The 300 Club

19 Canadian Marijuana Stocks

Here's a look at 19 Canadian marijuana stocks, including everything from hemp to high-tech breathalyzers.

Things could be looking up for the cannabis space, and for Canadian marijuana stocks in particular.

Predictive Index analyst Jason Zandberg recently announced in July that he thinks the next few years will bring strong growth for the Canadian marijuana market, with demand from both recreational and medicinal users. He estimates that recreational use will be widely permitted by 2019 and the market will be worth $4.6-billion and reach $7.4-billion within the first five years, evenly split between medicinal and recreational users.

At this year’s United Nations General Assembly Special Session (UNGASS 2016), Canadian health minister Jane Philpott announced that the Liberal government intends to bring legalization legislation to the table in spring of 2017. The move gets Canada one step closer to legalizing cannabis for recreational use, a subject that is no doubt top of mind for investors in Canadian marijuana stocks.

A number of states and provinces in Canada and the US are in various phases of legalization for both medical and recreational marijuana use, making the market confusing for new investors. What’s more, the pot bubble of 2014 serves as a good reminder for investors to do careful due diligence on any potential cannabis investment.

Still, there are good opportunities out there for interested investors willing to do their research.

With that in mind, here’s a look at a few publicly traded Canadian marijuana stocks. The list includes cannabis and hemp focused stocks listed on Canadian exchanges.

Canopy Growth (TSXV:CGC)

One of the larger Canadian marijuana stocks, Canopy holds producers Tweed and Bedrocan under its umbrella. Tweed’s production facility is located in the old Hershey factory in Smith Falls, Ontario. Its breeding facility was recently completed in September 2016. The company believes the state-of-the art facility is the first of its kind and will form the foundation of new Canadian-bred genetics.

Near the end of May 2016, Canopy Growth announced it would be expanding into Australia through a partnership with AusCann Group Holdings. The company also announced on September 15, 2016 that it launched its first DNA Genetics strain, Lemon Skunk, in its Tweed store. Tweed has also launched a new seed breeding area which will serve as a massive accelerator towards innovating product development and expanding quality and variety.

Mettrum (TSXV:MT)

One of the first medical cannabis producers in Canada to be licensed under MMPR, Mettrum Health is a vertically integrated provider of cannabis products. It operates three facilities in Ontario with an annual production capacity of 12,000 kilograms. Mettrum offers a range of products in both whole-bud and extract forms.

Mettrum seems to be enjoying a fair amount of inertia in 2016. On May 9 the company received an amendment to its license allowing it to both produce and sell medical cannabis and extracts at its Bennett Road South facility. The company also received an export permit from Health Canada in June to export a limited amount of starter material to Australia. On August 8, 2016, Mettrum entered into a share offering agreement to issue 5,661,000 shares at a price of $2.65 per common share, for aggregate gross proceeds of $15,001,650.

OrganiGram (TSXV:OGI)

As its name suggests, OrganiGram specializes in producing organically grown medical marijuana. The company is licensed under MMPR, and has a production facility located in Moncton, New Brunswick. On June 2, Organigram closed a $10 million bought deal financing and announced the appointment of Peter Amirault to the company’s board of directors. In August, it announced that it would be acquiring 10 acres of adjoining property to its current location in Moncton. The transaction will occur in late September.

The company also entered into an exclusive product development and distribution agreement with TGS International in September. TGS is an affiliate of the Green Solution, a major Colorado marijuana dispensary, and will provide consulting for the development and operation for OrganiGram’s new production and processing facility.

Aphria (TSXV:APH)

Also licensed under MMPR, Aphria is located in Learning ton Ontario, at “Canada’s southernmost point.” The company announced on June 2 that it expects to more than double its growing capacity—the company’s board recently approved a $24.5 million project increasing its greenhouse square footage from 100,000 to 300,000 square feet, expected to be completed in a year. The company expects that the expansion will be able to bump growing capabilities from 5,500 kilograms to 18,000 kilograms annually. Aphria is also in the midst of completing its previously disclosed 57,000 square foot Part II expansion, is on target for completion in December with full crop rotation by June 2017.

Aurora Cannabis (CSE:ACB)

Aurora’s production facilities are located in Mountain View County, Alberta, near the Rocky Mountains. The company aims to “produce the cleanest, safest medical cannabis available on the market,” and all of its strains are currently offered at $8 per gram.

On June 8, Aurora acquired CanvasRx, the largest medical cannabis patient outreach service in Canada. It also announced a best efforts private placement for gross proceeds of approximately $15 million.

On September 2, 2016, Aurora surpassed 7,700 active registered patients, just under eight months after the Company’s first sale of product. Sales have continued to grow, reaching 147,000 grams in August, 2016, an increase of 23,000 grams from July. Gross revenue for the month of August, 2016 was $1.2 million, a 20% increase over July 2016.

Naturally Splendid (TSXV:NSP, OTCMKTS:NSPDF)

Naturally Splendid has a slightly different focus—rather than being involved in the medical marijuana space, the company offers investors exposure to the hemp-based healthy foods and omega markets. It is the only publicly traded company in the world offering investors exposure in this area. Naturally Splendid also has a sister company listed on the OTC, Laguna Blends (OTCMKTS:LAGBF), which is focused on the nutritional health benefits of hemp.

Naturally Splendid recently announced its 2016 second quarter results in late August. It recorded $3,657,852 in revenue, $1,596,383 in gross profit, and $885,301 in net income, a significant increase compared to the second quarter of 2015. The significant increase was due to two factors: bulk sales of hemp products to Korea and commencing operations with POS BPC, a private research and development company for biological materials.

Beleave (CSE:BE)

Beleave’s current facility is 14,500 square feet with plans of expansion, but is still waiting for its license to produce cannabis under Canada’s Marijuana for Medical Purposes Regulations (MMPR). Beleave has already been endorsed by the City of Hamilton Planning and Economic Development Department and plans to produce 550,000 grams of cannabis per year after it gains its license.
In March, the company signed a memorandum of understanding (MOU) with Ryerson University in regards to funding research about drug standardization and also entered a letter of intent (LOI) in April with gDial for the research, development, and licensing of proprietary technology for drug dosing, detection, and usage-tracking.

Golden Leaf Holdings (CSE:GLH)

Listed in Canada but located in Oregon, Golden Leaf Holdings is focused on producing high quality cannabis oils. On May 26, the company announced a new Golden Private Stash product line, a premium solvent-free cannabis oil produced in small batches.

In late August, the Company’s Chief Financial Officer, Brian Gentry, resigned for personal reasons. The company is currently searching for a new Chief Financial Officer.

Vodis Pharmaceuticals (CSE:VP)

Vodis has medical and recreational marijuana business operations in both Canada and the United States. Presently, Vodis is engaged in the application stage for a license to produce medical marijuana at its facility located in Delta, British Columbia through the Marihuana for Medical Purpose Regulation (“MMPR”) program. The company continues to wait for an inspection at its facility by Health Canada representatives. Due to the delay in the inspection, Vodis has laid off its employees at the Delta facility to reduce costs pending the Health Canada inspection.

The company reported successful production cycles for recreational marijuana at its Washington Facilities on April 4, and appointed Sean Côté as the company’s new CEO on May 11. On September 14, the company announced that it received two loans (a total of $450,000) to pay all outstanding principal and interest owed to Argentas Holdings. The loan will also provide short-term working capital for the company’s operations, such as expanding capacity in the Bellingham facility by 100 percent.

THC Biomed (CSE:THC)

Located in Kelowna BC, THC BioMed has been granted permission to conduct research and development for scientific purposes with medicinal marijuana. The company provides scientific and biotechnical services to current and potential licensed producers under MMPR. On May 26, Health Canada granted TCH BioMed a license to produce fresh marijuana, cannabis oil and cannabis resin.

Recently in September, the company appointed Hee Jung Chun, one of the original founders of THC Biomed, as its interim Chief Financial Officer. The company also announced that it has recently closed a private placement for total gross proceeds of $250,000.

PharmaCan (TSXV:MJN)

PharmaCan is a merchant bank focused on investing in the Canadian marijuana industry. It also supports the companies in which it invests through management consultation. The company owns interests in five licenced companies – out of a total of 35 listed on the Health Canada website – and three companies seeking a license.

Examples of companies in which PharmaCan currently holds an interest include In The Zone (100 percent), Whistler Medical Marijuana Company (21.5 percent), and the Peace Naturals Project (100 percent).

Recently in September, PharmaCan became the first Canadian company to own and operate licensed producers of marijuana under the Access to Cannabis for Medical Purposes Regulations in both Ontario and British Columbia. They also recently purchased the remaining interest in the Peace Naturals Project (formerly they owned 27.3 percent).

Calyx Bio-Ventures (TSXV:CYX)

Calyx is an agri-tech company which owns a portfolio of proprietary intellectual property with applications in crop enhancement, as well as a software platform tailored to the advanced indoor agriculture sector.

The company reported in September 2015 that its software subsidiary, Cannigistics Agri-Solutions, had signed two software licensing agreements in just over a week. In July 2016, the Calyx appointed Gavin McMillan as interim Chief Financial Officer, replacing Amanda Chow.

Abattis Bioceuticals (CSE:ATT)

Abattis Bioceuticals is a vertically integrated biotechnology company focused on natural health products, including cannabis. The company develops natural health products and conducts research and development for the pharmaceutical, nutraceutical, bioceutical and cosmetic markets.

In August, the company entered into an exclusive distribution agreement with Jiangsu Regent Granary Trading, one of a select few that is exporting Canadian products to China.

The company has also experienced a few board changes recently. In August, the company announced that Michael Yung, the Chief Executive Officer, had resigned. Rene David was appointed to the position on an interim basis while the board of directors appoints a new CEO. The company also announced the untimely death of one of its directors, Tim Fealey, and is currently seeking a replacement.

Emerald Health Botanicals (TSXV:EMH)

Emerald Health Botanicals, previously Emerald Health therapeutics, is a licensed medical marijuana producer under MMPR. Also, as a federal research grant recipient, the company conducts research and development into the characterization of cannabis strains and cultivation technologies. It also collaborates with academic and medical research to help gain further understanding of the effect of cannabis on humans.

Emerald Health announced in November 2015 that it had received a supplemental license from Health Canada to begin producing cannabis oils and capsules. Recently, the stock has been a huge mover, rising 6 percent since August 15, 2016. The move came after five months of negative chart setup for the $24.66 million company.

Tinley Beverage (CSE:TNY)

Tinley Beverage is the producer of Hemplify, a drinkable vitality supplement containing hemp extract made from the stalk of industrial hemp. The vegan, sugar free drink is a source of electrolytes, vitamins and Omega 3 fatty acids. The company reported receiving its first orders for Hemplify products on March 10, 2016. In August 2016 the company launched its web store at www.drinkhemplify.com and listed its flagship “Hemplify” product for sale on Amazon.com.

The Company has initiated the buildout of an affiliate marketing program with a Denver-based agency and has recently improved the shelf stability for its products, allowing it to expand its retail base to companies which required long-term shelf stability. Tinley reported that both flavors have now been successfully produced and the company is comfortable shipping the products via non-perishable and online channels.

Cannabix (CSE:BLO)

On the technology side of things, Cannabix technologies is developing a breathalyser that detects THC for use by law enforcement.

On September 16, 2016, Cannabix entered into a licence agreement for the patent and development of its breathalyser, partnering with the University of Florida. Cannabix issued the university 603,870 common shares as part of the agreement, which provides exclusive worldwide rights in the area of breath analysis of controlled substances. The development of the Cannabix Marijuana Breathalyser prototype is progressing well and expected to be completed by late fall 2016.

Puf Ventures (CSE:PUF)

Puf Ventures has a diversified portfolio of assets in the Canadian marijuana sector. It owns a passive, non-controlling interest in AAA Heidelberg, which is focused on using all-natural nutrients to grow healthy, pest free plants.

AAA Heidelberg has had an MMPR application pending with Health Canada since 2013. Its goal in 2016 is to become the next publicly traded Canadian company to be granted a new medical marijuana production license. Other ventures the company has invested in include 1313 Cigs, VapeTronix, and Weed Beacon.

On May 10, 2016 the company announced that VapeTronix had successfully fulfilled its initial product order, delivering the entirety of its shipment for an expected revenue of $146,000.

True Leaf (CSE:MJ)

Canada-based True Leaf is focused on the production of hemp-based functional dog chews. In August 2016, the company secured the first order for its True Hemp pet products with Pets Corner, the second largest pet store chain in the United Kingdom. The store will sell the product in all of its 174 stores. The sale also means that True Hemp is now generating revenue on two continents – North America and Europe. “We’re on our way to becoming a truly global brand,” said CEO Darcy Bomford.

Maple Leaf Green World (TSXV:MGW)

Maple Leaf Green World is involved in a number of different projects around the globe. In Canada, the company is seeking MMPR licensed producer status, while in California, the company is joint-ventured with a non-profit collective for a growing facility. The company is also involved in an eco-agriculture venture in China, focused on growing value-added tree seedlings.

The company started harvesting the first crop at its California facility in August, and its first tranche of approximately 100 pounds is expected to be shipped out in September 2016. The selling price for the first tranche is anticipated to be between US$1,400 to US$1,600 per pound.

After its first shipment, the company expects that there will be a tranche to ship out every two weeks until the first harvest is finished in October. The second crop will be harvested in November until December 2016. With the target buyers of Maple Leaf’s product secured beforehand, a steady stream of revenue should flow to the Company from September until December this year.

Maple Leaf has stated that it plans to further growth in 2017 by expanding its present facility and seeking to acquire another property in Southern California.

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