Why Dollar-Cost Averaging Makes Sense For Psychedelic Stocks Market conditions have never been more uncertain Investor behavior has never been more erratic Most price action is arbitrary – drive by entirely exogenous factors After a spectacular rise in 2020, investors in psychedelic stocks have been confronted with a much different scenario in early 2021.There is currently considerable turmoil in global markets. We’ve seen a general pullback in tech stocks and small caps. In the face of these market headwinds, psychedelic stocks have been steadily giving ground.Cheap stocks in turbulent marketsWe know these stocks are now objectively cheap.Over US$400 million has been added to the balance sheets of these public companies in recent months via new financings. Simultaneously, market caps for these companies have collectively
Australis Completes First Stage in Green Therapeutics LLC AcquisitionAustralis Capital Inc. (CSE: AUSA) (OTC: AUSAF) today announced that, further to the Company’s press releases of January 5, 2021 , and March 12, 2021 , it has completed the first stage of the transaction to acquire Green Therapeutics LLC. The transaction is being completed in two parts, the first, which has now closed, being the acquisition of a subsidiary of GT containing a number of unregulated assets including the GT brands and certain ancillary agreements including brand licensing and management agreements. Subsequently, subject to regulatory approval, the Company will complete the acquisition of GT itself. In conjunction with the completion of the acquisition of the Subsidiary, the parties have settled a previously
Is Canopy Growth Priming The Pump For Some Major M&A Activity? Last week, Canopy Growth Corporation (TSX: WEED) (NASDAQ: CGC) announced an important milestone as it relates to its balance sheet and entered into a credit agreement for a US$750 million (USD) senior secured term loan. Under the terms of the credit agreement, Canopy Growth can obtain up to an additional $500 million of incremental senior secured debt. The transaction further strengthens Canopy Growth’s balance sheet, provides additional capital to invest in high-return growth opportunities, and marks an important development as the management team works towards achieving a more efficient capital structure. Going forward, Canopy Growth expects King Street to continue to serve as its anchor debt investor. Through this relationship, the management
The Return of the SAFE Banking Act: Week in ReviewAfter three full years of hemp cultivation, Linda Noel was confident 2021 would be a success.Those beginning years were rife with issues, including two broken contracts, an entire crop that went hot and cannabidiol (CBD) regulatory hurdles. She learned along the way, though, and hemp grown for CBD had become her primary crop at Terrapin Farm in Franklin, Mass., where she also grows tomatoes. But Noel wouldn’t have grown hemp a fourth year if not for the MA Hemp Industry Survive and Thrive amendment included in the state’s 2021 fiscal budget. The amendment allows licensed hemp producers and processors to sell their products to medical and adult-use cannabis dispensaries in the state.
Colorado Bill Passes to Allow Children to Receive Cannabis-Based Medication at SchoolShannon Price | Adobe StockState-legal cannabis companies aren’t stashing large stacks of cash behind walls or rubber-banded bankrolls in hidden vaults. Helping motor more than $17.5 billion of legal cannabis sales in the U.S. in 2020, there were 515 banks and 169 credit unions providing services to cannabis-related businesses at the end of last year, according to Financial Crimes Enforcement Network’s (FinCEN) quarterly cannabis banking update. But those banks are not the “national associations” of the world. Big financial institutions, like JPMorgan Chase, Wells Fargo and PNC, are not going to get into the cannabis space directly, unless there’s more formalized federal reform, said Jonathan Havens, a partner at