Marijuana stocks continued their five-day upward climb, with the Marijuana Index peaking at 107.67 on Tuesday. US companies continued to rise on Wednesday morning, however, as operators below the Canadian border held steady, gaining 0.22 points on the Index to reach 47.74 by midday trading. Meanwhile, up north, Canadian cannabis markets began to tumble, with the Marijuana Index showing a bit of a drop on Wednesday. Canadian cannabis stocks fell 3.35 points to 223.87 by the afternoon.
The big news in the cannabis stock market this week took place in the boardroom, as several companies made moves to shore up their executive teams. As reported by Benzinga, Biopharmaceutical company RespireRx Pharmaceuticals Inc. named Tim Jones as President and CEO of the company, a post he’ll hold for the next three years. Jones was last seen on the company’s Board of Directors.
According to Benzinga, Jones stated that his move from the Board to the Boardroom is “an expression of my belief in the value of the assets, the synergies of working with the other members of the management team.”
MedMen, which launched its fifth retail location in Florida, announced that Viola Inc. founder Al Harrington is now a member of its board of directors. Harrington, who has made it his goal to broaden minority representation in the cannabis industry, said that his “goal is to continue to advance core values of minority representation and purpose into MedMen’s vision.” For more on Harrington, check out The PotNetwork’s recent interview with him here.
In other moves, Pharmaceutical company MediPharm Labs Corp. named Chris Halyk to its board of directors and MPX International Corp. CFO David McLaren has left the company.
Today’s winners and losers
CV Sciences Inc. (CVSI) was up 0.0884 to 0.825, a jump of 12.00 percent on the market. Meanwhile, Green Growth Brands Inc (GGBXF) climbed 0.0025 to 0.0275, for a gain of 10.00 percent. Finally, Delta 9 Cannabis Inc. (DN:CA) saw its fortunes rise by 0.04 to 0.66 for an increase of 6.45 percent.
iAnthus Capital Holdings Inc. (ITHUF) fell 0.0065 to 0.062 for a drop of 9.49 percent while 4Front Ventures Corp (FFNTF) fell 0.04986 to 0.616 for a loss of 7.49 percent. One time behemoth Tilray Inc. (TLRY) fell 0.4857 to 8.2143 for a loss of 5.58 percent.
SEC comes down hard against cannabis investor offering
In a report out in Green Market Report, the SEC has filed a case against nine defendants for $25 million, alleging they sold unregistered stock for a marijuana farm venture in Salinas, California. The list of allegations is quite long, including such things as making false claims of generating 100 percent returns and misappropriating $2.7 million. According to Green Market Report, the SEC is looking for the group to return the money and pay civil fines.
In other news
National CBD Day is this coming Saturday. It comes at a precipitous time for the industry as experts predict the market’s value could reach $23 billion over the next five years, but also predict the sector could be culled due to COVID-19 and the economic downturn by the end of 2020. New FDA regulations are expected in the next few weeks.
Still, the CBD industry is what’s fueling the growth in the marijuana stock market, so now may be the time to invest.
And finally, beginning on November 1, Michigan will expand its cannabis offerings, allowing entrepreneurs to acquire standalone recreational marijuana licenses.