Investor
Ideas #Potcasts, #Cannabis News and #Stocks on the Move; Episode 414 (OTC: $CSUI)
(NYSE: $ACB) (TSX: $ACB.TO), (NASDAQ:
$SNDL) (TSX: $VLNS.TO) (CSE: $AGRA.C)
Delta, Kelowna, BC, May 15, 2020 (Investorideas.com Newswire)
www.Investorideas.com, a global news source covering leading sectors including
marijuana and hemp stocks and its potcast site, www.potcasts.ca release today’s podcast edition of cannabis news and stocks to watch plus insight
from thought leaders and experts.
Listen to the podcast:
Read this in full
at https://www.investorideas.com/news/2020/cannabis-potcasts/05151CSUI-ACB-SNDL-VLNS-AGRA.asp
Today’s podcast overview/transcript:
Good
afternoon and welcome to another episode of Investorideas.com
"Potcast" featuring cannabis news, stocks to watch as well as
insights from thought leaders and experts.
Today’s
podcast is sponsored by Cannabis Suisse Corp. (OTC: CSUI), a research & development company licensed
under Swiss Cannabis and tobacco regulations to cultivate and sell cannabis.
The Company's facilities for producing cannabis are based in Zurich.
The
Company grows high quality, organic cannabis with sustainable, all-natural principles.
Cannabis Suisse products are laboratory tested to ensure the end users have
access to a standardized, safe and consistent product.
In
today’s podcast we will be looking at a few public company announcements.
Aurora Cannabis
Inc.
(NYSE: ACB) (TSX: ACB), the Canadian company defining the
future of cannabis worldwide, announced its financial and operational
results for the third quarter of fiscal 2020 ended March 31, 2020 yesterday
which has lead the stock to trade up nearly 50% over the last two days.
Michael
Singer, Executive Chairman and Interim CEO of Aurora stated, "I am
incredibly proud of the Aurora team for working through these challenging times
in order to maintain uninterrupted operations at all of our production
facilities and ensure we continue to meet the needs of our patients and
consumers. I am also pleased that our third quarter 2020 financial results were
in-line with our expectations, and that we remain firmly on track with the
cost-savings and capex goals we detailed during our business transformation
plan in February 2020."
Since
announcing the Business Transformation Plan on February 6, 2020, Aurora has
taken a number of concrete steps which place Aurora firmly on track to meet or
exceed previously announced targets. These steps are designed to strengthen
Aurora's balance sheet and reduce go-forward costs, as the Company works to
achieve profitability and positive cash flow.
Some
of the financial highlights included a Net revenue of $78.4 million, excluding
provisions of $2.9 million, an increase of 18% over prior quarter; consumer
cannabis net revenue of $41.5 million, excluding provisions, a 24% increase
over prior quarter; cash cost to produce per gram of dried cannabis sold at
$0.85, down from $0.88 in Q2 2020 and an improved cash position of $230.2
million; $154.6 million in Q3 cash use represents a 43% decrease over prior
quarter.
Sundial
Growers Inc. (NASDAQ: SNDL) also had a strong uptrend after reporting its financial and operational
results for first quarter 2020 ended March 31, 2020 .
Some of the First
quarter 2020 financial and operational highlights included, strategic shift
away from "Heal, Help and Play" strategy to concentrate on Canadian
recreational cannabis with a focus on inhalable products; annualized net cost
reductions of approximately $28 million in 2020; Net revenue of $23 million ,
an increase of 7% over the prior quarter; Net cannabis revenue of $16.5 million
, excluding provisions of $2.5 million , an 18% increase over the prior
quarter; branded net cannabis sales increased to 54% of total net cannabis
sales in the first quarter of 2020 vs. 33% in the fourth quarter of 2019 and
overcame significant processing challenges and improved supply chain
capabilities during the quarter; recently, 'On Time In Full' (OTIF) metrics
have surpassed 90%.
"We have made
significant progress in improving our cost structure and liquidity in the past
few months," said Zach George , Chief Executive Officer of Sundial.
"The agility of our "craft-at-scale" cultivation strategy also
became evident as we quickly aligned our operations with market conditions, by
temporarily curtailing cultivation activities to adapt to current demand
levels. We are pleased to have made
progress towards the sale of Bridge Farm and the subsequent restructuring of
our secured debt. These steps are critical in order to improve Sundial's
financial health."
"The COVID-19
pandemic has brought many challenges over the past few months and our team has
shown outstanding commitment and courage, working tirelessly despite these new
demands," added George. "We truly appreciate their efforts and their
health and safety continues to be a priority for Sundial. As we move forward,
we remain focused on achieving sustainable profitability and will continue to
pursue opportunities to drive improved efficiency."
Valens GroWorks
Corp. (TSX: VLNS) (OTCQX: VLNCF), a global leader in the
end-to-end development and manufacturing of innovative, cannabinoid-based
products, announced that it has signed a distribution
agreement with Cannvalate Pty Ltd., Australia's largest medicinal cannabis
distributor and clinical research organization, with a current estimated market
share of almost 50% of cannabis prescriptions in the country.
The
five-year, non-exclusive agreement is based on an asset-light revenue
generating pay for performance model, providing Cannvalate achieves milestones
based on certain financial targets and facility construction and licensing
timelines outlined in the agreement.
Under the terms of the agreement, The Valens Company is also in the
process of finalizing a long-term lease on a property in Australia with an independent
third party. This is expected to be built out by the landlord as a small-sized
extraction and manufacturing facility designed to be scalable, forming the hub
of The Valens Company's operations in the country. Construction on the facility
is expected to commence on signing the lease and is expected to be fully
operational halfway through 2021, subject to applicable licensing and
regulatory approvals.
In
the near term, The Valens Company is expected to monetize the agreement with
Cannvalate through shipments of a broad range of products from its facility in
Canada to Australia. As such, the terms of the agreement require minimal
upfront capital investment by The Valens Company. The Company is targeting
initial revenue from this agreement in Q3 2020 subject to receiving the
necessary import and export permits.
"This
partnership provides Valens with strategic access to Australia's strong and
fast-growing cannabis market," said Tyler Robson, CEO of The Valens
Company. "With a proven track record, strong knowledge of the local
market, and a leading distribution platform in Australia, Cannvalate is an
excellent partner for us to build our presence in this pivotal hub with
significant long term growth opportunity."
"The
agreement allows us to maximize incremental revenue potential, while spending
minimal capital upfront and scaling our operations as the opportunity
expands," added Jeff Fallows, President of The Valens Company.
"Australia's medical patient base, similar to the early stages of medical
patient growth in Canada, offers an attractive return for our shareholders with
potential upside as this also positions us strongly in a market that is
expected to ease regulations around CBD products in early 2021."
"The
Australian market is the fastest growing, pure-play medicinal cannabis market
in the world and is unique in that oil-based derivatives represent over 95% of
the total products sold. This opportunity provides the platform for The Valens
Company to become the primary extractor and contract manufacturer for licensed
producers throughout Australia and Asia-Pacific," said Dr. Sud Agarwal,
CEO of Cannvalate.
AgraFlora Organics
International Inc. (CSE: AGRA) (OTC: AGFAF) announced that its subsidiary The Edibles and
Infusions Corporation (“EIC”) has completed construction on its
51,000-Square-foot fully-automated edibles manufacturing facility in Winnipeg,
Manitoba (the “Edibles Facility”). The company is now preparing to apply for a
Standard Processing License (the “Processing License”) from Health Canada. It
intends to submit the application for the Processing License before the end of
May 2020.
The
completed 51,000 square-foot Edibles Facility was built to meet or exceed
regulatory standards with respect to security, cleanliness and product safety.
The equipment to be used for manufacturing is of the highest quality and will
allow EIC to pursue EU-GMP certifications in the future. The equipment utilizes
specialized dosing technology that provides specific dosing to meet regulatory
requirements and customer specifications, while also reducing the risk of
contamination or degradation of the cannabis inputs. When fully operational,
EIC expects to produce over 250,000 pieces of precisely dosed edibles per
eight-hour shift. The facility can be run 24/7 if required and is anticipated
to require only 30 staff at full operation due to the high level of planned
automation. The Edibles Facility is designed to be flexible with respect to
future product lines including chocolates and drinks, and scalable up to
1,000,000 pieces of precisely dosed edibles per eight-hour shift with
additional manufacturing lines.
James
Fletcher, one of the founders and the operational manager of EIC stated, “Our
Edibles facility is designed to be, to our knowledge, the most technologically
advanced and efficient cannabis facilities in Canada. Our team has almost 100
years of knowledge and experience in private label confectionery manufacturing.
Rather than trying to scale up practices developed in unlicensed
establishments, we have built a Facility which can produce cannabis edibles
using world-class food manufacturing processes. As a result, we will be able to
provide our clients with the highest level of service and support as we work
together to build lasting and valuable brands nationwide.”
The
EIC management team has almost a century of manufacturing experience in the
confectionery industry, combined with guidance from multiple legal Canadian
cannabis companies. Outside of cannabis, the team operates under multiple
regulatory regimes, including US FDA, and its workflows are SQF Level 2
Certified to ensure food safety and business efficiency.
EIC
currently holds a Research and Development license (“R&D License”) from
Health Canada that allows it to produce cannabis edibles for the purpose of
recipe development, including palatability studies. The company intends to use
the R&D License to perfect its recipes with clients to ensure that customers
are satisfied with the flavor, shape, size and mouthfeel of each gummy
produced. Utilizing the R&D License
this way will allow EIC to develop commercial relationships and be ready to
scale revenue quickly upon the issuance of the Processing License.
"Edibles
are the most attractive cannabis 2.0 product category to AgraFlora, and within
that category gummies have emerged in Canada and the United States as the clear
winner. EIC positions AgraFlora to be a leader in cannabis gummies,” stated
Brandon Boddy, Chairman and Chief Executive Officer of AgraFlora. “To date, the
gummy category has not been fully supplied as companies have struggled to scale
up manufacturing. We chose our management team based on their experience and
our expectation of being able to scale quickly post-license to meet the needs
of Canadian consumers and brands. Given the recent increase in cost of capital,
we feel that our timing to come to market in 2020 is perfect as brands will be
able to enter the edibles space using EIC as a partner without the capital
expense or time involved with scaling up in-house manufacturing capacity. We
look forward to EIC powering what we expect will be some of Canada’s top edible
brands in 2020 and beyond.”
Finally
to end today’s podcast I again bring up the momentum building surrounding the
psychedelic industry and how this industry is now entering more mainstream
media as well.
Recently
Netflix released a special featuring actors, artists, comedians and musicians
all discussing their use of psychedelics and encouraging proper usage of these
drugs called “Have a Good Trip: Adventures in Psychedelics”.
Not
only that but this season of the show “Billions”, a show directly about the
Wall Street world and market trends, started off with an Ayahuasca trip and is
focussing on the attempt to bring medical ayahuasca to market.
As
more businesses invest in the space, more medical professionals and research
teams confirms the benefits of these compounds, and as media and art move to a
level of open endorsement not seen since the 60’s it seems an inevitability
that these psychedelics will be legalized or decriminalized within the next 2
years. This in tandem with the mass of psychological impacts caused from COVID
isolation make this even more of a guarantee.
Once
again, today’s podcast was sponsored by Cannabis Suisse Corp. (OTC: CSUI), a research & development company licensed
under Swiss Cannabis and tobacco regulations to cultivate and sell cannabis.
The Company's facilities for producing cannabis are based in Zurich.
The
Company grows high quality, organic cannabis with sustainable, all-natural
principles. Cannabis Suisse products are laboratory tested to ensure the end
users have access to a standardized, safe and consistent product.
Investor
ideas reminds all listeners to read our disclaimers and disclosures on the
Investorideas.com
website and this podcast is not an endorsement to buy products or services or
securities. Investors are reminded all investment involves risk and possible
loss of investment
Learn more about
our cannabis podcasts at https://www.investorideas.com/Audio/Potcasts.asp
To hear more
Investorideas.com podcasts visit: https://www.investorideas.com/Audio/.
Investorideas.com
podcasts are also available on iTunes, Spotify,
Google Play Music, Stitcher, Spreaker,
YouTube via Spreaker, iHeartradio
and Tunein.
Potcasts is now a certified
word mark Trademark on the blockchain through Cognate, Inc. CM
Certification-Registration Number: 10468217708
About Investorideas.com - News that
Inspires Big Investing Ideas
Investorideas.com
is a recognized news source publishing third party news, research and original
financial content. Learn about investing in stocks and sector trends with our
news alerts, articles, podcasts
and videos, looking at cannabis, crypto, AI and IoT, mining, sports biotech,
water, renewable energy and more. Investor Idea’s original branded content includes
the following podcasts and columns : Crypto
Corner , Play by Play sports and stock news column, Investor
Ideas Potcasts Cannabis News and Stocks on the Move podcast and
column, Cleantech and Climate Change , Exploring Mining the AI Eye .
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles
and equity research as well as creates original content, including video,
interviews and articles. Original content created by investorideas is protected
by copyright laws other than syndication rights. Our site does not make
recommendations for purchases or sale of stocks, services or products. Nothing
on our sites should be construed as an offer or solicitation to buy or sell
products or securities. All investing involves risk and possible losses. This
site is currently compensated for news publication and distribution, social
media and marketing, content creation and more. Disclosure: CSUI is a monthly
news and social media client. Disclosure is posted for each compensated news
release, content published /created if required but otherwise the news was not
compensated for and was published for the sole interest of our readers and
followers. Contact management and IR of each company directly regarding
specific questions. More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our
other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/ and tickertagstocknews.com
Global investors must adhere to regulations
of each country. Please read Investorideas.com privacy policy:
Investor Ideas does not condone the use of
cannabis except where permissible by law. Our site does not possess,
distribute, or sell cannabis products.
Follow us on Twitter https://twitter.com/Investorideas
Follow
us on Facebook https://www.facebook.com/Investorideas
Follow
us on YouTube https://www.youtube.com/c/Investorideas
Download
our Mobile App for
iPhone and Android
Join
our Investor Club https://www.investorideas.com/membership/
Contact Investorideas.com
800
665 0411
Get more Cannabis Stock Investor
Ideas – news, articles, podcasts and stock
directory
No comments:
Post a Comment