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Gage Cannabis Co. is “One to Watch”

  • Gage Cannabis is one of the leading vertically integrated operators in the cannabis industry
  • Its current focus is the Michigan market, which is valued at an estimated $3 billion and recorded $109 million in cannabis sales in August 2020
  • The company currently has five dispensaries across Michigan, with the potential to have 90% of the state’s population within a one-hour drive as it continues to expand its dispensary network, offering a wide range of products and even home delivery options
  • Gage is planning to expand its cultivation site in Monitor Township and open an additional 3-4 provisioning centers (dispensaries) in Michigan by the end of 2020. It has detailed plans to open 10+ other locations in 2021, with a goal of operating 20-25 locations by year-end
  • The company intends to go public during Q1 2021 through a Canadian listing

Gage Cannabis Co. is a leading vertically integrated operator in the cannabis industry led by the former CEO and Chairman of Canopy Growth Corp. (TSX: WEED) (NYSE: CGC), Bruce Linton. The company is currently focused exclusively on the Michigan market, working with the declared goal of building the fastest growing cannabis brand in the state.

One of the reasons Gage targeted Michigan as its location of choice is due to the state’s fast-growing legal cannabis market and consumption habits amongst consumers. In 2018, Michigan became the 10th state to legalize the recreational use of cannabis. In light of such favorable market dynamics, Gage opened its first medical provisioning center (dispensary) shortly after, in 2019. The company now has 13 medical or adult-use locations open or in the works, with an additional 10+ planned to open during 2021. Gage’s current portfolio features 19 Class C cultivation licenses across four cultivation assets and three processing licenses.

Current Asset and Brand Portfolio

Gage’s current brand portfolio consists of five unique product classes: flower products, edibles, hardware, concentrates and vape pens/disposables.

The company has already created relationships with a wealth of exclusive brand partners, including some of the most illustrious brands in the country. Notably, Gage’s exclusive partnership with Cookies, one of the most well-respected cannabis lifestyle brands in the United States, illustrates Gage’s operational prowess in cultivating quality flower and operating its branded retail stores. Today, Gage operates the 8 Mile Cookies location in Detroit, Michigan, which is one of the top performing dispensaries in the state despite being a medical-only dispensary.

Committed to providing only products of the highest quality, Gage uses small-batch, indoor-grown, high-quality cannabis that is hand-trimmed and hung to dry. Gage ensures that every gram of cannabis sold is consistently of the highest quality and offers a superb customer experience.

The company currently has four cultivation assets, located at Monitor Township (expansion planned), Harrison Township, Warren and Lenox Township, and it operates one processing facility located in Harrison Township, with plans to operate another two processing facilities in Monitor Township and Lenox.

Its operating dispensaries include Ferndale (adult-use), Adrian (adult-use), Lansing (adult-use), Traverse City (medical) and Detroit (Cookies establishment – medical). Additional dispensaries coming soon include Battle Creek (adult-use), Kalamazoo #1 (adult-use), Bay City (adult-use), Grand Rapids (medical), Buena Vista (medical), Center Line (medical), Kalamazoo #2 (Cookies establishment – adult-use) and Lenox Township.

The company offers delivery within a one-hour radius of its dispensaries – a footprint that encompasses an estimated 90% of Michigan’s population.

Financial Highlights

In Q1 2020, the company recorded sales of $5.8 million. This number grew substantially in Q2, reaching $11.9 million. Management estimates Q3 sales at roughly $13.1 million, marking a 157% growth in sales from January to September 2020, within a year of operations.

This increase reflects the company’s significant expansion efforts since the beginning of 2020. Starting with only 200 pounds per month, Gage now estimates its monthly cultivation capacity at more than 1,000 pounds of product.

This increase in cultivation capacity has helped Gage promote rapid growth through its retail locations. Average basket size, which refers to the retail value of each consumer transaction, is estimated at $85 for the Michigan cannabis industry. As of August 2020, Gage has an average basket size of $180 at its locations, more than double the state average.

Michigan Medical and Adult-Use Marijuana Market Size

The recreational marijuana market in Michigan is expected to rival the numbers currently seen in Nevada and Colorado by 2023. Approximately 3% of Michigan’s residents are medical marijuana cardholders – a much higher rate than many other medical markets – leading Brightfield to predict that the state’s recreational market could triple in size between 2020 and 2023 (https://ibn.fm/9cO0h).

Michigan saw a steady increase in sales for the first three quarters of 2020, with a recorded growth rate of 502% from January to August. In August alone, $109 million in cannabis sales occurred within the state. The Marijuana Regulatory Agency estimates that the potential market size for cannabis within the state is around $3 billion.

Neither Gage nor the state has seen any significant drop in sales in the wake of the COVID-19 pandemic. On the contrary, demand has continued to grow steadily, as dispensaries were among the few businesses deemed essential and permitted to operate throughout the shutdown. All Gage and Cookies locations have remained operational, offering curbside pickup.

Plans to Go Public in Q1 2021

Gage Cannabis is currently planning a Canadian listing for the first quarter of 2021 (https://ibn.fm/V73dL). Additionally, Gage intends to launch a Regulation A+ offering of up to 28,571,400 subordinate voting shares priced at $1.75 per share, for gross proceeds of up to $50 million before offering expenses, assuming all shares are sold (https://ibn.fm/FteTi), but it has not yet made an announcement regarding the launch of that financing.

A Regulation A+ offering, also called a mini-IPO, allows companies to raise capital without actually listing shares on a stock exchange.

Management Team

Bruce Linton is the Executive Chairman of Gage Cannabis. He joined the company in 2019 and is the founder and former CEO and Chairman of Canopy Growth Corp. (TSX: WEED) (NYSE: CGC). Mr. Linton has extensive executive and board experience in a variety of industries and is considered to be a pioneer in the global cannabis industry. He provides incomparable support to the company’s strategic and capital markets efforts.

Michael Hermiz is the Co-Founder and Director of Gage Cannabis, and he is also the founder of a federally licensed producer in Canada. Mr. Hermiz has had great success in various industries, including real estate, mortgage, telecommunications, import, export and many others.

Fabian Monaco is Gage’s President and Director. He previously worked at XIB Financial Inc., GMP Securities L.P. and Scotiabank. In addition to his vast investment banking and legal background, Mr. Monaco has 10+ years of capital markets experience. His advisory experience in the cannabis industry is also extensive.

Dr. Rana Harb is a Director of Gage Cannabis. She has 25+ years of experience handling research, compliance, quality assurance and regulatory affairs. A significant portion of her regulatory and compliance history is in the cannabis industry. Dr. Harb has worked for many pharmaceutical companies worldwide, dealing with regulatory agencies such as the FDA, the EMA and Health Canada.

Mike Finos is the President (USA) and a Director of Gage Cannabis. He is the former COO of Horizon Global, the world’s number one towing accessories company. He has experience with start-ups, M&A and business integration with both private and publicly traded companies. With 20+ years of operational leadership expertise, Mr. Finos has extensive knowledge relating to supply chain logistics, manufacturing and information technology.

David Watza is the Chief Financial Officer of Gage Cannabis. He is an experienced C-Suite executive and former CFO and board member of Perceptron Inc. (NASDAQ: PRCP). Mr. Watza has 30+ years of experience in finance, accounting, and operations, including time as a public company CFO.

For more information, visit the company’s website at www.GageUSA.com.

NOTE TO INVESTORS: The latest news and updates relating to Gage Cannabis Co. are available in the company’s newsroom at https://ibn.fm/GAGE

CNS Pharmaceuticals Inc. (NASDAQ: CNSP) Takes Another Step Closer to Q1 Launch of Brain Cancer Drug Trial

  • CNS Pharmaceuticals is a pre-clinical-stage developer of novel brain cancer-fighting drugs, including its lead candidate Berubicin
  • The company is working to build on promising results from a 2006 Phase I trial, which provided 44 percent of its limited patient pool with clinically significant improvement in disease stability and one patient with a durable complete response (no evidence of any tumor remaining) for over 14 years
  • CNS Pharmaceuticals expects to launch a pivotal Phase II trial of Berubicin at the beginning of next year and has been assembling a team of partner companies help with the trial
  • CNS recently announced that the partner contracted to manufacture the Active Pharmaceutical Ingredient (API) for Berubicin has received a Certificate of Analysis necessary for the drug substance to be used in the clinical trial
  • The company is also preparing in collaboration with its sub licensed partner, WPD Pharmaceuticals, for the first Phase I pediatric trial of Berubicin
  • CNS is continuing the pre-clinical development of the company’s second promising cancer-fighting drug candidate, WP1244

Houston, Texas-based biopharmaceutical company CNS Pharmaceuticals (NASDAQ: CNSP) continues to achieve milestones in its drive to defeat glioblastoma multiforme (“GBM”), a relentless type of brain tumor known for very rapid progression and very short survival periods in nearly all patients once they’ve been diagnosed.

“If you get glioblastoma, the sad fact is youre going to die from that disease,” CNS Pharmaceuticals CEO John Climaco told attendees at the Oppenheimer Fall Healthcare Life Sciences & MedTech Summit in September during a discussion about the aggressive brain tumors and the company’s investment potential as it advances tumor-fighting drug candidates (https://ibn.fm/t13u4). “We believe that [our drug candidate] Berubicin could potentially be a game-changer,” Climaco continued.

CNS Pharmaceuticals is in the process of developing the testing infrastructure for its its lead novel drug candidate, an anthracycline called Berubicin. The company announced at the beginning of this month that a partner company contracted to manufacture Berubicin active pharma ingredient (API) received a Certificate of Analysis, clearing it for use in the production of the Berubicin drug product in preparation for use in the clinical trial (https://ibn.fm/N2AMO).

Berubicin has shown the potential to stand out from other tumor-killing anthracyclines because it has the ability to cross the human body’s Blood-Brain Barrier (“BBB”) and sequester itself preferentially in tumor tissue, the company’s website states (https://ibn.fm/F8SNr).

The blood-brain barrier is a wall of specialized endothelial cells that separate the blood circulatory system from the brain and kick out recognized toxins such as anthracyclines before they can affect the body’s central nervous system. “That’s why anthracyclines kill glioblastoma cells in test tubes but don’t affect glioblastoma tumors when given to people,” the website states.

In a limited Phase I trial conducted in 2006, Berubicin showed evidence of prompting improved survival in a patient population that has a median survival rate of only 14.6 months from the date of the disease’s diagnosis, and one of the trial’s patients remains cancer-free as of the last assessment on Feb. 20 of this year, approximately 14 years later, Climaco said.

Tumors are generally first removed surgically to the extent possible, but then tend to recur.

The pharmaceutical temozolomide has been shown useful as a first-line response in temporarily extending the lifespan of fewer than 40 percent of GBM patients with a specific genetic variation, but even nearly all of those patients develop resistance to temozolomide within about a year’s time and CNS hopes to present Berubicin as a second-line therapy.

The contracts with drug manufacturers Pii and BSP will provide drug product for CNS’s Phase II clinical trial as well as two trials in Poland to be conducted by sub licensee partner, WPD Pharmaceuticals, including a Phase 2 adult trial and a first-ever Phase 1 pediatric trial, both of which are expected to launch during Q1 of 2021. The company recently announced an agreement with medical imaging company Image Analysis Group (“IAG”) to evaluate the upcoming clinical trial imaging results in real time using AI-driven technology (https://ibn.fm/TlKhu).

CNS Pharmaceuticals is also conducting pre-clinical development on a drug candidate known as WP1244 that has been shown in preclinical studies to have a DNA-binding agent 500 times more potent than chemotherapy drug daunorubicin in stopping tumor cell expansion.

For more information, visit the company’s website at www.CNSPharma.com.

NOTE TO INVESTORS: The latest news and updates relating to CNSP are available in the company’s newsroom at https://ibn.fm/CNSP

Predictive Oncology Inc. (NASDAQ: POAI) CEO Schwartz Pens Letter to Shareholders, Elaborates on Ongoing Company Developments

  • Predictive Oncology’s CEO Carl Schwartz published open letter to company’s shareholders
  • Schwartz elaborated on various developments within each of POAI’s divisions, has reiterated his optimism on company’s operations going forward
  • CEO also revealed that company’s revenue trends have stabilized and are now on upward trend with cash burn beginning to decline
  • Company also revealed its ability to access over $10 million in undrawn equity lines of credit

Carl Schwartz, the CEO of Predictive Oncology (NASDAQ: POAI), a knowledge-driven medicine company that focuses on applying data and artificial intelligence (“AI”) to cancer personalized medicine and drug discovery, has recently published a letter to the company’s shareholders elaborating on the company’s latest achievements as well as their prospects going forward (https://ibn.fm/L1mA8).

Within his letter, Schwartz addressed the latest developments within each of the company’s business verticals and stressed that in spite of the tumultuous global economy, Predictive Oncology was witnessing both stable and rising revenues along with declining levels of cash burns. Schwartz also detailed that the company’s balance sheet was still quite resilient with access to over $10 million in equity capital able to be drawn down from their existing lines of credit.

The letter also elaborated on the company’s various operational divisions, commencing with its Skyline Medical division. Skyline Medical is charged with the manufacture and sale of POAI’s groundbreaking, FDA-cleared STREAMWAY System – providing medical facilities with a direct-to-drain fluid disposal system intended to automate the collection, measurement and disposal of waste fluids during medical procedures. POAI revealed that the division was now self-supporting from a cash standpoint, with sales of disposables used on Streamway machines more than covering the business’ operating expenses. Separately, the company explained that the continued sale of new Streamway devices would also add to the future potential revenues which the company could derive from the sale of disposables.

Schwartz also touched upon the company’s Helomics division, which seeks to assist pharmaceutical, diagnostic and biotech industries develop predictive models of how tumors could respond to drugs. Helomics recently launched a restructured clinical test offering to clinicians for ovarian cancer, which has been very well received by oncologists. The company expects that this new test, coupled with Helomic’s existing product range, will be revenue generating by year end and should be able to cover the bulk of the division’s operating expenses going forward.

Elsewhere, Predictive Oncology also provided an update on subsidiary TumorGenesis, which specializes in the field of ovarian cancer, creating laboratory-grown cancer cells which can then be used to assist researchers and clinicians identify which cancer cells bind to specific biomarkers. TumorGenesis will be introducing its Ovarian Cell Line Media at the upcoming BIO-Europe Conference, which will allow researchers to isolate and successfully culture ovarian cancer cells that have not previously been cultured. Separately, the division is also in the process of registering with the US government as a contractor for developmental work in cancer cell capture and screening of compounds for the prevention and treatment of cancer.

Finally, Schwartz discussed the ongoing progress at Soluble Biotech, a subsidiary which seeks to provide optimized FDA-approved formulations for vaccines, antibodies and other protein therapeutics in a faster and lower cost basis to its customers. Having already secured a sizable contract, POAI’s management have expressed their confidence in the business generating revenues by the end of 2020.

With a number of ongoing positive developments taking place across Predictive Oncology’s various businesses, the company’s CEO has reaffirmed his positive stance on POAI’s corporate prospects, expressing his firm belief in the fourth quarter’s being “eventful”.

For more information about the company, visit www.Predictive-Oncology.com.

NOTE TO INVESTORS: The latest news and updates relating to POAI are available in the company’s newsroom at http://ibn.fm/POAI

Kaival Brands Innovations Group Inc. (KAVL) Acquires Patent, Announces Lab, Enters Smoking Cessation Market

  • KAVL recently acquired patent, announced creation of wholly owned subsidiary to develop smoking cessation products.
  • Company plans to create products that satisfy smokers but are free from nicotine’s addictive traits.
  • CEO says company is excited to help “all nicotine users lead healthier and higher-quality lives.”

The Centers for Disease Control and Prevention report that smoking is the leading cause of preventable death in the world today (https://ibn.fm/dxZ1W). With the help of new and innovative cessation products, the  7 million deaths that occur every year due to smoking could be prevented — and Kaival Brands Innovations Group (OTCQB: KAVL) is determined to do all it can to make it happen.

A company focused on growing and incubating innovative and profitable products into mature, dominant brands, Kaival Brands has turned its attention to the smoking cessation space (https://ibn.fm/t3k6S). The company recently acquired a patent covering the creation of all synthetic nicotine smoking cessation and synthetic nicotine addiction therapy products. In addition, the company has announced the creation of a wholly owned subsidiary — Kaival Labs — that will own the patent and develop associated products.

“The science behind these patents has discovered that within the nicotine molecule, the S-isomers control the addictive properties, whereas the R-isomers control the beneficial qualities of the nicotine that a user enjoys,” said Kaival Brands CEO Niraj Patel. “The exclusivity is that the patents allow us to control the specific ratios of each isomer in the final synthetic nicotine molecule we produce for cessation products. We can now create completely unique products for smoking cessation and nicotine addiction therapy that remain effective and satisfying for the user, but are free from nicotine’s addictive traits.

“Kaival Labs will own the patented science to create a pure, yet nonaddictive synthetic nicotine for the development and production of smoking cessation and nicotine replacement therapy products,” Patel continued. “Tobacco-Free Nicotine (‘TFN’) is a certified clean, pure, non-tobacco-derived synthetic nicotine, and a key ingredient in numerous products like nicotine patches, lozenges, gums, vape sticks, e-liquids and more.”

Efforts to help smokers who are seeking to quit — including products such as chewing gum, inhalers, lozenges, patches, sprays and sublingual tablets, and therapies such as nicotine replacement therapy (“NRT”), non-NRT therapy and e-cigarettes — are not new. However, until now, they were fairly ineffective. A National Health Information Survey reports that while 34.2 million U.S. adults smoke, an estimated 70% of them want to quit — and 55% of them have tried to kick the habit in the last year (https://ibn.fm/cgBHr). Unfortunately, the success rate for quitting is under 10% because nicotine is so addictive.

Because Kaival Brands’ newly acquired patent provides the ability to control levels of both the S-isomers and the R-isomers in the nicotine molecule, the company intends to formulate and offer patented, true step-down products that reduce nicotine addiction levels without decreasing the benefits.

“Smokers and tobacco users worldwide are looking for an answer and a real solution to their nicotine addiction problems,” Patel said. “Imagine patent-protected products, either approved pharmaceutically or made available over the counter, that offered a way to truly ease a user off their addictive cravings for nicotine without losing any of their accustomed benefits along the way. We are excited to develop these innovative patents and bring effective, enjoyable smoking cessation products to market, helping all nicotine users lead healthier and higher-quality lives.”

Kaival Brands is a fast-growing company focused on generating wealth by seeking to incubate innovative products into mature and dominant brands in their respective markets. Our vision is to develop internally, acquire or own, and exclusively distribute these profitable brands with recognizable innovation and superior quality.

For more information, visit the company’s website at www.KaivalBrands.com.

NOTE TO INVESTORS: The latest news and updates relating to KAVL are available in the company’s newsroom at http://ibn.fm/KAVL

Sustainable Green Team Ltd. (SGTM) Expanding Operations Amid Global Recession

  • SGTM awarded contract for tree services in Lake County, Florida through subsidiary Central Florida Arborcare
  • SGTM subsidiary Mulch Manufacturing recently awarded two additional packaging contracts
  • Subsidiary ArborPro of Mississippi Inc. awarded contract for Hurricane Laura recovery efforts
  • Q2 results include $12.3 million revenue and $3.4 million gross profit

Sustainable Green Team (OTC: SGTM), a leading provider of environmentally-beneficial solutions for tree and storm waste disposal, recently announced that Central Florida Arborcare, its wholly-owned subsidiary, was awarded a one-year contract to supply tree trimming and related services to the county, renewable for an additional four times over a one-year period. Along with tree services, SGTM provides debris hauling and waste removal as part of its overall operations that transform organic waste into environmentally-friendly products such as mulch and playground surfacing material.

“Getting awarded this contract is allowing us to stay on point with our growth, building relationships with municipalities and governments,” said SGTM CEO and Director Tony Raynor (https://ibn.fm/4RVW1). “We are very fortunate to be an essential business that has proven to stand strong through these economically hard times.”

Despite the economic hardships currently being experienced by businesses across the country, SGTM has grown. The new contract comes shortly after subsidiary Mulch Manufacturing Inc. was awarded a 2021 mulch packaging contract renewal from Menards Inc., the third-largest home improvement chain in the U.S. with 350 stores in operation across 15 states. Also in the pipeline for Mulch Manufacturing is another contract with Old Castle Lawn & Garden to supply large home improvement chains in the Midwest. ‘

SGTM takes its role as a caretaker of the environment seriously by providing remediation efforts in the wake of hurricanes and other natural disasters such as Hurricane Laura. Through its strategic partner, ArborPro of Mississippi Inc., SGTM contributed to recovery efforts in Louisiana by providing services that diverted damaged trees and other vegetation from landfills. The busy hurricane season is expected to contribute significantly to the company’s bottom line this quarter, building upon already impressive Q2 results that included over $12.3 million in revenue and $3.4 million in gross profit (https://ibn.fm/BjJa1).

SGTM plans to expand operations through a combination of organic growth, national partnerships and strategic acquisitions. The company’s strong commitment to environmental sustainability was a primary factor behind the recent name and ticker change from National Storm Recovery Inc. (OTC: NSRI) to Sustainable Green Team, Ltd. (OTC: SGTM). Along with driving forward its mission, the company also aims to maximize value to shareholders seeking ethical investment opportunities in businesses with significant growth potential that can withstand increasingly challenging economic conditions.

To learn more about Sustainable Green Team Ltd., view the investor presentation at https://ibn.fm/Ss6pO.

NOTE TO INVESTORS: The latest news and updates relating to SGTM are available in the company’s newsroom at http://ibn.fm/SGTM

Pure Extract Technologies Awarded Standard Processing License by Health Canada, Eyes Expansion Plans

  • Pure Extract Technologies has been awarded Standard Processing License by Health Canada
  • The license will enable the Company to produce, sell cannabis & hemp products to other Licenced Producers in its purpose-built facility located near Whistler, Canada
  • Canada’s ability to export worldwide coupled with Company’s EU-GMP compliant facility makes Pure Extracts a natural partner for companies involved within international distribution

Pure Extract Technologies, a privately held British Columbia-domiciled plant extraction company, announced that it had been awarded a Standard Processing Licence by Health Canada under the Cannabis Act, following an extensive and meticulous five-month application and vetting process (https://ibn.fm/xElDa).

Pure Extracts achieved this licensing milestone in spite of the operational hurdles and constraints posed by the ongoing COVID-19 pandemic and has reiterated its confidence that its operational plan, coupled with the Company’s intense focus on employee safety, will allow for normal business practices to be conducted in a safe and efficient manner.

Furthermore, following the award of the Health Canada license, Pure Extracts will now proceed with application to Health Canada for a Natural Health Products Site Licence at its purpose-built extraction facility while adhering to EU Good Manufacturing Practices (“GMP”), which in turn will help ensure that its full spectrum oil (“FSO”) will be extracted to the highest possible quality.

“We are thrilled to be commencing production in our new, EU-GMP compliant, purpose-built facility and are confident that our state-of-the-art extraction and processing equipment will produce the highest-quality cannabis and hemp-derived oil available on the market,” stated Pure Extract Technologies founder and COO Doug Benville following the Health Canada license approval.

With consumer demand for edibles and infused beverages continuing to accelerate, Canadian cultivators have responded to the growth in demand by increasing the quantity of outdoor-grown biomass, which will be readily available for extraction this fall. Pure Extracts in turn has reacted to the forthcoming increase in demand by increasing its workforce, expecting to expand to 14-16 individuals by the end of 2020.

“Pure Extracts plans to position itself as an extraction industry leader in terms of its Full Spectrum Oil FSO quality,” notes CEO Ben Nikolaevsky. “We can’t wait to show our LP partners the incredible quality extracted oil that we can produce, be it for medicinal or recreational usage. Our standards are high, as you would expect from an EU-GMP compliant producer with an exceptionally experienced team. The dedication and determination our team displayed over the last two years has been exemplary.”

For more information, visit the company’s website at www.PureExtractsCorp.com.

NOTE TO INVESTORS: The latest news and updates relating to Pure Extract Technologies are available in the company’s newsroom at http://ibn.fm/Pure

The Movie Studio (MVES) Seeks to Expand Footprint Within Burgeoning Online Streaming Sector

  • Deloitte published report earlier this year looking into growth trends driving the global TMT industry
  • Study found that consumers have embraced online streaming platforms in 2020, with average customer subscribing to three streaming platforms
  • The Movie Studio has sought to capitalize on sector’s growth through launch of its own streaming platform as well as through purchase of content aggregator, BINGE Networks LLC
  • Deloitte ultimately expects online streaming sector to consolidate, with only handful of platforms taking lion’s share of market

As the world progresses through what can only be described as a wildly tumultuous year, it is evident that trends, such as the avid use of online streaming platforms, have emerged – a movement which independent, Florida-based film studio The Movie Studio (OTC: MVES) has sought to capitalize upon through the launch of its own eponymous online streaming platform.

With subscriber numbers for online streaming platforms more than doubling on a year on year basis, global consultancy firm Deloitte set out to delve deeper into the drivers underpinning the sector’s growth, publishing an extensive report setting forth the company’s findings on the current state of the global technology, media and telecommunications industry (https://ibn.fm/Lduh6).

In a recent survey carried out by Deloitte, a larger number of respondents indicated that they had at least one streaming video subscription (69 percent) relative to those who still possessed a traditional paid television subscription (65 percent) for the first time on record (https://ibn.fm/mN5s6). In response to an explosion in the number of online streaming platforms – the past 24 months has seen the launch of Disney+, Peacock, ViacomCBS and HBO Now amongst various others – studios have responded by withdrawing content rights from third-party streaming platforms in a bid to secure original content for their own platforms.

The move to de-aggregate media content in turn has led consumers to subscribe to multiple platforms, with Deloitte’s Digital Media Trends survey finding that consumers had subscriptions to an average of three streaming video services—a number which has remained steady over the past two years. In response to its findings, Deloitte concluded that streaming services owning the broadest content libraries would likely own the inside track to success, a strategy which has been evidenced by the likes of Amazon and Roku, both of which has attempted to bundle their media content offerings with gaming and music content in an attempt to entice subscribers to their platforms.

The Movie Studio has responded to the surge in competition within the online streaming video platform sector through an ambitious original content creation program, one that has seen the company produce and distribute major motion pictures such as ‘Exposure’, ‘Bad Actress’ and ‘Dancing on the Edge’ in recent times. Separately and in addition to its own content generation, MVES announced the acquisition of BINGE Networks, LLC earlier this year; in contrast to stand-alone streaming platforms, BINGE Networks operates as a distribution agent, providing over 100 individual OTT platforms, including the likes of Roku TV, Apple TV and Amazon with access to its content library of over 15,000 videos and 300 indie films (https://ibn.fm/t7Fdt).

Within its report, Deloitte revealed that it ultimately expected the online video streaming platform business to consolidate into a handful of businesses possessing the most extensive content libraries, with consumers selecting a handful of “must have” subscriptions. Meanwhile, those media companies boasting large libraries which did not make the cut could potentially look to launch their own ad-supported streaming services (in a bid to attract non-subscribers) or, in its stead, join an ad-supported aggregator.

Boasting its own subscription-based streaming platform as well as that gained through its acquisition of BINGE Networks, which operates as a content aggregator in its own right, The Movie Studio has taken great strides toward strengthening its hold on a sector which is expected to witness a wave of consolidation in coming years; more critically perhaps, it has also laid the groundwork needed to capitalize on the stunning growth trends within a sector set to grow at a CAGR of 20.4% over the coming seven years (https://ibn.fm/VhfG0).

For more information, visit the company’s website at www.TheMovieStudio.com.

NOTE TO INVESTORS: The latest news and updates relating to MVES are available in the company’s newsroom at http://ibn.fm/MVES

Pac Roots Cannabis Corp. (CSE: PACR) Employs Specialized Proprietary Cultivation Techniques, Seeks to Deliver on Higher-Quality Product Portfolio

  • Pac Roots Cannabis Corp. dedicated to supplying higher-quality cannabis product
  • PACR enters into strategic licensing agreement with Phenome One Corp, providing access to 350 meticulously-designed cultivars
  • Company has also employed number of proprietary cultivation techniques to ensure quality of end products, which has contributed to PACR’s stellar industry reputation

Since completing its RTO and being listed on the CSE in May of 2020, Pac Roots Cannabis Corp. (CSE: PACR) has established a strong reputation within the field of cannabis and hemp cultivation, leveraging upon the exceptional genetics of its specialized cultivars as well as an innovative proprietary cultivation technique to ensure the production of extremely high-quality strains. The company’s relentless focus on quality and cutting-edge agricultural methodology has earned it a growing reputation within the global legal cannabis industry—a burgeoning consumer sector expected to surge to an annual value of over $90 billion by 2027, according to a recent study carried out by Data Bridge Market Research (https://ibn.fm/oyEQU).

The enactment of a variety of new laws providing medical patients and recreational consumers with legal access to cannabis has led to a surge in demand for the plant, a need which has grown in-line with the explosive rise in retail demand for marijuana, edibles, and concentrate-based products. With the North American marijuana industry set to grow at a CAGR of 20% over the coming decade, cannabis cultivators have been increasingly hard-pressed to balance the need to ensure bountiful harvests while adhering to stringent quality criteria.

Pac Roots Cannabis Corp., however, has taken multiple measures to ensure the quality of its product. Through a strategic licensing agreement with Phenome One Corp (https://ibn.fm/oxdJL), Pac Roots has gained access to one of Canada’s largest live, genetic cannabis libraries with lab and field-tested, selectively bred seedlings which the company has employed to grow, breed and clone their own unique brands. The partnership has enabled Pac Roots to offer customers a remarkable portfolio of over 350 meticulously-designed cultivars, ranging from CBD-dominant plants with rare terpene profiles to plants with over 30% THC-content as well as West Coast outdoor, botrytis-resistant cultivars.

Through this alliance with Phenome One, Pac Roots has been able to both deliver rich THC and CBD cultivars with unique terpene profiles while simultaneously delivering upon industry-leading grams per watt (“GPW”) yields.

In addition to the company’s meticulous focus on high-quality cultivars, Pac Roots places great emphasis on optimizing the cultivation process by employing a series of unique and proprietary methods. Cannabis plants require varying levels of specific nutrients and soil additives at different stages of growth. These needs can change, depending on whether the plant is still in a vegetative growth phase or nearing its flowering stage.

Pac Roots has sought to address these requirements by custom-formulating nutrients from raw salts, enabling them to cater to the individual requirements of each specific cultivar. In contrast to most commercial growers currently employing commercially available additives, Pac Root’s meticulous focus on customizing the nutrients of each specific cultivar has allowed the company to maximize the CBD and THC profiles of each of its plants – ultimately translating into a higher-quality end product for the retail customers.

Another key issue that has constantly befallen cannabis cultivators is the potential for pests and disease factors, which, if left unchecked, could often have a devastating impact on biomass production yields. Pac Roots addresses these concerns through a two-fold approach, namely by picking the right soil or terroir in which to plant as well as by employing row compaction and specialized mowing techniques, allowing the company’s highly trained workforce to eliminate any potential sources of plant contamination at an early stage.

“It has been a busy for months since listing on the CSE in early May 2020,” said Pac Roots CEO Patrick Elliott. “We are proud to have a healthy crop and remain bullish on delivering a premium, high-yielding product to our customer.”

For more information, visit the company’s website at www.PacRoots.ca.

NOTE TO INVESTORS: The latest news and updates relating to PACR are available in the company’s newsroom at http://ibn.fm/PACR

SRAX Inc. (NASDAQ: SRAX) Moving BIGtoken to Separate Company, Announces Malcolm CasSelle as CEO

  • SRAX moving BIGtoken to separate publicly-traded company through definitive share exchange with Force Protection Video Equipment Corp
  • BIGtoken compensates over 16 million users for data which marketers access for fee
  • Malcolm CasSelle appointed CEO of BIGtoken following tenure on SRAX’s board of directors
  • BIGtoken spinoff allows SRAX to focus on rapid growth of Sequire platform

SRAX (NASDAQ: SRAX), a financial technology company that unlocks data and insights for publicly traded companies, recently announced that BIGtoken, its proprietary platform that empowers Internet users to control and profit from their data, will become a separate publicly-traded company with Malcolm CasSelle as CEO. Spinning off the platform as a separate company is expected to benefit SRAX with potential upsides while reducing costs, enabling the company to focus on Sequire, its highly successful SaaS data analytics platform geared towards the investment industry.

Subject to certain closing conditions, the definitive share exchange agreement between SRAX and Force Protection Video Equipment Corp (NASDAQ: FPVD) is expected to exchange all of the outstanding equity of BIGtoken for 88.9% of the issued and outstanding shares of FPVD. SRAX’s founder and CEO Christopher Miglino will serve as chairman of the new entity and SRAX board member Malcolm CasSelle has been appointed as CEO.

“BIGtoken has experienced wide adoption from some of the largest marketers in the world and is ready to be on its own. This move will allow SRAX to stay laser focused on the rapid growth of the Sequire platform,” said Miglino in recent statements (https://ibn.fm/qToVO). “Our focus is to get SRAX to profitability, and this move, combined with our significant growth in Sequire, gets us much closer.”

CasSelle brings an extensive range of expertise to BIGtoken, comprised of over 20 years of leadership in several digital media startups, including SVP & GM roles at SeaChange International, a tenure as president at Tribune Publishing, CEO of Timeline Labs, and GM of Groupon’s joint venture with Tencent in China. His seven years on SRAX’s board of directors make him a powerful addition to the executive suite, stemming from experience that spans BIGtoken’s inception straight through to its present-day success.

“I’m thrilled to join BIGtoken as CEO. I’m deeply committed to BIGtoken’s mission and values and believe the company is in a great position to quickly grow its userbase and consequently expand its roster of advertisers,” noted CasSelle (https://ibn.fm/GpdcJ). “Our work ahead is promising. BIGtoken is already working with large brands and agencies and we look forward to helping more brands find and engage their target audiences with our platform.”

The BIGtoken platform empowers brands to unlock the power of data by giving them the ability to target and access specific niche groups across 25,000 unique market segments. Over 16 million users provide that data through compensation agreements that reward them with cash or gift cards when they opt in to give access to their data.

For more information, visit the company’s website at www.SRAX.com.

NOTE TO INVESTORS: The latest news and updates relating to SRAX are available in the company’s newsroom at http://ibn.fm/SRAX

Sugarmade (SGMD) Numbers In Line with Cannabis Industry Increasing Projections

  • Projections for U.S. retail sales of medical, recreational cannabis on pace to reach $15 billion by end of 2020
  • SGMD seeing consistent growth in numbers, supporting expert predictions
  • CEO reports “increase in gross margins while demonstrating another breakout month-over-month performance on both the top and bottom line”

Even with the global COVID-19 pandemic causing a speed bump, projections for the retail sales of medical and recreational cannabis in the United states are on pace to reach $15 billion by the end of 2020 (https://ibn.fm/tqh6O). Those numbers, which are an increase of approximately 40% over 2019 sales figures, may not surprise Sugarmade (OTC: SGMD), which has consistently reported record numbers as it builds operations in the California cannabis space.

“Total U.S. sales could rise as high as $37 billion by 2024, according to exclusive projections from the latest Factbook, which was released Monday at MJBizConNEXT Direct,” reported a recent Marijuana Business Daily article. Despite the “huge curveball” that the coronavirus pandemic, threw at projections, the article went on to note that “spending on adult-use cannabis in markets that aren’t tourist-driven has increased, as have sales in nearly every domestic MMJ market.”

The report concluded that despite short-term uncertainty, the long-term potential of the cannabis industry remains intact. “Sharp sales increases in recently launched medical marijuana programs — as well as continued gains in adult-use markets — are expected to fuel much of the industry’s growth over the coming years.”

Recent financial reports from Sugarmade seem to confirm these projects. In its most recent numbers report, the company noted that gross sales for its BudCars Cannabis Delivery Service totaled $662,836, representing 32% month-over-month sales growth compared to June 2020 sales (https://ibn.fm/wuuTf). In addition, average daily gross sales increased 32% month-over month to $22,095, with total customer tickets increasing 33% month over month. In short, SGMD’s calendar Q3 is on pace to potentially more than double its calendar Q2 total BudCars sales.

“Last month featured strong growth in basically every major metric once again for our BudCars segment. We saw an increase in gross margins while demonstrating another breakout month-over-month performance on both the top and bottom line,” said Sugarmade CEO Jimmy Chan. “Note that April was our first full month operating BudCars. In July we more than doubled the sales and gross profits booked in April. That pace of growth suggests another potential doubling by October on a per-location basis. And we will be operating additional locations by then, which will serve to compound that growth.”

BudCars is a retail business that offers same-day delivery of top-quality cannabis. Customers choose from a variety of products including edibles, flower, pre-rolls, vapes, tinctures and concentrate across dozens of premium brands. Once consumers complete their purchases online, they receive their order the same day via BudCars Cannabis Delivery Service.

Sugarmade Inc. is a product and branding marketing company investing in operations and technologies with disruptive potential. In addition to its financial interest in the BudCars brand, SGMD’s brand portfolio includes CarryOutsupplies.com and SugarRush(TM).

For more information, visit the company’s website at www.Sugarmade.com.

NOTE TO INVESTORS: The latest news and updates relating to SGMD are available in the company’s newsroom at http://ibn.fm/SUGAR

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