Canada's Aurora Cannabis is making its foray into the U.S. cannabis market with the acquisition of Natick, Massachusetts-based cannabidiol (CBD) products company Reliva, LLC. Announced late Wednesday, the all-stock transaction is valued at $40 million and includes a potential earn-out of $45 million payable in Aurora shares, cash or a combination of the two. It is expected to close in June.
The Consumer Brands Association (CBA) yesterday announced the formation of coalition dedicated to advocating for stronger enforcement of the CBD industry. In a press release, CBA said the group – which includes top law enforcement, retail and consumer watchdog organizations – would work to advocate for “uniform federal policies around cannabidiol.”
Acreage Holdings is continuing to trim back its operations. On Monday, the New York-based multistate operator announced the sale of additional non-core assets in North Dakota and Massachusetts as it seeks profitability.
Recreational cannabis shops in Massachusetts will reopen on May 25, two months after they were deemed non-essential and ordered to close amid the coronavirus pandemic. On Monday, Massachusetts Governor Charlie Baker announced a four-phase reopening plan that will enable some of the state’s currently shuttered businesses to resume operations.
Aurora Cannabis Inc. yesterday announced its 2020 fiscal third quarter earnings, reporting higher than expected net revenue of more than C$78 million – an 18% improvement from the previous quarter. Aurora’s adult-use sales grew 24% versus last quarter, to C$41.5 million, driven by the launch of value brand Daily Special and a full three months of cannabis 2.0 sales.
Language from the cannabis industry’s long-sought banking reform bill, the SAFE Banking Act, has been included in the House Democrats’ new $3 trillion coronavirus aid package. Unveiled Tuesday, the Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act includes protections for financial institutions working with state-approved marijuana businesses.
Mark Dowley has resigned from iAnthus Capital Holdings’ board of directors, the company announced Friday. Dowley, and entrepreneur and marketer, joined the company’s board on December 5, 2019, as an independent director.
Stormy Simon’s time as CEO of Hightimes Holding Corp. has come to an end after just four months. Simon will be replaced by Peter Horvath, a former Victoria’s Secret and American Eagle executive, but continue to serve on the Hightimes board of directors.
Boston-based alcohol delivery service Drizly has officially expanded into the cannabis sector with the launch of Lantern, a marijuana delivery platform that connects cannabis users to licensed dispensaries across Massachusetts. The service is currently available to medical marijuana patients in the greater Boston area who have access to products sold by Revolutionary Clinics.
Sales of adult-use cannabis are soaring in Illinois, even as residents remain under a coronavirus-induced stay-at-home order that was recently extended to May 30 by Gov. J.B. Prtizker. Recreational sales topped $37 million in April, the second-best month since adult-use shops opened their doors in January, according to data from the Illinois Department of Financial and Professional Regulation.
Constellation Brands -- which owns the Corona, Svedka, and Prisoner Wine Company brands, among many others -- has exercised more than 18.8 million warrants to buy shares of Canopy Growth, the largest cannabis company in the world. In a joint press release issued Friday, the two companies said the warrants -- originally issued on November 2, 2017 -- were exercised at a price of $12.97 CAD.