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Pot Stocks in Focus: Cannabis-Based Pharmaceutical Trials

Corbus Pharmaceuticals (CRBP) announced some encouraging results this week

Jun 25, 2021 at 10:22 AM
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Welcome back to our weekly series, Schaeffer's Cannabis Stock News Update, where we recap what happened in the world of marijuana stocks last week and look ahead to how the cannabis industry continues to take shape in 2021.

Investor interest in the cannabis industry is growing at an explosive rate, and the leading players continue to break through legal barrier after legal barrier, especially in the United States. More than 40 U.S. states legalized recreational and/or medical marijuana by the end of 2020. Now, more and more companies are starting to see the opportunity in cannabis cultivation, marketing, distribution, and technology.

The Senate Veterans' Affairs Committee reviewed a bill this week that would ask the U.S. Department of Veterans Affairs (VA) to run clinical trials on the potential benefits of cannabis to treat military veterans who have post-traumatic stress disorder (PTSD) and chronic pain. Unfortunately, the VA seems to find the new legislation to be redundant and, therefore, unnecessary.

Here is a quick roundup of major (and action-worthy!) cannabis stock news this week:

On June 18, Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) announced that, on June 15, the Compensation Committee of its Board of Directors granted to 17 new employees inducement stock options to purchase an aggregate of 65,000 shares of its common stock and 28,000 inducements restricted stock units.

Canopy Growth Corporation (NASDAQ:CGC), alongside the The Supreme Cannabis Company,  announced on June 23 the completion of the previously announced arrangement whereby CGC has acquired all of the issued and outstanding common shares of Supreme.

Corbus Pharmaceuticals Holdings, Inc. (NASDAQ:CRBP), an immunology company developing innovative medicines that target inflammation, fibrosis, metabolism, and immuno-oncology, announced the topline results from the Phase 3 DETERMINE study of lenabasum in adults with the rare, heterogeneous, autoimmune disease dermatomyositis on June 24. CRBP is a biopharmaceutical company with a heavy focus on treatments that target the endocannabinoid system.

Evogene Ltd. (NASDAQ:EVGN), a leading computational biology company aiming to revolutionize life-science product development across several market segments, announced on June 23 that its Board of Directors has resolved to appoint Ms. Sarit Firon to serve as Chairperson of the Board following, and subject to, her re-election as a Director at Evogene's upcoming Annual General Meeting. Canonic, a wholly owned subsidiary of EVGN, is working on a commercialization plan of medical cannabis products in Israel.

India Globalization Capital, Inc. (NYSE:IGC) announced on June 23 that it had completed Cohort 3 of its Phase 1 clinical trial on a cannabis-based investigational new drug, IGC-AD1, to alleviate the symptoms of individuals who have Alzheimer's disease.

On June 24, Organigram Holdings Inc. (NASDAQ:OGI) announced that it had filed a preliminary short form base shelf prospectus with the securities commissions in each of the provinces and territories of Canada. When finalized, the Base Shelf Prospectus will allow OGI to qualify the distribution of up to $500 million CAD of common shares, preferred shares, debt securities, subscription receipts, warrants, and units during the 25 months that the Base Shelf Prospectus remains effective.

Sundial Growers Inc. (NASDAQ:SNDL) announced on June 23 that its forthcoming Annual General Meeting of shareholders will be held on July 7 at 1 p.m. MDT. As the safety of Sundial's communities, shareholders, employees, and other stakeholders continues to be a priority, SNDL will hold the meeting in a virtual format.

Tilray Inc (NASDAQ:TLRY) announced on June 24 that Director Brendan Kennedy sold 400,000 shares of Tilray stock in a transaction that occurred on Thursday, June 17. His shares of TLRY were sold at an average price of $17.97 per share for a total transaction of $7.1 million.

AFC Gamma, Inc. (NASDAQ:AFCG), the Florida-based company, announced on June 24  that it is poised to raise $56.4 million through its underwritten public offering 2.75 million shares of its common stock at $20.50 per share. In addition, underwriters have a month to buy up to an additional 412,500 shares of common stock at the set price. AFCG is a commercial real estate finance company that provides loans to companies in the cannabis industry.

 
 

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