NEW YORK: Data indicates that psychedelics are gaining popularity. For example, in 2019, the Global Drug Survey collaborated with psychedelic researchers to examine the acceptability of psychedelic products and other drugs such as MDMA (ecstasy) and ketamine in the field of psychiatry.
The growing awareness of cannabidiol, or CBD's, health benefits has pushed the market into mainstream retail. And yet, despite its growth of recent years, it is important to remember that cannabis products are still illegal in the U.S on the federal level. This regulatory hurdle is one of the last remaining obstacles that has been holding the industry back to a certain degree. There is plenty of room for growth here, believes Confident Cannabis VP of Growth & Marketing Brad Bogus according to a report by Civilized. CBD is sort of stuck in between prohibition era policies and federal acceptance. We just saw the first cannabis derived FDA approved medication make its way onto the market, which is a CBD medication. Where it goes from here in the world of Big Pharma is hard to say, but the direction will be up, in some velocity. Seniors are more keen to try a CBD product over a THC product, so even on the regular non-pharmaceutical market, CBD will still snag a good portion of untapped market share. International trade of source material is another big advantage of the CBD market, to help it grow.
Newleaf Brands Inc. (OTC NLBIF) (CSE NLB) announced breaking news today that, it has signed a definitive agreement (the Agreement') dated May 5, 2020 with Trellis Holdings Oregon, LLC (Trellis) to acquire 37.5% of the issued and outstanding share capital of Trellis Holdings Oregon Op LLC (Trellis) from David Joshua Bartch and Benjamin Martch (the Vendors) by way of a share exchange (the Transaction), as previously announced on February 6th, 2020.
Trellis Holdings Oregon, LLC has been successfully operated since 2015 by a group of cannabis industry veterans and cultivates thousands of pounds of high-quality cannabis per year, including strains that exceed 30% in THC content, and has 7 figure revenues that continue to grow significantly year over year. Trellis holds various licenses with the OLCC in the state of Oregon and operates in both the medical and recreational cannabis markets, maintaining an 11-acre recreational cultivation property in Southern Oregon and operating a medical and recreational cannabis dispensary in Portland, Oregon. Trellis
'We announced the LOI to acquire a position in Trellis some time back and have been working diligently to close the transaction,' commented Joshua Bartch, CEO of NewLeaf Brands. 'This transaction is significant in a number of ways for the company. Not only does Trellis bring a wealth of assets, potential revenue and key personnel but the crossover between the cannabis space and the mycology space is immense.'
Mr. Bartch continued, 'Through Initiative #34, Oregon is poised to be the first territory on the planet to not just decriminalize, but actually legalize, psychedelic mushrooms in some capacity. Given that Trellis operates its cultivation in Sothern Oregon on an 11-acre property that is already owned, debt-free, by NewLeaf Brands, the Company has a unique opportunity to share the land and staff for a potential future mycology cultivation space and laboratory. He concluded, With recent donations to the tune of $1,000,000 towards the Petition from prominent companies such as Dr. Bronner's Soap, the likelihood of the initiative becoming a reality is beginning to look truly promising.'
According to the campaign for the initiative, 'IP 34 gives those suffering from depression, anxiety, and anyone that would benefit, a new treatment option by creating a licensed and supervised psilocybin-assisted therapy system. Rigorous studies at leading medical research institutions such as Johns Hopkins, UCLA, and NYU show that psilocybin therapy is uniquely effective in treating depression, anxiety, and addiction. This promising research has prompted experts in Oregon to advance IP 34 for the November ballot — IP 34 will create a licensed psilocybin therapy program so Oregonians have the best therapeutic options available.'
The Company has entered into the Agreement to acquire 37.5% of the issued and outstanding share capital of Trellis, (the Acquisition). Pursuant to the Agreement, the Company will purchase 37.5% of the issued and outstanding share capital of Trellis in exchange for 28,000,000 common shares in the capital of the Company (the Shares) at a deemed value of $0.106 per Share representing, in the aggregate, 33.70% of the issued and outstanding Shares on a non-diluted and partially diluted basis for an aggregate gross proceeds of $2,968,000 CAD ($2,250,000 USD). The transaction does not constitute a change of control... (PRN/9 months ago)