420 with CNW – What is CBD, and what is its Relationship with THC?

People who have heard about CBD-infused drinks, cosmetics and pet food may be wondering why that cannabis extract isn’t attracting as much polarized attention as THC. Read on and learn everything that you need to know about CBD and THC, and why CBD is gaining in popularity in nearly every industry.

A Brief Primer on Cannabinoids…

The cannabis plant has more than 100 different compounds within it. These are called cannabinoids and terpenes, so you should therefore not imagine that the cannabis plant has only two compounds. However, two of the most abundant cannabinoids in the cannabis plant are CBD (cannabidiol) and THC (tetrahydrocannabinol).

THC is the psychoactive cannabinoid that makes cannabis consumers “high” while CBD isn’t psychoactive.

Marijuana vs. Hemp?

Cannabis is a general term used to refer to a family of plants that have similar compounds (cannabinoids). Marijuana and hemp are therefore members of the same family.

However, hemp has a very small amount of THC in it. The U.S. federal government describes a given plant in the cannabis family as hemp if that plant has less than 0.3 percent concentration of THC. By the same token, marijuana is the other member of the cannabis family that has THC levels that are higher than the threshold for the hemp plant.

Remember, “hemp” and “marijuana” are arbitrary terms given to the same plant only that the level of THC determines which of those two words you will use to refer to the plant you are looking at.

Why is CBD Readily Available Yet Marijuana is Illegal?

As already mentioned, CBD is one of the non-psychoactive compounds found in the cannabis plant. This cannabinoid has several medicinal properties, such as anxiety, pain and insomnia relief.

Recently, President Trump signed into law the Farm Bill of 2018 and this law changed the legal status of hemp to an agricultural product (just like soy, corn or any other plant). Consequently, extracting CBD oil from hemp doesn’t break any U.S. law.

In contrast, marijuana is a Schedule 1 controlled substance that is illegal at the federal level. However, dozens of states have legalized medical marijuana and nearly a dozen have legalized adult-use marijuana.

The laws and attitudes surrounding marijuana haven’t affected the reputation of CBD and that is why it is widely available.

Do Consumers of CBD Face Any Safety Risks?

Interestingly, nearly all the literature available on CBD says that it is safe for consumption. However, little is known about how this compound may interact with other substances, such as conventional medications, in the body.

Additionally, CBD extracts haven’t been used for a long enough time to assess their effects on pregnant women and their unborn babies. Caution is therefore recommended for people in high-risk categories (expectant mothers and babies, for example).

As you can see, CBD seems set to continue on its forward march now that hemp is an agricultural product that can be widely cultivated for various purposes. Cannabis industry players like Marijuana Company of America, Inc. (OTCQB: MCOA) and Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) would like to see a time when marijuana is accepted the way hemp is now accepted.

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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Outside Investment, New Technology Support Growing Cannabis Industry

CannabisNewsWire Editorial Coverage: Revolutionary innovations and advancements within the cannabis industry are drawing significant investment from big corporations.

Technology currently in development will make it easier to consume active ingredients in cannabis.
Advances have attracted investment for the technology’s use in tobacco as well as cannabis.
These improvements could move consumers to healthier forms of consumption than smoking.

Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) (LXRP Profile) has benefited from recent investment by Altria to support its innovative research and design work. Canopy Growth Corporation (NYSE: CGC) (TSX: WEED) has received substantial investment from a beverage company, which will support the development of cannabis drinks. Within the sector, Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB) is in the process of acquiring an organic grower. Outside investment is bolstering Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON), a cannabis company with global reach. And another innovator, GW Pharmaceuticals Plc (NASDAQ: GWPH) (OTC: GWPRF), has run successful trials on a new drug to tackle a form of childhood epilepsy.

To view an infographic of this editorial, click here.

Finding Funds for Cannabis

The quest for finance is important in any industry, but for cannabis businesses, which are going through a period of impressive growth thanks to legal and social changes, this need for money is particularly time sensitive. Those who find substantial funding now may be in the best position to expand in the growing market.

Only a select few companies in the cannabis industry have successfully attracted capital from — and built relationships with — Fortune 500-type corporations. Though cannabis is growing, the sector is still relatively small compared with those big names, and the perceived reputational issues can be a deterrent. Even among cannabis companies that have drawn big money, few have established a partnership allowing them to retain control, much less receive money in return for license rights and minority ownership in a subsidiary. Instead, most of these companies aim to be bought out by bigger businesses.

But there have been exceptions.

A Better Deal for a Cannabis Company

Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) is an example of one company that has built a big funding deal on its own terms.

Biotech company Lexaria is perhaps most known for its DehydraTECH technology, a revolutionary system for processing molecular compounds to make them more suitable for human consumption. Applicable to molecule such as THC and cannabidiol, the active ingredients in cannabis, the technology makes these compounds taste better, increases the body’s ability to absorb them, and speeds up their impact on the body. Together, these changes can increase the efficacy of both medical and recreational drugs.

To provide the funding for further work on this technology, Lexaria has struck a deal with industry giant Altria, which will cover the use of DehydraTECH to deliver nicotine.

The milestone deal is between Lexaria Nicotine LLC, a wholly-owned subsidiary of Lexaria, and a subsidiary of Altria, Altria Ventures Inc. Under the terms of the agreement, Altria will initially provide $1 million of finance towards a Lexaria research and development program, with the option for funding of up to $12 million.

Unlike so many other deals in the biotech sector, the partnership won’t see Altria gain any ownership over Lexaria itself. Instead, the company will receive minority ownership of the Lexaria Nicotine subsidiary, with the option to increase its stake in that company through multiple phased private financings. Lexaria retains its independence while benefiting from the money that big tobacco can provide. Critically, Lexaria’s shares have not been diluted by this fresh source of finance.

In addition to a minority stake in Lexaria Nicotine, Altria has received a license to use DehydraTECH technology in oral nicotine delivery products, on an exclusive basis in the United States and a nonexclusive basis elsewhere in the world. This will provide Lexaria with a new revenue stream, as it is slated to receive royalties for any DehydraTECH products Altria launches. The impact on Lexaria’s financial statements of a Fortune 500-derived royalty stream could be significant.

Tobacco companies are eagerly searching for alternatives to traditional cigarettes, to reduce their damaging impact on health and the reputational damage this brings. These factors give Altria a strong motive to develop products using DehydraTECH, providing profits for Lexaria and demonstrating the potential of DehydraTECH to other interested parties.

Starting with a $1 million stake might seem small compared with other big headline deals. But by gaining Altria’s buy in without selling any part of its main company, Lexaria has struck a profitable balance between raising finance and retaining its independence. It’s a unique transaction that other cannabis companies haven’t been able to achieve.

Applying the Technology

Though this recently announced deal is about tobacco, Lexaria’s attention is very much on the cannabis market.

There are three main routes for the active ingredients in cannabis to enter the body — by inhalation, by being placed under the tongue, and by being eaten. Each has its own drawbacks. Inhalation has the highest level of bioavailability, or how much of the chemical is absorbed, but is harmful to the consumer’s lungs. Consumption by under-the-tongue methods has a moderate level of bioavailability but an unpleasant taste. Eating cannabis products has a low level of bioavailability, giving consumers a low bang for their bucks, plus flavor challenges usually met through the addition of large amounts of sugar.

DehydraTECH transforms the situation by seriously reducing the downsides of eating cannabis.

The technology involves combining active ingredients with fatty acids such as those found in sunflower oil, which provide a protective bond, with a patented dehydration process. The molecules within the fatty acids are believed to keep active ingredients away from bitter taste receptors, significantly reducing their unpleasant flavor, thus vastly reducing the need to disguise them with sugar. Low-calorie edibles that taste great are possible!

Fatty acids also help active ingredients in cannabis as they pass through the digestive system. They protect cannabinoids from damage while passing through the stomach, increase the extent to which they’re absorbed by the intestines and can even bypass the liver’s first attempts to filter them out. This leads to much higher absorption, significantly increasing their bioavailability.

This process makes cannabis edibles, which are already healthier than smoking the drug, far more appealing and better value for money. This has led to deals such as Lexaria’s licensing of DehydraTECH to Nuka for use in its cannabis-infused chocolates.

To make the most of this potential, Lexaria has created subsidiaries specializing in the use of DehydraTECH for cannabis. Lexaria CanPharm Corporation focuses on the cannabis market, providing DehydraTECH and other enhancements to the global cannabis industry. The company is in discussions to license its technology in Canada, the United States, and Europe.

Lexaria Hemp Corporation. operates within the related hemp industry, which works with a specific form of cannabis that is low in psychoactive THC but potentially rich in other active ingredients. Lexaria Hemp is in discussions with a number of companies about how its products is used to deliver cannabidiol (CBD) derived from hemp.

With a groundbreaking technology, a carefully developed corporate structure and now a new Fortune 500 source of funding, Lexaria appears to be in a strong position within the cannabis industry.

A Crop of Cannabis Companies

The dramatic growth of legal cannabis in recent years has created a range of important companies focused on the sector.

Like Lexaria, Canopy Growth Corporation (NYSE: CGC) (TSX: WEED) has had success in attracting finance from bigger players outside the cannabis sector. The company has received $4 billion in investment from an American beverage company, which has bought a significant stake in the core company. This will help to finance the development of cannabis-infused drinks and is seen as part of a wider trend, as tobacco and cannabis companies look to vary their product lines while health concerns constrict their sales.

The expansion of the cannabis market has seen a string of investments and purchases within the sector. Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB), one of the big players in Canada, recently signed a letter of intent to acquire Whistler Medical Marijuana Corporation in a deal valued at $175 million. This will give Aurora control of a well-established organic cannabis brand, increasing its market appeal.

Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) has, like Lexaria, drawn investment from Altria, in the amount of CA$2.4 billion. In this case, the funds have come in exchange for shares in the core company, giving Altria a great deal of influence at Cronos. Cronos already does business in North America, Latin America, Europe, Australia and Israel, so this will provide Altria with a way into global cannabis markets, as the spread of legalization expands cannabis markets around the world.

Other companies, such as GW Pharmaceuticals Plc (NASDAQ: GWPH) (OTC: GWPRF), are strongly oriented towards the use of cannabis for medical purposes. As well as selling strains of medical cannabis, GW has been carrying out research to develop medicines based on it. The company recently saw positive results from the second round of trials of an oral solution created to tackle Dravet syndrome, a severe and hard-to-manage form of epilepsy.

With more money coming in from big-value companies and new technology in development, the cannabis industry looks set for a bright year.

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.

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420 with CNW – Oklahoma City School Board Passes Marijuana Policy

Voters in Oklahoma approved a ballot measure last year in June making medical marijuana legal in the state. Recently, the school district in Oklahoma City passed its own medical marijuana policy to clarify what employees and students could or could not do now that medical marijuana is legal in the state.

On Monday this week (January 14), the Oklahoma City Public Schools Board released its marijuana policy in which the district asserted that it would not take any action against any employee who holds a medical marijuana license.

However, the same policy also had a clause that barred employees from possessing marijuana within school premises or during office hours even if such an employee is licensed to use medical marijuana.

The policy also stipulated that while students would be allowed to have access to, and consume medical marijuana, employees in the schools aren’t allowed to administer that marijuana to the students.

Instead, the policy states that a private location would be provided so that the caregiver of a student can administer the medical marijuana from that location. Caregivers would also be solely responsible for bringing the medical marijuana and taking it away after the student has used or consumed it.

The policy warns that disciplinary action would be taken against any student or employee who violates the school district’s marijuana policy.

Additionally, the policy states that the school district will be free to alter the policy if the federal funding of the district is jeopardized in any way by the marijuana policy or its implementation. Ultimately, the school district will adhere to any restrictions or instructions given by the federal government regarding medical marijuana.

These provisions in the policy show how large the shadow of the federal government hovering over the entire country is on matters of marijuana.

So far, more than 30,000 people have applied for medical marijuana licenses since August when residents were allowed to start applying for the cards. A patient whose application is approved has to pay $100 in order to receive their license from the Department of Health. People who are at least 18 years old are eligible to apply for a medical marijuana license if a doctor recommends them to apply for one.

The action taken by the school district is a step in the right direction because it clarifies what employees and students should expect if they want to consume medical marijuana. Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP), Green Hygienics Holdings Inc. (OTCQB: GRYN) and the entire marijuana industry welcome the positive action taken by the Oklahoma City Public Schools Board.

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420 with CNW – Ohio Residents Petition for More Medical Marijuana Qualifying Conditions

Toward the end of this month, a special committee will sit to assess the different petitions that Ohioans submitted calling for additional conditions to be included on the list of ailments for which one can obtain a medical cannabis card.

The meeting this month comes after the end of a window within which people could send in their requests for the conditions they want to see on the qualifying list for access to medical cannabis.

Medical marijuana became legal in 2016 and 21 qualifying conditions were listed in that law. However, the law also granted the Medical Marijuana Board permission to review that list and add more conditions once each year.

The sale of medical marijuana is scheduled to start sometime this month and already more than 4,000 residents have secured medical marijuana cards. According to estimates, three in 10 Ohioans could qualify for a medical marijuana card even if the list of qualifying conditions stays as it was when the enabling law was passed.

The window within which interested parties could submit their petitions for additions to the list of qualifying conditions started on Nov. 1 and ended at the stroke of midnight on December 31. By the close of the window, 110 petitions had been submitted.

Those 110 petitions are now with a committee of lawyers advising the medical board. The lawyers will select some conditions indicated in the petitions and submit their shortlist to a committee that will meet tomorrow (January 9).

That committee will decide which of the conditions on the shortlist can be forwarded to medical experts for additional review and benchmarking in other states where medical cannabis programs exist.

The experts will then report back to the committee so that a report is presented to the full Medical Marijuana Board for a final vote. The Medical Board should have made their final decision by June 30, 2019, so that the list of qualifying conditions can be updated thereafter.

Some of the conditions in the petitions received include insomnia, depression and anxiety. Others are opioid addiction, acne, fibromyalgia and chronic pain. However, it should be noted that some of the petitions mentioned conditions that already appear among the 21 qualifying conditions listed in the 2016 law.

Currently, 33 states plus the District of Columbia have legalized medical marijuana. That notwithstanding, cannabis remains a Schedule 1 substance under federal law, so it is hard for scientists to study the plant and its derivatives in this prohibitionist legal environment.

Nonetheless, there are signs that the stringent controls will ease up a bit because already, the FDA has licensed a drug derived from cannabis, and permission was granted to a group of researchers at UC San Diego to import cannabis capsules from Canada for research purposes. Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) and Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) hope that the environment will become conducive soon enough at the federal level so that the industry in the U.S. can grow based on the findings of scientific studies.

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420 with CNW – New Zealanders to Vote on Cannabis Legalization in 2020

New Zealand is likely to be the first Asia-Pacific country to legalize recreational cannabis if the expected vote in 2020 goes in favor of legalization. Such a development will make New Zealand the third country in the world to legalize recreational marijuana.

The next general elections in 2020 will have a binding referendum spelling out how exactly the industry will be regulated and managed in case voters approve legalization.

The government announced this approach in order to avoid a situation in which voters approve legalization, and then different parties disagree on how to implement the decision of the voters. A clear example of such a situation is the Brexit issue over which Britons are divided regarding what exactly they approved when they voted to leave the EU.

The decision to include a binding referendum in the next polls was made after the government and the Green Party agreed to work together to take the matter to voters.

The Green Party was particularly vocal in the campaign to legalize recreational cannabis. They argue that it is hypocritical for members of parliament to sit quietly while a law that criminalized marijuana was in force and yet many of them confessed that they had consumed cannabis in the past.

A recent poll conducted by the New Zealand Drug Foundation found that one in three New Zealanders supports the legalization of cannabis.

However, cannabis law reform advocates are unhappy that the government hasn’t revealed what exact question will be put to voters when that binding referendum is held. The Cannabis Reform Coalition suggests that the referendum question should have two parts.

According to them, the first part of the question should be designed to ask voters whether they want adults to grow and possess cannabis for personal consumption. The second part of the question can then ask the voters to state whether they are in favor of letting adults buy cannabis from authorized/licensed premises.

Such a two-part question can help voters indicate which specific form they would like cannabis legalization to take.

It is interesting to note that cannabis may not be the only subject upon which a binding referendum will be conducted come 2020. The New Zealand government is still mulling over the possibility of including a referendum on euthanasia and another on reforming the electoral laws.

Marijuana advocates are hoping that the outcome of the binding referendum is a favorable one, since the country has a history of having voted against changing the flag of the country two years ago (2016). That particular referendum cost the country upwards of $17 million.

Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) and other industry players like Marijuana Company of America Inc. (OTCQB: MCOA) can only hope that the voters in New Zealand will be given accurate and detailed information upon which to base which way they vote come 2020.

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420 with CNW – Study Shows Your Working Memory May Improve After Smoking Cannabis

One of the stereotypes that surround marijuana consumers is that they become forgetful when high on cannabis. However, a new study at the University of Florida has established that such a stereotype is just a myth.

The researchers designed the study in a unique way that involved exposing rats to cannabis smoke so that they inhale it. The rats were first taught to perform a number of delayed response tasks, such as poking the nose into a feeding trough a defined number of times before getting a reward of food pellets.

Alternatively, the rats in the study were required to look for, and press a lever several times before getting their reward.

The rats were divided into two groups based on their gender. In total, 32 rats took part in this study. Females tended to have lower working memory scores when compared to the scores of the males before cannabis smoke was introduced.

The researchers compared the working memory scores of the two groups when the rats were sober and how they performed after being exposed to cannabis smoke. The results showed that there appeared to be no difference in the scores obtained by the male rats when sober and after inhaling cannabis smoke.

However, there was a marked improvement in the working memory of the female rats when they performed the delayed response tasks after being exposed to the marijuana smoke. Remember, the female rats had lower scores in the working memory tasks performed prior to the introduction of cannabis smoke.

The placebo smoke used as a control in the study didn’t trigger any changes in the cognitive performance of either the male or female rats. This leaves the only logical conclusion for the better working memory as attributable to the cannabis smoke to which the rats were exposed.

The researchers also experimented with the dosage, the timing and the route of cannabis administration. Each of these variables triggered a difference in the working memory of the rats in the study.

Consequently, the researchers concluded that the cognitive outcomes observed will vary based on the specific route, dosage and duration of cannabis administration. They called for additional research to be done on this subject so that a better understanding of the effects of cannabis on cognitive function can be attained.

Stakeholders in the cannabis sector, such as Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) and Marijuana Company of America Inc. (OTCQB: MCOA) welcome all scientific studies that help to separate fact from myth on the subject of marijuana.

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420 with CNW – Consuming Legal Marijuana in Massachusetts Could Still Get You Fired

In one of the ironies surrounding recreational marijuana, anyone who tests positive for the substance can legally be fired even if state law permits the consumption of cannabis by adults. Several employers polled in Massachusetts admitted that they would continue random drugs tests. They cite a number of reasons for this.

First, many employers revealed that testing employees and firing those who test positive for the metabolites of THC helps those employers to pay lower insurance premiums. This is especially true for companies that involve the use of heavy machinery. Lower premiums mean more savings for company owners.

Secondly, employers are concerned about the safety of their customers. For example, would you be comfortable allowing someone who is under the influence of cannabis to service your pool at home?

Another reason given by employers who insist that they will continue testing their employees for drugs (and making hiring decisions based on the test results) is that those employers have a duty to ensure that their employees are safe at the workplace. Maintaining a drug-free work environment is one of the ways to protect employees from many avoidable hazards.

However, recruiters say those who conduct pre-employment drug testing are increasingly becoming the minority among employers in the state. This is because such a procedure tends to eliminate a significant fraction of job applicants because marijuana is widely consumed ever since it became legal.

Mayo Clinic reveals that anyone who consumes marijuana just once can have the metabolites of the substance in their urine for up to three days. The duration within which these metabolites can be detected increases based on how often one consumes cannabis. For instance, daily users peak at more than 30 days within which cannabis can be detected after the last time they consumed the substance.

The law legalizing marijuana in Massachusetts calls on employers to implement reasonable protections for employees who have a medical marijuana card issued by the state. Those are the only employees who may escape punitive action if they tested positive for THC metabolites during pre-employment screening or random testing once they are on the job.

But, why is there such a contradiction in the law? Federal law takes precedence over state law on many employment issues, such as the laws regarding an employer’s liability for the welfare of his or her employees. Consequently, state law permits people to consume recreational marijuana but leaves the door open for employers to take action against workers who test positive and create risks for the company.

These contradictions will only end once the federal government finally decides to legalize marijuana. How far off will that be? Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP), Marijuana Company of America Inc. (OTC: MCOA) and other industry players can’t wait to see the end of prohibition at the federal level.

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Booming Cannabis Consumables Space Continues to see Product Innovations

CannabisNewsWire Editorial Coverage: The North American Marijuana Index of leading cannabis stocks continues to hold onto the 250 range that it meteorically climbed into at the start of the year.

Growing acceptance of cannabis is setting the stage for a consumable cannabis boom.
Major companies have begun to throw their hats into the ring.
North America is steadily headed towards broad legalization.

Canada is legalizing cannabis across the board, Mexico is fast-tracking legalization, and industrial hemp appears to be headed for legalization in the United States thanks to landslide approval in the Senate (86 to 11) of its version of the new hemp-friendly Farm Bill. Prospects of a shift in the reluctant attitude of the House as Democrats prepare to take majority there have also had a positive impact. The global cannabis market is on track to hit $146.4 billion by the end of 2025, and the industry hasn’t even seen the first real breakout commercial product in the fastest-growing CBD (cannabidiol) and beverages/edibles markets. Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) (LXRP Profile) is a contender for that recognition with bio-absorption-enhancing technology and a growing line of hemp oil CBD products. GW Pharmaceuticals Plc (NASDAQ: GWPH) continues to be the leading name in cannabinoid prescription medicines with its FDA-approved, oral CBD anti-seizure solution, Epidiolex. WeedMD Inc. (OTCQX: WDDMF) (TSX.V: WMD) ranks as one of the top licensed Canadian producers, with a multichanneled distribution strategy and 70,000 square feet of production space already online. HEXO Corp. (OTC: HYYDF) (TSX: HEXO) is another Canadian producer with a track record for low-cost production that currently has around 310,000 square feet of space with plans to tack on a whopping 1 million square feet by the end of the year. Los Angeles-based MedMen Enterprises, Inc. (OTCQX: MMNFF) (CSE: MMEN) is a rapidly expanding U.S. cannabis company with 19 licensed facilities in four key states representing both cultivation and dispensaries.

To view an infographic of this editorial, click here.

Cannabis-Infused Consumables Primed to Explode

Cannabis-infused beverages saw 88 percent growth in sales from 2016 to 2017, according to analyst Flowhub, and that benchmark is likely to be met or surpassed this year. CBD and the widely known psychoactive cannabinoid THC (tetrahydrocannabinol) are finding their way into alcoholic beverages as decades-old cannabis prohibition slowly retreats ahead of growing consumer confidence about the safety of medical cannabis and recreational marijuana use.

With huge new markets opening up across North America, the potential for cultivators appears to be almost unlimited. Even in places where recreational-use legalization may be a long shot, typically some form of medical access already exists. With baseline metrics such as these, it is little wonder that the North American cannabis market alone was recently projected to hit $41 billion this year, before climbing to $95 billion in 2026.

Bioavailability Tech Could Be Game-Changer

Because of the way the body metabolizes ingested cannabinoids, edibles traditionally are understood to act slowly, taking one to two hours to kick in. Comparatively poorer absorption by the gastrointestinal tract prompts many consumers to pursue more dangerous methods of consumption, such as smoking, in order to achieve the desired effectiveness more rapidly. Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) has developed a proprietary lipophilic enhancement technology to bypass this problem, achieving bio-absorption rate increases 10 times greater than other products while slashing the effect onset time from hours to under 20 minutes.

Lexaria’s proprietary technology is patent protected for CBD and other nonpsychoactive cannabinoids and has patents pending for THC, other psychoactive cannabinoids, NSAIDs (non-steroidal anti-inflammatory drugs), nicotine and other molecules. Essentially a B2B, Lexaria is in an enviable position amid the rise of cannabis edibles ranging from recreational drinks to CBD-based nutraceuticals, with a key piece of technology that the company can out-license to third-party partners. Moreover, the company’s proprietary technology may mask undesirable tastes, eliminating the need for sugar-filled edibles, and may actually allow cannabinoids to bypass being broken down by the liver if desired.

Established Presence, Superior Tech—A One-Two Knockout Punch

Lexaria also already has a considerable, established presence in the edibles space, with brands such as the company’s ViPova line of CBD-infused coffee, tea and hot chocolate. The company has seen success since 2014 with beverages such as its original Yunnan Black Tea, which contains 50 mg of Multi Scandinavian full-spectrum hemp oil per serving. These beverages lack the typical oily residue found in most CBD-infused drinks and have virtually no cannabis odor or flavor.

At the low cost of only 2 cents per milligram ($1.25 per serving), the company’s delicious ViPova teas, which come in a variety of flavors including Earl Grey and Herbal Masala Chai, are a testament to Lexaria’s ability to deliver high-value beverages to the cannabis market. The increased bioavailability of the CBD in these beverages, thanks to the company’s proprietary technology, combined with the low per-unit price, represents an incredible value that consumers are noticing. Also, Lexaria’s product mix currently includes the company’s branded Lexaria Energy Foods as well as TurboCBD supplements.

Bottles and Cans Giving Way to Packets of Powder

Capitalizing on its bioavailability-enhancing technology and established presence as a CBD-infused product developer, Lexaria has now moved to tackle the U.S. soft drinks market, which is expected to be worth $388 billion-plus by 2025, introducing a discreet, single-serving foil packet cannabinoid drink powder named ChrgD+. Lexaria is confident that a small two-gram foil packet that can be discreetly carried in a shirt pocket or purse for incorporation into a beverage will be a big hit. After all, consumers can’t show up at their kid’s soccer game with a can of soda whose branding announces “cannabis” to everyone in view.

The multi-spectrum cannabinoid portable drink powder ChrgD+ can turn any drink into a CBD-infused beverage, including wine or cocktails. While currently only available in a CBD-from-hemp version, Lexaria is in talks with cannabis companies to realize its objective of deploying a THC version of the powder.

Powdered single-serving packets of consumers’ favorite drinks have exploded in popularity during recent years as an increasing number of beverage makers are opting to give consumers the convenience of mixing their own drinks from flavor packets containing the rich, distinct flavor profiles of brands they have come to know and love. The same thing is now happening in CBD drinks, and Lexaria may possess some distinct advantages over the competition.

All Kinds of Consumables

CBD and THC appear to be rapidly making their way into all kinds of consumables. The industry’s reputation continues to be improved in the eyes of consumers due to advancing breakthroughs in cannabinoid medicines used to treat everything from epileptic seizures to inflammatory bowel disease.

GW Pharmaceuticals Plc (NASDAQ: GWPH) broke the blockade in cannabinoid medicines with the highly purified, plant-derived CBD indication Epidiolex, which is available in the United States as of November 2018 for the treatment of seizures associated with severe forms of epilepsy. This one company has arguably done more than any other to improve public perception of the cannabis sector, specifically medical cannabis. The company is not resting on its laurels either, following up the availability of Epidiolex via physician prescription with a patient support program designed to help Epidiolex users obtain access to therapy.

WeedMD Inc. (OTCQX: WDDMF) (TSX.V: WMD) moved recently to exploit its position as a leading federally licensed Canadian producer and distributor by executing a pivotal, exclusive development agreement with Montreal-based pharmaceuticals, natural health products and cosmetics developer Smart Medicines GMP. The partnership maps out a comprehensive five-year development plan, including ramping up the operational capabilities of Smart Medicines’ 10,000-square-foot, state-of-the-art Montreal laboratory. WeedMD also recently signed a multiyear retail sales distribution agreement with Lifford Cannabis Solutions, which specializes in helping cannabis companies advance their products through control boards to retail.

HEXO Corp. (OTC: HYYDF) (TSX: HEXO), which produces cannabis through its Hydropothecary brand, issued a major announcement in August that it will develop nonalcoholic, cannabis-infused beverages with Molson Coors Canada. This joint venture with one of the world’s biggest beer makers is a serious play by HEXO to establish itself in the burgeoning cannabis-infused drinks market. This announcement was followed up by word that HEXO has closed on the acquisition of its first major facility outside of Quebec, taking a big step toward realizing the company’s hub-and-spoke business expansion strategy.

MedMen Enterprises, Inc. (OTCQX: MMNFF) (CSE: MMEN) recently signed a definitive $33 million agreement to acquire control of Level Up (Kannaboost Technology and CSI Solutions), which has a 25,000-square-foot production facility as well as retail locations in Scottsdale and Tempe, Ariz. Furthermore, MedMen will obtain a 40 percent stake in the top-selling K.I.N.D. Concentrates brand via the acquisition. MedMen also recently acquired the retail operations and license for a key location in Santa Ana, California, from Captor Capital Corp. in an all-stock transaction, adding to the company’s growing strategic footprint in one of the most affluent areas of Southern California.

With several of the world’s largest beverage makers on the fence about entrance into the CBD-infused beverages market, the stage is set for smaller players, as well as majors from parallel sectors without a significant ground game in nonalcoholic drinks. But beverages are just one aspect of a rapidly evolving industry that spans the gamut from edibles and concentrates to grow-ops and biopharma development.

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

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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.

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420 with CNW – Mexico Could Soon Legalize Recreational Marijuana

As the U.S. is still grappling with how to deal with the legalization of recreational cannabis in Canada, its challenges are likely to increase if what is happening in its other neighbor’s legal system results in the legalization of recreational pot.

Last week, the Supreme Court in Mexico made two rulings to the effect that it was unconstitutional to prevent adults from consuming marijuana if they so wished. The cases that resulted in those rulings had been filed by individuals who were challenging the constitutionality of stopping them from consuming recreational marijuana.

The court observed that adults have the right to choose whether or not to consume cannabis, so it is improper to deny them that right.

Between 2015 and 2017, three similar rulings were made by the Supreme Court, which is the highest court in Mexico.

The court ruling also indicated that the right isn’t absolute, so the state still has the mandate to restrict the exercise of that right. Individuals must therefore argue their case before the judicial system in order to get express permission to consume a restricted substance.

However, the previous three rulings on the subject now bring the total number of similar rulings by the Supreme Court to five. Under Mexican law, any subject that accumulates five similar rulings in the Supreme Court sets a precedent which all the other courts must follow.

In effect, that means that no court will be able to object to anyone who applies to start consuming recreational marijuana. The bigger implication is that the way has been cleared for recreational marijuana to be legalized since the legislators cannot leave such an issue unregulated now that the Supreme Court has made five rulings in favor of the complainants who challenged the constitutionality of the criminalization of adult-use marijuana.

A similar scenario played out over same-sex marriages. The Supreme Court made five rulings allowing gay couples to wed so it was no longer possible for such a marriage to be blocked through judicial means. However, no law has been passed as yet to regulate same-sex marriages.

Recreational marijuana is different in that the way may have been opened for thousands or even millions of people to apply to the courts of law in order to be allowed to consume recreational marijuana. Such a possibility can choke the legal system, not to mention the public health and safety concerns that may arise when such a large number of people is allowed to consume recreational marijuana in the absence of any laws to regulate such consumption other than the requirement that the individuals don’t sell the substance.

It is therefore likely that the country’s legislative body (congress) will soon draft a law to regulate recreational marijuana. Medical marijuana became legal in 2017, so it isn’t as though drafting laws on marijuana will be a new thing for the legislators.

It remains to be seen how the U.S. will respond to the legalization of recreational marijuana by all its neighbors. Already, the government has been fighting the smuggling of marijuana from Mexico. Companies with interests in the marijuana industry, such as GreenBox POS, LLC (OTC: GRBX) and Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) may be pleased that additional markets will soon open and increase their opportunities.

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