Tag: ZYNE

Direct Selling Returns as Functional Cannabis Foods Fare Well Amid Landmark Legalization

CannabisNewsWire Editorial Coverage: All eyes are on Canada and the burgeoning North American cannabis market as the flood gates open and nationwide recreational legalization north of the U.S. border throws the recent $47.3 billion by 2027 forecast from Arcview Market Research into clear relief.

  • Historic end of cannabis prohibition creates unprecedented market forces
  • CBD could outpace broader market
  • Direct selling in the digital age more relevant than ever
  • Overlapping cultural vectors among core wellness and cannabis consumers
  • Biopharma potential immense, nutritional potential immediately accessible commercially

Already running hot at $9.2 billion last year, the North American cannabis market appears to be just getting started. Youngevity International, Inc. (NASDAQ: YGYI) (YGYI Profile) is a particularly interesting player in this space that deserves further examination considering the company’s strong logistical footprint in direct selling, the success of a shrewd and comprehensive growth model in ground coffee retail, and an established presence as one of the most trusted names in nutritional supplements. INSYS Therapeutics, Inc. (NASDAQ: INSY) has a leading position in the development of pharmaceutical cannabinoids. Developers of MARINOL, the first synthetic tetrahydrocannabinol (THC) oral solution, AbbVie Inc. (NYSE: ABBV) has been ranked in the top five on Science magazine’s annual list of Top Science Employers. Zynerba Pharmaceuticals, Inc. (NASDAQ: ZYNE) is known for transdermal cannabinoid therapies and recently reported the initiation of a first-of-its-kind clinical study using a novel pharmaceutically produced CBD targeting epilepsy and Fragile X syndrome. Cara Therapeutics, Inc. (NASDAQ: CARA) is at the forefront of preclinical work in selective cannabinoid receptor-modulating formulas that avoid interacting with receptors in the central nervous system.

To view an infographic of this editorial, click here.

Functional Cannabis Consumables

CBD from sources such as industrial hemp, which would be legal to cultivate in the United States under the new Farm Bill currently being considered, could post growth that eclipses that of the broader cannabis space. A strong driver here is the mounting laundry list of proven health benefits of CBD.

Youngevity International, Inc. (NASDAQ: YGYI) recently announced the launch of two new organic hemp-derived cannabidiol products designed to be used with the company’s proprietary portable water-filtering bottle system. HempFX™ Hydration™ — Sleep has added melatonin and promotes healthy sleep patterns naturally, while HempFX Hydration™ — Pure is designed to deliver 25 mg of full-spectrum CBD directly to the digestive system.

These beverages are now available online and join a growing portfolio of organic CBD-based products from YGYI, including HempFX Soothe™ for achy joints and muscles; HempFX Uplift™, which is designed to naturally elevate mood and promote overall health; and HempFX Relax™, which is packed with a wide variety of sleep-supporting botanicals.

The meteoric rise in YGYI’s share price in recent weeks to a high of $16.25, nearly triple the preceding trend of several years, was pared somewhat due to broader market declines, leading to an $11.47 close the week ending Oct 19. However, the market mini-correction in the latest FOMC meeting, where a steady and largely anticipated diet of gradual rate hikes was indicated, appears to have blown off most of its steam according to many analysts, including those at J.P. Morgan who see a reversal on the horizon as earnings season begins. The current situation could present a nice buying opportunity, should the recent upward trend again find traction.

Huge Direct Selling Network, Increasingly Global Footprint

Q2 2018 saw a 6.6 percent increase in revenues for YGYI to $44.3 million, led by a 23.7 percent jump in coffee sales. With 83 percent of total revenues coming from direct selling (up 3.7 percent) and the remainder coming from coffee, news that the company is boldly entering the CBD market has set some analysts’ mouths watering. The company’s coffee-roasting segment, run by wholly owned subsidiary CLR Roasters, has seen tremendous success with its high-energy, fat-burning JavaFit line of gourmet coffees as well as the increasingly popular Café La Rica and Josie’s Java House brands.

The same kind of combined marketing, distribution, sourcing and branded product expertise YGYI has demonstrated in mastery of the coffee game could put investors in the pole position as the company goes cannabis, especially amid a political environment where antiquated regulations are hastily going up in smoke.

In a deal further cementing YGYI’s foothold in the hospitality market, the company recently signed a massive new deal with a major operator in the cruise line industry that will put YGYI’s coffees in the bellies of the entire crew of a 60-ship fleet, as well as those of passengers on three luxury cruise ships. Youngevity has quickly built out a comprehensive coffee revenue pipeline encompassing green coffee distribution, private-label roasting and sales of owned brands, significantly enabled by an existing direct sales matrix of high-value relationships. This direct sales network is backed by an increasingly sophisticated web platform, which is helping YGYI’s expansion into global markets proceed apace of expectations.

Following Field-to-Cup Coffee Model

Youngevity’s unique field-to-cup approach to the coffee market, including sourcing its coffees from an expanding footprint in the high-mountain region of Nicaragua known for producing exceptional beans, is something the company is dedicated to emulating as it enters the cannabis market.

From the CLR Roasters plantations in Matagalpa, Nicaragua, to the company’s state-of-the-art 40,000-square-foot roasting, grinding, packaging facility and headquarters in Miami, Youngevity has mapped out a field-to-cup coffee bean road show that has met unparalleled success. With an abundance of cultural overlap among the company’s highest priority consumer segments and a solid reputation with nutraceutical and healthy lifestyle consumers, YGYI is leveraging both its assets and experience as it migrates into functional cannabis foods. Looking at its overall nutritional product assortment, the company seems to understand the importance of high-quality raw materials as it relates to developing brand loyalty among these highly sought-after demos.

Direct Selling Prowess Key to Future

Youngevity has established an enviable presence in the North American direct selling market, with a sizeable chunk of a growing $37.8 billion empire that is staffed by an army of some 18.6 million direct selling representatives. Innovations such as the company’s YoungevityGo2 app, which empowers distributors with a considerable promotional and management engine that fits in their pockets, has helped the company secure a formidable legion of dedicated direct sellers.

With such a robust direct selling model that spills over into e-commerce and social selling, it should come as no surprise that Youngevity’s CEO Steve Wallach was recently appointed to the board of directors at the 200-plus member Direct Selling Association. The merger of direct selling and cannabis could be a showstopper, and many investors are looking to YGYI to be where the rubber meets the road.

Cannabinoids Potential

The nutraceutical and cosmeceutical potential of cannabinoids is reinforced by the rapidly developing clinical and preclinical pipelines of a wide variety of companies that are looking to commercialize indications targeting everything from sleeplessness and anxiety to epilepsy and cancer.

INSYS Therapeutics, Inc. (NASDAQ: INSY) is currently working on testing the company’s oral CBD solution in the treatment of neurocognition and neuroimmune response, as well as eating behavior and other symptoms. Such work in early psychosis adds considerable weight to the studies announced earlier this year, which are using CBD to treat the symptoms of severe childhood autism. INSYS is also continuing to support ongoing efforts to study CBD as a treatment for cocaine dependency.

AbbVie Inc. (NYSE: ABBV) will always have the record of being first out of the gate with an FDA-approved, cannabis-based drug targeting nausea and lack of appetite among chemotherapy and AIDS patients. The company continues to be a contender in the space, due to the abundance of in-house expertise and facilities, where the company is forging a new path to the treatment of autoimmune diseases.

Zynerba Pharmaceuticals, Inc. (NASDAQ: ZYNE) made a strong case at the 16th annual International Fragile X Conference for the use of transdermal CBD gel. Its compelling and statistically significant data could be a winner for the company and could come to represent a frontline approach for alleviating the common observable behaviors Fragile X syndrome presents among children and adolescents.

Cara Therapeutics, Inc. (NASDAQ: CARA) has evaluated CR701 in animal model studies where it showed a significant reversal of enhanced pain response (hyperalgesia) and the kind of predisposition to increased pain sensitization and neuronal response to pain (allodynia) experienced among fibromyalgia patients. CARA has a considerable depth of knowledge in kappa opioid receptor science when it comes to treating chronic and acute pain, as well as disease-related itching, with indications like CR845/difelikefalin and KORSUVA, now both in Phase 3 clinical trials.

Until now, recreational consumer markets such as nutraceuticals and cosmeceuticals have always been realities perceived only by the cannabis industry’s over-the-horizon radar. But the potential for broad-spectrum biopharma indications that could help combat many incurable or underserved maladies could be an even greater development than the seemingly inevitable rise of every day cannabis-infused foods and beverages.

For more information on Youngevity, visit Youngevity International, Inc. (NASDAQ: YGYI)

About CannabisNewsWire

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

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

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

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.

Infusion of Biotechnology Into Cannabis Market Leads to Booming Growth

CannabisNewsWire Editorial Coverage: The tremendous growth of the licensed cannabis market has naturally led to an increase in research in this area. A number of specialist biotech companies have emerged, creating innovative cannabinoid applications. Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) (LXRP Profile) has developed technology to improve the palatability and speed of absorption of cannabinoid therapeutics, leading to a range of licensed products and related patents. Plant biotechnology company 22nd Century Group, Inc. (NYSE American: XXII) is altering the level of active ingredients in both cannabis and tobacco, allowing new strains to be grown for medical and other purposes. GW Pharmaceuticals plc (NASDAQ: GWPH) has developed extensive expertise in research, regulatory allowances and manufacturing, creating a pipeline of products for illnesses including epilepsy and multiple sclerosis. INSYS Therapeutics, Inc.  (NASDAQ: INSY) is creating drugs for previously unmet patient needs, researching novel systems to deliver active ingredients as effectively as possible. Even rare illnesses are being addressed by this research boom, with Zynerba Pharmaceuticals, Inc. (NASDAQ: ZYNE) focusing on neurological disorders, including fragile X syndrome and Tourette’s syndrome.

The Importance of Cannabis Biotech

As the cannabis market grows, biotechnology is taking an increasingly important place in that market.

From a position of almost global illegality 20 years ago, cannabis is evolving into a multibillion-dollar legal industry. Shifting social attitudes have led to the legalization of licensed medical cannabis in more than half of the United States and in many other countries around the world. A handful of countries are also now moving to legalize the recreational use of cannabis, accelerating the growth of the industry. Because of these changes, much of the public’s attention has been on social and legal developments.

This focus ignores the groundbreaking work emerging from cannabis research and design departments. Biotechnology has become a crucial part of the cannabis market as researchers explore new applications for the plant’s active ingredients and new ways of delivering drugs derived from them. This has led to exciting efforts in tackling opioid addiction, helping brains age more healthily and managing the symptoms of Parkinson’s disease, just to name a few. The medical application of cannabis is becoming more sophisticated, and the cannabis biotech sector is growing in both power and profitability.

Business-to-Business Biotech

Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) has taken an important place in this part of the market.

Lexaria is a research-driven company whose work focuses on improved drug delivery systems. This expertise started with DehydraTECH™, a technology that has been proven both in the laboratory and the market to improve the consumption of beneficial compounds.

Many of these compounds are lipophilic, meaning they are fat soluble. They taste and smell unpleasant, are poorly absorbed by the body, and are vulnerable to being broken down by the stomach and metabolized away by the liver. This leads to poor bioavailability, or how much of the compound the body can use. Smoking, vaping and added chemicals have all been used to try to alleviate this, but DehydraTECH offers a different solution. The lipophilic compound is combined with fatty acids in a process that makes it nearly odorless and tasteless while protecting it from hostile stomach conditions to increase both its speed of delivery to appropriate biological systems and rate of absorption.

This technology can also be applied to vitamins, supplements, nicotine and pharmaceuticals. And it is particularly applicable for both cannabis and tobacco-derived drugs because it allows patients to benefit from the active ingredients without having to smoke, thereby reducing harmful side effects from smoking. By increasing the efficacy of drugs, the technology also reduces quantities needed, cutting costs and minimizing drug-related side effects.

Lexaria has focused on licensing out its technology utilizing a business model similar to that used by software companies. Through licensing agreements with companies in Canada, the United States and beyond, Lexaria’s technology could benefit patients around the world. Meanwhile, the company itself can stay focused on biotechnology research without the burden of expensive commercial operations.

Piling Up the Patents

The result is a company that has developed a significant volume of intellectual property in its short history — and that volume continues to grow. Currently Lexaria has 15 patent applications filed in the United States and over 30 pending in more than 40 countries, plus two patents granted for cannabinoid delivery in the United States and one granted in Australia. With researchers continuing to refine the DehydraTECH system, the patents keep piling up.

In March the company received a Notice of Allowance from the United States Patent and Trademark Office relating to substances that improve the taste and absorption of cannabinoids  (http://cnw.fm/A14bT). This is expected to lead to the granting of yet another U.S. patent soon to add more protected commercial values for Lexaria’s partnered companies.

The company is also exploring the use of DehydraTECH in the absorption of drugs through the skin. Lexaria has recently filed a new patent to improve the speed and quantity of absorption for transdermal applications (http://cnw.fm/4sYzF). A recent breakthrough in testing discovered that DehydraTECH can double the transdermal absorption of cannabidiol  compared with leading commercial alternatives. This will allow the company to newly license its technology to create improved patches, creams, cosmetics and more.

In addition, the company’s work has been enhanced through an R&D agreement with the Canadian government’s National Research Council. This agreement is expected to result in a better understanding of how Lexaria’s technology works, leading to more agreements with other businesses.

It is ironic that this technology was developed for the cannabis industry but has already received patent protection for many other commonly used drugs. Anti-inflammatory drugs, vitamins and nicotine could all be deployed using Lexaria’s disruptive technology. Supplements, pain relief and smoking-cessation or smoking-alternative nicotine products are all possible as a result of Lexaria’s research. To this end, the company recently commenced a study into nicotine absorption (http://cnw.fm/DLo69). Who would have thought that cannabis research might lead to broader biotechnology applications that could benefit non-cannabis consumers?

Immediate Benefits

Cannabis is a fast-growing sector; moving quickly to develop and deploy new technology is important. Every year sees new areas of the world opening up to licensed cannabis use, as well as new products being commercialized to make the most of this market. Companies are rushing to develop the products that will fill this developing market.

The sooner these products can be patented, the sooner they can be brought to market, and Lexaria may again have a distinct first-mover advantage in this area. With patents filed and backdated to 2014 for a range of related technologies in dozens of different jurisdictions, the company may soon be able to commercialize its systems around the globe. Lexaria’s IP is steadily increasing, covering more effective bio-delivery of medical cannabis, recreational cannabis and over-the-counter pain remedies such as aspirin and ibuprofen. Through licensing to partner companies, Lexaria may soon be using this technology to drive value and prove the advantage of its systems worldwide.

The Broader Picture of Cannabis Biotech

Of course, Lexaria isn’t the only company applying biotechnology to cannabis in a search for new products. A wide range of research is leading to a diverse range of innovations set to disrupt this exciting sector.

Plant biotech company 22nd Century Group (NYSE American: XXII) is focused on changing the chemical composition of plant strains. Initially working on tobacco, the company has developed plants that have both very low and very high levels of nicotine. This broad range can be used to help smokers quit or reduce harm to those still smoking. Through its Botanical Genetics subsidiary, 22nd Century Group is turning its attention to controlling the level of active ingredients in cannabis. This has potential not only to create more effective medicines but also to support industrial hemp growth by removing active ingredients so that the plant can more easily be farmed for fibers and food.

Based in the United States and the United Kingdom, GW Pharmaceuticals plc (NASDAQ: GWPH) is a developer of cannabinoid-based medicines. Twenty years of work have given the company extensive expertise in research, regulations and manufacturing, allowing it to manage the whole pipeline, from research inspiration to a complete product. Its medicines are used in tackling the symptoms of epilepsy and multiple sclerosis, with more in the research pipeline.

Like Lexaria, INSYS Therapeutics (NASDAQ: INSY) is focused on producing new cannabinoid medicines and delivery systems to make better use of the drugs. The company is also studying how to use the newly unleashed potential of cannabis to create drugs for previously unmet patient needs. New drugs developed by the company’s researchers may help medical professionals support patients who previously lacked effective treatment. Drugs in the pipeline include an oral treatment for treating spasms in children.

Zynerba Pharmaceuticals (NASDAQ: ZYNE) is developing cannabis-based treatments for rare and near-rare neurological disorders. The company is working on transdermal drugs to help patients suffering from fragile X syndrome, certain forms of epilepsy and Tourette’s syndrome.

Cannabis biotech efforts are unleashing a range of new treatments. As more is discovered about the cannabis plant’s potential, treatments for a range of previously hard-to-manage conditions are being found along with better options for widespread illnesses. In providing innovative solutions and new products, the sector is growing in sophistication and strength.

For more information on Lexaria, please 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.

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.net

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

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.