(MENAFNEditorial) NEW YORK, December 29, 2017 /PRNewswire/ --
According to a report by Arcview Market Research, consumer spending on legal cannabis in North America is outpacing previous estimates. The report indicates that retail cannabis sales will grow 33% from 2016 to nearly $10 billion this year. By 2021 the legal market is expected to reach $24.5 billion, at a 28% compound annual growth rate (CAGR). Arcview also reported that according to BDS Analytics' GreenEdge point-of-sale tracking service, the medical market in California is already as big as the total markets in Colorado, Washington, and Oregon combined. Sugarmade, Inc. (OTC: SGMD), mCig, Inc. (OTC: MCIG), GB Sciences, Inc. (OTC: GBLX), United Cannabis Corporation (OTC: CNAB), Surna Inc. (OTC: SRNA)
Tom Adams, Editor-in-Chief at Arcview Market Research and Principal Analyst at BDS Analytics explained, "Our data shows positive indicators across the board for the legal cannabis industry, in North America and around the globe… The passage of the 2016 ballot initiatives and continued maturation of the existing Adult-Use markets are the primary drivers of the growth this year. That's nothing compared to what we can expect in 2018 and beyond from Nevada's tourism, and California and Canada planning to launch Adult-Use sales in 2018."
Sugarmade, Inc. (OTC: SGMD) outlined yesterday, "the steps being taken to modify its corporate operations as it becomes one of the world's largest publicly traded suppliers to the growing cannabis industry.
Mr. Jimmy Chan, CEO of Sugarmade, commented, "We are taking decisive action to modify our operations in order to prepare for the huge increase in business we are expecting. Growing a business infrastructure capable of expanding by more than 500% during 2018 is certainly a challenge, but we have already begun the process. We will be providing detailed revenue guidance for the full year 2018 over the next few weeks. All of us at Sugarmade are looking forward to growing with the industry over the coming years. Below are the steps we are implementing in order to prepare to meet this grow challenge."
- Personnel Expansion: Sugarmade's top priority is to recruit highly experienced accounting and financial personnel. To this end, last week, the Company made an offer for employment to a highly skilled individual who would become Sugarmade's Chief Financial Officer. Other staff positions have already been enhanced and several new mid-level accounting and financial specialists are being actively recruited.
- Office Space: Sugarmade plans to move its headquarters location to a more suitable building with enough space to house all staff members. The Company plans to remain in the greater Los Angeles area to accommodate its current staff, all of which are being retained, and the many business partners located near the current City of Industry location.
- Warehouse Consolidation: The Company plan to begin the process of warehouse consolidation to improve the logistical process and to further reduce associated costs. It is likely much of the new warehouse space will be located in close proximity to new office space that will be utilized.
Sugarmade recently announced to its investors, and to the growing cannabis marketplace, the creation of the largest emerging publicly traded cannabis and hydroponics supply company. Sugarmade has completed a master market agreement with industry leader BizRight Hydroponics, Inc., a leading marketer and manufacturer of cannabis and hydroponic growth supplies, which offers a range of hydroponics-related products including: HPS grow lights, electronic ballasts, HPS bulbs, nutrient mixes, environmental control products, pH measurement and calibration solutions and other cannabis-related grow and storage products. BizRight operates the ZenHydro.com website and other e-commerce properties, and sells various products to distributors and retailers. BizRight is expected to produce in excess of $30 million in revenues during 2017, with substantial growth expected for 2018."
mCig, Inc. (OTCQB: MCIG) is a diversified company servicing the legal cannabis, hemp and CBD markets via its lifestyle brands. Recently, the company announced that it's Cannabis Supply division signed an agreement with one of the largest cannabis brand valued at $1 million. MCIG's California packaging division has shown rapid growth in the last few months. Working closely with its partner, one of the largest packaging manufactures in the world, the division has been able to expand and assist co-packers and brand manufacturers in preparation for the future of recreational cannabis markets in California.
GB Sciences, Inc. (OTCQB: GBLX) is a diverse cannabis company, focused on standardized cultivation and production methods; as well as biopharmaceutical research and development. On October, 30, 2017, the company and Cura Cannabis Solutions (Cura) have executed a production agreement to produce high quality cannabis oils and related products utilizing the GB Sciences production license operated by the GB Sciences' Cultivation Labs™. Cura projects oil production and sales in Nevada to be approximately 250,000 grams of oil per month at the outset, growing to approximately 500,000 grams per month over the near term.
United Cannabis Corporation (OTCQB: CNAB) is a biotechnology company dedicated to the development of phyto-therapeutic based products supported by patented technologies for the pharmaceutical, medical, and industrial markets. Recently, the company announced that it has secured an industrial building in Colorado where the Company will construct a state-of-the-art industrial hemp processing plant (the "Facility") to provide contract manufacturing to farmers working under the 2014 Federal Farm Bill and Colorado's Department of Agriculture's Industrial Hemp Program. The multi-function Facility will include extraction, purification, testing and processing equipment, as well as packaging, fulfillment, and secure storage capabilities. Services offered by the Company will enable farmers to convert harvested industrial hemp plants into a range of products, from simple extracts to capsules to sublingual drops, and have them packaged for resale. The processing plant will also have the capability to process raw hemp seed through cold press extraction. Valuable fibrous bi-products generated through the processing will also be collected for sale to a wide range of consumer product industries.
Surna Inc. (OTCQB: SRNA) develops innovative technologies and products that monitor, control and or address the energy and resource intensive nature of indoor cannabis cultivation. On November 14, 2017, the company announced operating and financial results for the three and nine months ended September 30, 2017. Revenue for the three months ended September 30, 2017 was $1,566,000 compared to $1,171,000 for the three months ended September 30, 2016, an increase of $395,000, or 34%. Recent and anticipated regulatory changes involving medicinal and/or recreational cannabis use in various jurisdictions, such as California, tends to be a leading indicator for the granting of licenses for new facility construction. As more new cultivation facilities become licensed, the company has an expanded set of opportunities and customers to whom it can potentially sell its systems.
Subscribe Now! Watch us report from NYSE
Follow us on Twitter for real time Financial News Updates:
Follow and talk to us on Instagram:
Facebook Like Us to receive live feeds:
FinancialBuzz.com, a leading financial news informational web portal designed to provide the latest trends in Market News, Investing News, Personal Finance, Politics, Entertainment, in-depth broadcasts on Stock News, Market Analysis and Company Interviews. A pioneer in the financially driven digital space, video production and integration of social media, FinancialBuzz.com creates 100% unique original content. FinancialBuzz.com also provides financial news PR dissemination, branding, marketing and advertising for third parties for corporate news and original content through our unique media platform that includes Newswire Delivery, Digital Advertising, Social Media Relations, Video Production, Broadcasting, and Financial Publications.