Every night is Friday night for Friday Night Inc. (CSE:TGIF) (OTCQB:TGIFF), as the company announced on Thursday its acquisition of Nevada-based medical marijuana company Body and Mind Inc. (CSE:BAMM) (OTC:BMMJ). The all-stock acquisition values Body and Mind at CAD$115 million, as determined by the recent closing price of Friday Night. According to a release, the merger will add to the company’s cash flow coffers immediately.
One of the first companies to acquire a medical marijuana license for cultivation and production in the state of Nevada, Body and Mind trades on the Canadian Stock Exchange. As a result of the merger with Friday Night, the company is set to become the most extensive cultivation and production operation in the state. Other effects of the merger include lower per unit costs and increased production volumes.
“This transaction advances Friday Night into a leading position in what many believe is the best cannabis market in the world,” remarked company CEO, Brayden Sutton. “Unlike so many competitors that promise to deliver profits well in the future, we are able to deliver them now and in real time. We see a huge opportunity for further consolidation as well. We welcome the BAM shareholders and staff to the Friday Night family and are excited about having Robert Hasman head up the expanded organization as President.”
The deal calls for Body and Mind shareholders to receive 115 million common shares of Friday Night stock in exchange for their shares in Body and Mind.
Regulators to Decide on Aurora-CanniMed Hostile Takeover
Since we been followin' your lead, we ain't got nothing but trouble… The adults are now in the room to mediate the dispute between Aurora Cannabis Inc. (TSX:ACB) and CanniMed Therapeutics (TSX:CMED). On Wednesday the squabbling cannabis firms brought their problems in front of Canadian regulators, at a joint hearing with the Saskatchewan and Ontario securities commissions. Lawyers representing each regulatory body argued against Aurora’s request for a shortened consideration period and the removal of CanniMed’s shareholder rights plan.
The news was not all bad for Aurora, who found a sympathetic ear in lawyer Kate McGrann, a representative for staff at the Ontario Securities Commission and the Financial and Consumer Affairs Authority of Saskatchewan. She argued that the company should be able to purchase five percent of CanniMed shares on the open market, as per Canadian rules. CanniMed, for its part, argues that former shareholders worked covertly with Aurora to plan the takeover.
"The predictability of this regime is key to its success," Ms. McGrann remarked about Aurora’s bid."Staff submits that departures from the bid regime may decrease the predictability of the hostile-bid process and in doing so, may undermine its important policy goals." Securities commissioners will rule on a number of issues, as the meeting continues into Thursday.
Cannabis Wheaton To Build World’s Largest Cultivation Facility
Whether or not he knows the difference between feet and inches is not my problem… Recently making headlines is Cannabis Wheaton Income Corp. (TSX.V:CBW), who announced in a statement on Thursday the signing of a letter-of-intent with ACMPR licensee FV Pharma Inc. Together, the two companies will work on the staged-development of a cannabis cultivation facility. According to the statement, design plans for the facility show it to be the most massive cultivation and production installation in the world.
The 620,000 square foot structure is the former KRAFT food manufacturing facility located in Cobourg, Ontario, just east of Toronto. In total the project includes 70 acres of land, 32 of which are occupied by the existing structure, leaving the remaining acreage for the planned development. A total of around 3,800,000 square feet will go towards cannabis cultivation as well as ancillary cannabis businesses.
“The joint venture with FV Pharma provides us access to the one of the most unique and the largest indoor cannabis facilities on the planet,” said Wheaton CEO and Chairman Chuck Rifici in a statement. “The KRAFT facility project is highly reminiscent of my early days at Tweed (now Canopy Growth) where I had the privilege of converting that company's first major production asset, the old Hershey factory in Smiths Falls, Ontario into something new and exciting.”
This was all farmland as far as the eye could see… On Thursday Future Farm Technologies Inc. (CSE:FFT) (OTCQB:FFRMF) doubled its hemp-farm acreage in Maine through the lease of an additional 100 acres. According to a statement, the company reserves the right to lease another 1000 acres should it choose to do so. Due to the land being organic, rules and guidelines set forth under the Maine Organic Farmers and Gardeners Association apply.
"This lease agreement positions us in the hemp farming and CBD business for growing, researching, developing and selling organic hemp and CBD oil,” said Future Farm CEO Bill Gildea.
Because two is always better than one… Cannabis Science, Inc. (OTC Pink:CBIS) announced plans on Wednesday to open not one but two medical marijuana dispensaries in California in time for the January 2018 legalization deadline. The company plans to open one in the city of Los Angeles and the other in the San Fernando Valley. With the expected influx of patients due to legalization in the new year, Cannabis Science is fervently working to open the dispensaries before the deadline.
“Opening the first two PRE ICO Dispensaries in Los Angeles by the end of this year is a huge step for Cannabis Science and accelerates our aggressive expansion plans in the Los Angeles area, throughout California, and eventually nationwide,” remarked Cannabis Science Co-founder, President, and CEO Raymond C. Dabney.
News and Notes
I'll gladly pay you Tuesday for a hamburger today… Tetra Bio-Pharma Inc. (TSX VENTURE:TBP)(OTCQB:TBPMF) agreed to an exclusive research and development contract with Constance Therapeutics. The deal focuses on product development and commercialization of medical cannabis extract products. Furthermore, the company announced the reception of a National Sciences and Engineering Research Council of Canada grant for collaborative research and development projects at McGill University.
Location, location, location… General Cannabis Corporation (OTCQB:CANN) announced on Tuesday plans to sell their Pueblo, Colorado real estate investment. Three acres of land and a 5,000 square-foot building and parking lot will be sold to RDR Realty, LLC for $625,000 in cash. General Cannabis hopes the deal will deliver long-term value to its shareholders.
Who are the boring directors… On Thursday GW Pharmaceuticals (NASDAQ:GWPH) announced the addition of Catherine Mackey, Alicia Secor and Lord William Waldegrave to the Board of Directors, bringing the total number of members up to eight.