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New Cannabis Ingestion Methods are Arising as the Global Legal Cannabis Market Grows

LBUY

FinancialBuzz.com News Commentary

PR Newswire

NEW YORK, October 15, 2018 /PRNewswire/ --

According to a research published by Grand View Research, the global legal cannabis market is projected to cross the USD 145 billion mark by the end of 2025. Based on types of use, the market is segmented into medical and recreational products. Medical cannabis holds the largest market shares in the global market, while cannabis for recreational use is expected to grow at a faster rate. Cannabis plants contain a number of active compounds which can be used for treatment of various diseases. Based on medical applications, the medical cannabis market is segmented into four key segments, including chronic pain, mental disorders, cancers, and others. Chemesis International Inc. (OTC: CADMF), Aphria Inc. (OTC: APHQF), KushCo Holdings, Inc. (OTC: KSHB), Emblem Corp. (OTC: EMMBF), Leafbuyer Technologies, Inc. (OTC: LBUY)

Alongside economic growth, the industry will also witness job growth during the forecast period. In the U.S., California is expected to create 99,000 new jobs in the industry, accounting for approximately a third of the country. By 2021, there will be a total of 414,000 FTEs among legalized states, led mainly by six states that had adopted legalization early on: California, Colorado, Massachusetts, Nevada, Oregon and Washington. "Across the country, Americans are worried about being able to find jobs and support their families," said Tom Adams, Editor-in-Chief at Arcview Market Research and Principal Analyst at BDS Analytics. "The numerous employment opportunities created by the cannabis industry, especially in states that are legalizing adult use, cross the spectrum from retail and service jobs to science, technology and other traditional professions. Voters have noticed, and now legislators are waking up to the opportunities."

Chemesis International Inc. (OTC: CADMF) is also listed on the Canadian Securities Exchange under the ticker (CSE: CSI). Earlier last week, the Company announced breaking news that, "they have signed a definitive agreement, providing a Managed Strip Service Agreement enabling Chemesis to produce QuickStrips™ infused with cannabis oils.

RDT's innovative QuickStrip is an easy-to-use, safe and effective oral fast-dissolving drug delivery system, developed in conjunction with McMaster University through the renowned Adronov Research Group, which provides accurate dosing and potency.

Under the terms of the agreement, Chemesis will receive rights to produce, distribute and sell QuickStrip products, with rights for cannabis markets in California. With Chemesis' state-of-the-art facility, the Company believes this partnership with RDT will further strengthen its position in the California cannabis market, by allowing the Company to use a convenient drug delivery system that can target a variety of consumers and also allow them to use cannabis products in a new way. The Company will continue to position itself to capitalize in this growing market with innovative and effective products.

'RDT is an innovator in the drug delivery world, making this an excellent opportunity for Chemesis,' said CEO of Chemesis, Edgar Montero. 'QuickStrip is composed of therapeutic products and they also provide a drug delivery system that is quick, convenient, precise, discrete, convenient for travel, and an alternative for those who have problems swallowing pills. The Company believes it can use this drug delivery system to target a wide range of consumers and we look forward to distributing products in the near future.'

'RDT is pleased to be partnering with Chemesis to provide California's consumers with a delivery method they can count on that begins the move away from inhalation for dosing therapeutic products,' explains Mark Upsdell, CEO of RDT. 'Chemesis has developed strategies, partnerships, quality oil production, and distribution channels that will allow QuickStrip to expand rapidly into the California market. We will work directly with Chemesis in developing additional white label partnerships with manufacturers and distributors in California.'"

Aphria Inc. (OTCQB: APHQF) is a leading global cannabis company driven by an unrelenting commitment to its people, product quality and innovation. Aphria Inc. recently reported its results for the first quarter ended August 31st, 2018. Revenue for the three months ended August 31st, 2018 was CAD 13,292, representing a 10% increase over the prior quarter's revenue of CAD 12,026 and a 217% increase over the same period last year. The increase in the quarter was driven primarily by increased wholesale orders, accounting for 313 kgs. The increase in wholesale orders was comprised of approximately 200 kgs of cannabis trim sold to other LPs, to properly balance inventory levels of specific strains that were not in demand by the Provincial Control Boards and approximately 100 kgs of dried cannabis and cannabis oil, supplied to third party partners conducting clinical drug trials. Cannabis oil sales, as a percentage of volume, increased from 29.2% to 39.1% in the quarter, driven primarily by an internal formula change for its equivalency factor. On a year-over-year basis, revenue in the quarter increased 217.2%. "Aphria started fiscal 2019 by taking significant steps to solidify its position as a premier global cannabis company," said Vic Neufeld, Chief Executive Officer, Aphria. "We advanced the build out of our expansion in Leamington, signed coast-to-coast supply agreements, launched our strong portfolio of adult-use brands, and created strategic collaborations with leading companies like Perennial that will ensure Aphria continues to lead the consumer experience as the cannabis industry evolves."

KushCo Holdings, Inc. (OTCQB: KSHB) is the parent company to a diverse group of business units that are transformative leaders in the cannabis, CBD and other related industries. KushCo Holdings, Inc. recently announced that it has signed an exclusive sales and innovation agreement with ExtractionTek Sales, LLC, dba. ExtractionTek Solutions is a leading provider of closed loop hydrocarbon extraction equipment, based in Colorado. The reciprocal agreement is designed to drive additional client expansion for both companies through their complementary operations. KushCo's Kush Energy division supplies the cannabis industry with tested, ultra-high purity solvents and hydrocarbons, which are essential in the extraction process for the production of products including oils, edibles and waxes. An outcome of partnering together and cross-training, will be the development for new innovative solutions and offerings to the market, further facilitating how customers are able to scale and grow as a result of working with Kush Energy. "Our agreement with ETS will allow us to capitalize on the growing demand for closed loop hydrocarbon extraction by businesses that ultimately need solvents and hydrocarbon gases, generating additional opportunities for our aggressive customer expansion," said Jason Vegotsky, the President of Kush Supply Co. "ETS provides innovative solutions for quality-manufactured, efficient and safe extraction equipment and maintains strong customer relationships in many of the same key domestic markets that we currently operate within, further enhancing the opportunity to cross-sell our customer base."

Emblem Corp. (OTCQX: EMMBF), through its wholly-owned subsidiary Emblem Cannabis Corporation, is a fully integrated licensed producer and distributor of medical cannabis and cannabis derivatives in Canada under the Access to Cannabis for Medical Purposes Regulations (ACMPR). The Company recently announced that its wholly-owned subsidiary, Emblem Cannabis Corporation, one of Canada's leading licensed producers of medical cannabis, has received approval to supply British Columbia and Saskatchewan with premium cannabis products under Emblem's adult-use brand, Symbl. "B.C. and Saskatchewan are important markets for Emblem's continued domestic growth plans and we look forward to working with each province as a trusted partner to supply consumers with high-quality cannabis products that will meet their needs now and into the future," said Nick Dean, Chief Executive Officer, Emblem Corp. "Emblem is focused on building a business for the long-term through product innovation, developing strong brands and enhanced distribution. With supply approvals in place across four key provinces - which also includes Ontario and Alberta - we continue to expand Emblem's footprint and open up additional markets for our brands and products."

Leafbuyer Technologies, Inc. (OTCQB: LBUY) is one of the most comprehensive online sources for cannabis deals and information. Earlier this year, Leafbuyer Technologies, Inc. announced that yearly sales rose 42% in the fiscal year ending June 30th, 2018. The increase reflects the cash sales booked in the year versus the previous year. The Company reported that sales in new markets have been steadily increasing as marketing efforts have taken hold and sales staff have been put in place. "Our overall strategy of broadening our platform to become a true comprehensive marketing solution has allowed us to attract many new customers and upsell current ones. The average monthly spend for new customers has increased more than 50% in the last six months as we continue to offer a wider basket of solutions. We have also been investing heavily in development (online ordering, loyalty and blockchain) and are starting to see the results in sales numbers."

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