Cannabis Products are Now an International Opportunity
FN Media Group Presents Microsmallcap.com Market Commentary
New York, NY – March 16, 2021 – As the first legal national market, Canada was the start of the modern cannabis industry, but the Canadian market was only just the beginning. Now, Mexico is set to instantly surpass Canada as the world’s largest international market, and established cannabis companies are increasingly looking beyond the Canadian market to opportunities in major markets like Germany, the UK, and Australia to supply local markets and pharmaceutical companies with Canadian cannabis. As legal barriers come down, the cannabis industry is becoming an increasingly international business, creating use expansion opportunities for established cannabis companies like Pure Extracts (CSE:PULL) (OTCPK:PRXTF) (XFRA: A2QJAJ), Canopy Growth Corp (NASDAQ:CGC) (TSX:WEED), Aphria Inc. (NASDAQ:APHA) (TSX:APHA), Hexo Corp. (NYSE:HEXO) (TSX:HEXO), and Khiron Life Sciences (TSXV:KHRN) (OTCQB:KHRNF).
Pure Extracts Forms Partnerships in Key European Markets
Vancouver-based company Pure Extracts (CSE:PULL) (OTC:PRXTF) (XFRA: A2QJAJ) is quickly becoming a leader in the extraction space, utilizing cutting-edge CO² and ethanol extraction and production out of the Company’s EU-GMP compliant extraction lab located just north of Whistler, British Columbia. The Company has quickly made a name for itself with key partnerships with leading brands and producers. Like other established Canadian companies in the cannabis space, Pure Extracts is now setting its sights outside of Canadian borders.
On March 11, Pure Extracts announced that the Company had entered into the European cannabis space with the sale of its first batch of cannabis oil extracts to a German pharmaceutical company. Pure Extracts extracted the 65% pure THC full spectrum oil from Canadian grown, EU-GMP certified, dry cannabis flower before extracting the product to the company’s German partner for further processing for the needs of the German medical cannabis market. Pure Extracts has suggested that this is just the beginning of the Company’s activity in the European market and expects that this sale will pave the way for longer term supply agreements into Germany and other major European markets.
“It is gratifying to have had our concentrates selected by a German pharmaceutical company for use in their medical products. We are excited about the entire European market opportunity for our extracts,” Pure Extracts CEO Ben Nikolaevsky said in the Company’s release.
On February 16, Pure Extracts announced a licensing partnership with Taste-T LLC, a US-based company best known for bringing recognizable brands like Margarita Chill and Fireball Cinnamon to the cannabis edibles space. Under the agreement, Pure Extracts will receive exclusive rights to market these brands in Canada, as well as first rights to other countries around the world. While the Canadian rights to these well-known brands is significant, Pure Extracts recognizes the opportunity presented by bringing them to emerging international cannabis markets.
“Taste-T’s gummy lineup represents a great opportunity for our Company to leverage one of the few U.S. cannabis products that can legitimately be called a ‘brand’. And of course, as a Canadian company, Pure Extracts is ideally suited to export this product to numerous countries around the world,” CEO Nikolaevsky said of the partnership.
Cannabis Giants Start Looking Beyond Canada
Canada was the birthplace of some of the industry’s leading players, but opening markets now have companies eying opportunities abroad. Encouraged by recent indications by the US congress and White House, Canopy Growth Corp (NASDAQ:CGC) (TSX:WEED), Canada’s largest cannabis giant, has its sights set squarely on the US market. In a recent earnings call, Canopy CEO David Klein said that the company could enter the US cannabis market as early as 2021.
Aphria Inc. (NASDAQ:APHA) (TSX:APHA) made huge waves in the cannabis industry in February when the company announced its merger with fellow Canadian cannabis giant Tilray. In addition to effectively making the combined company into a cannabis industry juggernaut, this merger consolidates significant overseas assets. Aphria brings to the table a leading German medical-cannabis distributor in its CC Pharma subsidiary, while Tilray operates a large-scale Portugese cannabis production operation.
Also in February, Hexo Corp. (NYSE:HEXO) (TSX:HEXO) announced a definitive agreement to acquire all of Zenabis Global’s issued and outstanding common shares. Among the considerable assets that Hexo is acquiring is a strong foothold in the European markets. Zenabis has an established partnership with a local European partner in the pharmaceutical space, operating a local established EU-GMP compliant packaging and distribution center for medical cannabis products.
Khiron Life Sciences (TSXV:KHRN) (OTCQB:KHRNF) has been focused on the Latin American medical cannabis market, partnering with some of the region’s most respected medical associations and building a regional distribution network. In advance of Mexico’s impending legalization, Khiron has partnered with Tecnologico de Monterrey of Mexico to launch Latin America’s first accredited medical cannabis diploma program. The company is also in the process of establishing a network of medical cannabis clinics across major cities in Mexico.
Canada kicked off a trend of cannabis law reform that has become a massive market opportunity all over the world, and established cannabis industry players like Pure Extracts are well positioned to lead these new emerging markets.
Click here to find out more about Pure Extracts.
DISCLAIMER: Microsmallcap.com (MSC) is the source of the Article and content set forth above. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. FN Media Group (FNM) is a third-party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated with MSC or any company mentioned herein. The commentary, views and opinions expressed in this release by MSC are solely those of MSC and are not shared by and do not reflect in any manner the views or opinions of FNM. Readers of this Article and content agree that they cannot and will not seek to hold liable MSC and FNM for any investment decisions by their readers or subscribers. MSC and FNM and their respective affiliated companies are a news dissemination and financial marketing solutions provider and are NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.
The Article and content related to the profiled company represent the personal and subjective views of the Author (MSC), and are subject to change at any time without notice. The information provided in the Article and the content has been obtained from sources which the Author believes to be reliable. However, the Author (MSC) has not independently verified or otherwise investigated all such information. None of the Author, MSC, FNM, or any of their respective affiliates, guarantee the accuracy or completeness of any such information. This Article and content are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action; readers are strongly urged to speak with their own investment advisor and review all of the profiled issuer’s filings made with the Securities and Exchange Commission before making any investment decisions and should understand the risks associated with an investment in the profiled issuer’s securities, including, but not limited to, the complete loss of your investment. FNM was not compensated by any public company mentioned herein to disseminate this press release but was compensated twenty five hundred dollars by MSC, a non-affiliated third party to distribute this release on behalf of Pure Extracts.
FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” describe future expectations, plans, results, or strategies and are generally preceded by words such as “may”, “future”, “plan” or “planned”, “will” or “should”, “expected,” “anticipates”, “draft”, “eventually” or “projected”. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company’s annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and MSC and FNM undertake no obligation to update such statements.
FN Media Group, LLC