Cronos Invests in PharmaCann
CRON is a long.
Cronos entered into an agreement that would give it the option to acquire 10.5% ownership in PharmaCann for $110.4 Million. The option exercise will be based on various factors, such as US federal legalization status and regulatory approvals. Pharmacann has six production facilities and 23 dispensaries operating in six limited license states: New York, Illinois, Ohio, Maryland, Pennsylvania, and Massachusetts. Pharmacann is a privately held company. Following the exercise of the option, Cronos and PharmaCann will enter into agreements that would permit each party to offer its products through each other's distribution channels creating synergies.
Ontario Private Stores Reopening
Due to Covid-19, privately owned retailers were prevented from opening their in-person retail to customers. After a long wait, stores will be allowed to have customers at a measly 15% capacity in addition to delivery and curbside pickup, which were already allowed. A spokesperson for the Ministry of the Attorney General said, “The Ontario government remains focused on providing consumers and private cannabis retailers with a competitive open market for retail storefronts while protecting the well-being of our youth, keeping communities safe, and combatting the illegal market.” This is consistent with Canada's overall long-term goal of wiping out illegal cannabis activity and driving the legal cannabis share of total sales. Ontario is Canada's largest province with 13.5 Million people, which is 40% of its total population.
Virginia Legal
In two weeks in Virginia, individuals over the age of 21 will be able to legally possess up to an ounce of marijuana without criminal or civil penalties. The state has also started a website: cannabis.virginia.gov, which will provide information to answer any questions people may have about what is and is not allowed. One of the things which will be allowed is "adult sharing." This is transferring up to one ounce of marijuana without remuneration. Legal sales are still expected to begin earliest in 2022, although an exact date has not been set yet.
