NEW YORK, July 13, 2018 /PRNewswire/ —
According to data published by Marijuana Business Daily, cannabis retail sales continue to grow year-over-year, as new markets emerge, and more states legalize medical and recreational cannabis. Sales this year alone are expected to increase by about 50% when compared to 2017, meaning sales value is on track to reach USD 8 Billion – USD 10 Billion by the end of this year. The data also estimates that by 2022, annual retail sales of cannabis products in the United States may cross the USD 20 Billion mark, representing a 200% increase from 2017. As for the economic influence that the new budding market is likely to have, the report projects an estimated USD 28 Billion – USD 34 Billion in economic impact this year. CLS Holdings USA Inc. (OTC: CLSH), mCig Inc. (OTC: MCIG), MPX Bioceutical Corporation (OTC: MPXEF), United Cannabis Corporation (OTC: CNAB), Future Farm Technologies Inc. (OTC: FFRMF)
As a result of the strong sales figures across the industry, investments in cannabis are piling up. A report by Business Insider indicates that, “Venture-capital investors from around the world spent USD 355 Million on 100 marijuana-industry deals in 2017, and 2018 is on pace to break last year’s record. By the end of February, there were 19 venture-backed deals in the industry worth USD 176 Million alone, and that doesn’t factor in the money investors have poured into hedge funds set up to take advantage of the budding industry.”
CLS Holdings USA Inc. (OTCQB: CLSH) just yesterday provided, “an update to the first complete year of adult use cannabis in Nevada, the first state the Company is operating in. According to the Nevada Department of Taxation, marijuana flower/bud accounted for roughly 50% of all combined medical and adult-use marijuana purchases by consumers in Nevada, followed by concentrates at about 25% and infused edibles at 13%. Oasis Cannabis announced that packaged marijuana flower/bud and pre-rolled joints represented 67% of the total sales, followed by concentrates at 20% and infused edibles at 9%.
The Co-Founder of Oasis Cannabis, Ben Sillitoe, commented on the sales mix, “Convenience items like disposable vapor pens and pre-rolled joints are very popular with our tourist customers and together they make up about 25% of total sales at Oasis.”
Oasis Cannabis served over 127,000 customers in its 1st year of adult-use sales. About 13% of those orders and 22% of total sales were to medical patients. The average order from a medical customer was USD 73 whereas a typical recreational customer spent USD 41 per order. “A medical patient will typically consume more cannabis than an average retail customer, so we expect to see larger average purchases from that group,” explained Sillitoe.
Home deliveries made up 5% of the total orders and 11% of total revenue, reflecting a higher average order of USD 98 versus USD 42 from in-store customers. The average delivery order from a medical customer was USD 114 and the average delivery to a recreational customer totaled about USD 87. ‘Medical customers make up about 50% of total delivery sales for a couple reasons,” Sillitoe explained. “We’ve been delivering to medical patients since we opened in 2015 so we’ve had time to build a loyal customer base in that segment. Medical patients are also more likely to be inconvenienced by a trip to the store because of various health reasons.”
About Oasis Cannabis (http://oasiscannabis.com ) – Oasis Cannabis has operated a cannabis dispensary in the Las Vegas market since dispensaries first opened in Nevada in 2015 and has been recognized as one of the top marijuana retailers in the state. Its location within walking distance to the Las Vegas Strip and Downtown Las Vegas in combination with its delivery service to residents allows it to efficiently serve both locals and tourists in the Las Vegas area. The Company recently commenced wholesale offerings of cannabis in Nevada with the launch of its City Trees brand of cannabis concentrates and cannabis-infused products in August 2017. An expansion of its cultivation and production facility is currently underway and is expected to be completed during the second half of 2018.
About CLS Holdings USA Inc. – CLS Holdings USA, Inc. (CLSH) is a diversified cannabis company including a fully licensed integrated cannabis producer and retailer in Nevada and plans to expand to other states. CLS stands for “Cannabis Life Sciences”, in recognition of the Company’s patent-pending proprietary method of extracting various cannabinoids from the marijuana plant and converting them into products with a higher level of quality and consistency. The Company’s business model includes licensing operations, processing operations, processing facilities, sale of products, brand creation and consulting services. For additional information, please visit: http://www.clsholdingsinc.com .”
mCig Inc. (OTC: MCIG) is a diversified company servicing the legal cannabis, hemp, and CBD markets via its lifestyle brands. Recently, the Company announced an update for its HEMP project and new line of CBD products, soon to be hitting the markets. Paul Rosenberg, mCig Inc. CEO stated, “The Company started to sell Hemp/CBD products back in 2015 and later introduced its own brand, VITACBD, that was sold in 2017, to another public company and only later that year, the Company re-entered hemp market by establishing a joint venture with Farm!On Foundation with a plan to grow hemp in NY State.”
MPX Bioceutical Corporation (OTCQB: MPXEF), through its wholly-owned subsidiaries in the U.S., provides substantial management, staffing, procurement, advisory, financial, real estate rental, logistics and administrative services to three medicinal cannabis enterprises in Arizona operating under the Health for Life and the award-winning Melting Point Extracts (high-margin concentrates wholesale) brands. In June, the Company announced that it has successfully completed the acquisition of 100% of the issued and outstanding shares of 8423695 Canada Inc. operating as Canveda, as previously announced on April 17, 2018. Canveda is a Licensed Producer under Health Canada’s Access to Cannabis for Medical Purposes Regulations having received its Cultivation License on June 12, 2017. Canveda’s fully built-out 12,000 sq. ft. facility, located in Peterborough, Ontario, is ready to commence its first production run and is capable of producing 1,000-1,200 kilograms of high-quality cannabis flower annually.
United Cannabis Corporation (OTCQB: CNAB) recently announced that the South African Patent Office has declared effective the Company’s patent application based upon PCT/US2015/056635, and pursuant to the Patent Cooperation Treaty (PCT), for “Cannabis Extracts and Methods of Preparing and Using Same.” The processes included in the filing are integral to the Company’s branded products, including the Prana Bio Nutrient Medicinals line, and comprise the application of strain-specific ratio based phytocannabinoids, cannabinoids, chemical-free extractions, and the use of cannabis-derived terpenes in the medical and pharmaceutical delivery methods including capsules, sublinguals, topicals, transdermal applications, supplements, edibles, aerosol sprays, nebulizers, inhalers, aromatherapy, suppositories, and vaporization. The Company’s patent is still in the review process in Australia, Brazil, Canada, China, Colombia, Europe, Eurasia, India, Israel, Japan, Mexico, New Zealand, The Philippines, and South Korea.
Future Farm Technologies Inc. (OTCQX: FFRMF) is a Canadian company with projects throughout North America including California, Florida and Maryland. On June 28th, 2018, the Company announced an update with respect to the estimated revenue and EBITDA generated by White Sands Nurseries, Inc., the 10-acre operating greenhouse business acquired by the Company in early 2018. At the time Future Farm purchased White Sands in January 2018, the estimated financial results for the business in calendar year 2017 were USD 2,800,000 in revenue and USD 400,000 in EBITDA. White Sands is a fully operational greenhouse business, family operated since 1959, that currently grows ornamental plants sold in large retail stores throughout North America. The Company intends to continue operating the greenhouse as-is, while it applies for a cannabis cultivation license from the State of Florida.
Read more from the source: THCBiz.com