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Buds & Duds: The Green Organic Dutchman pops after winning cannabis supply agreement with Ontario

Cannabis companies are reporting a mixed showing Friday as the North American Marijuana Index is down, echoing the downturn on Wall Street
dollar bill cut in shape of marijuana leaf
A deal with Ontario is the first of many provincial supply agreement for The Green Organic Dutchman

Cannabis stocks in the US and Canada had a lacklustre Friday, dipping lower, alongside other markets.

The North American Marijuana Index, which tracks the top cannabis stocks in the US and Canada, dropped 0.2% to 279.34.

Buds

Shares of The Green Organic Dutchman (TSE:TGOD) perked up 1.75% to C$3.48.

The Toronto company reported today that it has won a cannabis supply agreement with Ontario Cannabis Retail Corporation. CEO Brian Athaide says the Ontario deal is the “first of many” provincial supply agreements planned for its premium organic cannabis products as its production increases throughout 2019.

Canopy Rivers Inc (CVE:RIV) is also a top gainer, rising 3.7% to C$4.77.

Yesterday, the cannabis behemoth Canopy Growth (TSE:WEED) said that it would pour an additional C$30 million into Canopy Rivers, which is its investing arm. After the deal closes, Canopy Growth will increase its ownership of Canopy Rivers shares to 27.3% from about 26.5%.

Duds

Shares of Tilray (NASDAQ:TLRY) slipped, meanwhile, shedding 2.2% to $78.20.

The Nanaimo, British Columbia-based company recently moved to bolster its presence in Europe by appointing Sascha Mielcarek, formerly with Grünenthal, as managing director for Europe. Mielcarek is one of a number of new senior hires at the firm and follows the recruitment of Greg Christopher as an executive vice-president of operations and Dara Redler as general counsel.

Other duds Friday included Emerald Health Therapeutics, which was down 2.5% at US$3.86.

The Canadian-licensed cannabis producer announced today that its cannabis joint venture Pure Sunfarms has struck up a supply agreement to supply cannabis stores in Ontario with its cannabis products for the non-medical market. Emerald has a 50% stake in Pure Sunfarms.

Contact Ellen Kelleher at [email protected]


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