Shares of a Canadian cannabis producer took a beating during Friday’s (October 29) trading session following a financial report full of quarterly and yearly losses.
Meanwhile, the cannabis space saw a couple of new celebrity partnerships as two US-based operators signed deals with singers Pitbull and Justin Bieber.
Keep reading to find out more cannabis highlights from the past five days.
Cannabis Market Could Reach $5.5B By End Of Year
Experts Weigh In On Our Exclusive FREE Report. Can You Afford To Miss Out?
HEXO stumbles following financial report
Canadian cannabis producer HEXO (NASDAQ:
HEXO
,TSX:HEXO) issued a financial report for its fourth fiscal quarter and full 2021 fiscal year on Friday.
The company highlighted its recent string of acquisitions, including the completion of a deal with Zenabis Global. With this new addition, HEXO was able to bring in C$6.8 million in net revenue during Q4.
Despite the additional financial gains from Zenabis, HEXO posted a net loss of C$67.9 million for the three months ended on July 31, 2021. As far as the full fiscal year, the company reported a net loss of C$113.6 million, which represents a decrease in loses from the previous fiscal year period, when it reported C$546.4 million in net losses
Scott Cooper, HEXO’s
newly announced
president and CEO, said his immediate priority is to “integrate our recent acquisitions and reviewing our financial position” as a way to find growth and profitability.
Cannabis analyst an expert Alan Brochstein from 420 Investor tweeted his disappointment with HEXO’s latest results, calling the company’s response a “disaster” during a call with investors.
The
$HEXO
desperate attempt at survival (buying Redecan) looks like it will be the death-blow
pic.twitter.com/qk8bWftyAU
— Alan Brochstein, CFA (@Invest420)
October 29, 2021
Shares of the company stumbled right out of the gate during Friday’s trading session following the results. As of 11:00 a.m. EST, the company had lost US$0.16 in value per share, amounting to a 9.41 percent decline. Shares of the company were worth US$1.54 on the NASDAQ at the same time.
Cannabis Market Could Reach $5.5B By End Of Year
Experts Weigh In On Our Exclusive FREE Report. Can You Afford To Miss Out?
Celebrity partnerships shine this week
This past week, two different cannabis companies announced the launch of new branded products adopted with celebrity partnerships in mind.
First, Columbia Care (NEO:
CCHW
,CSE:CCHW,OTCQX:CCHWF)
debuted new CBD
health and wellness offerings. For this product, the company has a collaboration agreement with singer Pitbull.
“We’ve partnered with Pitbull because of his passion for CBD and high-quality excellence,” Jesse Channon, chief growth officer of Columbia Care, said.
Pitbull said he is excited to see consumers try the line of CBD products. Alongside his signature saying, “Dale!” the singer said he wants to change the perception of CBD in the eyes of general masses.
For its part, Flower One Holdings (CSE:
FONE
,OTCQX:FLOOF)
launched a limited-edition
PEACHES pre-roll product in partnership with Bieber.
“I wanted to make sure that I was doing something with them that felt genuine, and Peaches felt like a good place to start,” said Bieber. The PEACHES products will be available in Nevada, California, Massachusetts and Florida first.
Cannabis company news
-
Tilray (NASDAQ:
TLRY
,TSX:TLRY)
informed investors
it was selected by the Luxembourg Ministry of Health as a certified supplier of medical cannabis products. “With today’s validation from the Luxembourg Ministry of Health, Tilray now offers branded medical cannabis in 20 countries around the world,” Tilray CEO Irwin Simon said.
-
Fire & Flower Holdings (TSX:
FAF
,OTCQX:FFLWF)
confirmed a full debt repayment
. “The outstanding debt was repaid from cash held in a restricted collateral account, and the net cash in those accounts may be redeployed by the Company for its near-term growth and investment activities,” the company said.
-
Cresco Labs (CSE:
CL
,OTCQX:CRLBF)
opened its 40th cannabis dispensary
in the US. The new store is located in Oakland Park, Florida. This dispensary is the 11th for Cresco Labs in Florida alone.
-
Jushi Holdings (CSE:
JUSH
,OTCQX:JUSHF)
opened its 26th dispensary
in the US by way of launching its sixth store in the state of Virginia.
Don’t forget to follow us
@INN_Cannabis
for real-time updates!
Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.
Cannabis Market Could Reach $5.5B By End Of Year
Experts Weigh In On Our Exclusive FREE Report. Can You Afford To Miss Out?