FinCanna Forges Ahead in California’s Licensed Medical Cannabis Market
Ryan Allway
January 11th, 2018
Exclusive, News, Top News
The cannabis industry has experienced tremendous growth over the past couple of years. According to Cowen & Co., the U.S. industry could exceed $50 billion over the coming years as more states liberalize their marijuana policies. Medical marijuana enjoys the broadest support across the political spectrum as researchers continue to uncover new ways that cannabinoids can help address serious medical conditions.
For investors looking to get involved in the more ethical side of the business, FinCanna Capital Corp. (CSE: CALI) represents a compelling opportunity in the form of a royalty company specifically focused on the legal medical cannabis market. The company recently went public on the Canadian Securities Exchange (CSE) and raised C$14 million to invest, among things, in a ground breaking licensed medical cannabis campus to be developed in Coachella, California. The medically-focused approach could help avoid some of the issues that could face the recreational side of the industry moving into the new year.
Sessions’ Surprising Memo
United States Attorney General Jeff Sessions surprised the legal cannabis industry by rescinding the Obama era Cole Memo that helped pave the way for state-wide legalization. While the new memo does not implement any changes to federal law, it removes previously non-binding guidance issued to U.S. attorneys and reinforces that federal prosecutors should exercise their discretion in determining whether to prosecute recreational cannabis-related violations of U.S. federal law.
“Based on the nature of the memo from Sessions and the public response from several U.S. attorneys, we don’t expect any real impact on the growth potential of the licensed medical cannabis industry operating legally under state laws and the companies in which we seek to invest,” said FinCanna Capital CEO Andriyko Herchak. “We will continue to pursue our business strategy of investing in best-in-class businesses in the licensed medical cannabis industry that operate in full compliance with all state laws and local regulations.”
FinCanna Capital and many other industry experts believe that the Sessions memo could actually pave the way to greater progress. In particular, the memo could create an impetus for members of both political parties to unify in efforts to create a clear federal policy further in support of the licensed medical cannabis industry.
Moving Forward with Medical Cannabis
FinCanna Capital remains focused on identifying investment opportunities within the licensed medical cannabis industry. With a focus on California’s market, the company’s flagship investment is in Cultivation Technologies Inc. (CTI), which plans to construct a 111,500 sq. ft. facility in Coachella, California. The facility will include 81,600 sq. ft. of cultivation space, a 9,000 sq. ft. extraction and manufacturing center, and 26,300 sq. ft. for activities such as testing and distribution.
Under the terms of its investment, FinCanna Capital will receive a royalty worth 10% of CTI’s revenue from the Coachella facility in exchange for an investment to bring the project to life. FinCanna Capital is also entitled to receive 50% of the profits from CTI’s interim medical cannabis extraction facility, which is currently in operation and is capable of processing an estimated 6,000 pounds of biomass per month and can yield approximately 3.7 million grams of raw oil each year – a significant amount by any measure.
The company recently went public on the Canadian Securities Exchange under the ticker symbol “CALI” after raising approximately C$14 million in capital. With a significant amount of capital in its coffers and the potential for near-term revenues from CTI and royalties from future potential investments, the company is uniquely positioned to generate value for shareholders. Management is committed to building its portfolio of investments by sourcing and funding additional top-tier companies and projects operating in the licensed medical cannabis sector in exchange for royalties.
Looking Ahead
FinCanna Capital Corp. (CSE: CALI) represents a unique investment opportunity in the licensed medical cannabis industry. While the Sessions memo was a surprise, the management team is confident in the industry moving forward given its focus on licensed medical cannabis versus recreational marijuana. Investors may want to take a closer look at the stock given anticipated revenues from CTI along with potential royalties from additional investment opportunities that are aligned with the current legislative environment in the United States.
For more information, visit the company’s website at www.fincannacapital.com.
This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.
About Ryan Allway
Mr. Allway has over a decade of experience in the financial markets as both a private investor and financial journalist. He has been actively involved in the cannabis industry since its inception, covering public and private companies.
Search CannabisFN
Press Coverage
Psychedelics Index
Top Videos
The producers of O’ Cannabiz have decades of experience producing national-profile events and creating global connections between business communities in the arts, broadcasting, media and technology. They have organized trade summit initiatives with governments around the world. And they have worked closely with sponsors in all levels of Canadian government.
Alan Brochstein’s 420 Investor is the go-to community for investors to learn, explore, and profit from the marijuana companies. The main goal of 420 Investor is to provide real-time, objective information about the top marijuana companies in the market in order to help investors capitalize on cannabis.
Xtraction Services provides state-of-the-art, fully-automated, supercritical CO2 extraction machines with on-site staffing at no upfront cost, and a simple volume-based pricing model.
Network Partners
About CFN Media Group
CFN Enterprises Inc. (OTCQB: CNFN) owns and operates CFN Media Group, the premier agency and financial media network reaching executives, entrepreneurs and consumers worldwide. Through its proprietary content creation, video library, and distribution via www.CannabisFN.com, CFN has built an extensive database of cannabis interest, assisting many of the world’s largest cannabis firms and CBD brands to build awareness and thrive. For more information, please visit www.cfnenterprisesinc.com.
Disclaimer: Matters discussed on this website contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. CFN Media Group, which owns CannabisFN, is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. CFN Media Group, which owns CannabisFN, may from time-to-time have a position in the securities mentioned herein and will increase or decrease such positions without notice. The Information contains forward-looking statements, i.e. statements or discussions that constitute predictions, expectations, beliefs, plans, estimates, or projections as indicated by such words as "expects", "will", "anticipates", and "estimates"; therefore, you should proceed with extreme caution in relying upon such statements and conduct a full investigation of the Information and the Profiled Issuer as well as any such forward-looking statements. Any forward looking statements we make in the Information are limited to the time period in which they are made, and we do not undertake to update forward looking statements that may change at any time; The Information is presented only as a brief "snapshot" of the Profiled Issuer and should only be used, at most, and if at all, as a starting point for you to conduct a thorough investigation of the Profiled Issuer and its securities and to consult your financial, legal or other adviser(s) and avail yourself of the filings and information that may be accessed at www.sec.gov, www.pinksheets.com, www.otcmarkets.com or other electronic sources, including: (a) reviewing SEC periodic reports (Forms 10-Q and 10-K), reports of material events (Form 8-K), insider reports (Forms 3, 4, 5 and Schedule 13D); (b) reviewing Information and Disclosure Statements and unaudited financial reports filed with the Pink Sheets or www.otcmarkets.com; (c) obtaining and reviewing publicly available information contained in commonlyknown search engines such as Google; and (d) consulting investment guides at www.sec.gov and www.finra.com. You should always be cognizant that the Profiled Issuers may not be current in their reporting obligations with the SEC and OTCMarkets and/or have negative signs at www.otcmarkets.com (See section below titled "Risks Related to the Profiled Issuers, which provides additional information pertaining thereto). For making specific investment decisions, readers should seek their own advice and that of their own professional advisers. CFN Media Group, which owns CannabisFN, may be compensated for its Services in the form of cash-based and/or equity-based compensation in the companies it writes about, or a combination of the two. For full disclosure, please visit: https://www.cannabisfn.com/legal-disclaimer/. A short time after we acquire the securities of the foregoing company, we may publish the (favorable) information about the issuer referenced above advising others, including you, to purchase; and while doing so, we may sell the securities we acquired. In addition, a third-party shareholder compensating us may sell his or her shares of the issuer while we are publishing favorable information about the issuer. Except for the historical information presented herein, matters discussed in this article contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. CFN Media Group, which owns CannabisFN, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this release. CFN Media Group, which owns CannabisFN, may from time to time have a position in the securities mentioned herein and will increase or decrease such positions without notice. For making specific investment decisions, readers should seek their own advice and that of their own professional advisers. CFN Media Group, which owns CannabisFN, may be compensated for its Services in the form of cash-based and/or equity- based compensation in the companies it writes about, or a combination of the two. For full disclosure please visit: https://www.cannabisfn.com/legal-disclaimer/.
Copyright © Accelerize Inc. · All Rights Reserved · Privacy Policy · Legal Disclaimer
