Another summer romance is over in the cannabis industry. According to a statement released this week, MedPharm Holdings, a medical cannabis company, is ending its relationship with Schwazze Inc. (OTCQX: SHWZ).
“After more than a year and a half of negotiations we have mutually agreed with Schwazze, this transaction no longer serves either party,” said Albert Gutierrez, CEO of MedPharm, in a statement.
He continued: “We remain as optimistic as ever about MedPharm’s future and our ability to bring groundbreaking research that is enhanced by novel, cannabinoid-containing dosage forms,” Gutierrez says. “I felt it was good time to move on and seek other qualified partners for investment purposes, as MedPharm retains its role as a leader in the industry.”
Still, according to a statement, MedPharm considers itself “well-positioned” to move forward in the industry.
“MedPharm’s facility received the first cannabis research license issued by the state of Colorado in October 2018 and approval from the city and county of Denver to conduct clinical research this year,” the company noted in a press release. “In August of 2019, the Drug Enforcement Administration (DEA) announced that MedPharm Research, a wholly-owned subsidiary of MedPharm Holdings, was selected to move forward as one of the first applicants to be considered for a license to grow federally legal cannabis under a new policy statement issued in the Federal Register.”
Three-year debt for Acreage
America’s favorite cannabis company, Acreage Holdings (CSE:ACRG.A.U, ACRG.B.U), announced this week the closing of a new financing deal for $33 million. The company will use some of the money to retire its short-term $11 million secured convertible note.
“Access to low-cost capital, even in a very challenging capital market environment for cannabis, has always been a core part of our strategy,” said Acreage Interim CEO Bill Van Faasen in a statement. “The retirement of the potentially dilutive, short-term convertible debt and the additional cash infusion bolsters our balance sheet enabling us to continue to deliver on our shareholder commitments to accelerate our path to profitability.”
Next Green Wave appoints new board member
Craft cannabis producer Next Green Wave Holdings Inc. (CSE: NGW) (OTCQX: NXGWF) announced the appointment of Norm Mayr to its Board of Directors. Mayr was a former partner at KPMG in Vancouver, while also spending time as the Risk Management and Professional Practice Partner for the Greater Vancouver Area practice of KPMG.
“During his career, Norm has had experience in the cannabis, mining, forestry, technology, life sciences, retail and industrial markets sectors,” wrote NGW in a statement. “He served as lead engagement partner or quality review partner on many of KPMG’s largest clients in these industries, including several multinational reporting issuers. He has had extensive experience acting for public companies listed in both Canada and the United States.”
Neptune Wellness commissioned a poll on US legalization
Cannabis company Neptune Wellness (NASDAQ: NEPT) (TSX: NEPT) commissioned a poll regarding cannabis legalization in the United States and unsurprisingly found that people favor it. The study, conducted by OnePoll, found that “71% of Democrats and 67% of Republicans agreed that federal restrictions on marijuana should end and that cannabis should be legalized.”
“Our consumer and hemp-based products already sell across North America,” said Chief Executive Officer Michael Cammarata in a statement. “As more clarity develops around cannabis regulations and countries move toward legalization, we can quickly scale our brands to introduce additional cannabis products to complement our hemp and essential oil lines.”