Wayland Group, North Bud, Westleaf Cannabis & Ben Smith – Midas Letter RAW 140 https://cannabisexaminers.com/wp-content/uploads/2019/01/3380/wayland-group-north-bud-westleaf-cannabis-amp-ben-smith-8211-midas-letter-raw-140.jpg

-legalization in Canada is dried flower, extract market; no more room for development, makes sense to move to Europe
-5 years of learning transplant to Europe
-10,000 kgs more going to Europe at higher price points;
-we’d have to look at purchasing a distributor to get the same distribution, but would cost lots, this pairs two companies without a lot of overlap
-now have access to over 27,000 pharmacies, basically everywhere in Western Europe now; 390M people
-gained rationalization of the business; no longer have to buy bulk CBD; can provide own product from Germany etc
-European management team will be leading charge for ICC; pick up some good talent in Poland
-split makes sense to shreholders
-no shareholder approval required
-still have to do due diligence in Bulgaria, Poland, Denmark
-revenue split will equal ownership split
-gets broader framework, completes vertical integration EU GMP facility in Greece; Denmark
-sold 49.9% of international assets to International Cannabis Corp
Wayland Group (CNSX:WAYL) CEO Ben Ward

-JUJU chart; volume in the last 8 sessions has perked up; downward channel, created base, little move here
-International Cannabrands (CNSX:JUJU) at $0.115 looks like it’s about to break out
-these little companies need their time in the sun
Macroeconomics and Cannabis Analysis with James $ Ed

-indoor production 800,000 grams; outdoor grow 12,000 kilos of low cost biomass
-how will revenue scale for North Bud? depends on licenses; goal to have facility operational end of Q1 2019; allow to bring in genetics outside the cannabis act
-international space: looking for value
-timing of go-public wasn’t optimal, public not aware of the opportunity company represents
-building facility; amended licenses to add 500,000 square feet of outdoor grow
North Bud Company (CNSX:NBUD) CEO Ryan Brown

-all recent news suggest compressed valued that hasn’t been realized in share price yet
-TIlray chart: hard to read
-Tilray: was at $107, down to $83
Macroeconomics and Cannabis Analysis with James & Ed

-Tilray (NASDAQ:TLRY) move before free trading stock release; largest shareholder Privateer announcement that won’t trade stock, 20% surge; not all shares won’t be traded, some were; created buffer effect
-any opportunities in cannabis/cannabis related companies? James E Wagner Cultivation Corp; good valuation; no irridation, aeroponic growing, good branding strategy (not effected by cannabis act); should be cashflow positive in the next 3-4 months
-Cannabis Act is binding outside of Canada too (for Canadian LPs)
-how are they going to get cannabis from Canada to US (still not clear)
-Does it make sense for a brands company to take over an LP that’s making 250 kilos in Canada (cant advertise in Canada); positioning for a future
-Aphria shareholders want more than $11/share; GGB shareholders might want to hold out for better deal
-GGB re: offer for Aphria: a lot of investors against it; skepticism about relatively new MSO taking over a larger Canadian LP; mostl negative right now;
-still a slope of higher lows for Canopy Growth, could still test highs; Canopy’s move isn’t one to stake a long term position
-likes: big moves in Tier 1 cannabis names; FOMOing action; Canopy Growth increased $1B in market cap on NY news alone
Midas Letter Lead Financial Writer Ben Smith

-FSD Pharma chart: starting to break top line, maybe bottoming? short term downtrend; backoff quite a bit
-Q: what do you think about FSD Pharma (CNSX:HUGE)?
-Aurora (TSE:ACB) chart: new trend;
-TSX review: Aurora trading at about 2 times the volume of other large caps
-ML indexes: only the large cap is up; large cap names are getting the news
-TSXV review: Data Matrix; Namaste; CEOs do take money off the table from time to time, diversify holdings etc; not alarming; RYU Apparel (now at $0.09)
-CSE chart: FSD Pharma consistently the highest trader (volume); Cannara (CNSX:LOVE)
Macroeconomics and Cannabis Analysis with James & Ed

-TILT Holdings Inc (CNSX:TILT) closes acquisition of Blackbird logistics
-Micronwaste Technologies (CNSX:MWN) new CEO
-BIOME Grow Inc (CNSX:BIO) second purchase order with Nova Scotia
-National Access Cannabis Corp subsidiary NAC Prairies
-Trulieve Cannabis Corp (CNSX:TRUL) founders entered into voluntary lockup shares
-KushCo Holdings Inc (OTCMKTS:KSHB) entered into definitive agreements with investors for purchase of common stock
-OrganiGram (CVE:OGI) partnered with Canada’s Smartest Kitchen to develop edibles
Midas Letter News

-Canopy Growth (TSE:WEED) kind of overbought?
-cannabis sector firing on all cylinders
Macroeconomics and Cannabis Analysis with James & Ed

Midas Letter RAW highlights the stocks and stories to watch in the Canadian markets today. James West and Ed Milewski provide comprehensive fundamental & technical analysis on all trending business and investment news, while interviewing the top CEOs of all public companies and analysts with the highest reputations in the business.


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