Aleafia to acquire Emblem for $173M in all-stock transaction
Aleafia to buy Emblem for $173M in all-stock deal
With so many publicly-traded Canadian cannabis producers in the market, it was only a matter of time before companies looked to consolidate further to maximize their growth potential. While analysts widely expected that to start in the coming quarters to better assess how the rollout of legal recreational cannabis fared, that consolidation kicked off when Aleafia Health announced it would acquire Emblem for $173 million in an all-stock deal. BNN Bloomberg was first to report the takeover deal that will combine two mid-tier cannabis producers into a significant player in the medical marijuana space while providing Aleafia with an entry into the nascent recreational cannabis market that Emblem already operates in.
Wayland Group to explore strategic alternatives amid share slump
Wayland Group announced Wednesday the company is “exploring a broad range of strategic alternatives” amid a decline in its share price over the past several months. Wayland, formally known as the Maricann Group, said in a news release that these alternatives include a potential spin-out of its international or Canadian assets as well as a possible European listing. “The company strongly believes in its current strategy; however, it does not believe its current share price accurately reflects the global portfolio Wayland has, and continues to create,” the company said in a statement. Wayland shares have declined by about 57 per cent since reaching a year-to-date high in September on the Canadian Securities Exchange..
CBD poised for prime time in 2019 thanks to U.S. Farm Bill
You’re probably going to hear a lot more about CBD over the next year thanks to the cannabinoid chemical’s legality being assured following the formal U.S. signing of the 2018 Farm Bill later this week. Bloomberg reports that CBD status as a trendy new superfood ingredient is ready for prime time with estimates that the market for the cannabinoid is worth as much as US$20 billion, according to research firm Brightfield Group. Still, some Canadian producers interested in accessing the U.S. market via the soon-to-be-legal CBD plan to wait on the sidelines until federal and state authorities regulate the chemical, something that could take months before details are ironed out.
London-based producer to sell cannabis clone plants
Looking to grow your own cannabis plant? London-area licensed marijuana producer Eve & Co. is the first company in Canada to sell cannabis clones — small cannabis plants grown from the cuttings of a mother plant. The London Free Press reports that the company has sold its clones to customers in Newfoundland and Labrador, the first province to allow the sale of seeds and plants. Shipping cannabis across the country was first tested using citronella, where the plant was packaged in an individual shipping container and insulated with bubble wrap with an LED light to keep the plant in a vegetative state. The company charges about $40 for each six-inch clone plus $35 for shipping, but the plants won’t be available in Ontario due to logistical issues.
“My agenda is not to be involved in a cannabis company. My agenda is to deliver a really good product and help people.”
– Noah “40” Shebib, co-founder of OVO Records, on why he’s backing BLLRDR, a medically-focused cannabis strain
Cannabis Canada is BNN Bloomberg’s in-depth series exploring the stunning formation of the entirely new – and controversial – Canadian recreational marijuana industry. Read more from the special series here and subscribe to our Cannabis Canada newsletter to have the latest marijuana news delivered directly to your inbox every day