The marijuana industry has seen a large and growing amount of demand for the various products in the market over the course of the past year or so. With so much in the works at this point, it seems as though meeting this large quantity of cannabis need will be something to work on in the near future. Many companies have stated that this is their main goal, and meet this goal, they have begun to build out new facilities as well as retrofit their existing ones.
Biome Grow Inc. (BIOIF/BIO.CN) is a Canadian company working to produce various cannabis products for sale on the open market. The company has a large range of subsidiaries all across Canada which contribute to the various sectors of the industry. The company has stated that they recently began shipments to Newfoundland and Labrador under a contract that is subject to show revenue of around $100 million by the end of next year. The company is working to meet the large supply shortage that has been seen since the legalization of marijuana recreationally in the nation last year.
Some studies have shown that the Canadian adult use cannabis industry could see as much as CA$22 billion over the course of the next few years, which means that there is a lot of catching up to do for the companies involved. Through their subsidiary Back Home Medical Cannabis Corporation, they have begun to make the aforementioned shipments which will go under the subhead of the largest supply agreement in Atlantic Canada to date.
According to one report “Biome Grow is also finalizing the site selection for five wholly-owned retail locations in the province, which are expected to open by this Spring.” With this, they should be able to produce a large quantity of revenue with larger margins as so many marijuana companies have done before. If they also begin to produce larger quantities of their own in house brands, they could see higher rates of loyalty from the customers that they serve. All in all, Biome Grow Inc. looks as though they have a large amount of work on their plate with the proper tools to make it all happen. Investors should continue to keep an eye on the company throughout the near future.
Aphria (NYSE:APHA) is one of the largest growers in the whole of the industry. The company has been working with their various licenses to begin selling large quantities of cannabis to the Canadian market. Additionally, they have also been working to push forward their international business so that they can be sure there is no issue with overproduction.
One of the key issues is that they are expanding rapidly, and have yet to establish their overseas markets fully. If they can begin to cement their road in the coming future, there’s no telling how far Aphria could go. For this reason, they remain an interesting business to watch in the coming year or so.
Pursuant to an agreement between an affiliate of MAPH Enterprises, LLC (owners of MarijuanaStocks.com), Midam Ventures LLC and Biome Grow, Midam is being paid a total of $240,000 ($20,000 per month) for a period beginning on October 1, 2018, and ending on October 1, 2019. We own 0 shares of Biome Grow (BIO.CN). We may buy or sell additional shares of Biome Grow in the open market at any time, including before, during or after the Website and Information, to provide public dissemination of favorable Information about Biome Grow (BIO.CN).