The California-based cannabis company Canndescent recently closed a whopping $27.5M Series C Preferred Funding held last September 10, 2019.

Green Acre Capital, a Canada-based cannabis-specific investment firm, spearheaded the concluded Series C Preferred Funding Round. Other investors include Altitude Investment Management, Carnegie Arch Capital, JW Asset Management, and Sentera, LLC. Financial advisors Benchmark and DelMorgan & Company provided guidance and support for the business transactions.

In a statement, chief executive officer of Canndescent Adrian Sedlin states the investment towards their company allows them to increase their reach and widen their product offerings, saying “the institutional investment community recognizes our attractive risk-reward profile and continues to validate our strategy of driving growth through more brands, products and geographic markets.”

The same sentiments are echoed by Green Acre Capital, who said “Canndescent’s exceptional products, execution, and forward-thinking leadership will definitely earn it a significant stake in the future of the cannabis industry,” said Tyler Stuart, the managing director of the Canada-based firm.

Canndescent’s New Cannabis Products

Following this, the company is slated to launch new cannabis products designed to cater to the affluent. The luxury cannabis brand is slated to expand towards Canada and Asia, intending to cater to a more exclusive market and distributing high-end vaping products. The company’s partnership with Fume Labs allows them to supposedly gain more traction in the market once they officially launch their products to the Canadian market in December of this year, reports The Guardian.

Apart from selling premium stylus series, Fume Labs will also stock up on Canndescent’s ready-to-use vape pen, cartridges, and stylus battery to complete the whole range. A top-shelf brand, Canndescent plans to engage the public interest through its luxe packaging and branding, mirroring the simplicity and elegance of the renowned fashion brand Hermes.

In an interview with Cheddar, Sedlin disclosed that its partnership with Green Acre Capital opened doors towards its expansion in the Canadian market. “With a seasoned venture capitalist out of Canada, which is a federally legal market, it’s really given us exposure to the Canadian market and around the world,” says Sedlin. While the business initially aimed to expand operations within the confines of the United States, it reveals that expanding with a global perspective allowed them to achieve their goals.

Despite product launches and partnerships coinciding with recent events surrounding vaping-related illnesses in the country, Canndescent believes that cannabis regulation will greatly help the underserved and largely unregulated sector.

Curaleaf Holdings, Inc. recently launched the first-ever cannabis tablets in the state of Florida. It is also the first company in entire Florida to offer medical cannabis in the form of tablets.

The medical marijuana firm is the largest retail operator in the whole of the United States. Curaleaf currently has 49 dispensaries available in the country, 26 of which are located in the Sunshine State.

The product will be available across the 26 Curaleaf dispensaries in Florida. Apart from its dispensaries on the coast, the company also sells its products in four other states, including Connecticut, Maryland, New Jersey, and New York. The business intends to expand its operations to other states as well.

In a press release, the firm reveals the tablets are mint-flavored, giving patients a refreshing alternative to earthy and plant-based products on the market. Apart from its refreshing flavor, Curaleaf highlights the convenience and portability the product brings to its clientele. In light of its agreement with the Florida Department of Health, the cannabis company designed its packaging to come in child-proof containers.

While the company launched its products on the market, its press release states that physicians should determine the best course of action for their patients’ needs.

Chief executive officer of the company, Joe Lusardi, says that “knowing that our premium quality medical cannabis products allow so many of our patients to live life well, we are always looking for alternative administration methods to meet our patients’ needs.” Furthermore, Lusardi shares that they are “proud to be the first to offer Florida’s patients the option of medical cannabis tablets.”

Market Realist reports that Curaleaf Holdings, Inc.’s cannabis tablets launch is the company’s latest move to increase its reach within the medical marijuana market in the state. The main competitor of the firm in the state is Truelieve Cannabis, with a total selling of 49.2 percent of CBD and THC sold in the area. Meanwhile, Market Realists says that Curaleaf only takes third place, accounting for 11.6 percent of CBD and THC sold in the market.

Despite the initial buzz surrounding the release of these tablets, shares of the business fell by 6 percent last September 12, 2019. As a result, shares were valued at $7.43 per stock. However, come Friday morning, September 13, 2019, the company shares rose by 0.86 percent. This brought the total amount per share to $7.49.

We also discussed earlier regarding the company’s plan to acquire Grassroots Cannabis. The deal is expected to close in early 2020.

Globally leading firm Teva Pharmaceuticals recently announced its intention to venture into the cannabis industry. In an exclusive from Forbes, the Teva has partnered up with Israeli firm Canndoc to supply Good Manufacturing Practice (GMP) products to consumers in hospitals, health maintenance organizations and all Israel pharmacies.

Teva is considered one of the largest pharma firms worldwide, topping the industry in almost all aspects including its market cap and revenue. It is also recognized as the “biggest generic drug manufacturer” in the world.

With its deal with Canndoc, Teva’s affiliate company Salomon, Levin, Elstein (SLE) will distribute Canndoc products. SLE will also “provide logistics capability for exporting Canndoc’s products” to countries which allow the entry, sale, and consumption of medical marijuana items.

SLE CEO Aviad Bossi said that the deal enables both firms to take advantage of its each others’ specializations. On one hand, Teva will offer its “well-established pharmaceutical distribution network” to work with Canndoc’s “medical cannabis industry presence and market leadership.”

With this first agreement between the companies, Teva and Canndoc will work together for three years. The deal includes a provision allowing automatic extensions of two years at a time.

Canndoc is a subsidiary of InterCure, a medical device company

Pharma and Cannabis

Forbes noted that this collaboration is considered the biggest deal between pharma and medical marijuana companies. This can be because the pharmaceutical sector is treading with caution when it comes to entering the cannabis market.

Aside from Teva and Canndoc, Novartis and Tilray are also partnering up. Swiss pharmaceutical company Novartis has embraced cannabis as it worked with the Canada-based medical marijuana producer.

Moreover, Johnson & Johnson is also dabbling in marijuana-related ventures as JLABS @ Toronto accepted a cannabis-focused bioresearch company. JLABS @ Toronto is Johnson & Johnson’s incubator arm.

While the pharma industry has been careful as it enters marijuana-related deals, several large names in the United States and Canada have been making progress in cannabis research. In fact, a few of them have registered cannabis-related clinical trials in the two countries. The list of companies currently conducting these trials includes key players such as Sanofi, Merck, and Pfizer.

Meanwhile, Abbvie has registered a marijuana-focused patent in the US.

The continuous success and demand for medical marijuana guarantee that more pharmaceutical companies are likely to join the trend in the form of deals and even with their own entries.