Weed week: here’s all the latest cannabis news that’s impacting ASX pot stocks
Health & Biotech
Starting this week, Stockhead is introducing regular wraps of recent news from the hottest ASX small cap themes.
Yesterday we summarised China-focused infant formula exporters. Today it’s cannabis stocks:
There were two big marijuana news stories in the past week: Aurora Cannabis spending $C290 million on a neighbour in Vancouver and Tesla boss Elon Musk smoking a joint like it was a cigar.
Mr Musk’s attempt with a doobie on Joe Rogan’s show led to Telsa investors selling up after a series of unwise PR moves by the executive.
>> Scroll down for a table of ASX stocks with exposure to cannabis
But Aurora’s latest acquisition of ICC Labs and its Columbian base and 70 per cent market share in Uruguay has led global cannabis markets upwards: New Cannabis Venture’s global cannabis index was up 4.42 per cent overnight to 119.52 points.
At home in Australia, an IPO prospectus landed from Althea, a company whose main asset appears to be the fact that it’s Canadian giant Aphria’s vehicle to get into the Aussie market.
Rumours are rising that Little Green Pharma is also preparing to list, but they told Stockhead it’s not on the cards for this year.
Another new “cannabis” small cap is Suda (ASX:SUD). They do mouth sprays for heavy-duty painkillers and viagra, and said on Wednesday they’re in talks about doing a cannabis spray as well.
Medlab Clinical (ASX:MDC) already does cannabis mouth sprays and scored an export licence. Boss Dr Sean Hall says they’re talking to prospective importers in two “very different” countries.
The spicy stories this week included the mystery over the whereabouts of Chapmans (ASX:CHP) director Anthony Dunlop.
Investor Chapmans owns a stake in a cannabis business. On Sunday the Daily Telegraph newspaper reported he’d suddenly scarpered off to Malaysia.
A colleague told Stockhead it wasn’t true and the new office manager claimed he was “just in a meeting”, but we are still getting a ‘this phone is switched off or not in a service area’ message when we call.
Australia’s number two listed pot stock AusCann (ASX:AC8) has started trading off-exchange in the US, on OTCQX Market. The move not only gives them access to American cash but also could be a foot in the door to the monster US market.
No doubt they’ll be aspiring to give Elixinol Global (ASX:EXL) a run for a top position among the world’s best marijuana money makers. A US industry researcher named Elixinol as potentially — if they had the right data in on time — the fourth largest revenue-making pot stock in the US and Canada.
Zelda Therapeutics (ASX:ZLD) has got into bed with tech-wreck 1-Page, specifically its new German investment HAPA. It might mean Zelda is selling into Germany by the end of 2019 — but given the vagaries of clinical trials and health regulators that’s a big might.
While Zelda is planning for a German future once its insomnia trial is over, CannPal (ASX:CP1) has started its Phase 1B study of cannabis pain control drugs for dogs.
At Botanix (ASX:BOT) they’re getting really excited about pimples, saying one person (of an expected 360) is showing “promising early results” in its cannabis acne Phase 2 clinical trial.
And it’s Queensland Bauxite’s (ASX:QBL) extraordinary general meeting on Friday, where it’s expected to complete the change from purported bauxite explorer to Cann Global, purveyor of all things cannabis.
Here’s a table of ASX stocks with exposure to cannabis:
Swipe or scroll to reveal table. Click headings to sort