Buds & Duds: Cannabis stocks start the week up; FSD Pharma shares soar on licensing milestone

Cannabis stocks started the week flat but inched up as Monday went on. 

The North American Marijuana Index, which tracks the top cannabis stocks in the US and Canada, was up 1.6% to 298.76 by on Monday midday. The Horizons Marijuana Life Sciences Index ETF was up 2.1% at C$20.61.

Buds

FSD Pharma Inc (CSE:HUGE) (OTCMKTS:FSDDF) announced Monday that it had hit a key milestone after its subsidary FV Pharma received its sales license to supply and sell cannabis products. The license, granted by Health Canada, went into effect on April 18, 2019.

Shares of FSD soared in Canadian trading, up 26.7% at C$0.29 on Monday. 

READ: FSD Pharma granted cannabis sales license from Health Canada

The Toronto-based company plans to ramp up production at its current facility while continuing to build out the plant to add additional grow capacity. 

The terms allow the current FSD facility to supply and sell cannabis products, while an amended sales license, expected in the near future, will include the sale of dried and fresh cannabis flower.

READ: The Green Organic Dutchman receives Health Canada licence to sell cannabis oils

The Green Organic Dutchman Holdings Ltd (TSE:TGOD) (OTCMKTS:TGODF) shares jumped on Monday after it announced it has received its oil sales licence from Health Canada.

Shares of TGOD were up 3.1% at C$4.03 in Toronto. 

“We are pleased to offer TGOD’s medical patients access to new premium certified organic cannabis oils,” said CEO Brian Athaide. “In addition, this step will assist TGOD in transforming our premium-quality organic raw material into a variety of higher-margin cannabis products which is core to our business plan, providing us with the opportunity to bring to market innovative and novel products, including beverages and edibles, once regulations permit. Cannabis 2.0 is rapidly approaching, and we will be ready.”

READ: Cannabis One to acquire Nevada-based Evergreen Organix

Also on the rise Monday was Cannabis One Holdings Inc (CSE:CBIS) (OTCMKTS:CAAOF), which announced a series of agreements to acquire Evergreen Organix, a Nevada-based cultivation, manufacturing and brand house.

Shares were up 5.3% at C$4.60 in Toronto, up 4.5% at US$3.39 in New York. 

The Denver-based company said in a statement that they had three definitive agreements to acquire certain assets of Nevada-based LV 3480 Partners LLC, 3480 Investors, Inc., and Agro Finance LLC, collectively known as Evergreen Organix.

Duds

A number of stocks lagged on Monday. 

MariMed Inc (OTCQB:MRMD) shares dropped on Monday, down 5.0% at US$3.31. Last week, the company reported its Q4 and annual 2018 fiscal results.

For the full year 2018, its revenues grew to US$11.85 million, up 95% over US$6.07 million reported for 2017. Its reported net loss for the year was US$13.6 million. 

CannTrust Holdings Inc (TSE:TRST) shares lagged on Monday after it announced it is aiming to raise US$200 million in a public offering. 

Shares were down 2.1% at C$9.22.

Contact Katie Lewis at [email protected]

Story by ProactiveInvestors