Key Takeaways; Cannabis Sector

• Canopy Growth implemented share consolidation to meet Nasdaq listing standards.
• Curaleaf successfully listed on the Toronto Stock Exchange.
• Safe Harbor Financial boosted social equity in Connecticut with a $1.17m loan to Higher Collective.
Key Takeaways; Psychedelic Sector
• Awakn achieved significant regulatory milestone and closed financing tranche as per the recent corporate update.
• MindMed reported positive results for Phase 2b trial in generalized anxiety disorder.
Below is a weekly roundup on the cannabis and psychedelic sectors. In this ever-evolving landscape, we explore the major developments and groundbreaking initiatives happening among companies operating in these industries; from advancements in medical research, therapeutic applications to shifts in legal frameworks and current market trends.
Top Marijuana Companies for Week

#1: Canopy Growth
Canopy Growth Corporation (NASDAQ: CGC), a prominent Canadian cannabis producer, announced a share consolidation strategy to maintain its listing on the Nasdaq exchange. The decision, which was approved during the company’s annual general meeting in September, entailed consolidating shares at a ratio of one post-consolidation common share for every ten pre-consolidation shares. The move aims to bring Canopy’s share price in line with Nasdaq’s minimum bid requirement of $1 per share.
The consolidation plan became effective on Friday, December 15, with post-consolidation shares expected to commence trading on both the Nasdaq (CGC) and the Toronto Stock Exchange (WEED) on Monday, December 20.
Canopy’s Chief Financial Officer, Judy Hong, stated that the share consolidation is expected to help the company regain compliance with Nasdaq’s bid requirement and enhance the marketability of its shares; “By implementing this share consolidation, Canopy Growth expects to regain compliance with the Nasdaq’s bid requirement and further support the marketability of the Company’s shares,” Judy Hong said in the press release.
Canopy Growth joins the ranks of other Nasdaq-listed cannabis companies, including Hexo Corp. (now part of Tilray Brands, Inc. (NASDAQ: TLRY)), Organigram Holdings Inc. (NASDAQ: OGI), and Agrify Corporation (NASDAQ: AGFY), that have previously implemented share consolidations to meet Nasdaq listing standards.

#2: Curaleaf
New York-based marijuana multistate operator, Curaleaf Holdings, Inc. (OTC: CURLF), successfully commenced trading on the Toronto Stock Exchange (TSX) on Thursday, marking a significant move for the company. The shares of Curaleaf are now listed as CURA on the Canadian exchange.
Curaleaf’s senior management team, led by CEO Matt Darin and Executive Chair Boris Jordan, had the honor of ringing the opening bell at the TSX on Thursday. The decision to list on the TSX came after the company received conditional approval the week before.
The transition to the TSX also involved the delisting of Curaleaf’s shares from the Canadian Securities Exchange, which was completed at the close of markets on Wednesday. Shareholders were assured that no action on their part was required in this process.
The decision to list on the TSX mirrored a trend within the marijuana industry, with fellow multistate operator TerrAscend Corp. (OTC: TSNDF) making a similar move in July. Both companies sought to tap into a larger pool of investors available on the TSX, aiming for increased visibility and access to institutional support.
Curaleaf’s uplisting represents the company with a significant step in aligning with broader market trends and expanding its reach within the investment landscape. And Boris Jordan expressed confidence in the company’s direction following the listing, stating, “I am as confident as ever in the direction we are headed, and I am grateful to the TSX, our shareholders, partners, and everyone in the company for helping get us here today.”

#3: Safe Harbor Financial
In a significant move to support social equity initiatives in the emerging Connecticut cannabis market, SHF(Safe Harbor Financial) Holdings, Inc. (NASDAQ: SHFS), a leading cannabis industry financial services firm, along with its partners announced a $1.17 million loan to a prospective marijuana retailer in the state. The forthcoming marijuana retailer store, Higher Collective brand, is set to become a flagship social equity joint venture, signaling a positive step towards inclusive growth within the cannabis industry.
The substantial $1.17m loan, aimed at acquiring and constructing the new store, is backed by a first lien on the property. While specific details such as the loan’s term and interest rate were not disclosed by Colorado-based Safe Harbor, the financial services firm emphasized that the debt was issued at market-competitive terms. Notably, these terms include a flexible structure allowing interest-only payments during the construction period.
Higher Collective, with its existing portfolio of four adult-use retail stores in Connecticut, is rapidly expanding its footprint in the state. Dan Roda, Executive Vice President, and Chief Operating Officer of Safe Harbor expressed the firm’s satisfaction in supporting this growing social equity joint venture. He stated, “We are pleased to support this rapidly growing social equity joint venture, which aligns with Safe Harbor’s commitment to supporting social equity operators within the cannabis industry with the provision of normalized banking services.”

Top Psychedelic Companies for Week

#1: Awakn
Awakn Life Sciences Corp. (OTC: AWKNF), a clinical-stage biotechnology company specializing in addiction therapeutics, provided a corporate update highlighting recent milestones and financial developments.
The first noteworthy achievement involved the company receiving regulatory and ethical approvals for the phase III clinical trial of its lead program, AWKN-P001, which is designed to address Severe Alcohol Use Disorder (SAUD). This collaborative trial, funded by both Awakn and the NIHR Efficacy and Mechanism Evaluation (EME) Programme, was authorized by the Medicines and Healthcare products Regulatory Agency (MHRA) and received ethical approval from the UK’s Health Research Authority.
In addition, Awakn completed a feasibility study for its MDMA proprietary formulation using Catalent’s Zydis® orally disintegrating tablet (ODT) technology. The study confirmed the stability of MDMA on Zydis ODT technology, indicating its suitability for pre-gastric absorption.
Awakn also engaged Orphan Insight Ltd. to spearhead the development and advancement of market access, pricing, and reimbursement strategies for its lead program, AWKN-P001.
On the financial front, Awakn initiated a non-brokered private placement financing on April 26, 2023, with an initial target of $3,000,000 in gross proceeds. Subsequently, the offering was upsized to $4,000,000 on June 15, 2023, at a price of CAD$0.46 per unit. Each unit comprises one common share and three-quarters of one whole common share purchase warrant.
As of the recent update, Awakn said that they had closed the fourth tranche of the private placement, issued 500,000 units, and raised gross proceeds of $230,000 for this tranche. In total, the company stated that they had raised $2,964,663 through the offering as of Friday, December 15, 2023. The company also said that they intend to use the gross proceeds from the offering to fund the company’s general working capital.

#2: MindMed
Mind Medicine (MindMed) Inc. (NASDAQ: MNMD) reported positive topline results from its Phase 2b clinical trial of MM-120 (lysergide d-tartrate) in treating generalized anxiety disorder (GAD). The trial successfully met its primary endpoint, demonstrating statistically significant and clinically meaningful dose-dependent improvements on the Hamilton Anxiety rating scale (HAM-A) compared to a placebo at Week 4. MM-120 was administered as a single dose in a monitored clinical setting without additional therapeutic intervention.
Robert Barrow, CEO and Director of MindMed, expressed excitement over the positive results, emphasizing the potential impact on patients affected by GAD; “We are excited by the strong positive results for MM-120 in GAD, particularly given that this is the first study to assess the standalone drug effects of MM-120 in the absence of any psychotherapeutic intervention. These promising findings represent a major step forward in our goal to bring a paradigm-shifting treatment to the millions of patients who are profoundly impacted by GAD,” said Robert Barrow.
With approximately 20 million people currently suffering from GAD—a condition associated with underdiagnosis and underservice—these findings mark a crucial step forward. MindMed said that they plan to share additional study results in the coming months, including topline 12-week results in the first quarter of 2024. The company also stated that they aim to collaborate closely with the FDA to finalize the Phase 3 development program for MM-120 in GAD.

Key Takeaways; Cannabis Sector

• The Cannabist Company celebrated approval for adult-use cannabis sales in New York.
• Curaleaf gained conditional approval for uplisting to the Toronto Stock Exchange.
• MedMen prevailed in legal battle against Whitestar Solutions allegations.
Key Takeaways; Psychedelic Sector
• Awakn received regulatory and ethical approval for Phase III clinical trial of AWKN-P001.
• Filament Health secured $4.3 million financing, as they advance Nasdaq uplisting efforts.

In a dynamic week for the cannabis sector, New York state regulators granted approval to six Cannabis multistate operators with medical marijuana licenses to enter the adult-use market on December 29, marking a pivotal moment one year after the launch of recreational sales. This widely anticipated decision signified a significant milestone in the state’s recreational marijuana market rollout, and it follows the New York State Supreme Court’s recent decision to lift an injunction on December 1, enabling the issuance of new adult-use business licenses.
The six operators that got the green light from the state’s Cannabis Control Board include: Curaleaf NY, part of New York-headquartered MSO Curaleaf Holdings, Inc. (OTC: CURLF), Valley Agriceuticals LLC, which is owned by Cresco Labs Inc. (OTC: CRLBF), NYCanna, part of New York-headquartered MSO Acreage Holdings, Inc. (OTC: ACRHF), Columbia Care NY, whose parent is New York-based MSO The Cannabist Company Holdings Inc. (OTC: CBSTF), Etain Health, owned by RIV Capital Inc. (OTC: CNPOF), a Toronto-based investment firm, and PharmaCann, whose parent is Chicago-based private MSO PharmaCann.
Below is a weekly roundup on the cannabis and psychedelic sectors. In this ever-evolving landscape, we explore the major developments and groundbreaking initiatives happening among companies operating in these industries; from advancements in medical research, therapeutic applications to shifts in legal frameworks and current market trends.
Top Marijuana Companies for Week

#1: The Cannabist Company
The Cannabist Company Holdings Inc. (OTC: CBSTF), formerly known as Columbia Care, celebrated a significant milestone as it received approval from the New York Office of Cannabis Management for adult-use wholesale distribution and retail sales. As a result, the company stated that they will immediately commence adult-use wholesale deliveries in New York, offering products from its Riverhead and Rochester cultivation facilities to active retail locations across the state.
The Cannabist Company, which is a prominent cultivator, manufacturer, and retailer of cannabis products in the U.S., said that they plan to make their popular brands, including Seed & Strain and Hedy edibles, available to both existing and newly approved adult-use dispensaries. According to the company, the first sale is set to take place with Herbal IQ, a retailer with five locations near Buffalo and Rochester. The company also anticipates launching additional brands in the coming months, subject to regulatory approval.
Nicholas Vita, CEO of The Cannabist Company, expressed excitement about the approval to enter the adult-use market in New York, citing the state as the “cannabis capital of the East Coast.” Vita emphasized the company’s readiness to meet the growing demand by leveraging its scaled cultivation and manufacturing facilities in Long Island and Rochester.
“After more than a decade of serving the New York medical market, the day has finally arrived for us to capitalize on the tremendous assets we have built and to begin bringing trusted, tested products to the growing adult-use market. New York is the cannabis capital of the East Coast, and we are thrilled to be supplying our partners with high-quality products as the industry reaches a new milestone with the further implementation of adult-use sales,” said Nicholas Vita.

#2: Curaleaf
New York-based cannabis multistate operator Curaleaf Holdings, Inc. (OTC: CURLF) achieved a significant milestone in its strategic plan of securing “conditional approval” from Canadian securities regulators to uplist its shares to the prestigious Toronto Stock Exchange (TSX), which is the third-largest stock exchange in North America. The move, which was announced on December 7, 2023, reflects Curaleaf’s ongoing efforts to broaden its investor base and enhance its financial standing.
The uplisting, which will involve the trading of subordinate voting shares, is not yet finalized, as Curaleaf must fulfill certain conditions set by the TSX before its shares can officially begin trading on the exchange. The company affirmed that it would issue another statement once this process is complete, providing clarity on the timeline for its shares becoming active on the TSX.
As part of the transition, Curaleaf will cease trading on the Canadian Securities Exchange (CSE), where it is currently listed under the symbol CURA. The company intends to be delisted from the CSE as soon as its shares are officially listed on the TSX.
The decision to uplist follows the application made by Curaleaf in October, a strategic move that mirrors the trajectory of other multistate operators like TerrAscend Corp. (OTC: TSNDF), which successfully transitioned to the TSX in July. Uplistings such as these are part of a broader industry trend aimed at accessing a wider pool of investors and capitalizing on the increased liquidity associated with major stock exchanges.

#3: MedMen
MedMen Enterprises Inc. (OTC: MMNFF) secured a legal victory in a case filed by Whitestar Solutions LLC, where Whitestar accused MedMen of fraudulent inducement in a breach-of-contract lawsuit. The dispute originated in 2020 when Whitestar alleged that MedMen had misrepresented stocks used in the acquisition of EBA Holdings Inc., a cannabis cultivation and dispensary business in Arizona.
Whitestar claimed that it agreed to an all-stock deal, expecting unrestricted stock, but later discovered that the stocks were encumbered as they were foreign-issued shares subject to restrictive legends. Despite this revelation, Whitestar proceeded with the deal, leading to complications later.
The Arizona Court of Appeals recently upheld the initial decision in favor of MedMen, rejecting Whitestar’s arguments. The court determined that Whitestar failed to provide evidence of harm or damage caused by the alleged misrepresentation.
This legal victory is significant for MedMen, a cannabis multistate operator based in Los Angeles, as it reinforces the company’s position against allegations of fraudulent practices and breaches of contract.
Top Psychedelic Companies for Week

#1: Awakn
Awakn Life Sciences Corp. (OTC: AWKNF), a pioneering clinical-stage biotechnology company, recently achieved a significant milestone in the development of its lead program, AWKN-P001, designed to revolutionize the treatment of Severe Alcohol Use Disorder (SAUD). The company announced the receipt of clinical trial authorization from the Medicines and Healthcare products Regulatory Agency (MHRA) and ethical approval from the Health Research Authority in the UK for a phase III clinical trial.
SAUD, the most acute form of alcohol use disorder, affects approximately 12.5 million individuals in the US and key European markets, including Germany, the UK, France, Italy, and Spain.
AWKN-P001 represents a novel therapeutic approach, combining a N-methyl-D-aspartate receptor-modulating drug (ketamine) with psycho-social support to address SAUD. The results from the phase II study were highly promising, demonstrating an 86% abstinence rate in the six months post-treatment, a stark contrast to the mere 2% abstinence rate pre-trial. Additionally, AWKN-P001 showed a 25% abstinence rate, surpassing the current standard of care.
The phase III trial, funded by Awakn, The University of Exeter, and a partnership between the National Institute for Health and Care Research (NIHR) and the Medical Research Council (MRC), will involve 280 participants in a two-armed randomized placebo-controlled trial.
Anthony Tennyson, Awakn CEO, highlighted the significance of the regulatory and ethical approval: “This regulatory and ethical approval is not only a testament to our commitment to scientific rigor and patient well-being, but also a pivotal step in our commercial journey. It opens new horizons for Awakn, as we move one step closer to delivering a potentially transformative therapy to the market.”

#2: Filament Health
Vancouver-based psychedelic drug development company, Filament Health Corp. (OTC: FLHLF), successfully secured $4.3 million in financing, with an option to obtain an additional $11.1 million, through a securities purchase agreement with Helena Global Investment Opportunities 1 Ltd. The funding comes in the form of secured convertible notes, with a 10% annual interest rate and a 12-month term. Filament said that they plan to use the funds to support its ongoing operations and drug development programs.
The financing is tied to Filament’s merger with Jupiter Acquisition Corp. (NASDAQ: JAQC), a special purpose acquisition company(SPAC), which received regulatory approval in mid-November. Upon closing of the SPAC merger, the combined entity will be rebranded as TopCo. According to Filament, they aim to use the new financing to propel themself towards a listing on the Nasdaq, marking a significant milestone in its business strategy.
In addition to the financing from Helena, Filament announced that they had also completed a separate fundraising round, raising C$900,000 through the issuance of unsecured convertible notes to certain investors affiliated with Jupiter and Filament. The company said it plans to raise an additional $900,000 through this method.
Filament CEO Ben Lightburn expressed confidence in the financings, emphasizing their role in de-risking milestones and supporting the execution of the proposed business combination. Despite reporting a C$1.3 million net loss in the most recent quarter, Filament sees the financing as crucial for advancing internal operational and drug development initiatives.

Key Takeaways; Cannabis Sector

• Canopy Growth successfully concluded BioSteel sale.
• Jushi filed CA$600 million shelf prospectus for strategic flexibility.
• MTL Cannabis reported soaring Q2 revenue after merger.
• 22nd Century Group is streamlining operations by selling its hemp division for $2.25 million.
Key Takeaways; Psychedelic Sector
• Awakn’s recent regulatory and ethical approval for a Phase III clinical trial was highlighted.
• Numinus Wellness reported revenue surge for fiscal year 2023, despite margin challenges.

As we enter the last month of 2023, the cannabis sector remains in the spotlight, showcasing notable developments and market dynamics. In the aftermath of a turbulent October, cannabis stocks made significant strides in November, with the Cannabis Stock Index rebounding from a substantial loss. However, despite a promising start to December, the index still grapples with a 17.5% decline for the year. This year’s narrative has been dominated by the anticipation of potential rescheduling within the cannabis industry. The shift, which is expected to move cannabis from Schedule 1 to Schedule 3, carries significant implications for the industry. However, the timeline and certainty of this adjustment remain elusive.
Below is a weekly roundup on the cannabis and psychedelic sectors.

Top Marijuana Companies for Week

#1: Canopy Growth

Canopy Growth Corporation (CGC: NASDAQ) announced the successful completion of two significant sale transactions involving BioSteel Sports Nutrition Inc. and BioSteel Manufacturing, LLC. The proceedings were carried out under the Companies’ Creditors Arrangement Act (CCAA), resulting in combined gross proceeds of $30.4 million.
The first transaction involved the sale of BioSteel Canada’s assets to the Coachwood Group, as outlined in the asset purchase agreement dated November 9, 2023. Simultaneously, another sale transferred the assets of BioSteel Manufacturing to a third party, in line with a separate asset purchase agreement dated the same day.
The completion of these deals marked a crucial step in Canopy Growth’s restructuring strategy, as the company aims to streamline its operations, focusing more on its core cannabis business and adopting an asset-light operating model. The company stated that they plan to utilize a portion of the proceeds to repay debt, leading to a further reduction in interest expenses.
Judy Hong, Canopy Growth’s Chief Financial Officer, highlighted the significance of these transactions, emphasizing their role in improving the company’s balance sheet. “With the completion of these two sale transactions, we have completed another critical action to focus Canopy Growth’s business on our core cannabis operations and can now realize the proceeds of sale to further improve the Company’s balance sheet,” said Hong.

#2: Jushi Holdings
Jushi Holdings Inc. (OTC: JUSHF), a Florida-based cannabis multistate operator, submitted a preliminary short-form base shelf prospectus in Canada with the goal of raising up to $CA600 million (approximately $442 million). This filing allows Jushi to issue a variety of securities over a 25-month period, including subordinate voting shares, preferred shares, subscription receipts, debt securities, convertible securities, warrants, and units.

The primary purpose of this filing, as stated in the news release, is to maintain financial flexibility. Jushi said that they aim to be well-positioned to respond to significant regulatory improvements and pursue opportunistic acquisitions within the cannabis industry. The filing was made with the securities commissions for each of Canada’s provinces and territories. The terms of any future offerings of securities using this shelf prospectus will be outlined in a prospectus supplement, providing further details and specifications.
This move follows Jushi’s closure of a private offering almost a year ago, which successfully generated proceeds totaling $72 million. The latest filing reflects the company’s strategic approach to secure financial flexibility and capitalize on emerging opportunities in the evolving cannabis market.

#3: MTL Cannabis

MTL Cannabis Corp. (CSE: MTLC) announced impressive financial results for the quarter and half-year ending September 30, following a reverse takeover with Canada House Cannabis Group Inc. in July. Formerly known as Montréal Cannabis Médical Inc., the newly merged Canadian company reported a remarkable 366% increase in revenue, reaching C$23.15 million, compared to C$4.96 million in the same quarter the previous year.
Net revenue also experienced a substantial surge, reaching C$19 million for the quarter, up from C$3.89 million in the corresponding quarter of 2022. Additionally, the company reported a gross profit of C$6.3 million, a significant improvement from C$1.25 million in the same quarter last year.
Positive trends were also observed in operating income, which turned positive at C$843,359, a notable improvement from a loss of C$91,811 in the same period last year. Net income followed suit, with the company reporting C$1.99 million, a reversal from a loss of C$604,314 in the previous year’s quarter.
The positive financial changes were also evident in the company’s cash flow statements. Net cash inflows from operating activities amounted to C$7.3 million, compared to a net outflow of C$1.97 million in the same period last year. However, the company used C$162,255 in investing activities and C$4.64 million in financing activities during the quarter.
MTL Cannabis CEO, Michael Perron, attributed the success to the company’s focus on quality and dedication to providing excellent products and services to recreational customers and medical patients. He stated, “Our focus on quality and dedication to providing the best products and services to our recreational customers and medical patients has been the foundation for our business, and we are seeing that focus being reflected in our financial results.”
#4: 22nd Century Group
Biotech company 22nd Century Group, Inc. (NASDAQ: XXII) initiated the sale of its hemp operations, valued at $2.25 million, in a strategic move to streamline operations and reduce costs. The majority of its GVB Biopharma division is set to be acquired by Specialty Acquisition Corp., a Nevada-based entity with affiliations to current GVB employees. The deal comprises $1 million in cash and a further 12%, $1.25 million promissory note.
The decision to sell is aimed at deleveraging 22nd Century’s balance sheet, and the company stated that they plan to utilize the proceeds from the sale for this purpose. The Buffalo, New York-based company will also retain the right to recover an outstanding insurance payout related to a 2022 fire at a GVB manufacturing facility in Grass Valley, Oregon, currently valued at around $9 million.
The transaction is expected to conclude in December, subject to meeting closing conditions, including financing from the buyer and approval from 22nd Century’s senior lender.
Top Psychedelic Companies for Week

#1: Awakn

Awakn Life Sciences Corp. (OTC: AWKNF), recent regulatory and ethical approval for a Phase III clinical trial was highlighted by Benzinga, a leading newsfeed. Recently, Awakn received regulatory and ethical approval for a Phase III clinical trial of AWKN-P001, its lead program designed for the treatment of Severe Alcohol Use Disorder (SAUD). The approval was granted by the U.K. Medicines and Healthcare Regulatory Agency (MHRA) and the Health Research Authority in the UK. The Phase III trial will commence in Q1 2024 with the enrollment of 280 patients.
AWKN-P001 is a groundbreaking treatment that combines the NMDA receptor-modulating drug ketamine with psycho-social support, targeting the most severe form of alcohol use disorder. In prior Phase II studies, the treatment demonstrated promising results, achieving an 86% abstinence rate six months post-treatment, compared to 2% pre-trial and 25% in the current standard of care.
The trial, funded by Awakn, the University of Exeter, and a partnership between the National Institute for Health and Care Research (NIHR) and the Medical Research Council (MRC), marks a pivotal step in Awakn’s commercial journey. The company’s CEO, Anthony Tennyson, emphasized that the regulatory and ethical approval reflects Awakn’s commitment to scientific rigor and patient well-being; “Our Phase 3 clinical trial represents a crucial bridge between cutting-edge science and a commercially viable solution for addressing severe alcohol use disorder,” Tennyson said in a press statement.

#2: Numinus Wellness

Numinus Wellness Inc. (OTC: NUMIF) announced a significant surge in revenue for its fiscal year ending August 31, 2023. The company reported a 256.9% increase in revenue, attributing the growth to expanded services in North America, increased clinic appointments, and a practitioner-friendly licensing model.
In the fourth quarter of 2023, Numinus recorded a revenue of $6.1 million, marking a 1.7% increase from the previous quarter and a substantial 46.8% increase from the same quarter the previous year.
However, the positive trends were accompanied by a decline in gross margin to 29.5% in the fourth quarter of 2023, down from 34.5% in the previous quarter. Numinus attributed this decrease to increased investment in full-time practitioners and varying clinic performances. In response, the company implemented cost-saving measures, including the closure of an underperforming clinic, resulting in reduced operating expenditures of $7.9 million in the fourth quarter, down from $9.2 million in the previous quarter.
Despite the challenges, Numinus successfully lowered its monthly cash burn to under $1 million as of October. The company reported a total cash balance of $8.6 million and working capital of $7.4 million. Numinus expressed optimism about the anticipated approval of MDMA-assisted therapy by the FDA, which, if approved, would open additional opportunities for the company to deploy its unique service model using this alternative treatment modality.

Key Takeaways; Cannabis Sector
• Organigram received C$124.6 million investment from BAT; the company also announced the appointment of an interim CFO.
• Trulieve posts robust Q3 2023 financial results, showcasing strong financial performance, debt reduction, and strategic growth initiatives.
• Canopy Growth reported narrowed Q2 losses, indicating a positive shift amid restructuring efforts.
• Curaleaf’s Q3 results showcased strategic shifts amid expansion and exits.
• TerrAscend achieved record third quarter 2023 results and raised full-year guidance.
• Ascend Wellness impressed in Q3 surpassing revenue estimates by 33%.
Key Takeaways; Psychedelic Sector
• Cybin plummeted 15% following $64 million offering announcement.
• Awakn’s Prof. David Nutt is the world’s top psychopharmacologist according to ScholarGPS.

This week marked another earnings week as majority of multistate operators in the cannabis sector reported their financial results. Below is a weekly overview of the cannabis and psychedelic sectors, summarizing the noteworthy news that impacted the industry during the initial week of November.
Top Marijuana Companies for Week

#1: Organigram
Organigram Holdings Inc. (NASDAQ: OGI) witnessed a remarkable surge of over 35% on Monday following the announcement of a significant C$124.6 million investment from BT DE Investments Inc., a subsidiary of British American Tobacco p.l.c.(LSE: BATS) (NYSE: BTI). British American Tobacco (BAT), a leading consumer goods business, aims to strengthen its strategic partnership with Organigram through this investment.
Organigram stated that the investment will be used to create a strategic investment pool named “Jupiter,” aiming to accelerate Organigram’s growth plans beyond Canada. This includes geographic expansion, technological advancements, and product development. The strategic move will undoubtedly position Organigram as a prominent player in the rapidly consolidating cannabis market.
This strategic partnership between Organigram and BAT was established in March 2021, and has yielded significant progress, particularly through the Product Development Collaboration (PDC) agreement. The PDC is focused on developing innovative cannabis science and research and development (R&D) projects. The collaboration is in the late stages of developing various products, including emulsions, novel vapor formulations, flavor innovations, and packaging solutions, expected to be applied to Organigram’s portfolio in 2024.
In other news, Organigram announced the appointment of Paolo De Luca as interim Chief Financial Officer, effective November 13, 2023. The company said that the current CFO, Derrick West, was transitioning away from the role to focus on health and recovery after surgery. De Luca, the current Chief Strategy Officer, previously served as Organigram’s CFO between 2017 and 2020.

#2: Trulieve
Trulieve Cannabis Corp. (OTC: TCNNF) reported its financial results for the third quarter of 2023, showcasing substantial cash generation and strategic financial moves. The company revealed cash flow from operations of $93 million and free cash flow of $87 million during the quarter. Notable achievements included a reduction in debt through the purchase of $57 million of 2026 notes, resulting in a 16.5% discount to par, and the announcement of the redemption of $130 million of 2024 notes, projecting $20 million in interest savings.
Moreover, Trulieve reported a revenue of $275 million, with 96% generated from retail sales, and achieved a GAAP gross margin of 52%. Additionally, the company opened new dispensaries, expanded its reach outside Florida, and realized a 235% increase in Maryland traffic in Q3 compared to Q2.
The financial highlights also included an anticipated operating cash flow of at least $100 million and free cash flow of at least $70 million for the year 2023. Trulieve also emphasized its focus on strengthening its balance sheet and commitment to non-dilutive measures. Other significant developments that were highlighted included, the redemption of senior secured notes and the filing of amended federal tax returns for a $143 million refund.
The company’s CEO, Kim Rivers, expressed confidence in the company’s strong cash generation, strategic positioning, and readiness for future growth catalysts; “This year our team has done a phenomenal job executing on our plan to generate cash while making investments to support future growth,” said Kim Rivers.

#3: Canopy Growth
Canadian cannabis producer Canopy Growth Corporation (NASDAQ: CGC) showcased improved financials for the second quarter ended September 30, 2023, indicating signs of a potential turnaround. The company reported a net revenue of CAD 70 million, accompanied by a gross margin of 34%, a notable improvement from the negative margin reported in the same period the previous year. Additionally, operating expenses were down nearly 80% at C$30.43 million, and the company reduced costs by C$54 million during the quarter. This positive shift can be attributed to cost-cutting measures and restructuring initiatives that the company has been undertaking.
Canopy Growth’s net revenue, however, fell 21% to C$69.6 million. This indicates that the company is still experiencing liquidity issues, with CFO Judy Hong stating that significant actions have been taken to eliminate near-term debt obligations.
In terms of product development, Canopy Growth expanded its portfolio, resulting in increased market share. The medical cannabis segment reported its fourth consecutive quarter of revenue growth. Internationally, the company stated that they are still focusing on high-growth markets such as Australia and working to obtain EU-GMP certification for its facility in Kincardine, Ontario, to meet global medical cannabis demand.
Despite positive improvements in its U.S. operations and plans for market expansion, Canopy Growth is still facing regulatory hurdles regarding the creation of a new entity that would incorporate both its Canadian and U.S. investments. The company said that they are actively negotiating and engaging in discussions with the U.S. Securities and Exchange Commission to address concerns and explore additional structural amendments for the financial deconsolidation of Canopy USA from Canopy Growth’s results.

#4: Curaleaf
Curaleaf Holdings Inc. (OTC: CURLF) announced its third-quarter financial results on Friday, showcasing a 2% increase in net revenue to $333.2 million compared to the same period in 2022. While this growth was attributed to the company’s expansion and diversification efforts, it fell slightly short of analysts’ expectations by approximately $7 million.
The company reported a net loss of $92.3 million for the quarter, a significant rise from the $51.4 million loss in Q3 2022. This increase in losses was primarily influenced by a non-cash impairment charge related to the company’s exit from operations in Michigan and Kentucky.
Despite the overall net loss, Curaleaf’s retail sector experienced a 6% revenue increase, reaching $273.2 million. This growth was fueled by the launch of adult-use sales in Maryland and Connecticut, as well as ongoing expansion efforts in New Jersey.
Wholesale revenue, however, remained unchanged from the second quarter and showed a 12% decline from the previous year. The company attributed this decrease to strategic inventory reductions.
In addition, the company’s balance sheet reflects an aggressive investment strategy, with $49.4 million in capital expenditure focused on cultivation and retail expansion in key markets. As of the end of the quarter, Curaleaf had $118.1 million in cash and a net debt of $584.6 million.
Geographically, Curaleaf has shifted its focus, with exits from Michigan and Kentucky and agreements to sell its Oregon assets. The company has also made strides in the European market, acquiring assets in Portugal and initiating sales in the U.K. and Poland.

#5: TerrAscend
TerrAscend Corp. (OTC: TSNDF), a prominent North American cannabis operator, reported remarkable financial results for the third quarter ending September 30, 2023. The company’s net revenue surged to $89.2 million, marking a 34.7% increase year-over-year and a 23.7% sequential growth. Notably, TerrAscend achieved a gross profit margin of 53.6%, showcasing a 340-basis point improvement from the previous quarter.
The company’s adjusted EBITDA from continuing operations reached $24.2 million, demonstrating an 89% sequential increase and a 27.1% adjusted EBITDA margin. Encouraged by these positive trends, TerrAscend revised its full-year 2023 guidance, anticipating net revenue and adjusted EBITDA from continuing operations to reach $320 million and $73 million, respectively. This adjustment signifies a robust 29% and 87% year-over-year growth, underscoring the company’s sustained momentum.
TerrAscend’s impressive financial performance is attributed to several strategic moves, including the successful transition to adult-use sales in Maryland, strengthened market share in New Jersey, improved gross margins in Michigan, and renewed growth in both retail and wholesale sectors in Pennsylvania. The company’s expansion strategy, from ‘deep, not wide,’ is evolving to ‘deep and wide,’ reflecting its confidence in capitalizing on emerging opportunities while maintaining control over its terms.
In addition to financial achievements, TerrAscend celebrated operational milestones during the third quarter, marking its eighth consecutive quarter of sequential net revenue growth and the fifth consecutive quarter of positive cash flow from continuing operations. The company also secured the second position in the New Jersey market, boasting an 18.6% market share.

#6: Ascend Wellness
New York-based Ascend Wellness Holdings, Inc. (OTC: AAWH) reported a robust third-quarter performance, exceeding analysts’ revenue estimates by an impressive 33%. The company’s strategic initiatives, which include cost-cutting measures and operational optimization, played a crucial role in achieving these strong results.
Ascend’s gross revenue for the period ending September 30 rose by 26.6% from the previous year, reaching $169.9 million. Net revenue, excluding internal sales impact, demonstrated an even more substantial growth of 27%, successfully mitigating broader retail challenges. Additionally, the company’s emphasis on same-store sales proved fruitful, with retail revenue increasing by 22.3% to $101.3 million, particularly driven by strong consumer demand, especially in Maryland where adult-use sales commenced earlier this year.
Ascend’s wholesale operations also flourished, experiencing a notable 33.4% rise in gross revenue year-over-year, reflecting a well-received wholesale strategy in a market evolving in sophistication and scale.
Despite reporting a net loss of $11.2 million, there was a marked improvement compared to the previous year. The adjusted EBITDA improved by 38.5% from the previous quarter, with sequential margin growth of 356 basis points. Moreover, Ascend’s financial position, with $63.9 million in cash and cash equivalents, provides a cushion, although the company maintains a net debt position of $243.5 million. The operational cash flow was also encouraging, with Ascend generating $24.2 million in the quarter, marking its third consecutive period of operational cash positivity.
Newly appointed CEO John Hartmann expressed optimism, stating, “In my first full quarter as Ascend’s CEO, we’ve been diligently optimizing operations and fortifying our team. Early signs of results are encouraging.”

Top Psychedelic Companies for Week

#1: Cybin
Cybin Inc. (NYSE: CYBN) announced a firm commitment underwritten offering of 66,666,667 units at a price of US$0.45 per unit. This move aimed to generate approximately US$30 million in gross proceeds, with an additional US$34 million possible upon full exercise of the warrants. The units comprised common shares and purchase warrants, with A.G.P./Alliance Global Partners serving as the sole book-running manager for the offering. The closing was expected around November 15, 2023, pending market and customary conditions, including approval from the Neo Exchange Inc.
The net proceeds, designated for advancing the CYB003 and deuterated DMT programs and general corporate purposes, were part of a prospectus supplement filed with the Ontario Securities Commission and the United States Securities and Exchange Commission (SEC). Prospective investors were advised to review the Base Shelf Prospectus and related documents before making investment decisions.
Simultaneously, Cybin suspended sales under the Lincoln Park Capital Fund agreement, which allowed the company to issue common shares to LPC. The decision to halt purchases under this agreement aligned with the company’s strategic focus on the ongoing public offering.
This announcement triggered a notable 15% drop in Cybin’s stock value on the same day, reflecting the market’s response to the significant financial decision.

#2: Awakn
In a groundbreaking achievement, Prof. David Nutt, a renowned figure in the field of psychopharmacology, was ranked as the world’s leading psychopharmacologist by ScholarGPS. This prestigious acknowledgment is not only a testament to Professor Nutt’s remarkable career but also a reflection of his current role as a vital part of Awakn Life Sciences Corp. (OTC: AWKNF), a company committed to developing innovative treatment options for individuals struggling with addiction.
The recognition of Prof. Nutt as the world’s top psychopharmacologist is not just an accolade; it is a reflection of his profound dedication to improving the lives of those affected by addiction. As the leader of Awakn’s distinguished team, Prof. David Nutt plays a pivotal role in developing groundbreaking treatments for addiction. This milestone serves as a testament to the dedication and commitment of Awakn Life Sciences in their mission to address addiction-related challenges with innovative, science-based solutions.
The partnership between Awakn Life Sciences and Prof. David Nutt stands as a beacon of hope for those who have struggled with addiction, as well as a testament to the power of science and innovation in addressing one of society’s most pressing health crises. This collaboration marks a significant step forward in the ongoing battle against addiction.

Key Takeaways; Cannabis Sector
• Aurora resolved a patent dispute with Willow Biosciences; they also announced Q2 conference call.
• Canadian cannabis giant Tilray has taken a green leap with hemp packaging to reduce plastic waste.
• 22nd Century Group slashed debt by $8.1 million in a strategic move.
Key Takeaways; Psychedelic Sector
• COMPASS Pathways announced a CFO transition.
• Cybin secured additional patents for its DMT program, expanding its psychedelic portfolio.
• Awakn’s Prof. David Nutt is the world’s top psychopharmacologist according to ScholarGPS.
Below is a weekly roundup on the cannabis and psychedelic sectors. In this ever-evolving landscape, we explore the major developments and groundbreaking initiatives happening among companies operating in these industries; from advancements in medical research, therapeutic applications to shifts in legal frameworks and current market trends.
Top Marijuana Companies for Week
#1: Aurora Cannabis
Aurora Cannabis Inc. (NASDAQ: ACB), recently announced the settlement of a patent dispute with Willow Biosciences Inc. (OTC: CANSF). The dispute, which began in July 2021, centered around allegations that Willow’s biosynthetic process for synthesizing cannabinoids had infringed on patents co-owned by Aurora, the University of Saskatchewan, and Canada’s National Research Council.
The patented technology in question was developed by Jonathan Page, the co-founder of Anandia Labs and former chief science officer at Aurora, along with his colleagues. Their work at the University of Saskatchewan and the NRC involved identifying key enzymes and corresponding genes in the biosynthetic pathways of cannabis plants.
Aurora acquired Anandia in 2018 and initiated the patent infringement action against Willow. While the settlement terms remain confidential, Aurora’s CEO, Miguel Martin, expressed satisfaction with the resolution, emphasizing the importance of protecting and enforcing their intellectual property rights. He also underscored Aurora’s pioneering role in genetics work within the Canadian cannabis industry.
Additionally, in other news related to Aurora Cannabis, the company announced that it has scheduled a conference call to discuss its financial results for the second quarter of fiscal year 2024 on November 9, 2023. The call will be hosted by Aurora’s Chief Executive Officer, Miguel Martin, and Chief Financial Officer, Glen Ibbott. The financial results are set to be reported after the close of markets on the same day.
#2: Tilray
Tilray Brands, Inc. (NASDAQ: TLRY), a prominent Canadian cannabis producer, initiated a significant effort to reduce the use of single-use plastics in its packaging and product components. This transition includes converting packaging, pre-rolls, and vape components to hemp-based materials. This move is considered the first major commitment by a large Canadian cannabis producer to address the issue of plastic waste in the industry and could potentially set a precedent for others to follow.
Tilray estimates that its new hemp-based packaging program will divert approximately 131,000 kilograms (288,805 pounds) of plastic waste from landfills each year. The environmental impact of cannabis legalization in Canada has drawn attention, with packaging waste being a prominent concern.
A report by a government-appointed panel highlighted the challenges of recycling plastic cannabis packaging, particularly vaping cartridges and batteries, due to the presence of metal, glass, electronics, and batteries. It was also pointed that Canadian cannabis companies have been producing more products than they can sell, resulting in excess inventory.
Tilray stated that its transition to hemp-based packaging will commence with its Good Supply brand and later expand to include other brands like Riff and Broken Coast. According to the company, the Good Supply hemp initiative will include eco-friendly “hemp tubes” for pre-rolls and Pax Pods cartridges and hemp-composite mouthpieces for 510 vape cartridges. Furthermore, Tilray will replace plastic bags for whole-flower products with bags made from recycled content, diverting an estimated 38,000 kilograms of plastic waste from landfills annually.
The company believes that this initiative is beneficial for both business and the environment, citing research that shows consumers are 50% more likely to purchase cannabis products in sustainable packaging. The move could potentially influence competitors in the cannabis industry to adopt similar eco-friendly practices. Tilray originally pledged to adopt hemp-based packaging during a conference call with stock analysts in January 2023, with the goal of diverting thousands of kilograms of plastic waste from landfills.
#3: 22nd Century Group
Hemp biotech company 22nd Century Group, Inc. (NASDAQ: XXII), specializing in hemp, tobacco, and hops, successfully decreased its senior secured debt by $8.1 million. This achievement followed an amendment and waiver process with its lenders, reducing the outstanding debt from $22.1 million to approximately $14 million.
This significant reduction stems from a waiver and repayment of the required $7.5 million minimum cash balance specified in the original debenture agreements. Furthermore, an existing promissory note was reassigned as part of the deal, with $600,000 of the note allocated to reduce the outstanding principal and $2 million directed towards lowering the put price associated with the lenders’ outstanding warrants, a portion of which was subsequently canceled.
The remaining principal loan balance of $14 million and the outstanding $500,000 of the put price are now due at maturity in 2026, following the original terms of the debenture agreements. Chief Financial Officer, Hugh Kinsman, noted that this principal reduction will save 22nd Century Group approximately $500,000 in cash annually, emphasizing the company’s commitment to actively manage their balance sheet and focus on cost reduction initiatives.
Top Psychedelic Companies for Week
#1: Compass Pathways
COMPASS Pathways plc (NASDAQ: CMPS) recently announced the departure of its Chief Financial Officer, Mike Falvey, who is set to leave the company on November 3, 2023, to explore new opportunities. The company stated that Mary-Rose Hughes, who is currently serving as the Vice President of Finance, will take on the role of interim CFO with immediate effect, while the company initiates a search for a permanent replacement.
Compass Pathways expressed its gratitude to Mike Falvey for his leadership and substantial contributions during his tenure, highlighting his pivotal role in their recent successful private placement. According to Compass, this financing round not only extended the company’s cash runway, ensuring financial stability beyond expected phase 3 clinical data milestones, but also attracted significant investments from leading biotech investors.
The company stated that Mary-Rose Hughes, who joined Compass in May 2020 as its second finance team member, is well-versed in the company’s operations and has been instrumental in overseeing various financial aspects, including treasury, tax, financial planning and analysis, and external reporting. She also played a crucial role in Compass’s initial public offering (IPO), follow-on public equity offering, term loan facility, and private placement financing.
Furthermore, Compass Pathways informed investors that they will release their financial results for the third quarter of 2023 and provide updates on recent business developments on November 2, ensuring transparency and ongoing communication with their stakeholders.
#2: Cybin
Cybin Inc. (NYSE: CYBN) received two patent grants from the United States Patent and Trademark Office, bolstering its deuterated N, N-dimethyltryptamine (DMT) program. Following its recent acquisition of Small Pharma Inc., Cybin now boasts 32 granted patents and over 170 pending applications, establishing a commanding position in the development of innovative tryptamine-based therapeutics.
The two newly granted patents offer protection for Cybin’s deuterated DMT program, covering composition of matter, medical use, and the synthesis of certain DMT analogs. These patents are essential in safeguarding Cybin’s proprietary deuterated DMT compounds, CYB004 and SPL028, both of which are currently in Phase I clinical trials. These compounds aim to provide an extended DMT psychedelic experience with a short-duration drug profile, allowing for optimized dose formulations and distinct therapeutic benefits. Preliminary findings indicate that both CYB004 and SPL028 are well-tolerated and elicit a psychedelic experience lasting under an hour.
#3: Awakn
In a groundbreaking achievement, Prof. David Nutt, a renowned figure in the field of psychopharmacology, was ranked as the world’s leading psychopharmacologist by ScholarGPS. This prestigious acknowledgment is not only a testament to Professor Nutt’s remarkable career but also a reflection of his current role as a vital part of Awakn Life Sciences Corp. (OTC: AWKNF), a company committed to developing innovative treatment options for individuals struggling with addiction.
The recognition of Prof. Nutt as the world’s top psychopharmacologist is not just an accolade; it is a reflection of his profound dedication to improving the lives of those affected by addiction. As the leader of Awakn’s distinguished team, Prof. David Nutt plays a pivotal role in developing groundbreaking treatments for addiction. This milestone serves as a testament to the dedication and commitment of Awakn Life Sciences in their mission to address addiction-related challenges with innovative, science-based solutions.
The partnership between Awakn Life Sciences and Prof. David Nutt stands as a beacon of hope for those who have struggled with addiction, as well as a testament to the power of science and innovation in addressing one of society’s most pressing health crises. This collaboration marks a significant step forward in the ongoing battle against addiction.