The newly listed company operates using a different business model from other Canadian cannabis producers
International Cannabis Corp. is the newest marijuana stock to enter the TSX Venture Exchange. While several other establish producers already enjoy attention from investors, the Financial Post reports that it still enjoys a first-mover advantage based on a unique business model.
The cannabis producer has based its production in Uruguay, a South American nation that has issued only two licenses for cannabis production. The tiny nation of 3.4 million people has a reported marijuana user base exceeding 55,000 individuals who smoke up to 40 grams a month; a recent study has estimated that a single joint contains only 0.32 grams. All in all, the annual demand for marijuana in the country, which is legalized for both medicinal and recreational purposes there, is said to be 27 million tons.
ICC has a small, 64,500-square meter indoor greenhouse operation from which it plans to produce an initial crop of 2 million tons. The company has upwards of 40 hectares for expansion, which it aims to use as it ramps up production to 15 tons per annum, all of which will be used to target the medical marijuana industry in Brazil. Their goal for the future is to become South America’s leading cannabis producer for both recreational and medical markets.
“The listing of ICC's common shares on the TSXV is a significant milestone for our Company and for this burgeoning industry,” ICC Chief Executive Guillermo Delmonte said in a statement. “ICC is now poised to continue its rise as the leading international cannabis producer. The next step will be to construct an extraction plant so that we can develop our cannabis production for extracts and other by-products.”
To that end, the company has launched a retail brand called “Grow.” Products planned under the brand banner include vaporizers, edibles, tea, soda, energy drinks, cosmetics and other consumer-oriented products.
“We believe the industry is approaching a tipping point as evidenced by a relaxation of cannabis legislation across the globe,” said Delmonte. “More than 10 countries have either recently loosened these laws or appear to be in the process of doing so, and we think this number will surge as evidence of medical uses becomes even more established.”
The company managed to close 356% higher at $1.14 at the end of its Tuesday market debut, going on to rise as much as 14% during Wednesday trading as reported by the Globe and Mail. Despite the surging interest reflected in its stock valuations, it remains a small-cap firm.
Related stories:
Trading markets short-circuited by marijuana stocks surge
Two of Canada’s biggest banks close their doors to the marijuana industry
The cannabis producer has based its production in Uruguay, a South American nation that has issued only two licenses for cannabis production. The tiny nation of 3.4 million people has a reported marijuana user base exceeding 55,000 individuals who smoke up to 40 grams a month; a recent study has estimated that a single joint contains only 0.32 grams. All in all, the annual demand for marijuana in the country, which is legalized for both medicinal and recreational purposes there, is said to be 27 million tons.
ICC has a small, 64,500-square meter indoor greenhouse operation from which it plans to produce an initial crop of 2 million tons. The company has upwards of 40 hectares for expansion, which it aims to use as it ramps up production to 15 tons per annum, all of which will be used to target the medical marijuana industry in Brazil. Their goal for the future is to become South America’s leading cannabis producer for both recreational and medical markets.
“The listing of ICC's common shares on the TSXV is a significant milestone for our Company and for this burgeoning industry,” ICC Chief Executive Guillermo Delmonte said in a statement. “ICC is now poised to continue its rise as the leading international cannabis producer. The next step will be to construct an extraction plant so that we can develop our cannabis production for extracts and other by-products.”
To that end, the company has launched a retail brand called “Grow.” Products planned under the brand banner include vaporizers, edibles, tea, soda, energy drinks, cosmetics and other consumer-oriented products.
“We believe the industry is approaching a tipping point as evidenced by a relaxation of cannabis legislation across the globe,” said Delmonte. “More than 10 countries have either recently loosened these laws or appear to be in the process of doing so, and we think this number will surge as evidence of medical uses becomes even more established.”
The company managed to close 356% higher at $1.14 at the end of its Tuesday market debut, going on to rise as much as 14% during Wednesday trading as reported by the Globe and Mail. Despite the surging interest reflected in its stock valuations, it remains a small-cap firm.
Related stories:
Trading markets short-circuited by marijuana stocks surge
Two of Canada’s biggest banks close their doors to the marijuana industry
