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Province of Ontario Issues Spyder Cannabis $SPDR.ca Retail Operator Licence $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM at 8:57 AM on Tuesday, May 12th, 2020

Vaughan, Ontario–(Newsfile Corp. – May 12, 2020) – Spyder Cannabis Inc. (TSXV: SPDR) (“Spyder” or the “Company“) through its wholly-owned associated applicant, Spyder Cannabis Subco Inc., is pleased to announce that it has received a cannabis retail operator licence from the Alcohol and Gaming Commission of Ontario (the “AGCO”). Spyder has already applied for its Cannabis Retail Store Authorization, located at 6474 Lundy’s Lane, Niagara Falls, Ontario and will operate as SPDR Cannabis. The Retail Store Authorization is the next step required in the process to open its retail operation. Spyder will offer a full assortment of cannabis products from licenced producers.

“The issuance of the Retail Operator’s License is an important milestone in the company’s evolution, and we are excited to commence our growth strategy in the province of Ontario.”, said Daniel Pelchovitz Spyder’s President & CEO.

Spyder would also like to update the previous press release about the Alberta Gaming, Liquor and Cannabis Commission authoriziation. The licence previously announced represents a conditional licence until such time as the final inspection of our already built store is completed and the final licence is given.

About Spyder Cannabis Inc.

Spyder is a Cannabis, Vape and CBD retailer that operates in jurisdictions where the products are federally legal in both Canada and the United States. The Company, through its subsidiaries, is a retailer involved in the development of three retail business units. The first is the sale of Cannabis products, the second is the sale of CBD in the United States only, the third is the sale of smoking cessation products in Ontar

Spyder $SPRD.ca Announces Licence to Open #Cannabis Retail Store in Calgary, Alberta $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 8:42 AM on Tuesday, May 5th, 2020
  • Received a licence from the Alberta Gaming, Liquor and Cannabis commission to open its first store in Calgary, Alberta
  • It is anticipated that the store, located at 104-58th Ave, SE, suite 140 Calgary, Alberta and operate as SPDR Cannabis,
  • Will open in the month of June.

Vaughan, Ontario–(May 5, 2020) – Spyder Cannabis Inc. (TSXV: SPDR) (“Spyder” or the “Company“) and its wholly-owned associated applicants, The Green Spyder Inc. and Spyder Cannabis Subco Inc., is pleased to announce that it has received a licence from the Alberta Gaming, Liquor and Cannabis commission (the “AGLC”) to open its first store in Calgary, Alberta. It is anticipated that the store, located at 104-58th Ave, SE, suite 140 Calgary, Alberta and operate as SPDR Cannabis, will open in the month of June. It will offer a full assortment of cannabis products from licenced producers.

“We are excited to open our first licenced cannabis store in Calgary, Alberta, a province which led the way in the rollout of the Canadian cannabis market. The store is ideally located in a busy hub of commercial retail establishments”, said Daniel Pelchovitz Spyder’s President & CEO. “We very much look forward to bringing the Spyder brand and retail experience focus to Calgary”.

About Spyder Cannabis Inc.

Spyder is a Cannabis, Vape and CBD retailer that operates in jurisdictions where the products are federally legal in both Canada and the United States. The Company, through its subsidiaries, is a retailer involved in the development of three retail business units. The first is the sale of Cannabis products, the second is the sale of CBD in the United States only, the third is the sale of smoking cessation products in Ontario.

Cautionary Statements

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release includes statements containing certain “forward-looking information” within the meaning of applicable securities laws (“forward-looking statements”). Forward- looking statements are frequently characterized by words such as “plan”, “continue”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “potential”, “proposed” and other similar words, or statements that certain events or conditions “may” or “will” occur.

FOR ADDITIONAL INFORMATION, PLEASE CONTACT:

For more information, please contact:

Spyder Cannabis Inc.
Dan Pelchovitz
President & Chief Executive Officer
Telephone: 1.888.504.7737
Email: [email protected]

Ontario to resume issuing new #cannabis store authorizations – SPONSOR: Spyder #Cannabis $SPDR.ca – $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 1:03 PM on Friday, April 24th, 2020

SPONSOR: Spyder Cannabis (SPDR:TSXV) An established chain of high-end vape stores. Aggressive expansion plan is already in place that will focus on Canadian retail and US Hemp derived kiosks in high traffic areas. Click here for more info.

Ontario to resume issuing new cannabis store authorizations

  • Ontario’s cannabis store regulator will resume issuing new store authorizations for stores that have met regulatory requirements, according to a notice posted to its website today.

The Alcohol and Gaming Commission of Ontario (AGCO) hit pause on new Retail Store Authorizations (RSA) in early April due to emergency measures enacted by the province to fight the COVID-19 pandemic.

New store openings in Ontario are essential to maintaining the growth of Canada’s cannabis industry.

Ontario’s five-dozen cannabis stores put the province far behind Alberta and British Columbia – the provincial leaders in marijuana retail – which have opened 181 and 446 stores, respectively.

Despite that, Ontario’s adult-use cannabis sales rose 3% in February to 38 million Canadian dollars ($27 million), leading Canada.

“Restrictions imposed by the emergency order, including the pause to construction work, have delayed many new retailers in the preparation of their stores. However, the AGCO will resume issuing RSAs to those stores that have met all regulatory requirements,” the Alcohol and Gaming Commission of Ontario said in the statement.

Applying for an Retail Operator License (ROL) is the first step for businesses seeking to open a licensed cannabis store in Ontario. It also determines that store operators meet eligibility criteria.

The next step involves Retail Store Authorization (RSA) applications, which deal with the particulars of a physical cannabis store such as location, layout and security plans.

As of early April, Ontario’s cannabis regulator received nearly 900 Retail Operator License (ROL) applications for marijuana stores since it opened up the process to all comers on Jan. 6.

Ontario previously ordered private cannabis stores to close for two weeks as of April 4 because of the coronavirus. Soon after, the stores were given at least a 14-day window to continue serving customers through curbside pickups and home delivery.

Source: https://mjbizdaily.com/ontario-to-resume-issuing-new-cannabis-store-authorizations/

Cannabis sales spike after lockdown measures in legalised areas – SPONSOR: Spyder #Cannabis $SPDR.ca – $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 12:37 PM on Monday, April 13th, 2020

SPONSOR: Spyder Cannabis (SPDR:TSXV) An established chain of high-end vape stores. Aggressive expansion plan is already in place that will focus on Canadian retail and US Hemp derived kiosks in high traffic areas. Click here for more info.

Cannabis sales spike after lockdown measures in legalised areas

  • As more people are confined to their homes, and can’t get out to unwind in other ways, they bought cannabis products at higher rates, and in bigger amounts than they have before

by Sanjana Varghese

Around the world, precautions against the spread of coronavirus have meant that people are confined to their homes for a while. Everyone has their own plans, which has included stockpiling loo roll, food and medicine. 

For people who realise that they may want to relax, those preparations include stockpiling cannabis too – in Canada, the Netherlands, and states in the US where cannabis is legal to buy, the coronavirus lockdown has caused a surge in demand for cannabis products, particularly online and at dispensaries. 

As more people are confined to their homes, and can’t get out to unwind in other ways, they bought cannabis products at higher rates, and in bigger amounts than they have before.

Now that lockdown measures have been in place for several weeks, cannabis companies and other retailers have been able to take stock of how their businesses have fared.

In the middle of March, several marijuana businesses throughout the US saw a spike in people buying all kinds of products. People also tended to be buying it in larger quantities than they would normally.

In California, sales had gone up 159 per cent compared to the sales in March of 2019. 

In general, the legal cannabis industry is a growing one, so there will be more people buying it “officially” than the year before. Even so, the kind of spike that cannabis business owners around the world saw in mid-March coincided exactly with announcements of cannabis lockdowns.  

But is this a good thing? Information from the World Health Organisation suggests that smoking cannabis can weaken the lungs, which isn’t a good thing when we have a global pandemic of a virus which attacks the respiratory system.

However, it seems people may have thought of this.

Data from Headset suggests that while sales of cannabis were up 10 per cent, edibles surged in demand too – by 28 per cent – and that people are shifting away from pre-rolled products when thinking about what they would want to stock up on for a few weeks. 

In Ontario, Canada there were almost 3,000 orders on the last Saturday before full lockdown at the Ontario Cannabis Store. That was an 80 per cent increase over a typical Saturday.  

Daffyd Roderick, the communications director at the OCS, said that they had seen a significant increase in demand for same-day and next day delivery options, in addition to a higher volume of purchases.

Other cannabis stores, in the province of Quebec, also said that they had seen a spike in sales of cannabis over the weekend. Additionally, many shops have started to operate a click and collect service – where people can come and pick up their orders themselves. These kinds of services could offer a chance for people to keep stocked up on the products they want, but they minimise social contact as much as possible. Measures like this are possible in Canada, where individual provinces maintain a monopoly on the sales of cannabis – so they can implement changes more quickly than elsewhere.

In the Netherlands, photos circulated on social media of people in towns and cities lining up to buy cannabis and weed from coffee shops before a government-imposed quarantine would put the country on lockdown. 

While cannabis is illegal in the Netherlands, it is decriminalised for personal use, and posts from social media users showed lines of more than 20 or 30 people waiting to stock up in various cities, from Amsterdam to Utrecht.

The day after the announcement was made, cafes and coffee shops were allowed to re-open as long as they were only offering takeaway services

The situation around cannabis in the US is different from places like Canada and the Netherlands because federal policy governs whether cannabis is legal, as well as whether there are other restrictions on what dispensaries can do with their stock. In eight states that have imposed stay-at-home orders, recreational cannabis can still be sold, and over 15 others have continued to allow the sale of medical cannabis only. 

In states like California and Washington, dispensaries have reported huge increases in demand for their products since mid March.

In Oakland, a dispensary’s whole supply was sold out by 2pm on the day that the lockdown measures were announced.

Delivery services in San Francisco said they had seen an increase in demand for cannabis delivery too, although they weren’t as severe as recent spikes. 

In Pennsylvania, Governor Tom Wolfe declared marijuana dispensaries an essential business, which brought in changes that had otherwise been passing slowly through legislation. Telemedicine – where people are prescribed medication over the phone – mean cannabis has become much more accessible, and for people who needed cannabis to treat illnesses or reduce their symptoms, getting the adequate documentation happened much more quickly too.

Some dispensaries have also transitioned to offering drive-through services too, to minimise contact. 

Other elements of the legal cannabis industry have changed in response to Covid-19. 

The government in Oregon increased the minimum amount of cannabis that you could buy in one go, to stop people from making more trips.

Websites like Leafly, which focus on the world of cannabis, have created guides on disinfecting cannabis product packaging and taking other safety precautions. For business owners, it’s an opportunity to strengthen online vendor systems and figure out whether a drive through system is possible. 

As lockdown measures are extended around the world, cannabis business owners are attempting to figure out what they should be doing next – in some cases, they ordered in extra stock and increased hours for workers. In others, they’ve been encouraging customers to place their orders online, rather than coming into town.

Currently, the length of the lockdown measures remains uncertain, so you might as well be well prepared, whether you’re buying or selling.

Source: https://www.indy100.com/article/coronavirus-cannabis-marijuana-sales-legal-lockdown-9459851

Spyder #Cannabis $SPDR.ca – #COVID19 restrictions sparking a run on cannabis stores $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 3:43 PM on Tuesday, March 17th, 2020

SPONSOR: Spyder Cannabis (SPDR:TSXV) An established chain of high-end vape stores. Aggressive expansion plan is already in place that will focus on Canadian retail and US Hemp derived kiosks in high traffic areas. Click here for more info.

COVID-19 restrictions sparking a run on cannabis stores

By: Bruce Barcott and David Downs

  • They’re not closed yet! Customers are stocking up on cannabis this weekend, preparing for what could be more retail store restrictions in coming days.

As governors and mayors across North America order the shutdown of bars, restaurants, and gathering events, cannabis stores are experiencing a dramatic surge in sales that started over the weekend and now continues into the work week. (Leafly has an updated page tracking store closures, openings, and new delivery allowances.)

Consumers are stocking up now, eyeing their potential future over in Europe, where some nations have closed all retail outlets except food stores and pharmacies.

Cannabis and coronavirus: Here’s what you need to know

On Saturday, Boston’s WGBH broadcast images of customers lining up outside New England Treatment Access (NETA) in Brookline, one of the few licensed cannabis stores operating in Massachusetts. WGBH’s Tori Bedford reported:

In Brookline, marijuana dispensary New England Treatment Access has eliminated all walk-in orders due to a high volume of customers, and will now only serve customers who place orders in advance. “In light of the current environment, we will remain open,” an announcement on the NETA website reads, “but will move to Reserve Ahead only starting on Saturday.”

Inside the Brookline store, employees wear latex gloves, and bottles of hand sanitizer and disinfectant spray sit beside each checkout station. The process is efficient, a quick in-and-out, as compared to the massive lines seen snaking around the parking lot of the shop in the past few days, according to NETA employees.

Later Sunday, Boston Mayor Mary Walsh imposed new restrictions on the city’s bars and restaurants. Those establishments will have to cut their capacity in half, and close by 11pm every night. As of now, there are no unusual restrictions on cannabis stores.

Also Sunday, the governors of Ohio and Illinois ordered all bars and restaurants closed. By mid-day Monday, similar orders had been issued in too many states to mention.

Source: https://www.leafly.com/news/author/bruce-barcott-and-david-downs

Spyder $SPDR.ca Announces Canceling of the Non-Brokered Financing, Secures $442,000 Bridge Loan from Management and Insiders and Appoints New Board Member $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 7:52 AM on Monday, February 3rd, 2020
  • Cancelled the previously announced (January 13, 2020) non-brokered private placement of senior secured convertible debentures in the aggregate principal amount of up to $1,500,000.

Vaughan, Ontario–(February 3, 2020) – Spyder Cannabis Inc. (TSXV: SPDR) (“Spyder” or the “Company“) would like to announce that it has cancelled the previously announced (January 13, 2020) non-brokered private placement of senior secured convertible debentures in the aggregate principal amount of up to $1,500,000.

BRIDGE LOAN SECURED

To ensure its short-term working capital needs are covered, Spyder has secured bridge loans in the amount of $442,000 provided primarily by management and insiders in the Company. The bridge loan will have the following attributes. The term matures on July 25, 2020, bears interest at 12% per annum payable monthly in arrears and Spyder may repay all or a portion there-on at any time during the period. To secure the bridge loans, Spyder granted a security interest over all of the personal property, assets and undertakings of Spyder.

“Securing a bridge loan for nearly half a million dollars largely from management and insiders shows confidence in Spyder’s ability to execute on its business model. We are excited to begin this next phase in Spyder’s development,” says Dan Pelchovitz, CEO of Spyder.

APPOINTMENT OF NEW BOARD MEMBER

In addition, Spyder is pleased to announce that Mr. Ben Leung has been appointed as a director. Ben is an accountant with over 28 years of financial accounting and management experience in both private industry and public practice. He is currently the Chief Financial Officer of Cultivate Capital Corp., a company investing and operating in the cannabis and hemp industry throughout North America. Over the past 2 years, Ben has acquired strong working knowledge of this industry and was responsible for leading strategic discussions, acquisitions, budgeting, financing, financial reporting and internal controls. Most recently, Ben was the controller, and then promoted to CFO of QE2 Acquisition Corp. He served a critical role in getting the corporation listed on the TSXV. His experience includes financial reporting, taxation, risk management, human resources and corporate governance. Prior to that, he was a senior manager with a Calgary based accounting firm and focused on the audit and assurance department. He has held controllership positions with publicly listed companies in the pharmaceutical, oil and gas, and manufacturing industries.

The Company would also like to announce the resignation of Mike Lerner from its Board of directors. The Company would like to thank Mr. Lerner for his time and commitment during his tenure on the Board.

MI 61-101 DISCLOSURE

Several directors and insiders as defined in Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101“), participated in the bridge loans, either directly or indirectly, therefore the bridge loans constitute a “related party transaction” within the meaning of MI 61-101. In its consideration and approval of the bridge loans, the board of directors of the Company determined that the bridge loans are exempt from the formal valuation and minority approval requirements of MI 61-101 on the basis that the fair market value of loans to related parties does not exceed 25% of the market capitalization of the Company, in accordance with Sections 5.5 and 5.7 of MI 61-101.

The Company did not file a material change report more than 21 days before the closing of the bridge loans as the details of the bridge loans, and the confirmation of insider participation in the bridge loans, was not definitively known to the Company until the date of the closing of the bridge loans and the board of directors determined that it was in the best interests of the Company to close the transaction as soon as practicable.

About Spyder Cannabis Inc.

Spyder is a CBD and Cannabis retailer that operates in jurisdiction where the products are federally legal in both Canada and the United States. The Company, through its subsidiaries, is a retailer involved in the development of three retail business units. The first is the sale of CBD in the United States, the second is the sale of smoking cessation and cannabis products in Ontario; and the third is the sale of cannabis products in Alberta.

Cautionary Statements

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release includes statements containing certain “forward-looking information” within the meaning of applicable securities laws (“forward-looking statements”). Forward- looking statements are frequently characterized by words such as “plan”, “continue”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “potential”, “proposed” and other similar words, or statements that certain events or conditions “may” or “will” occur.

FOR ADDITIONAL INFORMATION, PLEASE CONTACT:

For more information, please contact:

Spyder Cannabis Inc.
Dan Pelchovitz
President & Chief Executive Officer Telephone: 1.888.504.7737
Email: [email protected]

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/52035

Spyder #Cannabis $SPDR.ca – DOPE! New cannabis compound 30 TIMES more potent than #THC found in one #marijuana variety $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 1:00 PM on Monday, January 13th, 2020

SPONSOR: Spyder Cannabis (SPDR:TSXV) An established chain of high-end vape stores. Aggressive expansion plan is already in place that will focus on Canadian retail and US Hemp derived kiosks in high traffic areas. Click here for more info.

DOPE! New cannabis compound 30 TIMES more potent than THC found in one marijuana variety

  • Compound is one of two newfound cannabinoids that have been discovered in the Cannabis plant glands of the sativa L species.

By: Charlotte Edwards

A NEW cannabis compound has been discovered and it may be 30 times more potent than THC.

Scientists aren’t yet sure whether the compound causes a high or has medical benefits so they’ve been conducting tests to try and figure this out.

The compound is one of two newfound cannabinoids that have been discovered in the Cannabis plant glands of the sativa L species.

Cannabinoids is the collective term for the group of diverse chemical compounds that act on the cannabinoid receptors of the brain.

THC is just one of these cannabinoids and it’s currently considered to be the principal psychoactive component of cannabis.

THC, or tetrahydrocannabinol, plugs into brain receptors and can alter our ability to co-ordinate movements, reason, record memories and perceive things like time and pleasure.

  THC in cannabis is what can give smokers a high feelingCredit: Getty – Contributor

It’s thought that cannabis contains over 140 similar chemicals that can interact with receptors all over the body.

However, THC is currently the only one we know can result in a high spaced out feeling.

Of the two new cannabinoids discovered, one looks similar to the compound CBD, which isn’t psychoactive.

The other appears similar to THC but may even produce stronger mind-bending effects.

This THC lookalike is called tetrahydrocannabiphorol (THCP).

Recent research suggests that it interacts with the same brain receptor as THC but has slight differences in its chain of atoms.

The slight difference in shape of THCP means it can technically fit more snugly into its preferred brain receptor than THC.

A test showed that the compound can actually bind 30 times more reliably than THC.

When given to lab mice, the THCP made them behave as if they were on THC with slower movements and decreased reactions to pain.

The mice reached this state with a much lower does than would have been required with THC meaning the new compound is stronger.

However, this lab experiment still doesn’t mean that the same effect would happen in humans.

THCP doesn’t appear to be present in large amounts in cannabis plants but even if it was, increased psychoactive properties would still not be guaranteed.

Source: https://www.thesun.co.uk/tech/10725348/new-cannabis-compound-more-potent-weed/

Spyder #Cannabis $SPDR.ca – Exploring Canada’s Cannabis Demand-Supply Landscape $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 4:48 PM on Thursday, January 9th, 2020

SPONSOR: Spyder Cannabis (SPDR:TSXV) An established chain of high-end vape stores. Aggressive expansion plan is already in place that will focus on Canadian retail and US Hemp derived kiosks in high traffic areas. Click here for more info.

Exploring Canada’s Cannabis Demand-Supply Landscape

By Sushree Mohanty

  • Cannabis demand is rising
  • However, there seems to be a gap between cannabis demand and supply in Canada
  • It’s been a year since Canada legalized marijuana, but it seems consumers in the country are still struggling to obtain legal cannabis
  • This demand-supply imbalance took a toll on cannabis companies’ revenues and stock prices last year

Let’s take a closer look at the demand-supply imbalance in Canada.

The cannabis demand-supply landscape in Canada

Health Canada has come up with a national Cannabis Tracking System to keep track of the cannabis produced and sold across the country. The intention is to keep a check on illegal cannabis sales. Health Canada requires federal license holders and provincial and territorial growers to report this data on a monthly basis.

Another objective behind this move could be to ensure that cannabis producers aren’t growing marijuana illegally. Such was the case last year with CannTrust (NYSE:CTST). The company was found to be growing marijuana illegally and was reportedly in violation of Health Canada’s regulations.

The monthly report tracks the sales of medical and recreational marijuana. It also takes into account the cannabis inventories held by retailers and distributors. Here are a few details from the report for the period that ended on September 30, 2019:

  • Total sales of dried cannabis fell by 0.4% to 12,922 kilograms on a month-to-month basis.
  • Cannabis oil total sales rose by 4.8% to 11,187 liters on a month-to-month basis.
  • The total amount of finished dried cannabis inventory rose by 5% to 64,151 kilograms on a month-to-month basis.
  • The total amount of finished cannabis oil inventory rose by 1.1% to 102,060 liters on a month-to-month basis.

“Finished inventory” here implies that the products are ready and packed for sale. The finished inventory for dried cannabis was higher for both provincial and territorial distributors and retailers and federal license holders.

For dried cannabis, federal license holders saw a 5.7% increase in finished inventories, while provincial and territorial distributors and retailers saw a 4.3% increase. Additionally, for cannabis oil, federal license holders saw a 2.6% increase in inventories, while provincial and territorial distributors and retailers saw a 1.4% decrease.

What caused the imbalance?

Canada legalized marijuana in October 2018. The demand for marijuana was high in the country. Thus, producers cultivated more cannabis, hoping to meet this demand. However, regulatory procedures were slow and strenuous, which resulted in a delay in the licensing and opening of new legal stores. The delay resulted in higher inventories and caused supply issues. Hence, cannabis sales were affected across Canada. Looking at the data for September, we can conclude that most retailers had products ready for sale. However, the lack of stores caused a supply issue and a rise in inventory.

Moreover, the licensing process isn’t that simple. A Cannabiz Media article stated, “The amount of time to obtain a license to grow marijuana in Canada’s legal market was excessive with some cultivators waiting months or even a year. Once a grower obtained a cultivation license, it needed to produce two full crops, have them tested, get its sales software audited, and apply for a sales license, which could take another year.”

How’s the marijuana demand and supply situation in the US?

While we’re on the subject, let’s talk about the demand and supply situation in the US. Marijuana isn’t legal at the federal level in the US. However, 33 states and the District of Columbia allow medical marijuana. Additionally, 11 states and the District of Columbia allow recreational marijuana.

Black market sales are a matter of concern even in the US. California, which legalized medical marijuana in 1996 and adult-use marijuana in 2016, also suffers from illicit cannabis activity. An article by Cannabis Business Plan discussed how cannabis consumers in the state will initially be inclined toward the illegal market to avoid regulatory costs. The article also stated that predictions show that by 2022, the marijuana market in the state could be worth $7.7 billion driven mostly by recreational marijuana.

Cannabiz Media also discussed how states such as Michigan are facing supply shortages due to a lack of licensed growers. Recently, recreational marijuana sales went live in Michigan. Pennsylvania faced similar problems when demand for medical cannabis couldn’t match supply in the state.

Furthermore, the abundance of marijuana resulted in losses for many licensed cultivators as prices fell. Obtaining capital for cannabis businesses is still an issue in the US. Banks and financial institutions are scared to provide help to cannabis companies because marijuana is still illegal federally. However, hopes are that the passing of the SAFE Act could smooth this process.

How are cannabis companies coping with the demand-supply situation?

The demand-supply imbalance hit cannabis companies’ revenues and profitabilities last year. After Canada legalized cannabis, companies increased their production capacities to match demand. However, the lack of legal stores caused a supply issue. Initially, Ontario was strict with its cannabis laws. Recently, though, after the second phase of legalization, Ontario relaxed its laws to tackle the problem of black market sales. Canada’s three largest provinces now expect higher sales this year from the Cannabis 2.0 expansion.

Hence, Aurora Cannabis (NYSE:ACB), Canopy Growth (TSE:WEED), Cronos Group (NASDAQ:CRON), and HEXO (TSE:HEXO) have struggled with overproduction. The companies missed their revenue targets and reported lower profitabilities in 2019. HEXO even withdrew its fiscal 2020 outlook due to lower store rollout issues.

Cannabis edibles are in high demand among marijuana products. Hence, consumers turned to the black market to obtain these products when Canada hadn’t legalized edibles. The prices of cannabis products on the black market are also lower than they are on the legal market. Now, with Cannabis 2.0 products ready to hit the stores, marijuana companies expect to recover their losses in 2020. These companies are ready with a variety of edibles, vapes, and beverages.

Though analysts expect a turnaround in 2020, they’ve kept a subdued outlook on marijuana companies’ 2020 revenues. Some analysts feel regulations and licensing delays could still affect Cannabis 2.0 revenues this year. Companies’ 2020 revenue estimates are as follows:

  • Aurora Cannabis’s fiscal 2020 revenue could be around 371.6 million Canadian dollars.
  • Canopy Growth’s (NYSE:CGC) fiscal 2020 revenue could be around 403.3 million Canadian dollars.
  • Cronos Group’s fiscal 2020 revenue could be around 146.1 million Canadian dollars.
  • HEXO’s fiscal 2020 revenue could be around 79.1 million Canadian dollars.

Final thoughts

The demand-supply imbalance in the cannabis market is an important issue. However, we also have to consider that the industry is a growing one and will have its ups and downs. Currently, the flow of regulations isn’t smooth, which is causing licensing and cultivation delays. It may take some time for things to smooth out in the industry.

Many also feel that federal legalization will help balance the demand-supply issue in the US. Nevertheless, considering the efforts by Canada and certain states in the US, we can expect a turnaround in 2020.

Stay tuned to learn more about the ins and outs of the marijuana industry.

Source: https://articles2.marketrealist.com/2020/01/exploring-canadas-cannabis-demand-supply-landscape/#

Spyder #Cannabis $SPDR.ca – More Canadians passing on beer in year one of legalization $CGC $ACB $APH $CRON.ca $OGI.ca

Posted by AGORACOM-JC at 5:00 PM on Tuesday, January 7th, 2020

SPONSOR: Spyder Cannabis (SPDR:TSXV) An established chain of high-end vape stores. Aggressive expansion plan is already in place that will focus on Canadian retail and US Hemp derived kiosks in high traffic areas. Click here for more info.

More Canadians passing on beer in year one of legalization

The report cites data from industry advocacy group Beer Canada, which found beer volumes fell by three per cent through November. Declining sales have led to several partnerships between alcohol and cannabis companies, such as Constellation Brands Inc.’s investment in Canopy Growth Corp. in November 2018. The recent decline in volumes is “far worse” than trends seen in the previous four years, when beer industry volumes fell an average of 0.3 per cent, according to Cowen & Co. analyst Vivien Azer.

Source: http://links.mkt2011.com/servlet/MailView?ms=MzA4MjU2MzMS1&r=MjU5OTkyNTIyMjg1S0&j=MTYyMzQzMjQyOAS2&mt=1&rt=0

Spyder Cannabis $SPDR.ca Announces Corporate Update and Expansion Plan $CGC $ACB $APH $CRON.ca $HEXO.ca $OGI.ca

Posted by AGORACOM-JC at 10:47 AM on Monday, December 23rd, 2019
  • Spyder has two current Development Permits in Calgary, Alberta to build cannabis retail stores and has received the building permit for one of the two locations
  • The second building permit has been submitted and awaiting approval

Vaughan, Ontario–(December 23, 2019) – Spyder Cannabis Inc. (TSXV: SPDR) (“Spyder Cannabis” or the “Company“), an established Canadian cannabis accessory and an alternative to smoking retailer, provides an update to the corporate business development. Founded in 2014 Spyder is an established chain of three high-end alternative to smoking stores and two cannabis accessory stores in Ontario, with locations in Woodbridge, Scarborough, Burlington, Niagara Falls and Pickering. The Spyder brand is defined by its high-quality proprietary line of e-juice, liquids and exclusive retail deals, dispensed in uniquely designed stores creating the optimal customer experience. Spyder is building off this leading retail, distribution and branding platform by pursuing expansion into the legal cannabis market.

Spyder has two current Development Permits in Calgary, Alberta to build cannabis retail stores and has received the building permit for one of the two locations. The second building permit has been submitted and awaiting approval.

Two weeks ago the government of Ontario announced it will abandon the current lottery system for cannabis retail and move towards an open licensing system beginning January 6, 2020. Store authorizations will be issued starting in April, at the rate of 20 per month. Spyder will be submitting applications on January 6, 2020 for some of the stores currently operating. These stores are already built out and Spyder does not expect major renovations will be required to conform to the Ontario specifications for licenced stores.

Spyder is currently pursuing other locations in Ontario for aggressive expansion of its scalable retail platform.

The Company’s common shares will resume trading on the TSXV at market open on December 24, 2019

FOR ADDITIONAL INFORMATION, PLEASE CONTACT:

For more information, please contact:

Spyder Cannabis Inc.
Dan Pelchovitz
President & Chief Executive Officer
Contact: Investor Relations
Phone: 1-888-504-SPDR (1-888-504-7737)
Email: [email protected]

Cautionary Statements

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company’s current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to the satisfaction of the closing conditions contemplated under the Agreement. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to the Company. Risk factors that could cause actual results or outcomes to differ materially from the results expressed or implied by forward-looking information include, among other things: the TSX Venture Exchange declining to accept the transaction, the landlord not consenting to the Lease Assignment, changes in tax laws, general economic and business conditions; and changes in the regulatory regulation. The Company cautions the reader that the above list of risk factors is not exhaustive. The forward-looking information contained in this release is made as of the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

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