Cannabis Boom Fuels Mergers and Acquisitions in Hydroponics and Beyond

CannabisNewsWire Editorial Coverage: The rapid growth of the cannabis sector is pushing companies to innovate expansion strategies.

  • Among the companies affected are hydroponics suppliers, which sell vital equipment to cultivators.
  • Hydroponics companies, like others in cannabis, are using mergers and acquisitions to benefit from a bullish market.
  • A recent trade show in Las Vegas saw companies on the hunt for future acquisitions.
  • Other companies are seeking outside investment or partnerships to increase their presence.

Hydroponics supplier Sugarmade, Inc. (OTCQB: SGMD) (SGMD Profile) has leaned into the current trend for mergers, with a big acquisition and open plans for future growth. Tilray, Inc. (NASDAQ: TLRY) is focusing on research and design, using public offerings to finance this work. Canopy Growth Corp. (NYSE: CGC) (TSX: WEED) has gained $4 billion in investment from a beverage company, an investment some believe will lead to a takeover. Both Cronos Group, Inc. (NASDAQ: CRON) (TSX: CRON) and Aphria (NYSE: APHA) (TSX: APHA) are relying on diverse strategies, including external partnerships, as they look to grow and succeed in the cannabis sector.

To view an infographic of this editorial, click here.

The Industry Behind the Industry

The cannabis industry is experiencing a period of staggering growth, with commentators predicting that it will reach a global value of over $146 billion by the end of 2025. With so much of the industry based on indoor cultivation, hydroponics companies that provide the equipment and nutrients needed to cultivate cannabis have also seen significant growth. As cannabis cultivation increases, so does demand for hydroponics products, so that the fates of the two industries are increasingly tied together.

Given their close relationship, it’s not surprising to see patterns in the broader cannabis sector reflected in the hydroponics industry. A recent surge of mergers and acquisitions among cannabis companies includes a number of moves involving hydroponics companies as players within the industry seek growth while outsiders look for a way in. With a big cannabis trade show coming up in Las Vegas, executives from hydroponics companies will be eyeing up the competition and contemplating who they might buy next.

Mergers, Acquisitions and Hydroponics

Hydroponics companies such as Sugarmade, Inc. (OTCQB: SGMD) are essential to the cannabis industry.

While cannabis can be grown outdoors, almost everything about the current industry drives producers away from this method. Indoor facilities are more secure, an important factor when producing a high-value, high-demand crop prized by criminals. Indoor cultivation also provides far greater control over the conditions in which the cannabis grows, as well as over the quality of the plants grown. Lighting, water, nutrients and temperature all affect the final outcome of the plants, including the quantity of active ingredients in them. High-quality hydroponic equipment, like that supplied by Sugarmade, gives growers control over the forces affecting their cannabis crop.

This control is becoming increasingly important as the cannabis market grows. Customers may be more forgiving of varying quality when companies are small or their product is hard to obtain. But as companies grow and supplies become more consistent, people expect consistency and quality — things that are harder to provide without hydroponics.

The growing number of companies in the sector also means that competition for customers is growing. Companies are racing to create crops with higher dosages of tetrahydrocannabinol (THC) and cannabidiol (CBD), the most significant active ingredients in cannabis. The more powerful the plant, the more customers will return, creating a strong brand loyalty. Again, hydroponics can be an essential piece of this success.

Demand for hydroponics has led to swift growth for Sugarmade, which expects 500 percent growth in revenue for the fiscal year ending in 2019. One of the ways in which Sugarmade is meeting growing demand and achieving these impressive results is through acquisitions.

Mergers and acquisitions are an obvious route to growth for companies in a maturing sector, and in the past year, that’s what many cannabis companies have chosen to do. The first half of 2018 saw 145 mergers and acquisitions in the sector, compared with 79 for the same period the previous year. Some of the pioneers who created cannabis startups in the early days of the industry are cashing out, making way for a field of larger, established companies.

Now caught up in the wider patterns of the cannabis market, hydroponics is heading down the same path. With its latest acquisition of Sky Unlimited LLC, Sugarmade has been one of the leaders in this trend. The cash and shares deal, worth $40 million, will give Sugarmade control of AthenaUnited.com, an online outlet providing a range of hydroponic equipment.

“This acquisition will further boost our already very rapid growth rate and is expected to be high accretive to common shareholder value,” said Sugarmade CEO Jimmy Chan. “Sky Unlimited and Athena are complementary to our existing business operations, allowing us to not only increase our emphasis on brands but also to diversify our revenue streams to now include the larger commercial cultivation operations.”

Cannabis Goes to Vegas

Sugarmade was on the hunt for more acquisitions as its team headed to Las Vegas for MJBizCon.

One of the cannabis industry’s largest trade shows, MJBizCon took place November 14–16 at the Las Vegas Convention Center. Investors, entrepreneurs and professionals from across the sector headed to Vegas for three days of talks, meetings and the sort of networking that dominates any trade show.

This year’s show had a record number of attendees and exhibitors, reflecting the huge growth that the industry has seen. Some 25,000 attendees met up and discussed topics such as the latest industry trends and how to navigate the difficult waters of regulatory compliance.

One  prominent item on the agenda was the move by bigger players into the cannabis market. Beverage and tobacco companies are eyeing cannabis as an alternative revenue stream, with some striking early partnerships with cannabis businesses. To survive in the face of these big money competitors, businesses will have to grow — one of the motivations behind Sugarmade’s acquisition strategy. There’s still space for small fish in the cannabis pond right now, but that space is shrinking.

MJBizCon provides fertile territory to lay the groundwork for acquisitions. There, companies can make contacts, seek investments and demonstrate their value. It’s a perfect venue to attract acquisition targets and start negotiations.

So it was a full-press court for Sugarmade at the event, as the company set out to continue its successful growth strategy. Though this year’s moves have already given it a competitive edge, Sugarmade is always looking to strengthen its foothold and further establish its position as an industry presence.

“Over the past year, we have significantly enhanced our operational staff and our internal systems preparing for our rapid growth,” Chan said in a recent statement. “With these changes, we believe we are optimally sized, but we want to ensure we are able to manage our aggressively planned growth rate.”

Big Moves for Big Profits

Other companies are also making bold moves to profit from the growth of the cannabis sector.

While expansion is critical to surviving in this fast-changing environment, mergers and acquisitions aren’t the only answer. Tilray, Inc. (NASDAQ: TLRY) is instead focusing on its well-developed research and design program to place it ahead of competitors. A leading medical marijuana company, Tilray has established a prominent position in the North American healthcare market. But it’s also looking beyond the United States and Canada as the cannabis industry goes increasingly global. With customers on five continents, Tilray has become an international cannabis business, and one still set on expansion. The company is using its public offerings in the United States and Canada to gain additional finance that will fund ongoing growth.

Canopy Growth Corp. (NYSE: CGC) (TSX: WEED), one of the biggest cannabis companies in Canada, is financing its expansion through a connection outside the industry. The company struck a deal with Constellation Brands, the major U.S. beverage company behind brands such as Corona. The deal has seen Constellation acquire more than a third of the shares in Canopy Growth in return for $4 billion in investment. It’s the biggest move so far by outside businesses into the cannabis sector and likely an omen of things to come. Many are predicting that this will lead to Canopy Growth’s eventual absorption under the Constellation umbrella, once cannabis becomes a big enough market to deserve more of the beverage giant’s attention.

Growth in the industry has been good for Cronos Group, Inc. (NASDAQ: CRON) (TSX: CRON), whose revenues were up 186 percent in its third-quarter reporting this year. Increased cultivation, a partnership with Ginkgo Bioworks on cultured cannabinoids and a move into Latin America are all part of the company’s announced plans to continue its expansion. By following a diverse range of growth tactics, Cronos is solidifying its position as a significant international player.

Collaboration with other companies is also part of the strategy for Aphria (NYSE: APHA) (TSX: APHA). The company has formed a joint venture with Perennial, Inc., to develop products for the Canadian cannabis market, currently one of the most significant cannabis markets in the world. Such collaborations are allowing companies to achieve more together than they could alone and perhaps survive in the face of larger competitors.

With the cannabis industry growing at a dramatic rate, both cultivators and the companies that supply them will have to find ways to increase their impact if they want to beat the competition.

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

For more information please visit https://www.CannabisNewsWire.com and or https://CannabisNewsWire.News

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

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.

CNW 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 CNW undertakes no obligation to update such statements.

420 with CNW – Marijuana Has No Effect on Kidney Transplant Outcomes, Research Finds

In the U.S., people who admit using or test positive for cannabis are routinely denied kidney transplants or turned away when they offer to donate their kidneys. This practice has gone unchallenged until a recent study proved that marijuana doesn’t affect the outcomes of kidney transplant surgery.

The research to find out how marijuana affects recipients of kidneys during and after the transplant surgery was partly inspired by the story of a man in Maine who was denied a kidney and even removed from the waitlist because he was a user of medical cannabis.

A group of researchers reviewed the transplant records at one kidney transplant facility from 2000 to 2016. The data on the donors and kidney recipients was grouped based on whether those people consumed cannabis or not.

31 of the donors reviewed were found to have used cannabis while 27 of the kidney recipients were also consumers of marijuana.

The comparison revealed that no difference existed between the recipients who got kidneys from consumers of cannabis and those whose donors didn’t consume cannabis.

The researchers concluded that facilities should start accepting donors who consume cannabis since the substance doesn’t have any discernible effect on the performance of the kidneys after the transplant surgery.

Such a shift would increase the pool of possible donors in order to reduce the long waitlists for matches between donors and potential recipients. Finding a match is already hard enough as it is, so there is no justification to prevent potential donors from participating just because those donors have a history of consuming cannabis.

The researchers hope that their findings trigger a discussion in the scientific community and the medical centers involved in conducting kidney transplants.

The walls and stereotypes surrounding marijuana seem to be collapsing one by one. It is refreshing to realize that debunking the myths and misconceptions on cannabis is being spearheaded by the scientific community. Their findings cannot be accused of fueling propaganda either for or against marijuana. They are simply putting the facts straight.

Hopefully, those scientific studies will trigger a mindset change in the collective consciousness of communities that have for decades been brainwashed into thinking that the cannabis plant was evil and was connected to many of the social ills plaguing different communities.

Cannabis companies like TransCanna and VIVO Cannabis Inc. (TSX.V: VIVO) (OTCQX: VVCIF) welcome the findings of the researchers studying the relationship between cannabis consumption and kidney transplant outcomes. Such findings validate some of the things that cannabis companies have been saying all along.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – Association of Local Authorities Calls for US Federal Cannabis Decriminalization

The U.S. National League of Cities (NLC) sat early this month and passed a number of resolutions appealing to the federal government to review its policy and laws on marijuana. The NLC represents more than 19,000 cities, towns as well as villages across the U.S.

The organization was founded back in 1924 and it aims at empowering local governments around the country. Their conference early this month passed two important resolutions on the issue of cannabis policy reform.

First, the conference passed a resolution calling on the federal government to end the ambiguity between federal and state laws on the issue of access to financial services by cannabis businesses.

Those ambiguities have restricted the cannabis industry to conducting business on cash-basis, a system that creates a number of risks including the rise in robberies and tax evasion since the authorities find it hard to track the volume and value of the transactions conducted by legal cannabis businesses.

The second resolution passed by the NLC was connected to the scheduling of cannabis by the U.S. federal government. The members called on the federal government to reschedule cannabis so that federal and state authorities have greater control over the industry.

Rescheduling cannabis would also enable federal authorities like the FDA and DEA to regulate the industry across the country so that cannabis consumers are protected from consuming cannabis which has mold, pesticides, fungus or other dangerous substances.

Currently, the regulation of cannabis is fragmented since each state that has legalized adult-use or medical cannabis has to pass its own laws and regulations to regulate cannabis within its borders.

Federal rescheduling would bring unity to the entire industry and everyone, including the federal and state governments as well as the consumers, would benefit.

The recent resolutions passed by the NLC show how the association has been evolving on the issue of marijuana. In the past, they would only pass resolutions that were general in nature. This year marked the first time that the association referred to specific marijuana laws which need to be reformed.

That boldness may be arising from the growing support for cannabis among people from all walks of life, including Republicans who have been historically opposed to cannabis legalization.

The National League of Cities now joins other groups, such as the Conference of Mayors and the National Conference of State Legislatures which have voiced their calls to have clarifications made at the federal level on issues of marijuana.

Pressure seems to be mounting on the federal government from the grassroots to reform the laws on marijuana. It remains to be seen for how long the feds will ignore those growing voices. The Flowr Corporation (TSX.V: FLWR), The Green Organic Dutchman (TSX: TGOD) (OTCQX: TGODF) and other Canadian cannabis companies would wish their American counterparts a uniform legal regime that reduces the complications encountered when crossing state lines.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – Canadians Unhappy About Plastic Packaging of Cannabis

Canada legalized recreational cannabis on October 17 and the ongoing shortages aren’t the only thing that is having Canadians concerned. Many have expressed their displeasure regarding the amount of plastic packaging that comes with each gram of marijuana that they buy.

Some keen consumers have even measured the total weight of the plastic packaging and they found that a gram of cannabis could be packaged in as much as 70 grams of plastic! That amount of packaging raises concerns since plastic is not biodegradable.

Furthermore, Canada currently lacks a program targeted at recycling the plastic waste generated by the cannabis industry. This creates the risk that all that plastic may end up in the ocean, especially in communities that live close to the shore.

Some Canadians have even taken to social media to post the pictures of the packaging materials that come with the cannabis that they buy. The views and comments that such pictures attract show that concerns about plastic packaging aren’t isolated to environmental protection fanatics alone.

Customers who used to get their marijuana from medical marijuana dispensaries say that the medical cannabis was packaged in simple, plastic zip lock bags. That form of packaging wasn’t as wasteful as what is being seen with the cannabis that comes from recreational cannabis retail outlets.

The question therefore becomes, is there a reason to explain why recreational cannabis is packaged “excessively”?

The information available on Health Canada’s website doesn’t appear to dictate the way cannabis should be packaged. The website states that the immediate packaging of cannabis should clearly reveal when tampering has occurred. That packaging should also be child-proof while keeping the cannabis dry and free from contamination.

Manufacturers are therefore free to choose how they package their products as long as the options they choose meet the requirements of Health Canada.

One can therefore conclude that the manufacturers have opted to use plastic packaging probably because it is cheap and can keep their production costs low. Glass is a more eco-friendly but costlier material to use.

What about the zippered plastic bags? Manufacturers may have pushed them to the sidelines because they may not have been as child-proof as Health Canada would like. Remember, concerns about access to recreational cannabis by minors was one of the biggest objections to legalization.

As things stand, suppliers of cannabis to the recreational market need to go back to the drawing board and find ways to avail their products without harming the environment. After all, cannabis has always been seen as the eco-friendly (natural) option to the problems that come with synthetic drugs. It wouldn’t be fair for the footprint of this green remedy to be soiled by the containers in which cannabis is carried and distributed. Sunniva Inc. (CSE: SNN) (OTCQB: SNNVF) and Supreme Cannabis Company Inc. (TSX.V: FIRE) (OTCQX: SPRWF) wouldn’t want cannabis to have its reputation mired in a plastic mess.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – 3 House Bills Seek to Reform Cannabis Policies for US Veterans

A team of Republican and Democratic lawmakers revealed that they will be tabling three bills aimed and reforming the different marijuana policies that affect veterans in the country. The bills, if enacted, would formalize the protections offered to veterans who seek medical marijuana as an alternative to opioids as well as create mechanisms for such options to be implemented in a safe way.

The first proposed bill is titled “Department of Veterans Affairs Policy for Medicinal Cannabis Use Act 2018”. The intention of this bill is to amend and codify the existing policy at the VA office through which veterans are protected from any adverse consequences in case their healthcare providers learn that the veterans are using medical cannabis.

This new bill plans to clarify what the roles and responsibilities of veterans/patients and their healthcare providers are on the subject of medical cannabis. The bill would also require that the policy is displayed prominently at all facilities set up by the Department of Veterans Affairs.

The second bill is titled “Department of Veterans Affairs Survey of Medicinal Cannabis Use Act 2018”. This bill seeks to make it possible for research to be done by the VA department in order to get concrete information about how veterans are seeking and using medical cannabis.

Such information can be vital in designing interventions which will help the veterans to get medical cannabis in a way that doesn’t compromise any other treatment which they may be receiving for their conditions. The bill is informed by the fact that just over a fifth of all veterans have used some form of medical cannabis, so the process needs to be understood by the authorities.

The third bill is titled “Department of Veterans Affairs Medicinal Cannabis Education Act 2018”. The purpose of this bill is to make it possible for the Department of Veterans Affairs to create partnerships with medical universities that are conducting training on medical cannabis. Such a partnership would help to educate primary healthcare providers about medical cannabis so that veterans benefit from that better understanding of how medical cannabis can be added to the other treatment plans of veterans. This education would take the form of continuing education.

As you can see, the bills are well-intentioned and they deserve a favorable treatment by Congress. It remains to be seen how they will be received and the final form in which they will be passed, if they get to that stage. Cannabis industry players like Sproutly Canada, Inc. (OTCQB: SRUTF) (CSE: SPR) (FRA: 38G) and Sugarmade, Inc. (OTCQB: SGMD) have a high regard for all veterans and hope that the bills make it through so that the veterans can access medical cannabis in a formal way.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – US Federal Government Sends Out Advert for Cannabis Cultivators

The Federal Business Opportunities website recently featured an advert of great interest to the cannabis industry. In that advert, the federal government was inviting entities to submit their capability statements if they felt they could grow or supply different quantities of marijuana strains or products.

The advert stipulates that any firms interested in the opportunity should have the capacity to store at least 5000 kilos of marijuana.

This advert is good news to the cannabis industry because for long, it has been difficult to get hold of cannabis for research purposes. This is because the only federally-licensed producer, Mississippi University, could not meet the quantity and quality requirements of the marijuana needed for clinical trials and other research purposes. The sole cultivator was licensed in 1968 and that is how the situation remained for all these decades.

The advert also explains that any prospective cultivator should have the ability to grow or procure cannabis having different concentrations of CBD and THC from reputable foreign sources.

It will also be mandatory for the selected suppliers to manufacture standardized cannabis cigarettes.

Needless to say, the advert also asked interested companies to apply only if they have the capacity to ship cannabis securely to scientists in different locations around the country. FDA quality requirements will be adhered to for any manufacturing or storage facility used by the producers.

You should remember that this announcement comes a few months after University College San Diego got permission to import marijuana capsules from Canada since those needed products couldn’t be obtained within U.S. borders. The cannabis was to be used for clinical trials aimed at finding a treatment for childhood autism.

The invitation sent out by the federal government will therefore open the way for large cannabis industry players to take part in making it possible for scientific research on cannabis to be conducted in the US.

This business opportunity advert comes at a time when the news of the resignation of Jeff Sessions as Attorney General is still fresh in the cannabis industry and around the country. Could his presence in office have delayed the making of such decisions since he was so opposed to any form of cannabis legalization?

Industry players like Redfund Capital Corp. (CSE: LOAN) (OTC: PNNRF) (Frankfurt: 03X4) and SinglePoint, Inc. (OTCQB: SING) can only hope that the companies which will be selected at the end of the screening process will deliver cannabis whose quality is high enough for research purposes unlike what has been previously available from federal sources.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – California Judge Rules in Favor of Marijuana Home Growers

When California legalized recreational cannabis, it allowed people to grow a maximum of six plants for their own use. The state permitted cities and other local authorities to pass their own additional ordinances or regulations to implement the law passed at state level. Some cities, such as Fontana, took this liberty as a chance for them to put such severe restrictions that various aspects of state law, such as home growing, would practically be impossible within their jurisdictions. Someone sued, and a judge has ruled striking down several sections of the Fontana ordinance on cannabis.

The issues in contention were the strict inspection and permitting process for anyone who wanted to grow cannabis at home for his or her own use.

For example, each applicant for a permit had to pay in order to have a background check performed before the home growing license could be issued. The annual permit fees were also high, starting at $411 for the year in which the application was made and then $253 for each year that an approved applicant wanted to continue having a permit to grow marijuana at home.

In addition, applicants had to allow a city official to come and inspect their residence in order to confirm that the property conformed to all city requirements.

The plaintiff argued that the restrictions went against the spirit of the state law which legalized recreational cannabis. For example, the ordinance in Fontana allowed the city to deny an applicant the license to grow marijuana if that applicant had any outstanding city dues.

Additionally, state law didn’t envisage any permitting process for anyone who wanted to grow cannabis at their residence.

It is not surprising that not a single permit has been issued to a Fontana resident to grow cannabis at home so far.

David Cohn, a superior court judge, agreed with the plaintiff and struck down several sections of the city ordinance for being in violation of state law. He explained that the city could not claim to be implementing federal law since it wasn’t a federal entity.

What are the implications of this judgment delivered in the first week of this month? The city authorities have not revealed whether they will appeal against the judgment, but indicators are that they may modify the ordinance while leaving as many restrictions as they can.

Several local authorities have tried to do whatever they can to frustrate marijuana legalization in their jurisdictions. This judgment is likely to make them think twice before they pass restrictions which are “unreasonable” and go against the intention of the enabling state law.

The judgment is also unlikely to be used as a precedent in other cases since it was made by a lower court. However, the case may give other residents the courage to challenge the laws in other localities in case those laws make it very hard for them to enjoy the freedoms given under state law.

As Phivida Holdings Inc. (CSE: VIDA) (OTCQX: PHVAF) and Plus Products Inc. (CSE: PLUS) already know, plenty of time is required to change the mindset of various stakeholders after cannabis is legalized. The prayer is that the adjustment period doesn’t drag on for too long.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – Israeli Researchers Look into Treating Endometriosis Using Cannabis

Gynica, a startup in Israel, has announced that it will conduct research in order to find a new cannabis-based treatment for endometriosis. The startup will use the newly licensed Lumir Lab found within Hebrew University in Jerusalem for this research.

Gynica specializes in providing marijuana-based solutions to the problems affecting the health of women. The lab will focus on medical cannabis research and product development.

Lumir Lab is headed by Lumir Odrej Hanus, one of the leading researchers on cannabinoids in the world. He is an analytical chemist.

Lumir Lab will collaborate with Gynica in this quest for a treatment for endometriosis. Endometriosis is a health condition in which tissues from the lining of the uterus migrate to other parts of the body. The condition causes a lot of pain among its estimated 180 million sufferers across the world.

Current research shows that the reproductive system of females is the second to the brain in terms of having the biggest number of endocannabinoid receptors within the body.

This reality creates an opportunity for cannabis to be used to influence the reproductive system so that uterine lining tissues reduce or stop moving from the uterus to the other internal organs of affected females.

The planned research by Gynica and Lumir Lab is intended to understand how cannabis works to alleviate the symptoms of endometriosis, or even stop the tissues from migrating. The research will also try to find the specific cannabinoids that give the greatest effects in preventing tissue migration or curbing disease recurrence in a way that leaves the ovulation cycle intact.

In the long run, the lab plans to set the standard by which cannabis research and product development is done around the world. Such research will help to address the concerns and reservations within the scientific community regarding cannabis as a treatment for various health conditions.

Currently, many of the cannabis treatments available are largely based on evidence that may not stand up to strict scientific scrutiny. Lumir Lab wants to end all this by bringing clinical analysis, validation and product development to the medical cannabis field. Terpene and cannabinoid profiling will also be done at the lab.

It is this type of research that will make cannabis treatments mainstream since no one will be able to claim that they don’t have any scientific backing behind them. Cannabis industry companies like Net Element (NASDAQ: NETE) and NUGL Inc. (OTC: NUGL) welcome every attempt to gather evidence in support of the different uses of cannabis, including the new efforts launched in Israel by Lumir Lab and Gynica.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – Highlights of the 2018 Las Vegas Marijuana Business Conference

The 2018 Marijuana Business Conference held in Las Vegas came to an end on Friday last week after drawing record numbers of attendees. Several key issues can be identified from what transpired in Las Vegas during the conference.

Approximately 30,000 people were at this marijuana business conference. They ranged from marijuana business owners, vendors of cannabis products and investors gathering information before they make a decision to put money into the industry.

Such a huge interest can only confirm that marijuana is arguably the fastest growing industry across the world. This conclusion is valid given the rate at which different states within the U.S. and across Europe are legalizing some form of cannabis.

One of the biggest things to watch in the coming year are the changes that will be made in the way cannabis is grown. These changes are needed in order to grow as much as possible while cutting the cost of bringing the product to the market.

Some of the “smart” growing systems that were showcased could track various grow conditions, such as temperature and moisture level. The system can trigger the affected condition to be adjusted in a small area, such as a single grow bench.

In this way, you can minimize the inputs going into the cultivation process while increasing productivity. Such technologies will be key in the process of reducing the cost of producing each kilo or pound of cannabis.

Another trend to watch in the coming year and beyond is the growth in the number of pot lounges in states or countries where recreational marijuana has been legalized.

Pot lounges will play an increasing role in the cannabis industry for a number of reasons. First, different jurisdictions will have varying laws regarding the public smoking or use of recreational cannabis. A pot lounge therefore provides a haven where marijuana consumers can indulge without any fear of breaking public consumption laws.

Secondly, pot lounges provide an opportunity to create a cannabis lifestyle among consumers. The facilities can be designed and fitted in innumerable ways based on the wishes of the proprietors. This will create brand differentiation and build customer loyalty. A clear example of this is Planet 13, the largest cannabis retail store in the world located in Las Vegas. The establishment is already causing a stir in the industry and other places will have to take their cue from the standard that it has set.

Marijuana Company of America Inc. (OTC: MCOA), Medical Cannabis Payment Solutions (OTC: REFG) and other industry players may have left this conference confident that the outlook is bright for the entire cannabis industry.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

420 with CNW – First Cannabis Restaurant in the UK Set to Open

A restaurant that will offer meals infused with cannabis is due to open in the UK on December 1. The vegetarian and vegan dishes served at this Brighton restaurant will be infused with CBD compounds extracted from the cannabis plant.

The Canna Kitchen aims at changing the way people look at marijuana. The range of vegan and vegetarian dishes infused with CBD will show that marijuana isn’t just for recreational use. The restaurant wants to show the different fragrances, flavors, therapeutic and nutritional benefits inherent in the cannabis plant.

However, a client will first place an order to have his or her meal infused with CBD. This means that vegans or vegetarians who aren’t interested in sampling the cannabis-infused offerings can still dine at the restaurant.

It should be remembered that cannabis is a restricted substance in the UK and only became legal for medicinal use on November 1 this year. Those found in possession of cannabis may be jailed for five years while those found distributing it can be imprisoned for 14-years or face huge fines.

So, how will “The Canna Kitchen” operate legally? The laws in the UK permit the use of the non-psychoactive compounds in the marijuana plant. This means that the restaurant can freely use CBD and other non-psychoactive cannabinoids in its dishes without contravening any existing laws.

Cannabis is still highly restricted across the world. Only a few countries, including Canada and Uruguay, have legalized recreational marijuana. Ten states in the U.S. have permitted recreational marijuana and there are campaigns to end prohibition in more states.

Medical marijuana has fared better across the world with more countries making it legal nearly every month. This growing interest in cannabis has prompted many huge multinationals like Coca Cola to explore avenues of making cannabis-infused drinks so that the companies cash in on the wave of popularity that has engulfed marijuana. That wave of popularity is projected to be worth approximately $75 billion by 2030. That is such a huge magnet to anyone looking for a money-making opportunity.

Against that backdrop, the idea behind The Canna Kitchen is likely to trigger other entrepreneurial ventures all geared at bringing more cannabis-infused products to the market. After all, marijuana is now the new “cool” and even politicians are falling over each other to show support for legalization.

Existing industry players like GreenBox POS, LLC (OTC: GRBX) and Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) welcome the initiative taken by the brains behind The Canna Kitchen. Such efforts will be remembered when the cannabis industry becomes fully established around the world.

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.

To receive instant SMS alerts, text CANNABIS to 21000

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

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com