OGI launched a new product lineup this week
Welcome back to our weekly series, Schaeffer's Cannabis Stock News Update, where we recap what happened in the world of marijuana stocks last week and look ahead to how the cannabis industry continues to take shape in 2021.
Investor interest in the cannabis industry is growing at an explosive rate, and the leading players continue to break through legal barrier after legal barrier, especially in the United States. More than 40 U.S. states legalized recreational and/or medical marijuana by the end of 2020. Now, more and more companies are starting to see the opportunity in cannabis cultivation, marketing, distribution, and technology.
In adjacent previously-illegal drug news, a bill to study the therapeutic effects of psilocybin and MDMA has been quietly advancing through the Texas legislature. Introduced in February by Texas State Representative, Alex Dominguez, the bill would direct the Department of State Health Services and Texas Medical Board to study psilocybin, MDMA, and ketamine to treat post-traumatic stress disorder (PTSD) and other ailments. The bill passed a House vote earlier this month. On May 19, the bill received clearance from the Senate Veteran Affairs & Border Security Committee in a 5-0 vote.
Here is a quick roundup of major cannabis stock news this week:
Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) announced on May 19 that its Board of Directors granted to 22 new employees inducement stock options to purchase an aggregate of 74,905 shares of its common stock and 32,050 inducements restricted stock units ("RSUs") on May 15.
Aurora Cannabis Inc. (NYSE:ACB), the Canadian company defining the future of cannabinoids worldwide, filed a prospectus supplement on May 20 establishing a new at-the-market equity program that allows the company to issue and sell up to the $300 million USD of common shares in the capital of ACB from treasury to the public, from time to time, at the company's discretion.
Canopy Growth Corp. (NYSE:CGC) announced on May 21 that it is deepening its business ties with consumer-packaged-goods maven and CBD brand leader, Martha Stewart, as the company's official strategic adviser. CGC announced that it will be naming Stewart the company's official strategic advisor. Martha Stewart is the founder of Martha Stewart 'Living Omnimedia.' Her branded products can be found in more than 70 million U.S. households.
Innovative Industrial Properties, Inc. (NYSE:IIPR) announced on May 19 that its operating partnership, IIP Operating Partnership, LP, priced a private offering of $300 million aggregate principal amount of 5.50% senior notes due in 2026. The notes mature on May 25, 2026. Interest on the notes is payable semiannually on May 15 and November 15 each year, with the first payment on November 15 of this year.
Neptune Wellness Solutions Inc. (NASDAQ:NEPT), a diversified and fully integrated health and wellness company focused on plant-based, announced on May 17 that Richard Schottenfeld has resigned as a director of the company for personal considerations, effective immediately.
Organigram Holdings Inc. (NASDAQ:OGI), a leading licensed producer of cannabis, announced the launch of Big Bag o' Buds, a lineup of dried flower products featuring a roster of well-known genetics and an exciting rotation of one-time offerings (OTO) in a 28g format on May 18.
Petalfast, a sales and marketing agency for the cannabis industry, announced the closing of $2.8 million capital raise led by Merida Capital Holdings on May 20. Petalfast plans to allocate the proceeds to expand its client portfolio and strengthen its role in helping established as well as up-and-coming cannabis brands to achieve rapid and long-term growth.
Schaeffer's Investment Research's Senior Market Strategist, Tony Venosa, will be presenting at Benzinga's Virtual Cannabis Capital Conference running June 3-4. Schaeffer's invites all readers to join Tony and learn more about what cannabis stocks the trading team at Schaeffer's is keeping their eyes on.