The Week In Cannabis: Canopy Growth Trims Bruce Linton, Congressional Hearings On Ending Marijuana Prohibition, And More

A week shortened by the Fourth of July holiday did not come with a shortage of news.

A group of scientists are suing the Drug Enforcement Administration seeking a permit to grow cannabis for research purposes; Marijuana Moment’s Kyle Jaeger reported the House Judiciary Crime, Terrorism and Homeland Security Subcommittee will hold a hearing to discuss ways to end cannabis prohibition in the U.S. next week; the Canadian Congress started evaluating an initiative to decriminalize the possession of all illegal drugs for personal use; New Mexico enacted its marijuana decriminalization law; and New Jersey expanded its medical marijuana program.

Need more? Click here to see all cannabis news.

Marijuana Moment's Jaeger told Benzinga it is hard to overstate the significance of the House subcommittee meeting.

“Judiciary is such a critical vessel for making the broad changes to federal drug laws that advocates have been fighting for, and this hearing represents one of the first actionable steps toward ending prohibition in this Congress that we’ve seen," he said. 

"Importantly, while details about the hearing are limited, it appears the conversation will be centered on racial justice —something more and more lawmakers recognize is essential to any legalization plan.”

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In the corporate world, news was dominated by Canopy Growth Corp CGC's termination of CEO Bruce Linton.

Mark Zekulin, Canopy's co-CEO at Canopy, is serving in the role at this time and has been tasked with finding a new leader to help him run the business.

Despite the commotion, Bank of America Merrill Lynch's Christopher Carey reiterated a Buy rating on Canopy Growth with a $53 price target. 

Marijuana Stocks & ETFs

Over the last five trading days, including Friday, June 28:

• The Horizons Marijuana Life Sciences Index ETF HMLSF HMMJ lost 0.6%.

• The ETFMG Alternative Harvest ETF MJ gained 0.2%.

• The AdvisorShares Pure Cannabis ETF YOLO rose 0.6%.

• The SPDR S&P 500 ETF Trust SPY closed the period up 1.86%.

The following is how top marijuana stocks with market caps above $500 million that trade on U.S. exchanges performed over the last five trading days:

• Acreage Holdings ACRZF: down 8.1%

• Akerna Corp KERN: down 33.7%

• Aphria Inc APHA: down 2.3%

• Aurora Cannabis Inc ACB: down 3.3%

• CannTrust Holdings Inc CTST: down 1.6%

• Canopy Growth Corp CGC: down 0.4%

• Cronos Group Inc. CRON: down 4.3%

• Curaleaf Holdings Inc CURLF: down 2.2%

• Green Growth Brands Inc GGBXF: up 12.4%

• Green Organic Dutchman Holdings Ltd TGODF: up 3.2%

• Green Thumb Industries Inc GTBIF: down 4%

• GW Pharmaceuticals PLC- ADR GWPH: down 0.2%

• Hexo Corp HEXO: down 2.3%

• Harvest Health & Recreation Inc HRVSF: down 2.4%

• iAnthus Capital Holdings Inc ITHUF: down 9.1%

• Marimed Inc MRMD: down 13.7%

• MedMen Enterprises Inc. MMNFF: down 2%

• OrganiGram Holdings Inc OGI: up 1.9%

• Scotts Miracle-Gro Co SMG: up 2.4%

• Tilray Inc TLRY: up 0.9%

Need more? Click here to see all cannabis news.

In Other News

Akerna Corp. announced it is now serving cannabis operators in Italy and Macedonia.

As a result of the expansion, Akerna's subsidiary MJ Freeway has increased its footprint to five European countries including Spain, Switzerland and Denmark. Additionally, Akerna announced it opened a Medellín, Colombia office to serve its growing South American footprint. 

Medicine Man Technologies Inc MDCL appointed Albertsons Companies veteran Lee Dayton as its chief administrative officer. More details here.

Orchid Ventures, Inc. ORVRF announced it is acquiring certain assets of GreenBloom Cannabis Co. in a transaction valued at more than $29 million. More details here.

Kaleidoscope launched its direct-to-consumer functional wellness and CBD brand.

“Kaleidoscope was born out of my desire to create the product that simply didn’t exist. I wanted a CBD product that actually worked, was based in science, convenient to consume and had a targeted purpose," founder Ana Rosenstein told Benzinga.

"CBD is everywhere but the right CBD isn’t. And ultimately, our goal is to provide that for people. We aren’t launching another millennial direct-to-consumer company. We’re launching a product rooted in science that gives people something they desperately want but never knew they needed.”

Chicago-based cannabis company Cresco Labs Inc CRLBF is making changes to its top management team with the appointment of Mo Dastagir as its chief information officer. More details here.

Privately held Canadian cannabis company Sundial Growers filed an IPO registration for the NASDAQ at a proposed $100-million valuation.

Jushi Holdings Inc JSHHF acquired an operational adult-use and medicinal dispensary in San Diego. 

“The California market is a core part of our growth strategy with a very sizable addressable market that, to put in perspective, is larger than Canada,” said Jushi CEO and Chairman Jim Cacioppo.

Flowhub, a Denver-based inventory management and POS platform for dispensaries, launched its new Stash App, a first-of-its-kind application for mobile inventory management in cannabis. More details here.

FSD Pharma Inc FSDDF announced this week it closed a deal to acquire Prismic Pharmaceuticals, a U.S.-based specialty pharmaceutical company dedicated to addressing the opioid crisis. More details here.

Canna Provisions co-founders and Meg Sanders (CEO) and Erik Williams (COO) announced they will be opening cannabis dispensaries in western Massachusetts beginning this summer. The first location opened Friday.

“People are looking for guidance around cannabis products, but too often dispensaries just don’t provide it,” Sanders said. “At Canna Provisions, we’re going beyond basic transactions and elevating the standard for cannabis customer service.”

Willie’s Remedy, a CBD brand made by Willie and Annie Nelson, released two new products this week: a muscle relief balm and tea.

“Willie’s Remedy is all about giving people easy access to the healing benefits of hemp in the same way we look to other plants for wellness,” Annie said. “By expanding our product line to include a topical, tea and decaf coffee we hope to bring this amazing plant to new audiences.”

Next Green Wave Holdings Inc NXGWF announced the launch of an exclusive cannabis product line with influential illustrator and artist Junkyard.

“We’re thrilled to be working with Junkyard and believe his loyal fanbase and individual brand will add further strong impetus to our growth and give us wider access potential to a niche consumer looking for distinguished and quality-based cannabis products," said CEO and Executive Director, Leigh Hughes. 

The artist said a large portion of his fan base appreciates cannabis too.

"Our team is excited to finally launch a premium brand with NGW and SDC. We have been looking for a partner that has the same aesthetic and attention to detail in their craft. It has been a fantastic process working alongside their team. Look out soon for products in California legal dispensaries.”

KushCo Holdings, Inc. KSHB now wants to provide its CBD clients with access to large-scale retail channels, and is doing so by partnering with the full-service consumer products agency C.A. Fortune. More details here.

Zenabis Global, a Canada-listed cultivator of medical and recreational cannabis, entered into a new supply agreement with Tilray. More details here.

Cannabis company 1933 Industries Inc. TGIFF reported third-quarter results Tuesday that included a 28% quarter-over-quarter jump in revenue to CA$4.6 million ($3.5 million). More details here.

More From Benzinga Cannabis

The following are some of the most interesting cannabis-related stories from this week.

• A Mid-Year Review Of Cannabis Use Rates

• CBD Is Invading Over-The-Counter Retail Stores - And Consumers Love It

• More Weed, Less Booze? Researchers Examine Which Way Consumption Goes

• Does Your Dog Freak Out Over Fireworks? Try CBD

• Everything You Should Consider When Traveling With Weed In The US

• Island Cannabis CEO Talks Changing Landscape, Plans To Remain Private

• From Tea To THC: The Heady Rise Of Growpacker's Stephen Boyd

• You Can Now Get A Graduate Degree In Marijuana At This University

• Fourth Of July Pop, Boom, And Sparkle: Summer Seasonal Stocks To Consider

• Canna Moms And Dank Dads: The Impact Of Cannabis On Mother's And Father's Day Gifting

• The Next Wave Of Canadian Cannabis

• Facebook Relaxes Cannabis Ad Policy Just A Tad

• New Jersey Governor Signs Law Expanding Medical Marijuana Program

• RegTalk: California Municipalities Rush To Adopt Hemp Regulations

• As Summer Heats Up, So Too Does Market Buzz About Hemp And CBD Products

• Opinion: Surgeon General Jerome Adams' Stance On Cannabis Is At Odds With His Responsibility To The Nation

Check out these and many other cannabis stories on Benzinga.com/cannabis

Events Calendar

July 27: Microscopes & Machines is gathering leaders in cannabis medical research and manufacturing technology for a daylong exploration of cannabis and hemp’s life-changing potential. Featuring Jeff Chen of UCLA’s UCLA Cannabis Research Initiative, Ace Shelander PE of Beaker & Wrench and many more.

Aug. 1-2: CannaFarm Con will focus on the new and complex challenges that cannabis farmers face. The event assembles the entire specialty cannabis farming spectrum in one connected space that is focused on providing real solutions with proven success. Attendees will connect firsthand with cutting-edge industry leaders and forward thinkers offering tangible ideas and practical applications for all areas of cannabis agriculture. The event will take place at Paradise Point Resort in San Diego. 

Aug. 15: The Benzinga Cannabis Capital Conference is coming to Detroit, Michigan! You know you can’t miss it. Go to https://www.benzingacannabisconference.com/ for more information.

Aug. 17-18: The 9th CannaGrow Expo will take place in Palm Springs, California, featuring more than 35 cultivation-focused educational sessions and an expo hall filled with cannabis-related technologies.

"While others cover getting into the business, CannaGrow features sessions that support the original growers and producers. Patent your genetics. Expand operations efficiently. Market your products correctly. This is how you combat big business, maintain product integrity, and protect craft cannabis cultivation," said Jessi Rae, COO of CannaConnections, the producers of CannaGrow, DispensaryNext and the Science of Cannabis Summit. 

CannaGrow Expo will feature a special Extraction Summit and the popular Grower Networking Roundtables. Pass prices range from $69-$399. For more information and to purchase passes, please visit https://cannagrowexpo.com.

Oct. 11-12: CBD Expo MOUNTAIN will bring the largest CBD event platform to Denver to broadcast products with the community and share knowledge with the industry. The event features more than 150 exhibitors along with a substantial lineup of speaker presentations, panel discussions, demos and workshops from experts in the research, production, globalization, distribution and sale of CBD products.

The theme for CBD Expo MOUNTAIN is twofold: compliance and regulation; and investments and business. 

Oct. 22-23: The Benzinga Cannabis Capital Conference is coming to Chicago, Illinois! You know you can’t miss it. Go to https://www.benzingacannabisconference.com/ for more information.

Oct. 23-24: Marijuana Venture Magazine’s Retail and Dispensary (RAD) Expo, a national trade show focused on the retail cannabis industry, will return to the Oregon Convention Center in Portland.

The RAD Expo will feature presentations from industry veterans about successful entrepreneurship and topics including merchandising, partnership management, interior store design and retail operations. The 2019 show will focus heavily on CBD products and CBD brands with a presence in health grocery stores, luxury retailers, pet stores and other retail categories that carry hemp-derived products.

Nov. 15-16: CBD Expo EAST will bring the largest CBD event platform to Orlando, Florida to broadcast products with the community and share knowledge with the industry. The event features more than 150 exhibitors, along with a substantial lineup of speaker presentations, panel discussions, demos and workshops from experts in the research, production, globalization, distribution and sale of CBD products. CBD Expo EAST will focus on globalization and spa and wellness.  

Nov. 19-21: The Medcann World Forum 2019 will be held in the Mediterranean Conference Centre in Valletta, Malta, which dates to the 16th century. It was originally built as a hospital  by the order of St. John.

The three days are focused on six  pillars: medical, business, research, legislation, regulation and fintech. The event will host Malta’s top policymakers, international regulatory experts and global business leaders.

Dec. 5-6: CBD Expo WEST will bring the largest CBD event platform to San Diego to broadcast products with the community and share knowledge with the industry. The event features more than 150 exhibitors, along with a substantial lineup of speaker presentations, panel discussions, demos and workshops from experts in the research, production, globalization, distribution and sale of CBD products. CBD Expo WEST will focus on research and development and cannabinoid formulations.

Picture by Javier Hasse.