applied for five new Epidiolex patents. Recently Canopy Growth Corporation (NYSE: CGC) announced that it has, alone or with its subsidiary or joint-venture partners, filed eight provisional U.S. patents pertaining to the delivery and application of cannabis and cannabinoid-based therapeutics. And through its ownership of CanniMed, Aurora Cannabis, Inc. (OTCQX: ACBFF) has obtained six patents related to cannabinoid delivery for pain management.

To view an infographic of this editorial, click here.

The Power of Intellectual Property

Intellectual property is now one of the most important parts of the global economy. Copyrights, trademarks and patents are a vital weapon in the arsenal of many businesses. For some companies, this is a secondary consideration, a way to strengthen and protect their positions within their fields. For others, it’s their entire focus — a way to dominate a sector or provide valuable returns.

The power of IP means that no part of the economy goes untouched. New industries often arise off the back of new IP. Even when that’s not the case, the development of new techniques and technologies frequently lead to the creation of patents, as companies work to innovate and control techniques that give them an edge over their competitors. For relatively new sectors, such as the cannabis market, this means the sudden flourishing of IP and a race by companies to stake their claim on these valuable assets. As a sector matures, so will its IP market.

The Value of Intangible Assets

Patents are a big part of business for companies such as Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP), for whom developing and protecting new technology is fundamental to success. Whether it’s underlying technology such as DehydraTECH, the company’s system for increasing the body’s absorption of chemical compounds, or specific products derived from DehydraTECH, such as TurboCBD, Lexaria’s success is founded on its distinctive IP.

IP is part of a wider sector of the economy — intangible assets. This is the wealth provided not by physical assets and the processes that directly transform them but by less visible, more abstract resources. It includes IP, whose value is often examined and measured, as well as harder-to-pin-down elements such as business processes and reputation.

These factors have always played a part in business, but their growing recognition and analysis has led to the growth of companies whose main focus is on intangible assets, from investment research firms and reinsurers to patent licensing and enforcement companies.

Representing around a third of the U.S. economy, intangible assets are now consciously analyzed and developed by virtually every business, even if they don’t recognize the “intangible asset” label. Companies with a solid focus on these areas can place themselves in positions of great strength.

Patents in a New Sector

The speed at which intangible assets can develop is well illustrated by movements in the cannabis sector, where many of Lexaria’s patents apply.

The legal global cannabis market started to emerge only recently, thanks to a handful of countries allowing medical marijuana. The market has started to mature through a small but growing number of territories with legal markets for recreational cannabis, as well as the separate management and licensing of industrial hemp. Legal cannabis is now a multibillion-dollar business. Although Lexaria’s technology has other profound drug delivery applications, cannabis is where it looks set to have the most immediate impact.

This has led to a rush to control intangible assets around cannabis. It’s noteworthy that Chinese companies own more than half of the cannabis-related patents registered with the World Intellectual Property Organization, even though the cannabis trade remains illegal in China. China has a good eye for long-term developments and is setting itself up to control a growing global trade.

Outside of China, Lexaria is one of the world’s biggest holders of cannabis patents with eight patents already granted. The company currently holds four patents in the United States and four in Australia, covering aspects of its work to make beneficial drugs more palatable and effective. In addition, the company has further patent applications in process in more than 40 countries as part of a concerted strategy to expand its patent portfolio. This is made possible by the focused, tangible research and development being carried out by the company and is ultimately driven by the need to develop and control intangible assets.

Lexaria has disclosed it expects four more patents to be granted in 2018, bringing its total to twelve. Of note, all twelve of these are within a single patent family — and Lexaria expects patent success across all nine families of its current applications. Indeed the company recently revealed that it has seven more patent families in the works. Lexaria’s goal is to have some 200 patents pending or granted which, if achieved, could turn the organization into an IP behemoth in the global cannabis industry.

The Value of Patents

The commercial value of patents, even those still pending approval, can be extraordinary, reaching billions of dollars. In 2011, Nortel sold 6,000 patents and patent applications for $4.5 billion. The following year, AOL sold 925 patents to Microsoft for more than a billion dollars. While some companies develop patents purely to protect their work, others develop them specifically to be sold.

This focus on intangible assets drives many mergers and acquisitions. The Craftsy digital network developed online shows such as “Man about Cake” with a focus on audience rather than immediate profit, leading to the company’s acquisition by NBC Universal. The intangible assets of the company’s identity, reputation and audience had become highly valuable in themselves.

Similar priorities can be seen on a far larger scale in SoftBank’s $31.4 billion acquisition of chip designer ARM Holdings, or roughly $7 million per patent or patent application. ARM’s revenues were only $1.5 billion per year, but its 4,500 patents cover technology of potentially incredible value. In just three years, the desire to control patented drugs and processes in the healthcare sector overall resulted in 58 mergers and acquisitions with values of a billion dollars or more.

In Lexaria’s field of pharmaceuticals, patents are crucial, representing both the outcome of years of R&D and also potential market share and control in the emerging global cannabis business. Lexaria is attempting to own enough IP in the global cannabis industry that patent royalty revenues begin to flow worldwide.

Because patents are among the most valuable assets a company can own, a small investment in research now may pay off in a huge way in years to come. In a sector with such huge growth potential as cannabis, Lexaria’s IP portfolio may generate cash flows regardless of whether other companies intend to license the technology or not; by owning core IP, other companies may be forced to pay royalties. If Lexaria’s goal of owning hundreds of issued patents becomes a reality, the company’s patent portfolio could have huge ramifications on its valuation.

Powered by Intellectual Property

Lexaria isn’t alone in its commitment to strengthen its IP collateral. Tilray Inc. (NASDAQ: TLRY) is also focusing on building its IP portfolio including exclusive rights to at least 22 issued or pending patents. Tilray CEO Brendan Kennedy has observed that if cannabis companies are going to move forward, they’ll need to develop IP in both the medicinal and recreation aspects of the cannabis spectrum.

GW Pharmaceuticals Plc (NASDAQ: GWPH) has established a leading position in the development of plant-derived cannabinoid therapeutics through its intellectual property portfolio, proven drug discovery and development processes, and regulatory and manufacturing expertise. The company successfully developed the world’s first prescription medicine derived from the cannabis plant.

In addition to the eight provisional patents it has filed, Canopy Growth Corporation (NYSE: CGC) has updated applications relating to earlier insomnia patent applications, bringing its total number of U.S. provisional patent filings to 39. The filings are part of a concerted plan by Canopy Growth to deliver to patients and healthcare providers innovative medicines and health products targeting disease areas with substantial medical needs.

Aurora Cannabis, Inc.’s (OTCQX: ACBFF) pain-management patents are only part of the company’s commitment to creating a stronghold in the cannabis market. Aurora has become one of the fastest-growing cannabis companies, as evidenced by Aurora Sky, the company’s 800,000-square-foot flagship facility; by launching the world’s only mobile app for ordering medically prescribed cannabis; and by being the only LP to service two metropolitan areas with same-day delivery.

With so much value placed on intangible assets, patents are fueling growth and acquisitions worth billions of dollars. In the pharmaceutical sector and beyond, patents definitely appear to be where the big money is.

For more information on Lexaria Bioscience Corp., visit Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP)

About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

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DISCLAIMER: CannabisNewsWire (CNW) is the source of the Article and content set forth above. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. The commentary, views and opinions expressed in this release by CNW are solely those of CNW. Readers of this Article and content agree that they cannot and will not seek to hold liable CNW for any investment decisions by their readers or subscribers. CNW is a news dissemination and financial marketing solutions provider and is NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.

The Article and content related to the profiled company represent the personal and subjective views of the Author, and are subject to change at any time without notice. The information provided in the Article and the content has been obtained from sources which the Author believes to be reliable. However, the Author has not independently verified or otherwise investigated all such information. None of the Author, CNW, or any of their respective affiliates, guarantee the accuracy or completeness of any such information. This Article and content are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action; readers are strongly urged to speak with their own investment advisor and review all of the profiled issuer’s filings made with the Securities and Exchange Commission before making any investment decisions and should understand the risks associated with an investment in the profiled issuer’s securities, including, but not limited to, the complete loss of your investment.

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420 with CNW – LA International Airport Allows Travelers to Carry Marijuana

Los Angeles International Airport announced that passengers were free to have cannabis on them or in their luggage when boarding flights as long as it didn’t exceed the amount allowed by California law. Currently, 28.5 grams or 8grams of concentrated cannabis (oil, for example) can be carried by someone within the state. This only applies to people who are 21-years of age or more.

However, individuals who are carrying cannabis legally may still face prosecution once they are discovered by the Transport Safety Administration (TSA) agents at the airport. The TSA is obliged by law to notify local law enforcement (police) once someone is found with marijuana.

It is up to the police to decide whether to prosecute that person, seize the marijuana, or let the person board his or her flight. LA police has already said they will not prosecute anyone who hasn’t exceeded the legal limit of how much someone can carry.

This doesn’t mean passengers will not suffer any inconveniences. The interview by TSA agents before one is handed over to local police may make that person miss his or her flight even if the possibility of prosecution is waived by the police.

A lot of confusion is likely to result from the conflicting rules being followed by the Transportation Safety Administration and the local police.

Passengers are better off avoiding having any cannabis on them when they go to the airport. This will save them from finding out the hard way the kind of delays and back and forth issues that can arise when pot is found on you.

Passengers are also advised to keep in mind the laws of the different states through which they intend to travel since what is legal in one state may be criminal in another state.

A city councilman in LA has even suggested that so-called amnesty bins be availed at the airport so that passengers can place their marijuana in the bin before they get to a TSA checkpoint.

That idea isn’t as far-fetched as it may sound, because Las Vegas has about two dozen such bins at the McCarran International Airport.

The amnesty bin idea has its weaknesses because it means that a passenger will lose his or her legally purchased stash. The better option would be to harmonize the federal airspace rules with the rules in each state so that passengers aren’t left at the mercy of the individual officers who find cannabis in their luggage or on their person.

The contradicting positions of TSA and local police regarding cannabis clearly highlight the challenges that companies like Sugarmade, Inc. (OTCQB: SGMD) and Sunniva Inc. (CSE: SNN) (OTCQX: SNNVF) have to grapple with in the different jurisdictions where they have operations.

More from CannabisNewsWire

About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

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420 with CNW – Seattle Court Agrees to Vacate Marijuana Misdemeanor Convictions

All the seven judges of the Seattle Municipal Court have agreed to vacate all the convictions for marijuana possession dating back to 1996 when cannabis had not yet been decriminalized. The judges also made a decision to dismiss all cannabis possession charges against anyone who was being prosecuted within the jurisdiction.

This decision is the culmination of a process that started in February when Peter Holmes, the City Attorney, filed a motion calling on the court to take this historic action. He said that step was needed to right the wrongs committed against people of color, especially African Americans, who had been targeted during the drug war. Approximately 46% of all people prosecuted were African American.

The judges agreed with his motion and directed that the state should provide the last known addresses of the individuals affected by the court’s decision so that notices could be mailed to them about what has been agreed upon by the judges. About 542 individuals could benefit from the court’s ruling.

The people with marijuana criminal records now have 33 days within which to object to the court’s decision or file a request for an individualized finding.

Jenny Durkan, the Seattle mayor, welcomed the decision saying that the misdemeanor record had denied hundreds of people numerous opportunities ranging from jobs, education, housing and loans. Vacating the convictions would therefore give the affected people a chance to rebuild their lives even if the harm they suffered earlier could not be undone.

The period covered by the court’s decision was determined based on the years during which the Seattle Municipal Court had jurisdiction over marijuana misdemeanor cases. That jurisdictional authority started in 1996.

The decision to vacate those convictions hasn’t just dropped upon the city. Earlier in 2003, a decision was made by the voters to compel law enforcement agencies to take marijuana possession cases to the bottom of their priority list.

In 2010, another major step was taken by the City Attorney (Holmes) to halt the prosecution of people for cannabis possession.

It has taken months to figure out how to implement the decision to vacate the convictions because non-citizens would still be regarded as ex-cons by the immigration authorities since marijuana is still illegal at the federal level.

The court decided that any non-citizen who wanted a ruling that their previous marijuana conviction could no longer affect them in an immigration court could apply in that 33-day window mentioned in the court’s decision. Phivida Holdings Inc. (CSE: VIDA) (OTCQX: PHVAF) and SinglePoint, Inc. (OTCQB: SING) must be glad that the court gave ex-cons that clean slate since the measure can be an additional way to remove the stigma that has shrouded marijuana for so long.

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About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

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Growing Cannabis Sector Sees Surge in Acquisitions

CannabisNewsWire Editorial Coverage: The ongoing growth of the cannabis sector is now driving a surge in acquisitions, as companies compete to control a burgeoning market.

  • The cannabis sector has seen incredible growth, reaching $10 billion this year in the United States alone.
  • This has led to a wave of mergers and acquisitions, as companies strengthen their positions.
  • This pattern is accompanied by expansion into new markets and investment in smaller companies by their larger cousins.

Hydroponic supplier Sugarmade, Inc. (OTCQB: SGMD) (SGMD Profile) is in the process of acquiring two hydroponic companies, improving its already strong position as a provider of vital cultivation equipment. Industry leader Aphria, Inc. (OTCQB: APHQF) is making acquisitions in Jamaica, Latin America, and Canada, with the latter giving it access to European markets. Cannabis outsider Constellation Brands, Inc. (NYSE: STZ) has invested heavily in cannabis grower Canopy Growth, with an eye to creating cannabis-infused beverages. In Florida, MedMen Enterprises, Inc. (OTCQB: MMNFF) has acquired cultivation and retail assets, expanding its reach from three to four states. And Emerald Health Therapeutics (OTCQX: EMHTF) is set to acquire the remaining shares of Northern Vine Canada Inc., in a move that gives Emerald full ownership of Northern Vine.

To view an infographic of this editorial, click here.

Acquisitions Heating Up in the Cannabis Sector

For a new sector of the economy, the cannabis industry has grown at a fantastic rate. In the relatively few years since medical cannabis started to be legalized in North America, a multimillion-dollar industry has evolved, covering cultivators, retailers, marketing and all the support services the industry needs. The recent legalization of recreational cannabis in several U.S. states and Canada, together with the growing popularity of medical cannabis, is propelling the industry’s value into the billions.

Initially, growth was mostly driven by the creation of new companies or subsidiaries of pharmaceutical firms, as they set up new businesses in a new economic space. But in recent years, that has changed. Larger cannabis companies have started taking over smaller rivals and companies serving different parts of the market. Acquisitions are on the rise.

Consolidation in a Growing Sector

The cannabis sector is made up of a wide range of companies, from those focused on cultivation to the likes of Sugarmade, Inc. (OTCQB: SGMD), a hydroponics supply company that is making a move into the broader cannabis space.

The appearance of this range of companies has been made possible by the phenomenal growth of the market. The cannabis market in the United States is expected to be worth over $10 billion this year, 50 percent larger than it was in 2016, and that growth shows no sign of slowing. With an estimated $46 billion worth of business still existing outside legal markets, there’s vast scope for expansion as legalization spreads and consumers are drawn away from black market dealers. And that’s only in the United States, never mind the rest of the world.

As faith in the industry grows, investors are pouring in additional funding, leading to a boom in mergers and acquisitions. Some early players are cashing out, making the most of their companies’ growth to make a healthy profit and move on to something new. Others are taking over these smaller businesses, creating businesses with greater economic clout and more vertical integration.

This led to 145 mergers and acquisitions in the sector in the first half of 2018, compared with only 79 during the same period a year before. Some of these have made big news, with Aphria investing $200 million acquisitions in Latin America and Jamaica while drinks company Constellation Brands acquired a third of the equity in Canopy Growth. This shift creates even more opportunities for companies sticking in the sector, such as Sugarmade.

Acquisitions Big and Small

Based in California, Sugarmade has immediate access to one of the world’s largest legal cannabis markets and is making the most of that. One of the largest publicly traded hydroponic supply companies, its growth has been fueled by the vital role hydroponic equipment plays in the cultivation of cannabis.

Much cannabis cultivation takes place indoors, using sophisticated specialist equipment produced by companies such as Sugarmade. This gives producers greater control over growing conditions, encourages more successful crops, allows year-round production and makes it easier to secure this valuable crop.

Already a significant supplier of hydroponics, Sugarmade looks set to consolidate its position through the recently announced acquisition of two companies selling hydroponic and other cultivation supplies. This could make a huge difference to the company’s financial fortunes. Its projected revenues for 2019, previously set at $30 million, could exceed $75 million if these deals go through, more than doubling the company’s revenues.

“The hydroponic supply sector is still highly fragmented with many of the larger players not likely to reach public company liquidity events for the original entrepreneurial teams,” said Jimmy Chan, CEO of Sugarmade. “We have entered into talks with at least two of these companies for acquisition, which we believe will be highly accretive for common Sugarmade shareholders and additive to our already robust top line growth rate. We wanted to publicly disclose these discussions to ensure that all shareholders have equal access to our direction, thus our recent public filing.”

The company has set a special shareholder meeting October 10, creating an opportunity to establish more shares in the company and discuss the acquisitions. In a fast-growing sector such as cannabis, there’s little time for delay.

Investing in Others

Sugarmade’s success is largely driven by reaching new markets and supporting other companies, maximizing its potential for growth. Though U.S. based, the company has also begun expansion into the European market through online sales into the United Kingdom. Even in countries without a legal cannabis market, it is possible for hydroponics companies to sell their wares to people growing other specialist plants. And with cannabis legalization spreading globally, this allows companies such as Sugarmade to firmly establish their positions before a new market emerges.

The company is expanding its presence within the North American cannabis market by investing in industrial hemp and cannabidiol (CBD). Industrial hemp, a form of cannabis without the high, can be used for a wide range of purposes and looks set to be widely grown in the United States following the passage of the 2018 Farm Bill.

CBD, which can be derived from industrial hemp, is a chemical whose beneficial properties are only just starting to be understood and which is used in a growing range of health and wellness products. Sugarmade is investing $1 million Hempistry, Inc., a Nevada hemp company. This is expected to provide access to Hempistry shares as well as a supply agreement between the two companies.

Other businesses are also working to expand within the sector.

Aphria, Inc. (OTCQB: APHQF), one of the most successful companies in the cannabis sector, is undertaking acquisitions that will extend its reach beyond North America. In July, it announced acquisitions in Argentina, Colombia, and Jamaica worth around $200 million. Acquired through sister company Scythian Biosciences Corp., these will give Aphria reach into markets outside the United States and Canada. The company also expanded its international reach through the acquisition of Canadian company Nuuvera, which has supply and sales agreements with companies in Germany, Italy, Spain, Malta, the United Kingdom, Israel and Uruguay.

Drinks manufacturer Constellation Brands, Inc. (NYSE: STZ) is best known for beverages such as Corona, but it has recently made some surprising choices. The company has invested heavily in Canadian company Canopy Growth, moving into the cannabis market. Constellation’s approach isn’t about selling cannabis but about creating cannabis-infused drinks. These beverages are due to become legal in Canada next year. By creating a bridge between beverage manufacturers and cannabis growers, Constellation could be the first to establish widely recognized cannabis drink brands.

Cannabis manufacturer and retailer MedMen Enterprises, Inc. (OTCQB: MMNFF) shows what can be achieved by combining different elements in the cannabis supply chain. The company sees the product through from cultivation to customers’ hands, all under a carefully managed brand. This summer, it acquired dispensary and cultivation assets from Treadwell Simpson Partnership and affiliates, adding facilities in Florida to those it already owned in California, Nevada, and New York.

Emerald Health Therapeutics (OTCQX: EMHTF) owns Agro-Biotech, a licensed cannabis grower with a 75,000-square-foot indoor facility and plans to add a 500,000-square foot greeQnhouse. The company also owns 50 percent of Pure SunFarms, which is converting a licensed existing 1.1 million-square-foot greenhouse into a full-production commercial resource.

The cannabis sector has matured in recent years. As it grows within the United States and beyond, acquisitions are allowing companies to expand their options and strengthen their position in a powerful new industry.

For more information on Sugarmade, visit Sugarmade, Inc. (OTCQB: SGMD)

About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

Receive Text Alerts from CannabisNewsWire: Text “Cannabis” to 21000

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CannabisNewsWire (CNW)
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www.CannabisNewsWire.com
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Editor@CannabisNewsWire.net

DISCLAIMER: CannabisNewsWire (CNW) is the source of the Article and content set forth above. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. The commentary, views and opinions expressed in this release by CNW are solely those of CNW. Readers of this Article and content agree that they cannot and will not seek to hold liable CNW for any investment decisions by their readers or subscribers. CNW is a news dissemination and financial marketing solutions provider and is NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.

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420 with CNW – Why Legalizing Recreational Cannabis in New Jersey May Be a Game Changer

Medical cannabis has been legal in New Jersey since 2010. However, there are moves to expand the medical marijuana program and also decriminalize recreational pot in the state possibly by the end of this year or early next year. Industry watchers are suggesting that the legalization of recreational cannabis in New Jersey would be a game changer for the entire industry for a number of reasons.

First, the long history of cannabis prohibition in the state makes New Jersey one of the places with the largest number of people incarcerated for cannabis-related issues. New Jersey therefore has a big social wrong to address and the decriminalization of recreational cannabis could provide a template for the other states with similar issues to copy from.

This copying is likely to be similar to the way many states are copying the way California has regulated the home delivery of medical marijuana. “It has worked there, so there is no reason why it won’t work here” is a statement legislators and regulators are likely to use a lot when referring to the precedents set in New Jersey.

Secondly, New Jersey enforces some of the highest property rates in the U.S. This is likely to be factored into any legal regime designed to regulate the cannabis industry. The economic boom that could arise from the opportunities within the cannabis industry can encourage other states to borrow a leaf from New Jersey’s journey and trigger their own economic revival.

The third reason why New Jersey is likely to be a game changer for the cannabis industry is that it has the backing of the elected leaders of the community at different levels. For example, the governor, the senate president as well as the top honcho at the department of health are all eager to see cannabis legislation enacted as soon as possible.

This support for cannabis legislation is likely to produce a framework that will be a reference point for the other states which are also moving towards marijuana decriminalization.

The fourth reason is that New Jersey has a first-class healthcare system, world-class bio-tech and some of the top medical research institutions. These unique advantages mean that there will be no shortage of relevant research for product development or law reform. Consequently, New Jersey may be to the cannabis industry what Silicon Valley is to the tech industry.

The affluent population also makes it an exciting market for companies that wish to create products and test how the different market segments would respond to those innovations. Medical Cannabis Payment Solutions (OTC: REFG) and NUGL Inc. (OTC: NUGL) can only dream of what their businesses would be like if all states had the characteristics of New Jersey.

For now, the country can only wait to see what sort of regulatory framework will be instituted when the cannabis bill is debated, modified and finally passed.

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420 with CNW – Calgary Police Officers Barred from Consuming Cannabis Ahead of Legalization

Calgary police officers have been told they aren’t allowed to consume recreational cannabis just weeks before recreational marijuana hits the shelves of retail outlets. The news was communicated in an internal memo circulated to all police officers.

The ban excludes members of the police service who cannot be deployed or called to a scene of crime. These include desk officers or those whose work is entirely administrative.

The police top brass say this policy decision was taken as a precautionary measure to prevent any workplace safety issues that may arise. It isn’t known for how long someone can remain impaired after consuming cannabis.

The Calgary Police Service has expressed a desire to partner with an academic institution to conduct relevant research that will provide the concrete information needed to modify this blanket ban on the consumption of recreational cannabis. Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) and Marijuana Company of America Inc. (OTC: MCOA) would certainly appreciate any windows of regulatory change signaled by the authorities in their areas of operation.

The willingness by the police authority to modify the ban may come as a small piece of good news since police officers were wondering how they could be banned from lighting up a joint during an entire five-day break from duty.

The ban may also raise some fundamental rights issues. Can the Calgary Police Service dictate what its officers do when they are off duty?

A look at how the army has handled the same issue can shed more light on how unfair this policy may be. Members of the military are required to abstain from consuming cannabis within eight hours before reporting for duty. Can’t a similar provision be made for the police service?

That takes the police back to the limited information on how long cannabis can render someone impaired.

Understandably, the union of police officers isn’t happy about this policy, but they have little to do since they have been promised that the policy is likely to change as more information becomes available about how cannabis affects cognition, psychomotor function and other processes in the human body.

One of the sentences in the memo states that it can be hard for one to self-detect that he or she has had their cognitive abilities impaired by cannabis. The abstinence policy therefore remains a logical position until more research is done to understand the effects of cannabis.

It would be interesting to listen in to the conversations that may be taking place among the leaders of the law enforcement agencies in the U.S. states where recreational cannabis has been decriminalized. Would they also take the path of forced abstinence like the Calgary Police Service has decided?

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420 with CNW – Malaysia Considers Legalizing Medical Marijuana

A young man aged 29 was arrested, charged and sentenced to death for being found with a few liters of cannabis oil in Malaysia. Cannabis on all its forms is illegal in this Asian country. However, the uproar about that conviction and sentence has forced the cabinet of that country to have a discussion about decriminalizing marijuana for medical purposes. Muhammad Lukman, the young man in question, had argued in court that the cannabis oil and other products were for helping patients suffering from cancer and other terminal diseases.

Change.org drafted a petition calling for Lukman to be freed and that petition has so far been signed by more than 60,000 people.

Xavier Jayakumar, the Minister in charge of Water, Land and Natural Resources in Malaysia revealed that he was comfortable with voting to legalize medical cannabis if it could help patients in the Asian country.

However, he was well aware that convincing his cabinet colleagues to decriminalize marijuana would be no small feat since opinions are strongly against cannabis. Matters aren’t helped by the fact that there is limited research in that country showing the medicinal benefits of marijuana.

The task of changing the legislation of cannabis is likely to be harder given that the health ministry in that country doesn’t believe that cannabis has any medical value. The views of that ministry are likely to carry a lot of weight when that matter is formally tabled for consideration.

This prohibitionist stance by the Ministry of Health in Malaysia is in stark contrast to the counterpart Ministry in Thailand where pressure is being piled on the government to pass legislation allowing cannabis to be used for medical purposes. Such a decision would also boost the economy since Thailand can produce and export the product around the world following the lead of Canada.

It should be remembered that no country on the Asian continent has legalized medical or recreational cannabis. In fact, the possession, trafficking and consumption of cannabis can attract the death sentence in most Southeast Asian countries. Singapore and Indonesia are notable for routinely handing out capital sentences to anyone found using cannabis.

It therefore remains to be seen whether the cabinet’s interest in medical cannabis will mature into a law regulating the use of marijuana for medical purposes, or whether that interest will fizzle out once Mohammad Lukman is spared the death penalty since the cabinet has already agreed to spare him that punishment. The discussions going on in Malaysia could be of interest to companies like GreenBox POS, LLC (OTC: GRBX) and Kolos Beverages Corp. (CSE: KBEV) (OTC: KBEVF) that would relish the chance to operate in a wider market.

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420 with CNW – Why Millenials Are Quitting Alcohol in Favor of Marijuana

There is a growing trend of millennials dumping alcohol and opting for marijuana as the wave of decriminalization sweeps across the U.S. and the world. This shift is seen more strongly in the states, such as California, which were among the first to legalize cannabis for either recreational or medical use. Several reasons have been cited to explain the growing popularity of cannabis among millennials.

First is the issue of safety. Millennials have grown up being bombarded with messages about the numerous safety risks associated with heavy drinking. For example, the reduction in reaction time as one responds to situations on the road after a night out.

For these young people, cannabis comes on top as a better option since its consumption in moderation isn’t associated with any safety issues, such as an increased risk of auto accidents. This view is particularly noteworthy because the truth is that anyone high on any drug (cannabis inclusive) poses safety risks since cognition and other functions can be affected. This is the primary reason why countries like Canada that are legalizing recreational cannabis still outlaw driving under the influence of this substance.

Secondly is the matter of cost. Many young people report that they had been spending in excess of $50 on alcohol each time they went drinking. Many of them would go to bars several times each week, so the cost of alcohol would quickly add up.

The same people report that they now spend an average of $30 on cannabis each month since a gram of the product goes for about $18 yet a beer would go for about $6. The switch makes economic sense to the millennials, and they are making their decision heard using their wallets.

Another reason that stands out for the millennials who are switching to cannabis is the health factor. Many confess that they were aware that alcoholic beverages, such as beer, were packed with calories that weren’t doing their health any good.

The prospect of nursing a nasty hangover the next morning was also a heavy cloud on the minds of these young people as they ordered one drink after another.

Cannabis is a welcome change for the millennials since it isn’t associated with any of those drawbacks that are a certainty when one consumes alcohol.

Interestingly, the switch isn’t restricted to young people alone. It appears that the reasons for making the switch aren’t lost on the older generations. Forecasts have it that one in five Generation Xers will take on cannabis instead of alcohol in the coming years as more states decriminalize marijuana. Golden Developing Solutions, Inc. (OTC: DVLP) and Green Hygienics Holdings Inc. (OTC: GRYN) must be watching these shifting preferences closely.

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420 with CNW – FBI Data Shows Increased Marijuana Arrests in 2017

New data that has just been released by the U.S. Federal Bureau of Investigations (FBI) reveals that the marijuana arrests made in 2017 were more than those which were recorded in 2016. These statistics are surprising given the fact that, by the end of 2017, 28 states had legalized medical or recreational consumption of cannabis.

In total, 659,700 people were arrested on marijuana-related charges in 2017, while the figure for 2016 stood at 653,349 arrests.

The wave of cannabis legalization doesn’t seem to have had any impact upon the law enforcement community, especially at the federal level. This is creating a measure of confusion in the public, since daily dilemmas arise regarding the subject of cannabis.

An example of the confusion is the position of Los Angeles International Airport permitting travelers to carry marijuana while the federal transportation authorities at the same airport retain the right to detain anyone found in possession of cannabis.

The FBI data reflects the same mixed signals. For example, about 91 percent of all those arrests were for simple possession of cannabis. That is a high figure given that 20 percent of the American population lives in a state where some form of cannabis legalization exists.

To put this in context, someone was arrested somewhere in the U.S. for marijuana related issues every 48 seconds throughout 2017.

Activists are livid at these statistics, given that about 100 people die each day in the country due to opioid overdoses yet no death has been reported anywhere as a result of a cannabis overdose. Cannabis advocates wondered why the efforts and the meager resources of law enforcement agencies couldn’t be directed where the real danger lies.

To put this misallocation of resources differently, the FBI data shows that for each person who was arrested for murder there were 49 individuals arrested on a marijuana-related charge.

This overzealousness on the part of law enforcement flies counter to the growth in public opinion favoring the use of cannabis either for recreational or medical purposes. If the trend of arrests continues, voters may be compelled to pile pressure on their elected leaders to rein in the law enforcement arm of government, which seems oblivious to what is happening in the states where cannabis is legal. Global Payout, Inc. (OTC: GOHE) and FinCanna Capital Corp. (CSE: CALI) (OTCQB: FNNZF) must be wishing that the unclear regulatory climate around cannabis settles quickly so that the industry can shape up for the good of all concerned.

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420 with CNW – South African Court Declares Personal Use of Cannabis Legal

The constitutional court of the Republic of South Africa made a pivotal ruling last week making it legal for adults to grow, possess and consume cannabis in private.

This case reached the constitutional court after a regional court in Western Province (the province in which the Federal capital of the country is found) ruled that the law banning the use of dagga (the local term for marijuana) by adults in private was unconstitutional.

The government appealed that decision before the highest court on the matter, and Deputy Chief Justice Zondo delivered the binding ruling in favor of the decriminalization of private personal growth, possession and use of marijuana. This reaffirmed the decision of the lower court.

The government is now left with no other option than to implement the ruling.

Indeed, the court gave the legislative arm of the government 24 months within which to come up with an enabling law that will actualize the constitutional court’s ruling.

For example, that law will define how much cannabis someone can have for personal use. The number of plants that an adult can grow for his or her personal, private use will also be clarified once the requisite law is passed by parliament.

In the meantime, cannabis users can point to the court’s ruling as their protection while found cultivating, using or in possession of cannabis in private. Any public possession or consumption of marijuana remains illegal.

It should be noted that various sections of the government, such as the health department and law enforcement, opposed cannabis decriminalization, saying that it posed health risks and could pave the way for people to graduate to stronger substances/illicit drugs. The court has rendered those arguments moot.

South Africa becomes the third country in Africa to permit some form of cannabis use. Lesotho took the honor of being the first country on the continent to legalize medical cannabis last year. Zimbabwe followed suit this year in April. Globally, Uruguay took the lead in legalizing cannabis in 2013.

This small number of African countries in which marijuana is legal in some way is baffling given that approximately 10,000 metric tons of cannabis are cultivated on the continent each year.

The picture is no different across the world ,with possession or consumption of cannabis attracting the death penalty in Saudi Arabia, while Canada is just days away from starting the retail sale of recreational cannabis after allowing the medical use of marijuana years back.

Are the winds of change blowing firmly in favor of the cannabis industry across the world? Choom Holdings Inc. (CSE: CHOO) (OTCQB: CHOOF) and Earth Science Tech, Inc. (OTCQB: ETST) must be hoping that the legal hurdles to the availability of medical cannabis are removed so that the public can reap the benefits that this often controversial plant has to offer.

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