{"id":4363,"date":"2018-04-09T06:00:01","date_gmt":"2018-04-09T10:00:01","guid":{"rendered":"http:\/\/business.financialpost.com\/?p=1571165"},"modified":"2018-04-09T06:00:01","modified_gmt":"2018-04-09T10:00:01","slug":"the-week-in-marijuana-deals-tilray-brings-marley-brand-north-canopy-invests-in-livewell","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2018\/04\/09\/the-week-in-marijuana-deals-tilray-brings-marley-brand-north-canopy-invests-in-livewell\/","title":{"rendered":"The week in marijuana deals: Tilray brings Marley brand north, Canopy invests in LiveWell"},"content":{"rendered":"<p><span style=\"font-weight:400;\">Marijuana markets continued to sag last week, as investors bailed on high-risk stocks amid a broader market pullback. Things stabilized somewhat on Thursday and Friday after volatile trading earlier in the week. But across the board cannabis stocks continued their month-long trend downwards, as the market waits for catalysts like provincial supply announcements or significant M&amp;A moves. Regardless of market activity, cannabis companies were busy executing on their branding, supply and product development strategies ahead of rec legalizations. Here are a few deals you may have missed last week. <\/span><\/p>\n<p><b>Marley moves north<\/b><\/p>\n<p><span style=\"font-weight:400;\">On Wednesday, Tilray Inc. announced plans to bring Marley Naturals, a branding partnership between its parent company Privateer Holdings and Bob Marley\u2019s family, to the Canadian recreational market.<\/span><\/p>\n<p><span style=\"font-weight:400;\">&#8220;This is a brand that already has tremendous name recognition,&#8221; said CEO Brendan Kennedy, noting the challenges of branding in the restrictive Canadian regulatory environment, which appears set to have plain packaging rules and limits on advertising.<\/span><\/p>\n<ul class=\"related_links\">\n<li><a href=\"http:\/\/business.financialpost.com\/cannabis\/marijuana-millionaires-riding-canadas-legalization-wave\">Meet the newly minted marijuana millionaires riding Canada&#039;s legalization wave<\/a><\/li>\n<li><a href=\"http:\/\/business.financialpost.com\/cannabis\/weed-banker-snags-600-million-in-business-as-rivals-just-say-no\">How the CEO of an old-school credit union became Canada&#039;s go-to weed banker<\/a><\/li>\n<li><a href=\"http:\/\/business.financialpost.com\/cannabis\/canadian-firms-forced-to-play-waiting-game-as-germany-hits-pause-on-cannabis-licensing-process\">Canadian firms forced to play waiting game as Germany hits pause on cannabis licensing process<\/a><\/li>\n<\/ul>\n<p><span style=\"font-weight:400;\">Marley Naturals is one of seven U.S. rec brands, owned by Privateer, that Tilray is migrating to Canada. The company has launched a new subsidiary called High Park that will act as its Canadian recreational brand house. To feed High Park\u2019s brands, Tilray is building a greenhouse facility in the Niagara region of Ontario as well as a processing plant in London, Ont. <\/span><\/p>\n<p><span style=\"font-weight:400;\">MedReleaf Corp. also announced a new recreational brand this week: AltaVie. The brand is focused on the trendy urban consumer, and is the third recreational brand, after San Rafael \u201971 and Woodstock, MedReleaf has announced.<\/span><\/p>\n<p><b>Living well with Canopy <\/b><\/p>\n<p><span style=\"font-weight:400;\">Canopy Growth Corp. and subsidiary Canopy Rivers Corp. announced an agreement with LiveWell Foods Canada Inc. to assist with the development LiveWell\u2019s facilities in Ottawa and Pontiac, Que. <\/span><\/p>\n<p><span style=\"font-weight:400;\">Canopy will provide LiveWell with genetics, assistance with growing operations and compliance, \u201cand other strategic and financial support as needed,\u201d according to a press release. <\/span><\/p>\n<p><span style=\"font-weight:400;\">LiveWell is retrofitting one greenhouse facility and building a second, which \u201ccollectively represent over 1,500,000 sq. ft. of future cannabis production and processing infrastructure.\u201d<\/span><\/p>\n<p><span style=\"font-weight:400;\">The deal appears to be led by Canopy Rivers, a kind of third-party financing company closely linked to Canopy. Rivers uses a streaming model, where it provides financing to companies in return for product purchase agreements and sales royalties. Rivers\u2019 investees agree to sell a portion of their crop at a set price, which is fed into Canopy\u2019s brand and distribution network. <\/span><\/p>\n<p><span style=\"font-weight:400;\">LiveWell has received an initial purchase agreement from Canopy, although it\u2019s not clear for how much or at what price. <\/span><\/p>\n<p><b>Other deals<\/b><\/p>\n<p><span style=\"font-weight:400;\">Cannabis Wheaton Income Corp. is acquiring Dosecann Inc. for $38 million worth of Wheaton Income shares, the company announced Wednesday. Dosecann, which owns a facility in Charlottetown, P.E.I., &nbsp;is applying to become a \u201clicensed dealer\u201d under Canada\u2019s Narcotic Control Regulations. Dealers licenses give companies the ability to develop cannabis-based products, like liquid concentrates, that aren\u2019t legal yet in Canada. There are currently only 37 licensed dealers in Canada. <\/span><\/p>\n<p><span style=\"font-weight:400;\">E-commerce company Namaste Technologies Inc. likewise moved to secure a dealers license. On Thursday, the company announced that it has entered into a non-binding agreement to acquire a 51 per cent stake in a numbered company based in Etobicoke, Ont., which will \u201cundertake an application to become a Licensed Dealer.\u201d It\u2019s unclear how much Namaste is paying for the acquisition. <\/span><\/p>\n<p><span style=\"font-weight:400;\">\u201cThe purpose of Namaste\u2019s investment &#8230; is to facilitate research and development of medical cannabis extracts as well as for testing of imported medical cannabis products,\u201d the company said in a press release. <\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A roundup of some cannabis industry deals you may have missed<\/p>\n","protected":false},"author":578,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/4363"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/578"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=4363"}],"version-history":[{"count":1,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/4363\/revisions"}],"predecessor-version":[{"id":4364,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/4363\/revisions\/4364"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=4363"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=4363"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=4363"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}