SOL Global is rapidly becoming the front runner in the US medical cannabis industry
When cannabis comes up in a conversation, it’s quite easy to get the impression that attitudes towards it are changing worldwide, particular in medicinal cannabis. It’s not just an observation, its turning into a fact. Many countries are now legalizing medical cannabis use, including South Korea and Thailand. There’s going to be more to smile about in the country of smiles, and the American and Canadian influence is a big part of it. In the US legal cannabis industry producers have the advantage of being years ahead in the development of this industry.
SOL Global Investments Corp. (CSE: SOL | OTCQB: SOLCF) is an international investment company with a focus on the cannabis industry in legal U.S. states. The Company’s R&D program with the University of Miami is complemented by its strategic investments and partnerships across cultivation, distribution and retail. This comprehensive approach is positioning SOL as a future front-runner in the United States’ medical cannabis industry. Just in April 2019 SOL has undergone rapid growth and is going from strength to strength.
SOL Global acquired a 10.3% stake in Sacred
Announced on April 2, 2019, SOL acquired a 10.3% stake in Sacred, a Chicago based manufacturer of premium hemp seed oil-infused products, including pain relief balms and oils, feminine products, massage oils, salt soaks, and personal lubricants. Investment from SOL will help Sacred pursue Food and Drug Administration approval for its hemp seed oil derived pain relief balms and lotions, with the aim of becoming one of the first hemp companies in the United States to receive FDA approval.
Sacred Hemp CEO Silvia Orizaba said. “SOL’s investment will also help our company fortify and expand our existing product lines, as well as ramp up our consumer outreach efforts.”
SOL Global plans to spin off Scythian Biosciences Inc.
SOL recently announced it plans to spin off its wholly owned subsidiary, Scythian Biosciences Inc., into an independent, publicly traded company. Upon the closing of the spin-off, which is expected to occur on or before September 30, 2019, SOL shareholders will own shares of both companies.
Brady Cobb, CEO of SOL Global stated: “We believe this transaction will unlock value for all of our current SOL shareholders and also remains consistent with SOL’s investment strategy in the cannabis space.”
Scythian Biosciences Inc. (to be renamed Impact Biosciences Corp.) is a research and development company that is developing a proprietary cannabinoid combination drug therapy for the treatment of concussions and traumatic brain injury. Impact’s mission is to be the first accepted drug regimen for concussive treatment. Impact has also been endorsed by Pro Football Legends and the World Boxing Association on its mission.
SOL Global subsidiary 3 Boys Farms LLC. to acquire Merida’s Michigan subsidiary MCP Wellness Inc.
Also in April, SOL Global subsidiary 3 Boys Farms LLC. entered into a binding letter of intent with cannabis focused private equity firm Merida Capital Partners to acquire Merida’s Michigan subsidiary MCP Wellness Inc. for an aggregate purchase price of US$150 million. MCP Wellness currently holds the rights to acquire two Michigan cultivation licenses, a processing license, and 3 fully licensed cannabis provisioning centers’ in Michigan with a fourth provisioning center scheduled to open in May. MCP Wellness plans to open an additional nine municipally approved provisioning centers by August 2019. Assuming plans are completed as scheduled, SOL Global and Merida expect Michigan gross revenue from the acquired business to generate in excess of US$61 million in calendar year 2019 and more than US$121 million in 2020. Now that’s a quick payback on investment.
SOL Global Investments Corp. keeps growing at such a fast rate it’s sometimes hard to keep up with everything that is happening. After a very busy April one could say SOL Global is growing even faster than the cannabis industry, and is positioning themselves as the leading medical cannabis company invested into the US. For investors having your fingers in a few pies could be a good thing as SOL continues their acquisitions and spinning off Scythian Biosciences into an independent, publicly traded company thereby benefiting both the Company and shareholders.