Ontario Cannabis Store interim CEO expects big things with new cannabis products, sales to begin Jan. 6 

The rollout of next generation cannabis products will be smoother than last year’s launch of legal dried flower offerings, while the variety of offerings will help convince consumers to move away from the illicit market, Ontario Cannabis Store interim Chief Executive Officer Cal Bricker says. Bricker told BNN Bloomberg in an exclusive interview that Ontario will be well-prepared to handle demand for the upcoming lineup of vape devices, edibles, extracts and topical products that will be available for sale in the province on Jan. 6, roughly three weeks after they will legally available for sale in the rest of Canada. That will help licensed producers properly prepare for sales in Ontario, Bricker said. He also said that the province will continue to sell vape products despite Quebec and Newfoundland and Labrador banning the devices amid lingering concerns about their potential link to severe lung disease.

Canopy Growth updates launch date for Cannabis 2.0 products to January 

Canopy Growth said its upcoming lineup of Cannabis 2.0 products will be available for the Canadian market no later than early January. At least that’s the plan for the pot giant’s cannabis-infused drinks and chocolates. Its vape devices and cartridges will hit store shelves in January, Canopy said. The world’s biggest pot company said Friday it plans to release its next generation cannabis products in a staged fashion to ensure a smooth rollout. The announcement isn’t too much of a surprise, since it gave the same timeline during the company’s product showcase last month. However, the company may miss a couple crucial week of sales for its vape products.

Harvest raises US$90M in private placement, Hexo closes $70M convertible debenture financing 

U.S. cannabis operator Harvest Health & Recreation said it plans to offer a private placement of three-year senior secured notes to raise US$90 million. The company aims to use the proceeds to “enhance shareholder value” and drive profitability in its medical and recreational businesses. Meanwhile, Hexo Corp announced it closed its $70 million private placement of unsecured convertible debentures on Friday, two weeks after first stating it would close its latest financing deal. Hexo said in a statement thatthe debentures come with an eight per cent coupon and are priced at maturity at $3.16 per share.

Quebec’s retail operations netted $5M in profit in Q2   

Quebec’s provincially-owned cannabis retail business made $5 million in profit during the second-quarter of the year, while recording $63.8 million in revenue. The Societe quebecoise du cannabis, which runs the province’s cannabis retail operations, said the government received $17 million in taxes and excise fees during the quarter. The province’s 20 stores bringing in $58.3 million in sales, while online sales accounted for $5.3 million. The SQDC sold 8,641 kilograms of cannabis during the quarter.  

AgMedica Bioscience cites “liquidity crisis” after filing for creditor protection   

Another Canadian cannabis producer filed for creditor protection, the second such announcement made this week. AgMedica Bioscience was just granted protection under the Companies’ Creditors Arrangement Act after filing court documents on Dec. 2. The Chatham Daily News reports that a statement of facts filed by the company found that AgMedica “is currently in a liquidity crisis” and three secured creditors have collectively registered mortgages against the company’s property in the amount of $27.2 million. The company also blames the slow rollout of cannabis retail stores and a lack of available capital among reasons behind the filing. The newspaper reported that an anonymous employee said AgMedica “grew too big, too fast and has too many people at the executive level making big money, when compared to the sales revenues.” Earlier this week, Wayland Group, formerly known as Maricann, announced it filed for creditor protection late Monday.

DAILY BUZZ

$6.29
-- The price of a gram of cannabis in Canada, down 1.3 per cent from the prior week, according to the Cannabis Benchmark’s Canada Cannabis Spot Index. This equates to US$2,151 per pound at current exchange rates.

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