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Global Cannabis Value Expected to Keep Growing as North America Dominates the Market

FinancialBuzz.com News Commentary

PR Newswire

NEW YORK, October 8, 2018 /PRNewswire/ --

According to data compiled by Genesis Market Insights, the global marijuana market was valued at USD 17.18 Billion in 2017 and is projected to reach USD 58.90 Billion during the forecast period of 2018 to 2023. The main driver for the market is the widespread legalization of recreational and medical cannabis. The medical segment is used to treat conditions ranging from Alzheimer's to chronic pain, while the recreational market has been booming due to the recent surge in CBD-infused products. Currently, the North American region holds the largest market shares for the industry and is also projected to be the fastest growing market. The U.S. and Canada control the majority of the global cannabis market, but unlike Canada, the U.S. has not legalized cannabis nationwide. Other nations are beginning to enter into the market such as European nations who have legalized medical cannabis and the impending countries who are expected to join. Chemesis International Inc. (OTC: CADMF), Level Brands, Inc. (NYSE: LEVB), CannaRoyalty Corp. (OTC: CNNRF), Cannabis Sativa, Inc. (OTC: CBDS), Vitality Biopharma (OTC: CNNRF)

The cannabis market is positioned for strong growth pending further market legalization. Although, only two countries have legalized cannabis nationwide: Canada and Uruguay. The U.S. currently has 9 states and the District of Columbia that have legalized cannabis for both medical and recreational usage, but multiple other states are now in the process of beginning to legalize it. According to Forbes, California, Colorado and Washington State are the biggest players, driving in almost USD 5 Billion last year. "The industry is at about 5 percent of what it will be someday," concurs Tyler Stratford, director of client operations for cannabis consulting firm Canna Advisors. "Even if the path forward isn't straight, we're certainly on a path forward. The tide has changed, and there's no turning it back now."

Chemesis International Inc. (OTC: CADMF) is also listed on the Canadian Securities Exchange under the ticker (CSE: CSI). Earlier last month, the Company announced breaking news that, "it will be entering into the cannabis infused beverages market. Chemesis will leverage licences and assets it has recently acquired to build out production, storage, and a transportation network for its cannabis infused beverages. The cannabis beverages category includes sports drinks, teas, sodas, coffees, shots, water, and other health and wellness beverages.

With cannabis sales projected to triple from approximately $5.4 billion USD in 2015, to $16 billion USD in 2020, according to a market research, Chemesis sees a significant growing opportunity in the beverages market . Entering into the cannabis beverages market is the next logical step for the Company, as its current facilities and licenses allow this to be accomplished in a relatively short period of time. The Company can accomplish this by leveraging its state licenses for production, distribution, and transportation. Chemesis intends to provide white labelling services for companies, as well as introducing beverages for its own brands. Chemesis will be using the recently acquired Desert Zen Fulfillment facility for this expansion and anticipates products to be launched in Q1 2019.

"Entering into the cannabis infused beverage market is an extremely important step for Chemesis," said CEO Edgar Montero. "The cannabis market is expanding into more product categories, and Chemesis is identifying opportunities that will build long term value and consistent revenues. Our existing licenses and facilities will allow us to expand our portfolio of products without the added regulatory delays. The company will continue to ensure it expands and creates a footprint in markets and product spaces that align with our ambitious business plan."

About Chemesis International Inc. - Chemesis International Inc. is a vertically integrated global leader in the cannabis industry, currently operating within Puerto Rico, and California. Chemesis is developing a strong foothold in key markets, from cultivation, to manufacturing, distribution, and retail. Chemesis has facilities in both Puerto Rico and California, allowing for cost effective production and distribution of its products. In addition, Chemesis leverages exclusive brands and partnerships and uses the highest quality extraction methods, to provide consumers with quality cannabis products. Chemesis will add shareholder value by exploring opportunities in emerging markets while consistently delivering quality product to its consumers from seed to sale."

Level Brands, Inc. (NYSE: LEVB) is an innovative marketing and licensing company that provides bold, unconventional, and socially responsible branding for leading businesses. Level Brands, Inc., through its licensing agreement with Isodiol International, Inc., recently announced the online launch of five new cannabidiol (CBD) products under the kathy ireland® Health & Wellness brand. "It's very exciting to be at the forefront of the CBD industry, as we educate families about the power of CBD without THC," states Kathy Ireland, Chairman Emeritus and Chief Brand Strategist of Level Brands. "We continue to believe that the CBD industry will see enormous growth over the next decade on a global scale. Recently, the Brightfield Group reported that the global market for CBD could top USD 22 Billion in the next four years. If passed, the 2018 Farm Bill which includes the Hemp Farming Act of 2018, will remove hemp as a designated controlled substance thereby legalizing the crop under federal law, which will allow CBD to be legally sold in all 50 states. The passage of the 2018 Farm Bill, which would replace the 2017 Farm Bill which [expired] on September 30, 2018, would be a significant positive development for the industry." Source: https://levelbrands.com/level-brands-announces-five-organic-hemp-derived-cbd-products-now-available-online/

CannaRoyalty Corp. (OTCQX: CNNRF) is a North American cannabis consumer product company currently focused on building a leading distribution business in California, the world's largest regulated cannabis market. CannaRoyalty Corp. recently announced that it has finalized a definitive agreement with Australis Capital Inc. whereby Australis will purchase 2,200,000 common shares in the capital of Wagner Dimas Inc. from Cannroy Delaware Inc,. a wholly-owned subsidiary of CannaRoyalty. The Agreement replaces the letter of intent signed by the parties on September 17th, 2018. "As CannaRoyalty continues to grow and build a solid presence in California as a cannabis brands company and a major third-party distributor, our focus has been concentrated on realizing value from assets that are non-core to our business. This Agreement cements this stated strategy. The approximately 182% return on investment from the sale of our equity stake in Wagner Dimas reinforces our commitment to generate significant returns for shareholders and fund accretive growth in our key markets in North America," commented Marc Lustig, Chairman and Chief Executive Officer of CannaRoyalty.

Cannabis Sativa, Inc. (OTCQB: CBDS) is engaged in the licensing of cannabis-related intellectual property, marketing and branding for cannabis-based products and services, operation of cannabis-related technology services, and ancillary business activities. Cannabis Sativa, Inc.'s subsidiary, PrestoDoctor, recently announced that it is providing online medical marijuana recommendations to Pennsylvania residents via its HIPPA compliant trusted online recommendation platform https://Prestodoctor.Com/ , offering residents a convenient online option when it comes to getting their Pennsylvania Medical Marijuana Card. PrestoDoctor makes the process simple and seamless by providing the state required two doctor appointments completely online, allowing patients to speak to licensed compassionate physicians who specialize in Pennsylvania medical marijuana card / patient evaluations. "Easier access to alternative care is the driving mission at Presto Doctor, and has made PrestoDoctor the #1 rated online medical marijuana recommendation platform," said Chief Executive Officer Kyle Powers, "We are committed to serve patients in Pennsylvania with the integrity we have displayed in California, Nevada and New York."

Vitality Biopharma (OTCQB: VBIO) is dedicated to unlocking the power of cannabinoids for the treatment of serious neurological and inflammatory disorders. Vitality Biopharma, Inc. recently announced the filing of national patent applications in the United States and Canada that describe compounds discovered to be effective in a drug screening model for neural repair. The discoveries included a compound that is known to have a positive track record of safety in clinical trials and to provide pain relief through modulation of the vanilloid TRPV1 receptor. Cannabidiol (CBD), a non-intoxicating cannabinoid independently FDA-approved in pharmaceutical form for the treatment of epilepsy, is also known to relieve pain through modulation of the TRPV1 receptor. As a result, Vitality has made broad patent claims covering use of CBD and other TRPV1 agonists for myelin repair and for treatment of demyelinating disorders. "We're excited to pursue this intellectual property in the U.S. and Canada, and to perform additional work characterizing the regenerative potential of these compounds," said Robert Brooke, Chief Executive Officer of Vitality Biopharma. "By targeting fundamental mechanisms of neural repair, we believe the result could be more powerful therapeutics and treatment regimens that benefit patients across a variety of important disease states."

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