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Developments in the Legal Cannabis Industry

CANN, T.ACB, LEXX

PR Newswire

NEW YORK, February 24, 2017 /PRNewswire/ --

A report published by The Hemp Business Journal estimates that the Cannabidiol (CBD) market will grow to a $2.1 billion market in consumer sales by 2020 with $450 million of those sales coming from hemp-based sources. In 2015, the market for consumer sales of hemp-derived CBD products was $90 million, plus another $112 million in marijuana-derived CBD products which were sold through dispensaries - bringing a total CBD market to $202 million last year. Vinergy Resources Ltd. (OTC: VNNYF) (CSE: VIN.CN), Aurora Cannabis Inc. (OTC: ACBFF), Eco Science Solutions Inc. (OTC: ESSI), Lexaria Bioscience Corporation (OTC: LXRP), General Cannabis Corporation (OTC: CANN).

In the meanwhile, states that have legalized cannabis are benefiting from taxes. For example, during the 2014-15 fiscal year Colorado took in $70 million, nearly twice as much revenue than the state earned from alcohol taxes, Forbes reported. Colorado is expected to generate $135 million in cannabis taxes and licenses fees in fiscal year 2015-16, according to ArcView research.

Vinergy Resources Ltd. (OTCQB: VNNYF) (CSE: VIN.CN) in conjunction with its proposed acquisition of MJ BioPharma (announced December 14, 2016) announce that, as a part of the Company's strategy to develop products that test and identify specific cannabinoid isolates for targeted therapeutic purposes it has signed a binding Letter of Intent ("LOI") to acquire 65% of Biolennia Laboratories Inc.

Biolennia will provide a host of drug testing services to support MJ BioPharma's product line and provide research and development (R&D), product formulation, extraction facilities, systems design and develop standard-operating-procedures (SOPs). The lab is currently in the process of applying for a Dealer's License from Health Canada. Once issued the license will allow the Company to process cultivated cannabis (extracts and/or derivatives) for R&D purposes.

Biolennia was founded in 2001 by Dean Swift as the internal R&D and quality testing laboratory to support Micrylium Laboratories Inc. ("Micrylium"). In 2002 it upgraded to a full active ingredient and microbial testing laboratory for several Health Canada approved products. Biolennia is a specialty development laboratory with expertise in Microbiology (bacteria, fungi, viruses), Chemistry (proteins, enzymes, drug testing, material science and analytics). The Laboratory currently provides testing, R&D and quality control for a proprietary line of Health Canada registered and approved industrial disinfectants and other consumer products on behalf of Micrlylium.

"This is a fantastic acquisition for us and supports our entire product line and R&D initiatives moving forward. Our technical expertise in drug testing, extractions, and formulas containing CBD, Terpene, THC and other botanicals is continually being furthered. We have a remarkable team. We feel strongly that science based products formulated from extracts and derivatives that are properly dosed and manufactured in GMP environments to ensure consistency and safety for all customers whether they be recreational or medical users, is the future of the cannabis industry," said MJ BioPharma CEO Kent A. Deuters.

Aurora Cannabis Inc. (OTCQB: ACBFF) together with its subsidiaries, cultivates, harvests, produces, and distributes medical marijuana and cannabis oil products in Canada. The company's wholly-owned subsidiary, Aurora Cannabis Enterprises Inc., is a licensed producer of medical cannabis pursuant to Health Canada's Access to Cannabis for Medical Purposes Regulations. The Company operates a 55,200 square foot, state-of-the-art production facility in Mountain View County, Alberta, and is currently constructing a second 800,000 square foot, highly automated production facility at the Edmonton International Airport.

Eco Science Solutions Inc. (OTCQB: ESSI) develops technical solutions, including enterprise software solutions, entertaining and useful content generation for mass distribution, and consumer applications for daily use. Its services include business location, localized communications between consumers and business operators, social networking, educational content, e-commerce and delivery. The company offers an app called Herbo, enabling consumers to find products and services that support the intake of alternative medicines for a naturopathic way of living and another app that helps to track day-to-day fitness routines, dietary habits, and alternative medicine intake, called Fitrix. Herbo has a database of over 14,000 medical cannabis locations and delivery services, doctors who provide evaluations, and local shops that sell relevant product.

Lexaria Bioscience Corporation (OTCQB: LXRP) is a food biosciences company with a proprietary technology for improved delivery of bioactive compounds. The Company's lipophilic enhancement technology has been shown to enhance the bioavailability of orally ingested cannabinoids, while also masking taste. Cannabinoids are poorly absorbed by the body's gastrointestinal tract and consumers often default to alternate routes of administration like smoking to achieve higher effectiveness. Lexaria has two distinct consumer product brands: ViPova™ and Lexaria Energy. Both brands use patent pending technology to infuse hemp oil ingredients within lipids in popular foods.

General Cannabis Corporation (OTCQB: CANN) offers various products and services to companies in the cannabis industry. The Company's integrated solution ranges from operational and compliance consulting to security and marketing to financing needs. The Company's segments include Security and Cash Management Services; Marketing and Products; Consulting and Advisory, and Finance and Real Estate. The Security and Cash Management Services segment includes the operations of Iron Protection Group, LLC. The Marketing and Products segment includes the operations of Chiefton, an apparel and design company. The Consulting and Advisory segment offers consulting services, such as obtaining licenses, compliance, cultivation and logistical support, to the cannabis industry through Next Big Crop. The Finance and Real Estate segment includes real estate leasing; Shared Office Space, Networking and Event Services, and Industry Finance and Equipment Leasing Services.

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