180 Life Sciences Corp.

The QualityStocks Daily Newsletter would like to spotlight 180 Life Sciences Corp..

180 Life Sciences, a clinical-stage biotechnology company, is dedicated to producing solutions designed to battle inflammation when the body’s natural processes go awry. The company’s primary focus is to treat fibrosis and inflammation using anti-TNF therapy, designed to block the activity of TNF, a substance in the body that can cause inflammation and lead to immune-system diseases. The company is advancing on this front as discussed by a recent article that reads, “180 Life Sciences’ lead program is in phase 2b/3 clinical trials and expects to deliver its first results next year. Other clinical trials planned by the company are scheduled to begin later this year, and two additional programs are in the preclinical stage.” To view the full article, visit https://ibn.fm/L95hc

KBL Merger Corp. IV (NASDAQ: KBLM), a special purpose acquisition corporation (SPAC), announced that, in connection with its previously detailed merger agreement with 180 Life Sciences, it consummated a bridge financing on June 29, 2020, and submitted its latest S4 filing with the SEC on August 28, 2020. It expects to close the business combination in Q4 2020. Following the merger, the company will be listed on the Nasdaq Capital Market under ticker symbol ‘ATNF’.

180 Life Sciences Corp. is a clinical-stage biotechnology company focused on the development of novel drugs that fulfill unmet needs in inflammatory diseases, fibrosis and pain by leveraging the combined expertise of luminaries in therapeutics from Oxford University, the Hebrew University and Stanford University.

KBLM has valued 180 Life Sciences at $175 million, with the acquisition being carried out via a share swap through which each share of 180 Life Sciences will be exchanged for one share of KBLM.

Drug Development Programs

180 Life Sciences is leading the research into solving one of the world’s biggest drivers of disease – inflammation. The company is driving groundbreaking study into clinical programs, which are seeking to develop novel drugs addressing separate areas of inflammation for which there are no effective therapies.

The company’s primary platform is a novel program to treat fibrosis and inflammation using anti-TNF, with its lead program in phase 2b/3 clinical trials with first results expected in 2021. Further clinical trials are scheduled to begin by the end of 2020. The company has two additional programs that are in the preclinical stage and are showing promising results.

• Fibrosis & Anti-TNF (Phase 2b/3 Trials): Based at the Kennedy Institute within Oxford University, the fibrosis and anti-TNF program is being led by Professor Jagdeep Nanchahal, a surgeon-scientist who has been running the phase 2 trials, and Professor Sir Marc Feldmann, a renowned immunologist and one of the pioneers of anti-TNF therapy. The program is designed to address four critical areas of inflammation:
  1. The phase 2b/3 trial evaluating the treatment of early stage Dupuytren’s disease (DD) is a fully grant-funded and enrolled study, with top line data expected to be available by Q4 2021.
  2. The phase 2b trial studying the treatment of frozen shoulder is likewise grant-funded and is scheduled to be initiated by Q3 2021.
  3. The phase 2 trial in post-operative cognitive deficit (POCD) is anticipated to commence in Q4 2021.
  4. Preclinical studies in liver fibrosis and nonalcoholic steatohepatitis (NASH) are set to begin in late 2020.
• Inflammatory Pain (Preclinical): Directed by Professor Raphael Mechoulam at the Hebrew University in Israel, this program is focused on discovering novel compounds to treat chronic inflammatory pain.
• A7nAChR (Preclinical): Led by Professor Lawrence Steinman and Dr. Jonathan Rothbard, 180 Life Sciences is seeking to develop a treatment for ulcerative colitis in ex-smokers by targeting the a7nAChR, a nicotine receptor in the body and a central factor in the body’s method of controlling inflammation.

Market Size for Anti-Inflammatory Medication

According to a study carried out by Allied Market Research, the anti-inflammatory therapeutics market is expected to grow to an approximate $106.1 billion annual market size in 2020, registering a CAGR of 5.9% during the period from 2015 to 2020.

Ranging from asthma treatments to targeting the causes of diseases such as arthritis, multiple sclerosis, psoriasis and inflammatory bowel disease, anti-inflammatory therapeutics have seen a sharp increase in usage, particularly given that they allow for medical responses that are more targeted and effective while possessing lesser side effects relative to conventional drugs.

Management Team

Professor Sir Marc Feldmann, Co-Chairman, is known to be a pioneer of anti-TNF therapy, which seeks to suppress the immune system by blocking the activity of TNF, a substance in the body that can cause inflammation and lead to immune-system diseases. As of today, anti-TNF therapy drugs have become the world’s largest drug class, with sales estimated at over $40 billion per annum. Feldmann has received seven international awards for biomedical innovation over the years, including the Crawford and Lasker awards, and he is a member of the Royal Society.

Professor Lawrence Steinman, Co-Chairman, is a scientific luminary, having discovered the role of integrins, which led to the creation of Natalizumab, a highlight effective treatment for multiple sclerosis and inflammatory bowel disease. Steinman is a member of the National Academy of Sciences and has received four international awards for biomedical innovation, including the Charcot Prize. Prior to joining 180 Life Sciences, Steinman founded Centocor, a pharmaceutical company that was sold to Johnson & Johnson for $4.9 billion.

Dr. James N. Woody, CEO, was instrumental in the discovery of Remicade as Chief Scientific Officer at Centocor. Previously, Woody founded Avidia and Proteolix, both of which were subsequently sold to Amgen, and he was a General Partner at Latterell Venture Partners. Boasting over 25 years of pharmaceutical research and management experience, Woody was also previously the general manager of Roche Biosciences, the former Syntex Pharmaceutical Company.

Investment Considerations

• 180 Life Sciences boasts a world-class team responsible for developing new classes of drugs targeting multiple disease states while creating significant shareholder value.
• The company has a large and expanding patent portfolio.
• The risks associated with the company’s drug development efforts are mitigated through the concurrent advancement of multiple programs in different stages of development.
• 180 Life Sciences decreases costs and expedites time to market through the use of grant funding, cost-effective international trials and recruitment of hospital-based luminaries who attract teams of excellence.

Recent News

• 180 Life Sciences Corp. Advancing Lead Program, Plans Additional Clinical Trials
• KBL Merger Corp. IV (NASDAQ: KBLM) Fulfilling IPO Goal Through Merger With 180 Life Sciences Corp.
• 180 Life Sciences Corp. Pursuing Novel Solutions to Inflammatory Illnesses as Merger Nears Completion

Cybin Corp.

The QualityStocks Daily Newsletter would like to spotlight Cybin Corp..

Cybin Corp., a Canada-based life-science company, looks to benefit from its growing footprint in two billion-dollar markets: nutraceuticals and psychedelic drugs. Both sectors are projected to see significant growth in the coming years. The global nutraceutical market was valued at $382.51 billion in 2019 and is expected to grow at an 8.3% compound annual growth rate (“CAGR”) over the next seven years. Meanwhile, the psychedelic drugs market is projected to reach $6.85 billion by 2027. To view the full article, visit https://ibn.fm/AJwKU

Cybin Corp. is a Canada-based life sciences company focused on the pharmaceutical development of psychedelic products, as well as the functional mushroom market.

The early-stage company boasts an experienced management team featuring industry veterans from pharmaceutical and consumer product backgrounds who have run multiple clinical trials and collectively helped facilitate billions of dollars in product revenues. The team is dedicated to the development of products and protocols within the psychedelic, pharmaceutical and nutraceutical industries.

In particular, Cybin aims to further build upon and expand its intellectual property (IP) portfolio, which is structured around unique psilocybin delivery mechanisms that target a number of different therapeutic indications. In addition, the company has dedicated itself toward furthering its research and IP within the fields of synthetic compounds, extraction methods, the isolation of chemical compounds, new drug formulations and protocol regimes.

Serenity Life Sciences & Natures Journey Inc.

The company’s business model is centered around its two core subsidiaries, Serenity Life Sciences and Natures Journey Inc., which comprise Cybin’s two-pronged approach toward delivering fungi-derived psychedelic and medicinal products.

Serenity Life Sciences is focused on furthering research and development of psilocybin-based medications. Psilocybin is found in certain species of mushrooms and is a non-habit forming, naturally occurring psychedelic compound. Research into psilocybin has shown positive results for the treatment of depression, anxiety, PTSD, addiction, eating disorders, ADHD and other indications.

Natures Journey Inc. operates the Journey brand, which specializes in developing proprietary medicinal mushroom products that target and promote mental wellness, immune boosting detoxification and overall general health and wellbeing.

Partnership with the Toronto Centre for Psychedelic Science (TCPS)

Staying true to its axiom of being a research-first medicinal mushroom life sciences company, Cybin recently announced its entry into a strategic partnership with the Toronto Centre for Psychedelic Science (TCPS), with the goal of furthering its ongoing psilocybin research efforts and expanding Cybin’s psilocybin IP portfolio (http://nnw.fm/9EUkI).

“While there is evidence to support psilocybin as a treatment for certain indications, the Toronto Centre for Psychedelic Science is taking a clinical approach to prove or disprove the safety and efficacy of psilocybin-based microdosing through an open science approach,” Paul Glavine, CEO of Cybin, stated in a news release.

“We are excited to join forces with Cybin and to offer our expertise. A number of firms had approached TCPS, but Cybin demonstrated a superior commitment to high-quality research and integrity in product development. Our high standards for scientific rigor and transparency will find a fitting home within the culture Cybin is cultivating in Canada and abroad,” Thomas Anderson, co-founder of the Toronto Centre for Psychedelic Science, added.

Journey’s Product Monetization & Market Potential for Nutraceutical Supplements

Although Cybin is at the forefront of companies seeking to conduct clinical trials aimed at gaining regulatory approval for psilocybin and other psychedelic products, the company has also placed a great deal of emphasis on generating meaningful revenue from its very outset.

Cybin’s Journey brand has is launching a range of supplements comprised of popular fungi-derived ingredients such as Reishi, Lion’s Mane and Cordyceps. Purported to aid focus and concentration while promoting neurogenesis, Journey’s range of nutraceutical products provides Cybin with a crucial foothold within the non-psychedelic legal supplement market, which is valued at over $25 billion globally and growing at a 9% year-over-year rate.

Pharmaceutical Psychedelics

In addition to the company’s range of non-psychedelic supplements, Cybin has plans to carry out a clinical trial with a new delivery system for its psilocybin-based medications later this year. Ultimately, the company aims to enter into technology transfer agreements with global pharmaceutical companies after phase 1 & phase 2 clinical trials are complete in order to accelerate regulatory approvals in major indications in global markets with entire lifecycle product management.

With products such as psilocybin truffles already legal in nations such as the Netherlands, Jamaica and Bulgaria, Cybin has positioned itself to capitalize on an eventual legalization of psychedelic mushroom-derived products in the future. Working within a regulatory environment with strong similarities to that which dealt with cannabis prior to the industry’s eventual legalization by the Canadian government in 2018, Cybin is laying the groundwork for the moment pharmaceutical psychedelics gain acceptance in North America and abroad.

Amalgamation Agreement and Financing

Cybin recently announced its entry into an amalgamation agreement dated June 26, 2020, with Clarmin Explorations Inc. (TSX.V: CX) and 2762898 Ontario Inc., a wholly owned subsidiary of Clarmin (http://nnw.fm/w04LH). Completion of the transactions contemplated in the amalgamation agreement will result in the reverse takeover of Clarmin by Cybin.

In connection with the proposed transaction, Cybin plans to complete a “best-efforts” brokered private placement of subscription receipts of Cybin, with a syndicate of agents co-led by Stifel Nicolaus Canada Inc. (Stifel GMP) and Eight Capital, to raise a minimum of C$14 million ($10 million) and a maximum of C$21 million ($15 million), with a 15% agents’ option.

To date, Cybin has raised approximately C$10,400,000 through an initial financing round and its series A financing round.

Recent News

• Cybin Corp. Leverages Two-Pronged Approach to Target Psychedelic, Nutraceutical Sectors
• Cybin Corp. New CEO Set to Pave Path to Profitability, Grow IP Portfolio Organically
• Cybin Corp. Leads Out in Growing Billion-Dollar Nutraceutical, Psychedelic Markets

DarioHealth Corp. (NASDAQ: DRIO)

The QualityStocks Daily Newsletter would like to spotlight DarioHealth Corp. (DRIO).

DarioHealth Corp. (NASDAQ: DRIO) was featured today in a publication from BioMedWire, examining how researchers from the Georgia Institute of Technology and Ohio State University have discovered a way to send soft tiny robots into humans. This may open the door for ways to deliver treatments for various conditions ranging from aortic artery blockages to colon polyps as well as less invasive surgical procedures.

New York and Israel-based DarioHealth Corp. (NASDAQ: DRIO) leads global digital therapeutics (DTx) with its popular, smartphone-centered personalized chronic illness management software-as-a-service (SaaS). The company’s strategic advantages include:

• AI-powered digital solutions that drive durable behavior change in chronic disease patients, and
• Personalized user experience at scale to make behavior change the path of least resistance.

Approximately $3 trillion in annual U.S. costs associated with chronic illnesses like diabetes, hypertension and obesity are largely preventable with behavioral therapies. Formerly limited to periodic office visits, these therapies can now scale to millions with tech-enabled, continual and remote health monitoring, as well as AI-driven digital and live coaching. This is all possible while still maintaining the personalization required for success in reducing illness and its related effects and costs.

Roughly 51,000 active, paying users manage their health with Dario’s platform that combines smartphone-connected vitals measurement, remote patient monitoring (RPM), lifestyle management tools, and AI-driven and human coaching to deliver improved clinical outcomes.

Among the most downloaded medical apps, the Dario platform is rated at 4.9 stars on the Apple App Store and features 11,000 reviews, along with a Net Promoter Score (a measurement of consumers’ willingness to recommend the product to others) that’s the highest in its field.

Company Strategy

Clinical studies demonstrate Dario’s direct improvement on users’ health measures like H1AC scores (diabetes) and blood pressure (hypertension).

Patient engagement in therapies leads to health success. Dario’s platform centers on continual maximization of patient engagement through personalization, including ‘nudges’ and live, AI-generated responses to health measures provided by Dario’s smartphone-connected medical devices.

Proprietary data analysis provides valuable insights that not only improve health care providers’ medical capabilities but, through artificial intelligence, encourage patients to take evidence-based and highly personalized preventative measures that reduce risk, emergency room visits and preventable hospitalization.

Dario is now deploying its successful B2C platform in B2B2C, targeting employers and health plans with competitive advantages in cost, software and hardware.

The company estimates an annual addressable U.S. market of $72 billion, only 1% of which has been penetrated with digital therapeutics.

The strategic transition to B2B2C (from exclusively B2B) is intended to accelerate revenue growth by reducing Dario’s cost per acquisition per user and expanding margins.

Dario’s commitment to aggressive growth is also shown by its appointment of a new president, chief medical officer and head of sales for North America, all from a highflyer behavioral health company.

Key growth drivers planned include expansion of the company’s paying B2C subscriber base; lateral expansion into other chronic conditions that overlap with its core diabetes populations, such as hypertension, obesity and depression; and increased B2B2C penetration.

Financial Highlights

The company plans to leverage a massive opportunity for growth, with a global addressable market for digital therapeutics of roughly $108 billion. In the U.S. alone, that number is estimated at $72 billion, and only about 1% of that market has been penetrated.

Dario’s strategic transition to an SaaS membership business model increased gross profit by 87% in Q1 2020, as compared to the prior year. Membership revenue increased from 27.1% to 46.7% in the same period. The company is seeing improved operating efficiencies as it shifts focus to the B2B2C business model, and it expects average revenue per user per month (ARPU), which was $6 and $25 in 2019 and 2020, respectively, to reach $70.

Value to Consumers and Businesses

Dario continually evaluates and optimizes the value and return its platform delivers to consumers and businesses.

Consumers seeking to understand how their everyday behavior impacts their personal health and chronic conditions benefit from actionable feedback on how to improve health and better collaborate with health care providers.

Businesses looking to increase employee satisfaction, loyalty and productivity with fewer health-related absences take advantage of Dario’s services for employers.

Health care providers improve patient compliance using the platform’s interactive services that allow for greater monitoring, which improve engagement with patients at the right times and with the right treatments.

Health plans can leverage DarioHealth’s solutions to improve patient outcomes and lower costs.

Recent Studies

The company recently presented the results of two new studies at the American Diabetes Association’s 80th Scientific Sessions, which showed sustained improvements in blood glucose levels and blood pressure among users of its digital therapeutic platform for chronic diseases. The results of these two studies demonstrate that the use of Dario’s therapeutic platform promotes behavioral modification, enhanced individual engagement and improved clinical outcomes.

Remote Patient Monitoring (RPM) Agreements

The Centers for Medicare & Medicaid Services recently approved RPM codes for Medicare patients, which enables physicians to bill for between-visit patient care.

This simplifies implementation of the company’s open and scalable AI-driven platform and further supports transition to the company’s high-margin, recurring SaaS model targeting B2B2C revenue channels.

Emergency COVID-19 FDA Guidelines Allow Self-Test Blood Glucose Meters

In an effort to preserve personal protective equipment (PPE) and reduce contact between health care providers and patients in hospital settings due to COVID-19, the U.S. Food and Drug Administration (FDA) has recognized that home-use blood glucose meters, including Dario’s smartphone-connected metering device, may be used by patients with diabetes who are hospitalized due to COVID-19 to check their own blood glucose levels and provide the readings to the health care personnel caring for them.

As a result, hospitals can now allow patients to self-test using their Dario blood glucose testing strips and smartphone-connected devices, or hospitals can issue patients Dario devices upon admission for COVID-19-related conditions.

Irregularities in blood glucose levels are suspected as a factor in the increased severity of potentially deadly COVID-19 complications. As such, a high priority is being placed on stabilization of patients’ blood glucose levels.

Awards and Recognition

DarioHealth’s Blood Glucose Monitoring System was voted as the ‘Best Glucometer for Data Management’ by Top Ten Reviews. Jeph Preece, senior editor at Top Ten Reviews, said, “The Dario app is the best data management system that I’ve seen. Compared to apps by popular brands, Dario’s system looks and feels like it’s years ahead of the curve.”

‘The Global Digital Health 100’, an annual award sponsored by the reputable Journal of Health, recognized DarioHealth as a leader among health technology companies demonstrating the greatest potential to change the way that health care is delivered.

DarioHealth Corp. (DRIO), closed Friday's trading session at $16.47, up 4.4388%, on 33,919 volume with 441 trades. The average volume for the last 3 months is 260,171 and the stock's 52-week low/high is $0.05/$2.4999001.

Recent News

• Researchers Invent Tiny Robot to Change the Future of Surgery
• Researchers Study Whether Soy Could Improve the Treatment of Bone Cancer
• Infectious Disease Expert Provides Overview of Biomedical Research Process

SRAX Inc. (NASDAQ: SRAX)

The QualityStocks Daily Newsletter would like to spotlight SRAX Inc. (NASDAQ: SRAX).

SRAX (NASDAQ: SRAX), a provider of digital-marketing and consumer data-management technology products, gives public companies an edge with critical data to successfully activate media campaigns, engage shareholders and attract investment. The company’s data analytics platform – Sequire – has proven a key tool for decision makers in the public realm, recently doubling its user base to amass over 1 million active investors and traders. To view the full article, visit: https://nnw.fm/3eA40

SRAX Inc.'s (NASDAQ: SRAX) is a digital marketing and consumer data management technology company. SRAX’s technology unlocks data to reveal brands’ core consumers and their characteristics across marketing channels.

Through its BIGtoken platform, SRAX has developed a consumer-managed data marketplace where people can own and earn from their data, thereby providing everyone in the internet ecosystem choice, transparency and compensation.

SRAX’s tools deliver a digital competitive advantage for brands in the CPG, automotive, investor relations, luxury and lifestyle verticals by integrating all aspects of the advertising experience, including verified consumer participation, into one platform.

SRAX Verticals

• SRAX Core: SRAX Core is a custom digital media management platform that enables brands and agencies to surpass the challenges of omnichannel marketing campaigns. It offers one comprehensive dashboard to manage digital media campaigns, inventory and reporting.
• SRAX Social: SRAX Social is a free social media management tool that makes it easy for brands, agencies and individuals to grow their digital presence. It offers free and unlimited users, Facebook auto boosting, and a custom analytics dashboard. Its managed services team can also build and execute marketing plans for your unique specific needs.
• SRAX IR: SRAX IR unlocks stock buyers’ behaviors and trends for issuers of publicly traded companies. The platform provides insights on shareholders and market makers, investor relations management, shareholder outreach tools and data-driven marketing.
• SRAX Auto: SRAX Auto unlocks auto intenders’ data to create measurable connected experiences on the road to purchase. It offers proprietary auto intender profiles, multi touchpoint communication and custom location-based ads.
• SRAX Shopper: SRAX Shopper delivers a cross channel, premium digital experience at scale to high value shopper audiences. It offers proprietary shopper profiles, cost per click pricing, and custom text and add to cart ad units.
• SRAX Lux: Launched in June 2019, the SRAX Lux platform targets and reaches luxury consumers at luxury retail stores, high-end art, music, film, fashion and sports events, across all consumer devices.

BIGtoken

BIGtoken, available for download on the App Store and Google Play, revolutionizes data collection. BIGtoken is a platform that creates a secure and transparent environment for consumers to own and earn from their data. To date, there are 15.9 million BIGtoken registered users worldwide.

The optimization and monetization of data is a multibillion-dollar business. Worldwide spending on big data and business analytics solutions reached $166 billion in 2018 and is projected to surge to $260 billion by 2022. BIGtoken’s consumer vision is committed to delivering choice, transparency and compensation to the individual.

Through BIGtoken, consumers earn rewards when they opt into sharing their data and when that data is purchased. Consumers decide what data is shared, who can buy it and how it’s used, and advertisers reach real, responsive audiences. The benefit of this is two-fold: consumers know how their data is used and advertisers gain verified consumer data for targeting.

Users of the BIGtoken app can officially be paid in cash or gift cards in exchange for giving brands access to their anonymized data, answering questions, checking into locations, recruiting new members, and more. Users can deposit their earnings directly into PayPal accounts or be paid through gift cards from favorite retailers such as Walmart.

SRAX has also partnered with several high-profile, nonprofit associations to provide BIGtoken users the ability to donate their earnings. Partnerships include the American Heart Association, dedicated to fighting heart disease and stroke; HealthCorps, which helps high school students make better choices about health and physical fitness; and the ALS Association, which recently launched its Challenge Me campaign.

International Expansion

BIGtoken is formally launching into several international markets and partnering to foster local support. SRAX recently signed a joint venture with the Yash Birla Group to launch BIGtoken in India. Based in Mumbai, the Yash Birla Group, one of India’s largest conglomerates, has diversified interests in consumer and industrial products.

The partnership will bring BIGtoken’s platform to India, which has a digital population of 627 million. The India digital advertising market is $3.6 billion and is set to grow at a compound annual growth rate of 32%, making it one of the largest growing digital ad markets in the world.

SRAX Mexico is led by Moe Avitia, who has more than 18 years of experience in business development and building high-tech teams. SRAX Mexico includes a team of 90 employees, including 70 engineers.

BIGtoken Europe is currently evaluating data centers in individual countries for privacy laws.

Leadership

Christopher Miglino is CEO and founder of SRAX. He has spent the past 20 years working in the digital advertising space and has successfully launched and sold two internet companies. Both of these companies were sold to publicly traded companies on the NASDAQ. He has a detailed understanding of how technology interacts with brands.

Kristoffer Nelson is COO of SRAX and a founding member of BIGtoken. With over 15 years of technology and creative business experience, Nelson has been a guest speaker for Loyola Marymount University among other academic institutions, the National Association of Broadcasters, the IAB and numerous other professional and media organizations.

SRAX Inc. (NASDAQ: SRAX), closed Friday's trading session at $2.76, up 0.729927%, on 42,078 volume with 187 trades. The average volume for the last 3 months is 140,290 and the stock's 52-week low/high is $0.006/$1.09000003.

Recent News

• SRAX Inc.'s (NASDAQ: SRAX) Sequire Provides Key Insight for Public Company Execs
• SRAX Inc.'s (NASDAQ: SRAX) BIGtoken Platform Publishes Crucial Insights into US Consumer Trends Amid Pandemic
• SRAX Inc. (NASDAQ: SRAX) Finalizes Acquisition of LD Micro

CNS Pharmaceuticals Inc. (NASDAQ: CNSP)

The QualityStocks Daily Newsletter would like to spotlight CNS Pharmaceuticals Inc. (NASDAQ: CNSP).

CNS Pharmaceuticals (NASDAQ: CNSP) was featured today in a publication from BioMedWire, detailing various investment considerations and how the company is “One to Watch.”

CNS Pharmaceuticals Inc. (NASDAQ: CNSP) is a clinical stage biotechnology company specializing in the development of novel treatments for primary and metastatic cancers of the brain and central nervous system.

The company was founded in 2017 and is headquartered in Houston, Texas.

Organ Targeted Therapeutics

The company’s lead drug candidate, Berubicin, is proposed for the treatment of glioblastoma multiforme (“GBM”), an aggressive and incurable form of brain cancer. Berubicin also has potential to treat other central nervous system malignancies. Based on limited clinical data, Berubicin appears to be the first anthracycline to cross the blood brain barrier in the adult brain, and it was the subject of a successful Phase 1 study which found the MDT and produced efficacy data as well.

CNS holds a worldwide exclusive license to the Berubicin chemical compound. The company has acquired all requisite data and know-how from Reata Pharmaceuticals Inc. related to a completed Phase I clinical trial of Berubicin in malignant brain tumors. In this trial, 44% of patients experienced a statistically significant improvement in clinical benefit. In 2017, CNS entered into a collaboration and asset purchase agreement with Reata.

CNS intends to explore the potential of Berubicin to treat other diseases, including pancreatic and ovarian cancers and lymphoma. The company is also examining plans to develop combination therapies that include Berubicin.

CNS estimates that more than $25 million in private capital and grants were invested in Berubicin prior to the company’s $9.8 million IPO in November 2019.

CNS intends to submit an IND for Berubicin during the fourth quarter of 2020 and expects to commence a Phase II clinical trial of Berubicin for the treatment of GBM in the U.S. in Q1 2021. A sub-licensee partner was awarded a $6 million EU/Polish National Center for Research and Development grant to undertake a Phase II trial of Berubicin in adults and a first-ever Phase I trial in pediatric GBM patients in Poland in 2021.

The company’s second drug candidate, WP1244, is a novel DNA binding agent licensed from the MD Anderson Cancer Center. In preclinical studies, WP1244 proved to be 500-times more potent than the chemotherapeutic agent, daunorubicin, in inhibiting tumor cell proliferation. The company has entered into a sponsored research agreement with the MD Anderson Cancer Center to further the development of WP1244.

CNS Pharmaceuticals recently engaged U.S.-based Pharmaceutics International Inc. and Italian BSP Pharmaceuticals SpA for the production of the Berubicin drug product. The company has implemented a dual-track manufacturing strategy to mitigate COVID-19-related risks, diversify its supply chain and provide for localized availability of Berubicin. CNS has already completed synthesis of Berubicin’s active pharmaceutical ingredient (API) and has shipped the API to both manufacturers in order to prepare an injectable form of Berubicin for clinical use.

Global Brain Tumor Therapeutics Market

The high recurrence rate of malignant brain tumors is due to reappearance of focal masses, indicating that a sub-population of tumor cells in these cancers may be insensitive to current therapies and may be responsible for reinitiating tumor growth. This necessitates the development of newer drugs in the market that demonstrate greater efficacy in treating such aggressive cancers.

A global increase in neurological disorders has placed increased attention on cancers of the brain over the past decade. Neurological disorders are becoming one of the most prevalent types of disorders, due to longer life expectancy, greater exposure to infection and an increasingly sedentary lifestyle. Because few treatments for primary and metastatic cancers of the brain exist, costs are high and have acted as a restraint for the brain tumor therapeutics market.

Despite progress in surgery, radiotherapy and chemotherapeutic strategies, effective treatments for brain cancer are limited by a lack of specific therapies for the brain and the difficulty in transporting therapeutic compounds across the blood brain barrier. Therefore, there is a significant need for novel and effective therapeutic drugs and strategies that prolong survival and improve quality of life for brain tumor patients.

Several companies are making significant investments into R&D, which is expected to bring more treatment options to the market in the near future. Industry reports consistently project continued growth in the market.

One report estimates that the global brain tumor therapeutics market will reach a valuation of $2.74 billion in 2023, with the market expected to register a CAGR of 11% during the forecast period from 2018 to 2023. Another report projects that the global brain tumor therapeutics market will reach $3.4 billion by 2025, up from $2.25 billion in 2019 (http://nnw.fm/eDUjp).

Management Team

John M. Climaco is the CEO of CNS Pharmaceuticals. For 15 years, Climaco has served in leadership roles for a variety of health care companies. Recently, Climaco served as the Executive Vice President of Perma-Fix Medical S.A, where he managed the development of a novel method to produce Technitium-99. Climaco also served as President and CEO of Axial Biotech Inc., a DNA diagnostics company. In the process of taking Axial from inception to product development to commercialization, Climaco forged strategic partnerships with Medtronic, Johnson & Johnson and Smith & Nephew.

Christopher Downs, CPA, is the company’s Chief Financial Officer. Downs previously served as Interim Chief Financial Officer and Executive Vice President of InfuSystem Holdings Inc. (NYSE: INFU), a supplier of infusion services to oncologists in the United States. Downs holds a Bachelor of Science from the United States Military Academy at West Point, an MBA from Columbia Business School and a Master of Science in Accounting from the University of Houston-Clear Lake.

Dr. Donald Picker is the Chief Scientific Officer of CNS. Picker has over 35 years of drug development experience. Prior to joining CNS, Picker worked at Johnson Matthey, where he was responsible for the development of Carboplatin, one of the world’s leading cancer drugs, which was acquired by Bristol-Myers Squibb with annual sales of over $500 million. In addition, he oversaw the development of Satraplatin and Picoplatin, third-generation platinum drugs currently in late-stage clinical development.

Sandra L. Silberman, M.D., Ph.D., is the Chief Medical Officer of CNS Pharmaceuticals. Silberman is a hematologist/oncologist who earned her B.A., Sc.M. and Ph.D. from the Johns Hopkins University School of Arts and Sciences, School of Public Health and School of Medicine, respectively, and her M.D. from Cornell University Medical College. She then completed both a clinical fellowship in hematology/oncology and a research fellowship in tumor immunology at the Brigham & Women’s Hospital and the Dana Farber Cancer Institute in Boston, Massachusetts. Silberman has played key roles in the development of many drugs, including Gleevec(TM), for which she led the global clinical development at Novartis. Silberman advanced several original, proprietary compounds into Phases I through III during her work with leading biopharmaceutical companies, including Bristol-Myers Squibb, AstraZeneca, Imclone and Roche.

CNS Pharmaceuticals Inc. (NASDAQ: CNSP), closed Friday's trading session at $1.85, up 5.1136%, on 41,693 volume with 185 trades. The average volume for the last 3 months is 106,115 and the stock's 52-week low/high is $0.779999971/$2.3499999.

Recent News

• CNS Pharmaceuticals Inc. (NASDAQ: CNSP) is "One to Watch"
• CNS Pharmaceuticals Inc. (NASDAQ: CNSP) Partners with Leading Medical Imaging Group for Upcoming Berubicin Clinical Trials
• Scientists Develop Human Retinas in a Dish

The Alkaline Water Company Inc. (CSE: WTER) (NASDAQ: WTER)

The QualityStocks Daily Newsletter would like to spotlight The Alkaline Water Company Inc. (CSE: WTER) (NASDAQ: WTER).

The Alkaline Water Company (CSE: WTER) (NASDAQ: WTER), a producer of premium bottled alkaline and flavored-infused drinking waters and CBD-infused products, on Thursday announced that it will introduce new A88CBD(TM) infused ingestible and topical products for its lifestyle brand at A88CBD.com and select retail outlets. According to the update, the new products will be available in October 2020. Also today, NetworkNewsWire Editorial Coverage on the company was released: With sales of carbonated drinks steadily declining for more than a decade, major players in the space are eager to find ways to expand their portfolios into the booming craft beverages and bottled water sectors. One way to accomplish that may be the M&A route, with companies such as The Alkaline Water Company (NASDAQ: WTER)(CSE: WTER) (WTER Profile), one of the fastest-growing enhanced water companies in the industry, looking like an attractive option.

Founded in 2012, The Alkaline Water Company Inc. (CSE: WTER) (NASDAQ: WTER) is headquartered in Scottsdale, Arizona. Its flagship product, Alkaline88®, is a leading premier alkaline water brand available in bulk and single-serve sizes, along with eco-friendly aluminum packaging options. With its innovative, state-of-the-art proprietary electrolysis process, Alkaline88® delivers perfect 8.8 pH balanced alkaline drinking water with trace minerals and electrolytes and boasts the company’s trademarked label ‘Clean Beverage’. Quickly being recognized as a growing lifestyle brand, Alkaline88® launched A88 Infused™ in 2019 to meet consumer demand for flavor-infused products. A88 Infused™ flavored water is available in six unique all-natural flavors, with new flavors coming soon. Additionally, in 2020, the company launched the A88CBD™ brand, featuring a broad line of topical and ingestible products. These products are made with lab-tested full and broad-spectrum hemp and include salves, balms, lotions, essential oils, bath-salts, CBD infused drinks, tinctures, capsules, gummies and powder packs.

Innovation and Expansion

Founded in 2012, The Alkaline Water Company began with a mission to create the best-tasting water in the world. At the time, there were two emerging trends in health-conscious consumers: a growing interest in the alkaline diet and perceived health benefits of pink Himalayan rock salt. By combining these two concepts in an alkaline water and trademarking the name Alkaline88, The Alkaline Water Company began offering what it calls the smoothest tasting Clean Beverage™ in the U.S. enhanced-water category.

Now a top bulk alkaline-water brand (the company reported record sales in March and April 2020, surpassing March and April 2019 numbers by 114% and 171%, respectively), The Alkaline Water Company is committed to growing its national footprint through innovation and expansion. That mindset was evident as the company introduced eco-friendly aluminum bottles and branched out into flavor-infused waters; the company currently offers six different flavors: peach/mango, lemon/lime, raspberry, watermelon, blood orange and lemon.

The company’s commitment to innovation may be most evident in its newest product line: A88CBD. This line of CBD-infused products includes tinctures, capsules, gummies, salves, balms, hand and foot lotions, essential oils, bath bombs and bath salts, as well as CBD-infused drinks, water and beverage shots. These quality, CBD-infused offerings are all made with lab-tested, full-spectrum hemp and are conveniently packaged and perfect for on-the-go or at home use.

In addition, The Alkaline Water Company has implemented an aggressive growth strategy, with numerous organic initiatives focused on national multichannel, mass-market expansion through a direct-to-warehouse model and co-packing facilities that are strategically located within 600 miles of 95% of the U.S. population. In addition to this strong brick-and-mortar approach, the company recently launched a B2C e-commerce platform (www.A88CBD.com) and aggressive digital-marketing campaigns.

Clear Advantages in a Growing Market

With consistent growth year over year, the company reported $32.2 million in revenue in fiscal 2019 and has emerged as a growth leader in the functional (value-added) waters space, which is the fastest-growing segment of the bottled water industry.

The Alkaline Water Company’s efforts are focused on its clear competitive advantages, including its strong marketing (the inclusion of alkaline in product names); existing grocery channels, which feature excellent relationships and a nationwide broker network; distinctive branding; proprietary technology, which produces great-tasting, high-quality water, infused drinks and other products; and price, with a broad range of products in all formats, from bulk bottles to single serve.

As the company focuses on strategic growth, it is eyeing the impressive potential of a market that is on a strong upswing. Annual bottled water sales have now surpassed soda consumption, with soda sales in the United States having declined by $1.2 billion over the past five years. Some research indicates that the global bottled water market will reach an estimated $280 billion this year, while the CBD market is forecast to top $20 billion by 2024.

With its products available in all major trade channels, including grocery stores, drug stores, c-stores and big-box retailers, The Alkaline Water Company is also looking to expand into new spaces, such as health and beauty, hospitality and specialty retailer locations.

Seasoned Management Team

The Alkaline Water Company is led by an experienced team focused on the company’s core strategy of building a national retail footprint and extending its lifestyle brands into other consumer packaged goods categories.

Richard A. Wright, President, CEO and Co-Founder of The Alkaline Water Company Inc., oversees all aspects of the business, successfully guiding the company through strategic opportunities and delivering greater than 50% growth since the company’s inception. A passionate and versatile leader with a strong track record of innovation, collaboration and achieving goal-driven results, Wright is a serial entrepreneur with more than 41 years of experience. Early in his career, he spent years at one of the ‘Big Four’ accounting firms, working his way up to Regional Director of Tax and Financial Planning. As a CPA, entrepreneur and former CFO, Wright brings extensive knowledge of finance, operations, sales and marketing to the team, and he has participated in hundreds of M&A transactions throughout his career.

David Guarino, CFO, Secretary, Treasurer and Director, earned a Bachelor of Science in accounting and a Master of Accountancy from the University of Denver. From 2008 to 2013, Guarino was President and a Director of Kahala Corp., a worldwide franchisor of multiple quick-service restaurant brands with locations in 49 states and more than 25 countries. From 2014 to 2015, Guarino was President of HTI International Holdings Inc., a technology company focused on forward osmosis water filtration technology.

Frank Chessman, National Sales Manager, is a graduate of the University of Southern California’s Marshall School of Business. He spent 25 years with Ralph’s Grocery, Kroger’s largest division, working at many levels before ultimately becoming Vice President of Advertising & Marketing. He then served 14 years as Executive Vice President at Simon Marketing. Chessman has more than a decade of experience in the beverage manufacturing industry.

Brian Sudano, Director, is managing partner of Beverage Marketing Corporation and BMC Strategic Associates. Sudano’s experience covers nearly the entire beverage industry, from energy drinks to wine, with special expertise in beverage alcohol by virtue of varied industry experience across a broad range of projects. Sudano manages several major clients, providing ongoing strategic and market advice and leading projects in strategic planning, market entry analysis and planning, sales/distribution, business modeling, brand repositioning and international opportunity assessment. He has spoken at many beverage industry events and is a contributing editor at Beverage World magazine.

Aaron Keay, Chairman, has been a successful investor, entrepreneur and financier to multiple small cap and startup companies over the last decade. During his time with these companies, he served in advisor, board-member and senior-management roles. His experience ranges across multiple sectors in mining, biotech, health and wellness, tech and cannabis, where he has invested and raised more than $500 million.

The Alkaline Water Company Inc. (NASDAQ: WTER), closed Friday's trading session at $1.25, up 3.3058%, on 732,144 volume with 3,631 trades. The average volume for the last 3 months is 1,557,557 and the stock's 52-week low/high is $0.109999999/$0.446000009.

Recent News

• The Alkaline Water Company Inc. (CSE: WTER) (NASDAQ: WTER) Expanding A88CBD(TM) Line with Highly Anticipated Ingestible and Topical Products
• Specialty Beverage, Water Companies Eyeing Exciting New Opportunities
• M&A Offers Pathway for Beverage Companies to Strengthen Bottom Line

GoldHaven Resources Corp. (CSE: GOH) (OTCQB: ATUMF)

The QualityStocks Daily Newsletter would like to spotlight GoldHaven Resources Corp. (CSE: GOH) (OTCQB: ATUMF).

GoldHaven Resources Corp. (CSE: GOH) (OTCQB: ATUMF) was featured today in a publication from MiningNewsWire, examining how researchers from Vienna University of Economics and Business have released a global-scale comprehensive dataset of the total geographical area that is used for mining activities. The researchers used satellite imagery to generate this data.

GoldHaven Resources Corp. (CSE: GOH) (OTCQB: ATUMF) (formerly Altum Resources Corp.), a Canada-based company engaged in the business of acquiring and exploring mineral resource properties, recently announced its entry into agreements to acquire seven advanced gold projects in the Maricunga Gold Belt of Chile that hosts over 100 million ounces of gold within the last 10 years.

Chilean Gold Properties Being Acquired

On April 17, 2020, GoldHaven Resources entered into an agreement to purchase a 100% interest in two gold projects located in the Maricunga Gold Belt of Northern Chile. The first property, Rio Loa, is located 25 kilometers south of Gold Fields Ltd.’s Salares Norte, where, this year, a five-million-ounce discovery was made. The second property, Coya, is located only 10 kilometers east of the Kinross La Coipa open pit mine, which has produced over 7.5 million ounces of gold to date.

Rio Loa Project

Initial geophysical studies of the Rio Loa site have exposed highly anomalous ardennite and lead values, a key characteristic of gold mineralization within silicified resistive bodies. The studies have also produced initial findings which are similar to those seen at contiguous mines, such as Salares Norte (operated by Gold Fields), which has over five million ounces in estimated gold deposits.

The potential economics for the site look particularly promising when taking the unit costs at the neighboring Salares Norte mine into account. Gold Fields has estimated that its production AISC (all-in sustainable costs) will approximate $552 per ounce and have forecast a 2.3-year payback period for its initial investment, assuming a $1,300 per ounce gold price.

Coya Project

The Coya site is located within close proximity to one of the richest and largest epithermal gold and silver districts in Chile and is in close proximity to active mining sites, specifically the La Coipa mine owned by Kinross. A study carried out in 2017-2018 on the Coya site of 796 rock chip samples found favorable gold and silver values, in some cases ranking as high as 764 grams/tonne of gold and 719 grams/tonne of silver – values which are near certain indicators of potential gold and silver deposits. The La Coipa mine (Kinross) has produced over 6.9 million ounces of gold to date.

On August 11, 2020, GoldHaven Resources acquired five potential gold projects in the Maricunga Gold Belt of Northern Chile. The Maricunga hosts discoveries within the last 10 years of over 100 million ounces of gold and over 450 million ounces of silver. These newly acquired properties are in close proximity to seven other mines, which possess an estimated aggregate of 81 million ounces of gold in total reserves.

GoldHaven’s five new projects cover a total area of approximately 22,600 hectares, or 226 square kilometers, located in the northern portion of the Maricunga Belt in proximity to the 5 million-ounce gold equivalent Salares Norte project owned by Gold Fields. Gold Fields announced in April 2020 its intention to proceed with the development of Salares Norte at a cost of $860 million, with a $138 million expenditure budgeted for 2020.

The Maricunga Belt extends approximately 150 kilometers north-south and 30 kilometers east-west, straddling the border between Chile and Argentina. This region hosts known mineral resources of more than 100 million ounces of gold, 450 million ounces of silver and 1.3 billion pounds of copper.

The Maricunga project’s opportunity came about as a result of a $150 million initiative launched by the Chilean Economic Development Agency (“CORFO”), with the objective of encouraging exploration and mining prosperity in Chile and strengthening Chile’s position as a world leader in the sector.

As part of CORFO’s program, a total of $15.3 million was given to private equity fund IMT Exploration to evaluate 403 projects, beginning in 2011. This led to a generative program carried out from 2016 to 2019, resulting in 126 potential epithermal targets from which 57 field evaluations were made. Due diligence work followed on 19 of these. Work programs were then conducted, including geological mapping, rock and soil sampling and TerraSpec (PIMA) analyses on geochemical grids for alteration mapping, and, as a result, the five high-priority Maricunga projects were identified. No drilling has been carried out on any of the Maricunga projects.

Securing Financing for Upcoming Operations

In conjunction with its announcement regarding its acquisition of five Chilean mining interests, GoldHaven Resources also detailed plans for a non-brokered private placement of 11.5 million units at a price of $0.35 per unit, for gross proceeds of $4,025,000. Each unit will consist of one share of the company and one warrant, the latter of which can be exercised to acquire an additional share of the company for a period of 18 months from the date of issuance at a price of $0.50 per share. Net proceeds from the offering are intended to be used to fund general expenses, as well as exploration and drilling of its mineral properties.

Gold Prices Hit Record High in 2020

Gold prices have been on a remarkable run in 2020, breaking above $2,000 per ounce for the first time on record. Having begun the year at $1,515 per ounce, the precious metal has seen a huge surge on the back of widespread economic uncertainty stemming from governments’ worldwide propensity to expand the money supply, from the reduction of the value of the U.S. dollar as expressed by the decrease in the U.S. dollar index, and from the very real economic effects of the COVID-19 pandemic.

Global central banks have carried out 144 interest rate cuts thus far in 2020, reducing rates by a cumulative 5,035 basis points (http://nnw.fm/jzZt0). Meanwhile, the IMF has estimated that global governments have introduced fiscal support measures amounting to over $9 trillion since the start of the pandemic (http://nnw.fm/Or9rI). The resulting weakness in the U.S. dollar and eventual inflationary pressures stemming from these measures has prompted a number of investment banks to boost their near-term outlooks for gold prices, with Bank of America raising its 18-month gold price target to $3,000 per ounce (http://nnw.fm/PQJtc).

Leadership Team

David Smith, President, CEO and Director, has been immersed in the mining industry for the last eight years, working in corporate development and finance. Prior to GoldHaven Resources, Smith cofounded a multifaceted real estate development and sales company, which has now been in operation for over 35 years. He also cofounded two successful environment-focused companies listed on the Toronto Stock Exchange. Both companies were sold independently and returned a significant profit for shareholders.

Darryl Jones, Chief Financial Officer, is a finance executive and CPA with over 30 years of public company and project buildout experience. Most recently, Jones served as the CFO of Lupaka Gold Corp., retiring in June 2018. Prior to that, Jones serves as CFO of Corriente Resources, which was sold to CRCC-Tongguan in May 2010 for C$680 million.

Patrick Burns, VP Exploration and Director, is a Canadian geologist with over 40 years of experience throughout the Caribbean and Central and South America. He played a direct role in the discovery of the Escondida porphyry copper deposit in Chile and has been involved in publicly traded mining companies, predominantly in Chile, for 35 years.

Marla Ritchie, Corporate Secretary, brings over 25 years of experience in public markets to the GoldHaven team. Throughout this time, she has worked as an administrator and corporate secretary specializing in resource-based exploration companies. Currently, Ritchie is the corporate secretary for several companies, including International Tower Hill Mines Ltd. and Trevali Mining Corp.

Gordon Ellis, Director; has over 50 years’ experience in mining and resource development. A professional engineer and entrepreneur, he has held multiple senior management and director roles with public mining companies, as well as a multi-billion-dollar ETF fund. Ellis holds an MBA in international finance and a Chartered Directors designation.

Scott Dunbar, Director is a professor and head of multiple departments at the University of British Columbia, including mineral extraction and mining innovation, as well as mining engineering. He has been involved in projects around the world in regard to mining exploration, geotechnical engineering and mine design. Dunbar received his PhD in geophysics and civil engineering from Stanford University.

GoldHaven Resources Corp. (OTCQB: ATUMF), closed Friday's trading session at $0.28, up 3.7037%, on 27,000 volume with 8 trades. The stock's 52-week low/high is $1.25820004/$5.68989992.

Recent News

• Vienna University Researchers Release First-Ever Compilation of Global Mining Sites
• Savvy Investors Turning to Gold, Mining Companies Look to Benefit
• GoldHaven Resources Corp. (CSE: GOH) (OTCQB: ATUMF) Trades on OTCQB, Creating Early Opportunity for American Investors

Pac Roots Cannabis Corp. (CSE: PACR)

The QualityStocks Daily Newsletter would like to spotlight Pac Roots Cannabis Corp. (PACR).

After experiencing a few roadblocks over the last year, the cannabis sector looks to be picking up speed. In fact, a recent Data Bridge Market Research study reports that the global legal marijuana market should top more than $90 billion by 2027 (https://cnw.fm/lUN0y). Pac Roots Cannabis (CSE: PACR), a Canadian company dedicated to producing premium-quality strains and products by leveraging a genetics-focused approach, has taken strategic steps to be in a strong position as the market heads upward. Also today, the company was featured in the 420 with CNW by CannabisNewsWire. There are various ways to consume marijuana. Unfortunately, most of these consumption methods create waste.  According to an EPA report from July 2018, Americans recycle almost 34.7% of waste. Up until January of this year, the United States exported roughly half of that plastic waste overseas to be recycled. Since China stopped accepting foreign waste for recycling, millions of tons of recyclable waste may end up in the ocean or landfills this year.

Pac Roots Cannabis Corp. (CSE: PACR) is a Canadian cannabis company dedicated to producing premium-quality strains and products by leveraging a genetics-focused approach.

The company began operations in 2012, with activities primarily directed toward exploration and development of mineral properties in Canada. Today, it is focused on cannabis and hemp cultivation, leveraging high-end genetics and specialized cultivars to produce top quality products. Pac Roots has announced multiple promising initiatives in recent months, including its formation of an outdoor premium hemp joint venture with partner Rock Creek Farms in British Columbia, Canada, and its agreement to acquire all issued and outstanding shares of a firm holding 250 acres of land in the famed Fraser Valley Region of British Columbia.

Pac Roots is also in the process of completing its 20,000 square foot cultivation facility in Lake Country, British Columbia. The facility is expected to feature approximately 7,600 square feet of cultivation space that will enable the company to cycle through an elite line of 350+ unique, high-grade cultivars. Pac Roots expects to receive a cultivation license for the facility in the fourth quarter of 2020.

High-End Selectively Bred Genetics

Pac Roots focuses on high-end genetics in order to maximize the quality of its products while maintaining high yields and profit margins.

Through the process of artificial selection, farmers and cultivators have been adapting their plants to develop particular phenotypic traits for generations. Historically, this practice was restricted to underground cannabis producers developing their own strains.

The legalization of the cannabis industry has given producers access to thousands of cultivars located throughout the world while accelerating research into cannabis genetics. By carefully selecting strains, growers can control the size, color, smell, density and texture of cannabis buds, thereby creating distinctive, premium cannabis products.

Plants are bred to thrive in specific growing environments. This maximizes the yield of high-quality, resilient cannabis. Medical cannabis strains can also be tailored for specific medicinal purposes.

A strategic partnership with Phenome One, a plant breeding management and analytics firm, gives Pac Roots access to some of the world’s best cannabis genetics from the largest genetic library in Canada. The company is using these genetics to develop unique strains featuring a variety of beneficial characteristics.

The company’s 350+ licensed live cultivars and over 1,800 seed varieties are the result of a meticulous gene selection process, through which as many as 600 individual plants may be grown to produce a single strain. Selecting optimized genetics in this way provides benefits beyond simply producing a high-end product. In addition to potency and bud quality, cannabis plants are bred for yield and resilience. By selecting genetics that result in larger and more numerous buds on each plant, Pac Roots is able to grow more cannabis per grow light.

Breeding plants to be more resilient also reduces the cost and labor required. These factors, combined with the premium price point associated with top-quality cannabis, have the potential to improve Pac Roots’ overall profit margin.

Partnership with Phenome One

Pac Roots has secured its cultivars through a strategic licensing agreement with Phenome One. Under the agreement, Pac Roots has unlimited access to Phenome One’s live genetic library, including any of Phenome One’s cultivars and its growing, breeding and cloning IP.

Phenome One is an agricultural technology company focused on providing software solutions to seed companies. Phenome One’s platform gives its partners access to a massive database of detailed information on over 350 unique cannabis cultivars to support each stage of the breeding process. Each cultivar has been laboratory analyzed and rigorously field-tested, with data going back more than 30 years.

Using Phenome One’s data, Pac Roots plans to grow a variety of cannabis plants optimized for certain traits. One such trait will be plants with an abundance of cannaflavin, a rare terpene with high anti-inflammatory properties. Phenome One’s library could enable Pac Roots to produce plants that are bred to thrive in a range of different growing climates, including plants suited to grow in cold weather and plants that are resilient to region-specific fungi.

Joint Venture with Rock Creek Farms of British Columbia

Pac Roots recently entered a definitive investment agreement with Rock Creek Farms, a reputable agricultural enterprise, for a 100-acre commercial hemp operation in Rock Creek, British Columbia. The growing space is located in the highly lucrative farming area known as the ‘Golden Mile’ in the South Okanagan Valley of British Columbia. (http://nnw.fm/Gbf9I).

Under the agreement, the two companies have formed an outdoor premium hemp joint venture company to which Pac Roots is providing an aggregate of $450,000 in capital and Rock Creek Farms is contributing two commercial leases for 100+ acres of growing space, along with cultivation licenses, agricultural infrastructure and equipment, consulting services, intellectual property relating to hemp operations and proprietary biomass storage methods. Pac Roots holds a 60 percent interest in the project.

About 127,500 premium hemp CBD seedlings were planted across 100 acres as of early July 2020. The joint venture is planting a premium grade CBD hemp variety utilizing the rich native soil and both traditional and custom farming techniques.

“Our operational partners at Rock Creek Farms bring decades of generational farming expertise in one of Canada’s pre-eminent growing regions,” Pac Roots President and CEO Patrick Elliott said in a news release detailing the venture. “It will be an exciting outdoor growing season for the joint venture as we anticipate a successful harvest in the fall.”

Infinite Development Possibilities at Fraser Valley Property in British Columbia

In mid-July 2020, the company initiated a share purchase agreement with 1088070 BC. LTD. (“1088”) and its shareholders for the acquisition of all issued and outstanding shares of 1088 (http://nnw.fm/xlpw7). Notably, 1088 owns and controls 250 acres of land spread over nine parcels in the Fraser Valley Regional District.

The Fraser Valley Regional District is one of the most productive and intensively farmed areas of Canada, offering access to high-quality soil, favorable climate, water and a local market of 2.5 million people. Agriculture in this region yields an annual economic value of more than $3 billion.

The closing date for the transaction is slated for September 4, 2020, after a 51-day due diligence period. According to Elliott, the addition of such a significant package of land is a major step for Pac Roots.

“This land has no zoning restrictions and is not situated within the agricultural land reserve, which provides for infinite development possibilities,” Elliott added in a July 2020 news release.

Board of Directors member Chad Clelland also welcomed the acquisition, adding that between Fraser Valley and Rock Creek – both of them among the most productive agricultural regions in Canada – Pac Roots is very well positioned for production and the future development of its hemp and cannabis infrastructure.

The RAD Americas Genetic Program – Research and Development in Americas Genetic Program

Pac Roots intends to deploy a global R&D program focused on rigorously testing elite strains in various rich agricultural regions throughout the Americas, with a goal of mass selection to achieve the utmost environmental resilience while achieving notable quality and yields. From seed to software, collection data, proprietary techniques and custom nutrient formulas, Pac Roots and Phenome will provide the specific knowledge to cultivators in different climates in order to achieve optimal yields for THC, CBD, CBG and other unique cannabinoids. R&D from global testing programs situated throughout the Americas will allow the partnership to deploy and stress test a range of suitable cultivars in the world’s lowest cost outdoor growing regions.

The company expects an industry shift in 2020 from the COVID-19 global pandemic. The ‘new normal’ will bring more focus on efficiencies and optimal yields to deliver a cost effective, high quality product to the end user. There has been much to be learnt from the inefficiencies in the cannabis industry in recent years, which have been detrimental to the credibility of the sector. Pac Roots is well positioned to enter the scene and take advantage of the deficiencies, reinforcing the notion that genetics and flawless growing techniques are paramount to success. Genetics and systems innovation may be the most overlooked components when comparing cannabis to other established agricultural crops. Pac Roots plans to invest into cannabis R&D to ensure a solid foundation is built that will be used by cannabis farmers worldwide.

Through its RAD Americas Development and Innovation, Pac Roots is focused on:

• Deploying one of the largest live genetic libraries in Canada, diversified for high yield output and unique climates
• Continued stress testing for indoor, high yield, THC and medicinal genetics
• Continued stress testing for outdoor, high yield, THC and medicinal genetics
• Exotic, genetic cloning for the luxury, high margin, cannabis flower market
• Psychoactive/medicinal ratio testing for effect and
• Unique Cannabinoid and terpene elevation and isolation.

Through its RAD Americas Field Testing System, the company is focused on:

• Global testing in different microclimates to assess genetic and complete systems for optimal yields
• Data collection, testing and optimization to prove process for commercial implementation and
• High quality yield testing for THC, CBD, CBG and other unique medicinal cannabinoids.

Lake Country Cultivation Facility near Kelowna, British Columbia

Pac Roots is in the process of completing its 20,000 square foot cultivation facility in Lake Country, British Columbia. The facility is expected to feature approximately 7,600 square feet of cultivation space that will enable the company to cycle through its line of high-grade cultivars. Pac Roots plans to submit a video evidence package of the facility build under Health Canada’s Cannabis Tracking and Licensing System, and the company expects to acquire its cultivation license in the fourth quarter of 2020.

Lake Country is a municipality located just outside of Kelowna in the Okanagan region of British Columbia. For decades, the region’s favorable growing climate has made it a hub for cannabis cultivation. As the Canadian legal cannabis industry ramps up, the Okanagan region is attracting attention from dozens of cannabis companies, including some of the industry’s biggest names. The region’s strong agricultural history has left it rich with experienced agricultural workers and an abundance of Agricultural Land Reserve (ALR) property.

Management Team

Patrick Elliott, MSC, MBA, President and CEO of Pac Roots Cannabis, is also the President & CEO of Lexore Capital Corp., a private resource and cannabis investment company, as well as Phenome One Corp., a full-service cannabis farming company focused on elite strain selective breeding. Elliott brings over 15 years of corporate finance, mineral exploration and financial markets experience to the Pac Roots team. He is a graduate of the University of Western Ontario in geology and holds an MSc. in mineral economics and an MBA from Curtin University of Technology in Perth, Australia. Elliott specializes in economic resource evaluation, financial modeling, CAPEX estimation, corporate development and finance. Combined with his technical knowledge, Elliott has a wealth of contacts in the financial sector.

Marc Geen, Founder and Strategic Operations Advisor, is a fourth-generation British Columbia farmer who has been active in the legal medical marijuana industry for more than 10 years – consulting on, complying with, and participating in the MMAR, MMPR and ACMPR programs. Prior to co-founding Speakeasy Cannabis Club Ltd., Geen spent 14 years as Head of Operations for Kettle Mountain Ginseng Ltd., one of North America’s largest ginseng producers. With the experience gleaned from a long career in large scale commercial farming, Geen has been able to apply many cost-effective farming practices to the outdoor, indoor and greenhouse cultivation of cannabis. Geen is also the co-creator of a full line of cannabis extract products designed under ACMPR regulations.

Matt McGill, Director, has a strong background in both commercial and residential real estate and has played a major role in many development projects. McGill, through McGill Realty, has established a tremendous commercial and residential outfit servicing British Columbia’s Fraser Valley and the lower mainland. McGill is skilled at crafting strategic financing options for corporations and has a substantial network of retail and institutional clients.

Chad Clelland, Director, has experience in the sector dating back to 2009, when he purchased Medicalmarijuana.ca, which became an information portal for thousands of patients, doctors and growers. Through this company, he and his team have helped thousands of Canadians find legal, safe medication. His team also consulted, designed and submitted dozens of applications to the government under the MMPR, ACMPR and Cannabis Act. In 2011, Clelland co-founded Greenleaf Medical Clinic, which is now recognized as a training facility by the University of British Columbia and offers preceptorships to physicians, nurse practitioners and pharmacists. He also co-founded Folium Life Science in 2013, an approved Canadian Licensed Producer. His roles in these organizations have included Chief Operating Officer, head of security, alternate master grower and alternate responsible person in charge.

Josh Bromley, Senior Cultivation Strategist, is a second-generation farmer with over two decades of experience farming, breeding, cultivating and selecting unique cultivars for the medical community. He is an expert in plant science and possesses a comprehensive knowledge of cultivars and a mastery of medicinal implementation. Bromley has developed proprietary farming systems, as well as low cost/high output nutrient systems. Through thoughtful design and engineering, he has been able to consistently show improvements in crop yields, pathogen resiliency and quality.

Pac Roots Cannabis Corp. (PACR), closed Friday's trading session at $0.205, even for the day, on 9,500 volume with 3 trades. The average volume for the last 3 months is 22,268 and the stock's 52-week low/high is $0.11/$0.72.

Recent News

• Pac Roots Cannabis Corp. (CSE: PACR) Leverages Expertise, Resources to Establish Dominant Position in Growing Cannabis Market
• 420 with CNW - How to Be an Eco-Friendly Marijuana Consumer
• 420 with CNW - House Vote to Federally Legalize Marijuana Postponed

Sugarmade, Inc. (SGMD)

The QualityStocks Daily Newsletter would like to spotlight Sugarmade, Inc. (SGMD).

Sugarmade, Inc. (OTCQB: SGMD) was featured today in the 420 with CNW by CannabisNewsWire. Up to 60% of the adult human body is composed of water and for human beings to survive, we need to take an adequate amount of water regularly. Plants are no different. Made primarily of carbon, cannabis plants also require plenty of carbon to thrive but if you ask most people what kind of nutrition plants need, they are more likely to mention “NPK”, “CalMag, or “micronutrients”. However, these elements make up no more than 10% of the composition of most plants and while they are beneficial, they do not provide everything the plant needs.

Sugarmade, Inc. (SGMD) is headquartered in Monrovia, California, where the company recognizes new opportunities in the cannabis delivery space and in the market for supplies to the quick-service restaurant industry – both of which have fast-changing dynamics due to the recent outbreak of coronavirus in the United States.

The Coronavirus Cannabis Boom Market

Retailers across the nation are closing their doors and curtailing operations due to the coronavirus pandemic, inherently pinching sales. In the California cannabis sector, however, business has never been better – especially relative to home delivery.

California’s cannabis industry continues to operate, and media reports reveal booming cannabis sales as the state’s citizens stay home to wait out current events. The Los Angeles Times recently published the headline, “Marijuana Sales on Fire amid Virus Outbreak; New York Post “Cannabis sales hit new highs”; USA Today “American Stock Up on Pot” Fox News “California marijuana sales surge”; and ABC News Cannabis Shops thrive in coronavirus pandemic.

The state of California benefits from the ultra-high taxes paid by the highly regulated cannabis industry, and has thus deemed cannabis companies as “essential” businesses, allowing for full operations to continue. While pot shops are seeing strong foot traffic, the real growth action is in-home delivery as consumers seek to embrace social distancing. Many delivery operators are reporting difficulty in meeting demand with sales growth of up to 10% sequentially each week. It is certainly a boom time for the industry.

Sugarmade Growth Strategy

Recognizing new investment and operational opportunities within California’s cannabis market, Sugarmade is strategizing to take advantage of opportunity specifically in delivery services (non-storefront retailer), manufacturing via co-branding, and selective genetic cultivation. The company is taking a highly selective approach, targeting only the best of these opportunities for company growth.

In line with this strategy is northern California delivery service Budcars, in which Sugarmade owns a 40% interest and an option to gain a controlling interest. Budcars connects consumers with premium products sourced from top-tier farms and extractors, offering a curated menu of fully compliant cannabis products. The company maintains a competitive advantage by sourcing premium cannabis offerings and same-day delivery. In addition to maintaining its own cars, California licenses, and fulfillment center, Budcar orders its premium products in bulk at lower prices, enabling the company to rein in costs and maintain competitive pricing for its customers. Currently serving major communities within the metropolitan area of Sacramento, Budcars plans to continue the expansion of the company’s delivery reach.

Sugarmade plans to continue its expansion into burgeoning new sectors of the cannabis market through the following avenues:

• Geographic expansion of Budcars delivery scope
• New delivery geographies
• Cannabis cultivation as a key component of a hybrid vertical integration strategy
• Product technology expansion—including products containing exotic and lesser-known cannabinoids

Diversified Portfolio

Sugarmade has positive market exposure to cannabis delivery, as well as to the restaurant industry, at a time when these businesses are being force to move toward take-out and delivery models in order to survive.

The company has various business operations in diverse marketplaces, including food, safe packaging and sanitary supplies for various industries, and agricultural supplies. Sugarmade entered the industrial hemp and CBD space by investing in Hempistry, Inc., a privately held Nevada corporation. Hempistry began planting an ultra-high cannabidiol (CBD) industrial hemp strain on a land option it holds on 5,000 acres of prime Kentucky farmland. The strain of industrial hemp being grown by Hempistry is ultra-rich in CBD but contains less than 0.3% of THC, the psychoactive ingredient found in cannabis.

CarryOutSupplies.com, the leader in paper and plastic take-out supplies, serves nationwide customers by offering a wide array of high-quality products that are cost-efficient, custom-made and delivered on time. This business unit currently serves 2,000 quick service restaurants, garnering from 30%-40% of the market share. Sugarmade plans to expand operations via the addition of market share and the introduction of new product offerings.

Market Opportunity

There is little doubt among industry participants, and recently confirmed by Forbes, that California is the single largest cannabis market in the world. The state is expected to produce more than $3.5 billion in cannabis sales during 2020, with growth topping 23% annually. The global industrial hemp market size was estimated at $4.71 billion in 2019 and is expected to register a revenue-based CAGR of 15.8% over the forecast period of 2016-2027, according to Grandview Research. Market growth drivers include the 2018 Farm Bill and society’s increasing knowledge of the benefits of hemp products.

Overall industry growth is great, but specific vertical sector growth is even better. Cannabis delivery is clearly the fastest growing sector of the marketplace and with coronavirus fears the already robust growth rate has accelerated.

Sugarmade seems to be in the right industry at the right time in history.

Management

CEO Jimmy Chan is an experienced business executive instrumental in growing multiple business operations with a strong expertise in international trade and banking, and international manufacturing and importation. He is also the founder of CarryOutSupplies.com, a company that revolutionized the custom-printed paper supplies subsector of the quick-service restaurant industry, which merged with Sugarmade in 2014.

Dedicated to getting the highest caliber of THC and CBD to its customers’ door, the company’s priority is to ensure that they receive the highest quality cannabis product free from logistical hassles. Sugarmade specializes in growing and acquiring innovative brands to maximize value for company employees, shareholders and other stakeholders. Sugarmade believes its future is very bright as the company expands operations within the cultivation sector and rapidly increases its revenue base.

Sugarmade, Inc. (SGMD), closed Friday's trading session at $0.0016, even for the day, on 13,576,994 volume with 123 trades. The average volume for the last 3 months is 61,008,005 and the stock's 52-week low/high is $0.810000002/$6.25.

Recent News

• 420 with CNW - Carbon: The Unsung Hero in Cannabis Growth and Yield
• Sugarmade Inc. (SGMD) Signs LOI, Plans to Operate California Cannabis Cultivation Facility
• 420 with CNW - First-of-a-Kind Cannabis Microbusiness Cleared to Open in Michigan

Net Element (NASDAQ: NETE)

The QualityStocks Daily Newsletter would like to spotlight Net Element (NETE).

Net Element (NASDAQ: NETE) was featured today in a publication from Green Car Stocks, examining how, for the past few years, China has had the largest electric vehicle (“EV”) market on the globe. Although the electric vehicle market is still growing, China has consistently managed to bag a large percentage of it, at least until recently. According to a new report from Bloomberg, the European electric vehicle sales have finally surpassed the Chinese market for the first time since 2015. The European EV market kept growing due to Europe’s automotive CO2 regulations as well as new model launches from automakers, despite the coronavirus pandemic.

On June 15, 2020, Net Element announced its entry into a binding letter of intent to merge with privately-held Mullen Technologies Inc., a Southern California-based electric vehicle company, in a stock-for-stock reverse merger in which Mullen’s stockholders will receive the majority of the outstanding stock in the post-merger company. The proposed merger is currently pending the execution of a definitive agreement, shareholder vote and regulatory approval.

Net Element Inc. (NASDAQ: NETE) is a global financial technology and value-added solutions group that supports electronic payments acceptance in an omni-channel environment spanning across point-of-sale, e-commerce and mobile devices. The company operates a payments-as-a-service transactional model and value-added services platform for small to medium enterprises in the U.S. and selected emerging markets.

Net Element believes the future of global commerce is being revolutionized as consumers quickly migrate toward omni-channel shopping utilizing mobile devices, desktop, and online services. The company’s all-in-one payment solutions support and unify a whole range of applications through a single, robust platform, allowing global onboarding and support for multiple payment methods.

Net Element has also launched a blockchain-focused business unit that will develop and deploy blockchain technology-based solutions. Net Element expects the new division to create a decentralized crypto-based ecosystem that will act as a framework for an unlimited number of value-added services, connecting merchants and consumers in a seamless, economically efficient transaction. This new business unit intends to also identify and invest in unique projects that decentralize and disrupt the payment processing industry by combining blockchain technology and real-world applications with talented development teams, strong fundamentals and addressable markets large in size.

“We believe that we’re at the dawn of a new evolution where additional digital payment methods are being introduced,” Net Element chairman and CEO Oleg Firer, says. “Introduction of our division focused on blockchain as part of the NASDAQ-listed entity will add transparency and compliance assurance to our investors as well as provide access to deploy value-added services to over 20 million electronic commerce clients that are currently part of Net Element’s growing network.”

Net Element clients are treated to customized solutions that provide the flexibility needed to keep up with customers. Among the services offered are mobile payment apps that accept payments anywhere, anytime; cloud-based solutions built to increase productivity and enhance revenue for clients and partners; marketing solutions that turn lookers into buyers; and business analytics that make it easy for clients to monitor business metrics, engage with customers and compare the competition. Its multi-channel platform combines e-commerce, offline, point-of-sale, comprehensive back office tools, mobile point-of-sale, credit scoring and customer interaction in one powerful platform-as-a-service technology.

Net Element owns and operates a global mobile payments and transactional processing provider, TOT Group, Inc., with the following subsidiaries:

• Unified Payments – An award-winning, customized mobile billing and payments solution, recognized by Inc. Magazine as the No. 1 Fastest Growing Company in America in 2012.
• Aptito – A next-generation, all-in-one, cloud-based restaurant management and point-of-sale payments platform using wireless technology.
• Payonline – A fully integrated, processor agnostic electronic commerce platform.

Net Element is ranked on Deloitte’s Technology Fast 500™ list of North America’s 500 fastest growing technology, media, telecommunications, life sciences and energy tech companies in both 2017 and 2018, during which the company grew 190 percent and 183 percent, respectively. The company credits its progression to organic growth in its North America Transactions Segment, specifically the success of its Unified Payments brand, which focuses on value-added payment acceptance solutions for small to medium enterprises in the United States.

Net Element was also listed among South Florida Business Journal’s 2016 fastest growing technology companies.

Leveraging its suite of application performing interfaces (APIs) and connectors, Net Element powers commerce for businesses of all sizes through multi-channel platforms, all-in-one digital solutions, and end-to-end encryption of cardholder data utilizing tamper resistant hardware that ensures integrity and simplifies security.

Leading this innovation is chairman and CEO Oleg Firer, who is responsible for the overall vision, strategy and execution of the company’s mission of powering global commerce. He is joined by CFO Jeffrey Ginsburg, CPA, and Steven Wolberg, the company’s chief legal officer and secretary. Each corporate officer brings a unique blend of leadership, vision, experience and creative energy to the company.

From mobile payments and value-added transactional innovations like Aptito to e-commerce and retail payment transaction processing brands like Payonline and Unified Payments, Net Element is transforming the online and mobile experience.

Net Element (NETE), closed Friday's trading session at $6.795, off by 20.9884%, on 2,008,609 volume with 11,060 trades. The average volume for the last 3 months is 1,464,526 and the stock's 52-week low/high is $0.002499999/$0.100000001.

Recent News

• European Electric Vehicle Sales Outshine Chinese Market
• Mullen Technologies Inc. to Commence Construction of EV Pilot Facility Slated for Completion by April 2021
• Norway to Test Wireless EV Charging Next Year

Trxade Group Inc. (NASDAQ: MEDS)

The QualityStocks Daily Newsletter would like to spotlight Trxade Group Inc. (NASDAQ: MEDS).

Trxade Group (NASDAQ: MEDS), an integrated drug-procurement, delivery and health-care platform, recently had the opportunity to showcase its growing medical technology accomplishments at multiple virtual investor conferences. Trxade Group CEO Suren Ajjarapu took the company’s message well beyond physical borders to virtual summits in the month of September, providing insight into the dynamic capabilities and expansion of the TrxadeExchange platform. To view the full article, visit: https://nnw.fm/SRP3G

Trxade Group Inc. (NASDAQ: MEDS) is an integrated pharmaceutical services company that offers a unique combination of a web-based purchasing platform (www.trxade.com) for transactions between independent pharmacists and drug distributors (B2B); a network of pharmacies with E-Hub software; a mail order pharmacy; and warehouse and drug delivery services. This synergistic combination of product offerings and superior data analytics is poised to benefit all stakeholders and consumers within the pharmaceutical industry.

Trxade will leverage and scale its fully integrated model to execute the following growth strategies:

• Increase share of pharmacist drug purchasing
• Additional SKUs and expand product breath
• Partner with Specialty and International Mfg.
• Expand mail order licenses to all 50 states
• Scale Delivmeds for consumer delivery nationwide
• Integration with telemedicine
• M&A Opportunities within drug value chain

Founded in 2010 and headquartered in Tampa, Florida, Trxade’s overarching corporate strategy is to penetrate the existing retail independent pharmacy marketplace and diversify the company’s pharmaceutical mix with additional specialty and acute care products. Trxade is advancing on this mission by focusing on three key niches in the health care market.

Business-to-Business (B2B)

The $330 billion U.S. pharmaceutical industry is comprised of more than 65,000 pharmacy facilities and 1,500 state-licensed suppliers. Roughly 24,000 of these facilities are independent pharmacies, which collectively spend approximately $93 billion a year on branded and generic drugs.

Trxade targets these independent pharmacies, leveraging a robust, “E-Bay/Kayak-like” technology platform with optimum buyer/seller pricing algorithms, product availability, and predictive data analytics features.

Trxade currently serves and transacts with more than one-third (10,250) of these independent pharmacies and facilitates over $10 million of drug purchases a month!

Consumer

Trxade also targets the “consumer side” of the pharmaceutical industry, aiming to lower prescription drug costs by attacking the inefficient value chain; offering drug price transparency and efficient buying; and, delivering drugs DIRECT to independent pharmacists and consumers.

The company operates a full-service mail order pharmacy for U.S. consumers, as well as a mobile app called “Delivmeds” (http://www.delivmeds.com) which enables SAME DAY home delivery of dispensed prescriptions.

Retail

Trxade’s Managed Services Organization (“TrxadeMSO”) enables its member independent retail pharmacies to get patients, process orders, and deliver or ship prescriptions to patients. TrxadeMSO provides access to encompassing network of pharmacies through the E-Hub software, allowing for timely and comprehensive medication fulfillment.

These offerings ensure the best-suited pharmacy receives the patient’s information, thereby ensuring appropriate medication coverage based on the patient’s location, payor coverage, and medication access/inventory. This will save the clinicians and their staff time as they benefit from efficiency and enhanced workflow management in script processing and fulfillment.

Health Care Market 

The U.S. health care market currently hovers near $4 trillion and is expected to grow as the general population ages. This growth will have greater impact on consumers as out-of-pocket expenses also rise. Additionally, drug costs are paced to increase faster than the overall health care and well above inflation.

Drug pricing is variable, and reimbursement is squeezing profits. This provides significant opportunity for the Trxade model of price visibility and profit optimization.

Trxade’s fair online market platform targets the nation’s retail community and independent pharmacies, of which there are approximately 24,000 nationwide. TRxADE has found that independent pharmacies, in order to be cost-effective, often operate with minimal staff and conduct up-to-the minute price checks. The TRxADE S2P platform gives these pharmacists the ability to easily compare the price of drugs offered by various suppliers and select the most favorable deals, saving money by taking advantage of best purchase pricing.

TRxADE’s programs include:

• TRxADE Exchange, which opens and widens the distribution channel to the retail, community pharmacy. A purchasing pharmacy can view products from manufacturers, buying groups, and wholesalers on a real-time and continuous basis. This approach significantly enhances the competitive spirit of the exchange where the lowest price exists for each product at any given point in time. TRxADE has become a competitive tool for all progressive entities and is recognized for its easy searching of hard-to-find generic pharmaceuticals at substantially reduced prices.  
• RX Guru™ is an industry-leading price prediction model that integrates product shortage insight into pharmacy acquisition benchmarks (“PAC”) to ascertain trends and pricing variances that result in significant purchasing opportunities. RX Guru affords members the opportunity to continuously benefit from real price purchasing opportunities that are concealed from the rest of the industry. 
• Product Shortage Database – TRxADE maintains the most comprehensive retail, specialty and acute care pharmaceutical product shortage database in the country. Other industry competitors mainly restrict their efforts to specialty and acute care product shortages and narrowly research oral generic products. TRxADE’s advanced prediction tools help members source those hard-to-find products at affordable costs in a timely and easy-to-search process. 

Management Team 

Trxade’s management team is rich in expertise within the pharmaceutical supply chain and is supported by a base of advisors and contractors who are experts in related fields of the pharmaceutical sector.

Suren Ajjarapu – Chairman of the Board, Chief Executive Officer and Secretary
Suren Ajjarapu has served as Trxade’s chairman of the board, CEO and secretary since 2014, and as the chairman of the board, chief executive officer and secretary of Trxade Nevada since its inception. Ajjarapu also serves as a chairman of the board for Feeder Creek Group Inc., since March 2018. Ajjarapu formerly was a founder, CEO and chairman of Sansur Renewable Energy Inc., a company involved in developing wind power sites in the Midwest, United States; a founder, president and director of Aemetis Inc., a biofuels company (AMTX.OB); a founder, chairman and CEO of International Biofuels, a subsidiary of Aemetis Inc.; and a co-founder, COO, and director at Global Information Technology Inc., an IT outsourcing and systems design company. Ajjarapu holds an M.S. in environmental engineering from South Dakota State University, Brookings, South Dakota, and an MBA from the University of South Florida, specializing in international finance and management. Ajjarapu is also a graduate of the Venture Capital and Private Equity program at Harvard University.

Prashant Patel – Director, President and Chief Operating Officer
Prashant Patel has served as Trxade’s full-time president and COO, and as a director since the company’s acquisition of Trxade Nevada in 2014, and as the COO and president and as a director of Trxade Nevada since its inception. He has been a president and member of the board of Trxade since August 2010. Patel is a registered pharmacist and pharmaceutical consultant with over 10 years of experience in retail pharmacy and pharmaceutical logistics. He is the founder of several pharmacies in the Tampa Bay area, in Florida. Since 2008, Patel has been managing member of the APAA LLC pharmacy. Since 2007, Patel has been a vice president of Holiday Pharmacy Inc. Patel graduated from Nottingham University School of Pharmacy and practiced in the United Kingdom before obtaining his masters in Transport, Trade and Finance from Cass Business School, City University, UK.

Trxade Group Inc. (MEDS), closed Friday's trading session at $4.92, off by 2.5743%, on 6,812 volume with 95 trades. The average volume for the last 3 months is 50,817 and the stock's 52-week low/high is $0.150000005/$1.14999997.

Recent News

• Trxade Group Inc. (NASDAQ: MEDS) Shines Spotlight on Dynamic Platform Capabilities
• Trxade Group Inc. (NASDAQ: MEDS) Pharmaceutical Supply Chain Trading Platform Gives Independent Drugstores a New Lease on Life
• Trxade Group, Inc. (NASDAQ: MEDS) Showcases Prescription Affordability Efforts During Virtual Investor Summit

The Movie Studio Inc. (OTC: MVES)

The QualityStocks Daily Newsletter would like to spotlight The Movie Studio Inc. (OTC: MVES).

Not all businesses are struggling through the worldwide pandemic. A recent CompariTech article reported that streaming video is becoming a viable option for a growing number of viewers around the world, resulting in increasing numbers for companies involved in streaming content (https://nnw.fm/QlA6k). The Movie Studio (MVES), a vertically integrated motion picture production and distribution company, is looking to become a major player in this star-studded industry, which now has national and international streaming services operating in almost every country.

The Movie Studio Inc. (OTC: MVES) is a vertically integrated motion picture production company focused on acquiring, developing, producing and distributing independent motion picture content for worldwide consumption via subscription and advertiser video on demand (SVOD/AVOD), over the top (OTT) platforms, foreign sales and various media devices. The company is currently engaged in establishing its own OTT VOD platform to integrate both its own and aggregated feature film projects, television programming and other media intellectual properties. The Movie Studio is disrupting traditional media content delivery systems with its digital business model of motion picture distribution, and the company intends to create a direct server access platform of its content with geo-fractured territories for worldwide distribution.

The company has launched The Movie Studio App on Google Play and the App Store, enabling users to both view the company’s content and potentially become part of it. The app is in the completion stage, and The Movie Studio is conducting its final beta test of the app’s unique “audition submission” function, leveraging the company’s “Watch Our Movies, Be in Our Movies!” content platform and “Everyone’s a Star” campaign, which will be marketed via social media. Using the app, subscribers can upload a thumbnail photo of themselves along with a selfie video audition submission that showcases them reading character dialog. Audition submissions will then be reviewed by producers for possible participation of the auditionee in upcoming feature films.

The audition submission function provides the subscriber the ability to disrupt traditional motion picture casting and management, enabling access to participation in The Movie Studio’s independent motion picture and media content. At the same time, for the company this significantly reduces capital expenditures associated with those traditional media mechanisms. The Movie Studio’s unique business model capitalizes on the global demand for film content through the production and distribution of its own films while also providing opportunities for direct viewer involvement in its content.

The company operates using a growth-by-acquisition strategy that includes:

• Purchasing legacy film libraries.
• Upgrading acquired films to 4K resolution and remonetizing with “new” film content on popular VOD streaming platforms across the internet.
• Strategic partnerships and media content alignment with other OTT platforms and cross-collateralization of leverageable media assets for worldwide distribution.
• Producing micro-budget motion picture content with substantial production value utilizing new 4K technology and the company’s extensive legacy resources and unique production process, thereby significantly reducing capital expenditures while allowing for the potential of significant return on investment (ROI) with one successful production.
• Controlling its revenue streams through server-driven geo-fracturing global territories and its own OTT platform.

Currently, The Movie Studio is producing three upcoming feature films: “Cause and Effect,” “The Last Warhead” and “PEGASUS” — all with completed electronic press kits and pitch decks and fully produced motion picture-quality trailers ready for talent, distribution and financial integration.

The company has been successful in producing, casting and distributing its films on major SVOD platforms without recognizable stars, which reduces capital expenditures. However, The Movie Studio intends to integrate recognizable stars into the productions at value propositions either pre- or post-completion of the intellectual property.

Through successful beta testing, The Movie Studio has monetized film assets on the Amazon, tubi tv, Comcast and Showtime platforms.

The company’s proposed server-based model will provide licensing payment from global territories without third-party distribution fees, which have traditionally been as high as 35%.

Founded in 1961 and formerly known as Destination Television, Inc., the company changed its name to The Movie Studio, Inc. in November 2012. The Movie Studio is headquartered in Fort Lauderdale, Florida.

Cord-Cutting Creates Opportunity for VOD Players

Consumers are no longer content waiting for their favorite programming to come on the air – they expect instant streaming access where and how they want it. This has led to increased “cord cutting,” with consumers severing ties with their traditional pay TV providers in favor of digital streaming services.

With the advent of smart TVs with app integration, consumers can now watch what they want to watch when they want to watch it, fracturing traditional cable bundling mechanisms.

With pay TV usage steadily declining – satellite and cable TV businesses in the United States lost approximately 6 million customers in 2019 alone – streaming platforms are poised to potentially replace traditional pay TV distribution models altogether. Approximately 12,000 U.S. consumers are cutting the cord every day.

As this shift in media delivery continues and as digital devices become more sophisticated and bandwidth increases, VOD platforms have the potential to scale significantly. The Hollywood “streaming wars” of recent years have created an environment in which smaller competitors, like The Movie Studio, are able to emerge as major brands.

The Movie Studio Inc. (OTC: MVES), closed Friday's trading session at $0.0098, off by 1.0101%, on 103,200 volume with 6 trades. The average volume for the last 3 months is 216,858 and the stock's 52-week low/high is $0.093999996/$0.985000014.

Recent News

• The Movie Studio Inc. (MVES) Making Major Moves in Growing Streaming Market
• The Movie Studio Inc. (MVES) Poised in VOD as 'Cord Cutters' Ditch Cable, Keep the Screen
• The Movie Studio Inc. (MVES) Retains AdvisoryCloud to Advance Company's Growth Trajectory

The Supreme Cannabis Company Inc. (TSX: FIRE) (OTC: SPRWF)

The QualityStocks Daily Newsletter would like to spotlight Supreme Cannabis Company Inc. (OTC: SPRWF).

Supreme Cannabis Company (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1), a global diversified portfolio of distinct businesses, products and brands, on Thursday announced financial results for the fourth quarter and full-year 2020. According to the update, the company established a platform for strong revenue growth and operational efficiency with a strengthened balance sheet. To view the full press release, visit: https://cnw.fm/gVIos.

Supreme Cannabis Company Inc. (TSX: FIRE) (OTC: SPRWF) is committed to providing premium brands and products that reflect the company’s knowledgeable customers, passionate employees and culture of innovation. The company aims to grow the world’s best legal cannabis and become a leader in the global industry. Supreme Cannabis calls its Toronto Venture Exchange stock symbol, “FIRE,” a testament to the company’s passion for cannabis and obsession with quality.

Supreme Cannabis believes the world is ready to follow Canada’s lead by ending the 100-year cannabis prohibition and, as one of Canada’s most premium cannabis producers, the company sees itself at the center of this global shift.

A key piece of Supreme Cannabis’ ability to fulfill its mission is its flagship brand, 7ACRES, a wholly owned subsidiary that operates a 440,000-square-foot hybrid cultivation facility in Kincardine, Ontario. 7ACRES is focused on building a core competency in scaled high-quality cannabis production. With a best-in-class cultivation facility producing a competitive product that fuels a leading premium brand, Supreme Cannabis has achieved a differentiated advantage in cultivation IP, products and branding. The company’s foundational investment in premium cultivation has secured it a leadership position in the industry as the Canadian market becomes more competitive and matures.

Since legalization, 7ACRES has brought five premium flower strains to market in Canada. The demand for 7ACRES product continues with the company’s most recent launch of Jack Haze, a new proprietary premium cultivar. The company’s first sativa-dominant strain, Jack Haze offers rare sensory characteristics, delivering high THC content with a terpinolene forward profile, including a complex aroma with notes of citrus, pine and warm spice. As it develops its next winning strain, 7ACRES continues to prioritize subjective quality. In the Canadian cannabis market, this approach has established 7ACRES as a well-known premium brand that commands premium pricing coast-to-coast.

In addition to 7ACRES, Supreme Cannabis has built a diversified portfolio of focused consumer-driven brands:

• Sugarleaf by 7AC – this new brand widens Supreme Cannabis’ product offerings and targets consumers who are looking for more refined, milder consumption experience as they discover their own cannabis taste preferences and desires. Product formats under this brand are focused on offering consumers elegant and convenient cannabis experiences.
• Blissco — dedicated to providing wellness focused consumers with premium cannabis products, education, and outstanding customer care. Blissco is focused on bringing its collection of premium whole-flower CBD oils to market.
• Truverra — focused on being a global leader in the development, production and marketing of hemp and cannabis-derived medicinal products with clinically proven efficacy. With over 25 SKUs sold online in the UK and Europe, Truverra is ideally positioned to address emerging international cannabis opportunities.
• Khalifa Kush Enterprises — formed through a prestigious international partnership with Khalifa Kush Enterprises (KKE) Canada, the Canadian counterpart to the popular U.S. cannabis brand KKE formed by Wiz Khalifa. Together, Supreme Cannabis and KKE Canada are developing and launching a lineup of premium cannabis products, including a future line based on the well-known Khalifa Kush strain.

Each of Supreme Cannabs’ brands and partnerships have been strategically identified and designed to support the company’s mission to enhance the lives of consumers through positive cannabis experiences. Equally important to delivering desirable consumer experiences is the infrastructure supporting the company’s brands and products. From seed to sale, supreme cannabis continues to build an impressive group of operating assets that serve key functions throughout the value chain:

• Cultivation – for starters, there is Supreme Cannabis’ foundational flagship asset, its 440,000-square-foot cultivation facility in Kincardine, Ontario. With over 600 employees, 24 grow rooms, and best-in-class processing equipment and procedures, this facility is expected to reach an annual production capacity of 50,000 kilograms in the near-term. In this purpose-built facility, the company grows small-batch high-quality cannabis from 10,000-square-foot grow rooms and completes a proprietary hang-dry for up to two weeks.
• Extraction – with the acquisition of Blissco in fiscal 2019, in addition to the Blissco wellness brand, Supreme Cannabis gained a 12,000-square-foot dedicated extraction facility in Langley, BC. This facility conducts both C02 and ethanol extraction and with the recent receipt of its oil sales license from Health Canada, it now produces Blissco branded CBD oils and expects to fill vaporizer pods for a partnership between the company’s 7ACRES brand and Pax Labs.
• Manufacturing – most recently, the company announced its 107,000-square-foot processing, packaging and manufacturing facility in Kitchener, naming the facility Supreme Cannabis Kitchener. In Q4 FY2020, the company expects to begin whole flower packaging and pre-roll manufacturing for Supreme Cannabis brands at the Kitchener Facility. In the long-term, in additional to processing its own inputs, Supreme Cannabis intends generate incremental revenue by packaging, distributing and branding third-party cannabis inputs from quality-focused cultivators.
• R&D and Product Testing – In Q1 FY2020, Supreme Cannabis closed the acquisition of Truverra and acquired a 5,000-square-foot facility licensed under Canadian Clinical Cannabinoids Inc. in Scarborough, Ontario (“Supreme Cannabis Scarborough”). Supreme Cannabis Scarborough provides R&D space for the company to test new products and develop medicinal science intellectual property. In the near-term, with the legalization of 2.0 cannabis products, this centre for innovation will be testing and bringing concentrate products to market under the 7ACRES brand.

Supreme is committed to continue to identify new opportunities to grow and strengthen its impressive portfolio of operating assets and brands and scale its strong Canadian business globally.

Supreme Cannabis Company Inc. (OTC: SPRWF), closed Friday's trading session at $0.1138, up 4.5956%, on 2,270,654 volume with 288 trades. The average volume for the last 3 months is 564,351 and the stock's 52-week low/high is $0.371499985/$1.80999994.

Recent News

• Supreme Cannabis Company Inc. (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1) Announces Q4 and Full-Year 2020 Results
• Supreme Cannabis Announces Financial Results for Q4 and Full-year 2020
• The Supreme Cannabis Company Inc. (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1) Announces Revision of Three-Year Term Credit Facility

Exro Technologies Inc. (CSE: XRO) (OTCQB: EXROF)

The QualityStocks Daily Newsletter would like to spotlight Exro Technologies Inc. (OTCQB: EXROF).

Exro Technologies (CSE: XRO) (OTCQB: EXROF), a leading technology company that has developed a new class of power electronics for powertrains, recently announced its participation in the Gravitas Clean Technology Investor Day. According to the update, Exro CEO Sue Ozdemir presented at the event, which took place virtually on September 24, 2020, sharing the company’s growth strategy and fielding questions from investors. To view the full press release, visit http://nnw.fm/t21xu and http://nnw.fm/3cBSQ

Exro Technologies Inc. (CSE: XRO) (OTCQB: EXROF), a Canadian technology company, is an innovative pioneer in the energy sector. Exro has developed and commercialized an electric power module (EPM) that integrates into existing motor systems to make them smarter. Exro’s patented technology optimizes existing motor performance by automatically sensing and adapting operating parameters to an optimized state, creating measurable efficiency gains, reduced mechanical components and increased system availability.

Applications

Exro’s technology and efficiency optimization algorithms improve the performance and efficiency of electric motors by manipulating power delivery to individual coils, thereby enabling the ability to expand operating parameters. This novel approach is scalable and can be utilized in most variable torque applications.

The widespread applications of Exro’s technology apply to optimizing the performance of electric vehicles, locomotive traction applications, industrial motors, and other variable torque applications that benefit from smart energy conversion.

Intellectual Property

Exro’s proprietary, patented software controls electric motor coils through individual coil switching. This introduction of intelligence into energy conversion at the level of individual coils results in expanded speed/torque capability, improved machine efficiency, reliability, safety and maintenance across a wider operating range. Exro’s advanced control algorithms create smart, real-time optimized power management.

Exro currently holds 15 patents, with 8 patents pending and additional patents under development. The company continues to expand its IP portfolio to support its goal of becoming a globally recognized leader in leveraging advanced control algorithms to improve the performance, efficiency and longevity of electric motors and generators.

Market Opportunity

Electric motors are the single biggest consumer of electricity. They account for about two-thirds of industrial power consumption and about 45% of global power consumption, according to an analysis by the International Energy Agency. Exro’s technology seeks to give industries a new way to look at energy—from electric vehicles, to industrial equipment, to renewable applications like wind farms; we are improving the way energy is consumed.

Laboratory Expansion

The 6,500-square-foot Exro Innovation Center (EIC), scheduled to open spring of 2020 in Calgary, will transition the current Victoria lab into one Calgary based center. The company’s new laboratory space will expand its service capabilities to customers, provide larger test capabilities, and showcase how Exro’s technology can be applied to dramatically improve the performance of electrical motors.

The EIC will also host collaborative events to explore advances in energy consumption and electric motor innovations, with participants from across Canada and around the world.

Strategic Partnerships

• A strategic agreement with Finland’s Aurora Powertrains Oy, which in 2019 released an all-electric production snowmobile called the “eSled,” will see Exro’s technology added to the Aurora electric powertrain. The snowmobile sector’s economic footprint is estimated at $26 billion in the U.S., $8 billion in Canada, and $5 billion in Europe and Asia.
• An agreement with Potencia in Mexico serving the last mile vehicle segment will integrate Exro’s custom drive and EPM module into small passenger commercial vehicles (taxis) and fleet delivery trucks
• A licensing agreement with Motorino Electric, a leader in the Canadian electric transportation industry, will integrate Exro’s Electric Power Module technology into Motorino’s CTi electric bicycle.

Management

Chief Executive Officer Sue Ozdemir is a proven leader in the innovation and manufacturing of electric motors. She has nine years of accomplishments at General Electric, acting as CCO and the CEO of GE’s Small Industrial Motors Division, overseeing the division’s North American and international markets – ultimately building the division into a $160 million enterprise.

Chief Commercial Officer Josh Sobil is leading the seamless adoption of Exro’s growing product portfolio focused on the mobility segment and opening doors in all segments including agriculture, heavy industry, energy, construction, among others.

Executive Chairman Mark Godsy is a serial technology entrepreneur who has been involved in many top tier ventures, including two of Canada’s most successful biotech companies.

Exro Technologies Inc. (CSE: XRO) (OTCQB: EXROF), closed Friday's trading session at $1.04, even for the day, on 188,668 volume with 235 trades. The average volume for the last 3 months is 352,749 and the stock's 52-week low/high is $0.05/$3.00.

Recent News

• Exro Technologies Inc. (CSE: XRO) (OTCQB: EXROF) Participates in Gravitas Clean Technology Investor Day, Announces Strategic Collaboration
• Heinzmann Gmbh and Exro Technologies to Collaborate in Developing Advanced Coil Drive Technology for the Electric Micro Mobility and Lev Market
• Exro to Present at the Virtual Gravitas Clean Technology Investor Day