Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Saturday October 14, 2017
The Next Big Thing in the Cannabis Industry
Canada has a pot problem, as Quartz Media recently warned us, but it’s a lucrative problem to have. One thing holding back this $8-billion market Forbes Magazine, April 13, 2017) is supply, and one little-known company plans to be the steward of it in a big way.
When Canada legalizes recreational marijuana in less than a year, in line with a bill pushed through by Prime Minister Justin Trudeau, legal supply is likely to be limited. There may not even be enough even if we are only considering medical marijuana usage. Keeping an eye on Insys Therapeutics (NASDAQ:INSY), Scotts Miracle-Gro Co (NYSE:SMG), Zynerba Pharmaceuticals (NASDAQ:ZYNE), Innovative Industrial Properties (NYSE: IIRP), Teva Pharmaceuticals (NASDAQ: TEVA).
The supply picture is so fantastically tight that Health Canada has had to streamline the approval process for growers because medical marijuana users have tripled in number since last year alone, according to Quartz. When it becomes legal recreationally, a Deloitte report estimates the economic impact will be worth $22.6 billion annually in other words, more than the combined sales of beer, wine and spirits.
Meet Cannabis Wheaton the world’s first cannabis streaming company, backed by a powerhouse team, with the biggest industry trailblazer leading the way.
Not only is Cannabis Wheaton jumping into a huge potential market where supply is forecast to struggle to reach demand, but it’s offering a lifeline to new and existing growers who need financing to get off the ground fast.
Producers need a miracle grow strategy, and Cannabis Wheaton is stepping in to fill the gap with a ‘royalty’ business model that is new to this market.
And for investors, the major upside is that this model removes the risks associated with putting all your money into a single-crop producer.
Cannabis Wheaton is intending to ‘stream’ pot, and 15 partners have already been lined up, along with 1.4 million square feet of growing acreage. (Source: Markets Insider)