President Trump has indicated that he will sign the bill Thursday
NEW YORK, Dec. 13, 2018 (GLOBE NEWSWIRE) --
Cannagreed.com News Commentary
While stocks have taken a beating due to trade concerns with China and rising rates, there is green at the end of the tunnel! With Congress approving the 2018 Farm Bill, stocks in the CBD space are poised to benefit and should run counter to the current market downward trends. The passage of the 2018 Farm Bill presents a tremendous opportunity for the CBD sector to continue to grow while the rest of the market shows significant volatility.
Cannabidiol, or CBD, is the non-psychoactive chemical compound found in the hemp plant. The 2018 Farm Bill will nationally legalize the cultivation and farming of that plant. This bill also allows for the national legalization of CBD, lifting many barriers that exist for full scale commercial acceptance of the compound. “This is a watershed moment for the CBD industry,†said Brightfield Group, a company that specializes in cannabis and CBD market research, which projects that the medical and recreational CBD market is expected to reach an estimated value of $22 billion by 2022.
Many companies have been positioning themselves to take advantage of this huge, untapped market opportunity that the CBD and Hemp space presents. These companies present an opportunity to get in early and capitalize from expected passage of the Farm Bill before it could be too late.
EnviroTechnologies International (ETII), a developer and marketer of green, natural and organic products recently announced the acquisition of CBD Health Co., a company that markets and sells high quality and proprietary hemp-based, natural CBD health products. Gaylord Karren, ETII’s CEO, commented, “We acquired CBD Health Co. because our company was founded to use green and natural products to make our environment safer and promote products that improve our quality of life.†This acquisition came after the Company’s launch of CBD Hemp Protein, which caters to the health and sports markets. This product offers a high-quality, eco-friendly compound that can support muscle gain, fat loss, and peak performance. All of ETII’s products are poised for greater distribution now that the Farm Bill has passed Congress.
Cronos Group (CRON) the Canadian based cannabis producer entered into a subscription agreement with tobacco company Altria Group, Inc. Altria agreed to make an approximately $1.7 billion equity investment in Cronos Group. The Shares issuable to Altria pursuant to the Subscription Agreement will result in Altria holding an approximately 45% ownership interest in Cronos Group. “This strategic partnership provides Cronos Group with additional financial resources, product development and commercialization capabilities, and deep regulatory expertise to better position the Company to compete, scale and lead the rapidly growing global cannabis industry,†stated Cronos CEO Mike Gorenstein. Altria’s investment in Cronos also positions the Company to capitalize off the passage of the Farm Bill, as with Hemp now being a legal crop, Altria can shift cultivation from its millions of acres of farms from tobacco to Hemp.
GW Pharmaceuticals (GWPRF), the maker of Epidiolex, an epilepsy drug that contains CBD. This is the first FDA-approved drug made from the cannabis plant, and its approval was done in tandem with the FDA reclassifying certain drugs containing CBD to Schedule 5 drugs. Now that CBD is a legal substance, there are expectations that the Company will be looking to develop other CBD derived drugs. They could be the market front-runners for the soon to be nascent CBD biopharma space.
Cannabis Sativa, Inc (CBDS), is a US based marketer and manufacturer of cannabis & hemp products. The Company recently announced that it had secured a patent for a CBD lozenge that helps treat hypertension. This opens up a potentially huge medical opportunity for the Company, as hypertension is the one of the country’s biggest ailments, afflicting in some 7 out of 10 Americans in some form. With the passage of the Farm Bill, it could potentially open the door for insurance companies to provide reimbursement for prescriptions of this drug, potentially opening up tens of millions of dollars in additional revenue.
American Premium Water Corporation (HIPH), the marketer and distributor of LALPINA CBD, the first hydro-nano beverage on the market, announced that its has formed a distribution partnership with Upside Health’s product Ouchie, a pain management app and platform targeting the over 120 million Americans who live with chronic pain. This partnership will give the Company access to a captive audience of consumers afflicted with pain whom are most likely to benefit from CBD products. Now that CBD will be under FDA oversight, there is reason to believe that it will be adapted by more insurance providers as a bona fide treatment, which could allow for companies like American Premium Water to generate revenue from government subsidies.
For commentary inquiries, please contact: [email protected]
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and CG undertakes no obligation to update such statements.
You should not rely on the information presented; you should do independent research to form your own opinion and decision. Information contained in our disseminated emails does not constitute investment, legal or tax advice upon which you should rely. The purchase of high-risk securities may result in the loss of your entire investment. Advertisements received by you are not a solicitation or recommendation to buy securities of the advertised company. CG was not compensated by, (ACB), (CBDS),(HIPH), (GWPRF), (CVSI) or any other company mentioned in this article.
Full Disclaimer: http://www.cannagreed.com/disclaimer/