The cannabis sector basked in a round of celebrity pomp Thursday after it emerged that the domestic doyenne Martha Stewart will advise Canopy Growth, the world’s biggest marijuana producer, to fuel interest in its hemp-derived cannabidiol (CBD) products.
Buoyed by the news, the North American Marijuana Index, which tracks leading cannabis stocks in the US and Canada, added 0.6% to hit 294.02.
Charging ahead of the pack Thursday was Canopy Growth (NYSE:CGC), which added 4.5% to $47.81.
The Smiths Falls, Ontario company wants to tap into Martha Stewart’s “deep understanding of what consumers in the US and around the world want” as it looks to develop an array of products from hemp-derived CBD for people and animals.
“I am delighted to establish this partnership with Canopy Growth and share with them the knowledge I have gained after years of experience with the subject of living,” said Martha Stewart. “I’m especially looking forward to our first collaboration together, which will offer sensible products for people’s beloved pets.”
Canopy Growth is investing between $100 million and $150 million in a hemp industrial park in New York state, which will be its first hemp facility in the US.
In other news, scientists at UC Berkeley have the potential to bring about great changes to the marijuana sector after synthesizing cannabis compounds in a lab. If this fledgling scientific experiment can be produced for the masses, cannabis, THC and CBD could be manufactured more cheaply than via standard cultivation methods.
The Californian company is breaking into cannabis by looking to develop new cannabis and hemp varieties. A new unit at the company- Arcadia Specialty Genomics – will focus on making genetic improvements to cannabis and hemp crops – and be led by CFO Matt Plavan.
Ranking high on the list of laggards was Green Growth Brands (OTCMKTS:GGBXF), which shed 3% to hover at $3.66.
The Columbus, Ohio-based cannabis company announced after the market closed Wednesday that it posted a net loss of $13.19 million in its fiscal second quarter, ending on December 31, on revenue of $3.14 million.
Also trading lower on the unveiling of lackluster quarterly results was Canopy Rivers Inc (CVE:RIV), which shed 2.5% to C$4.65 in Canadian trade.
In its fiscal third quarter, which finished on December 31, the Toronto-based investing arm of Canopy Growth posted a total comprehensive loss of C$79.5 million.