Rising High: MINT Shango JV to acquire Cannabist’s Florida entity

In this week’s “Rising High,” The Fly’s recurring series focused on cannabis and psychedelic stock news, The Fly looks back on an acquisition agreement, a licensing deal and a website launch.

MINT SHANGO JV TO ACQUIRE CANNABIST’S FLORIDA ENTITY: Private multi-state operators MINT Cannabis and Shango announced Tuesday that they have, through a joint venture, entered into a definitive agreement to acquire all membership interests in The Cannabist Company’s (CBSTF) Florida subsidiary. This acquisition of a dominant operational Florida vertical is anticipated to provide immediate scale for the MINT SHANGO JV in the state through 14 dispensary locations, two cultivation and manufacturing facilities, all inventory, and its MMTC license for total consideration of $5M. As part of the transaction, the MINT/SHANGO JV will retain its existing indoor cultivation facility, and The Cannabist Company has separately divested its Lakeland facility. Additionally, the MINT SHANGO JV has also entered into an agreement to transfer to The Cannabist Company all of the outstanding equity interests in its existing MMTC license holder which they plan to divest upon close.

The companies said, “MINT and SHANGO are looking forward to launching their inaugural joint venture in the highly populated state of Florida, expanding their respective multi-state footprints. The MINT SHANGO JV expects to deploy the collective strengths of each operator to provide a leading consumer experience. MINT intends to focus its retail prowess on driving operational excellence in the 14 Cannabist dispensaries, while furthering its organic expansion efforts by securing prime real estate locations in underserved cities across Florida. MINT brings best-in-class retail expertise from its Arizona headquarters to the Florida market.”

Post-closing, the Cannabist dispensaries are anticipated to be rebranded and operated under the banner “MINT Dispensary.” During the next 18 months, the MINT SHANGO JV has plans to scale its Florida operations to 35 MINT-branded dispensaries. The MINT/SHANGO transaction is subject to regulatory review and approval before it can be finalized.

PSYENCE BIOMED, PSYLABS ENTER LICENSING DEAL: Psyence Biomedical (PBM) announced Wednesday that the company has entered a worldwide, exclusive royalty-bearing IP licensing agreement with PsyLabs. PsyLabs is a private company focused on the production of psychedelic active pharmaceutical ingredients and extracts. Pursuant to the agreement, PsyLabs will supply Psyence Biomed with pharmaceutical-grade, EU GMP nature-derived psilocybin to be evaluated in future clinical trials as a potential treatment for Alcohol Use Disorder and other SUDs, and for commercialization of the licensed product. Psyence Biomed plans to lead with a clinical trial in AUD, Psyence Biomed’s second development indication. The licensed product will require further development work by PsyLabs, which will be conducted during the remainder of 2024 and into 2025.

“Alcohol and substance use disorders represent significant burdens to society, and prior academic studies have shown that psilocybin, when combined with psychotherapy, can be a safe and effective treatment option for the millions of people suffering from AUD and other SUDs for whom current treatment options are of limited benefit,” stated Neil Maresky, CEO of Psyence Biomed. “As we pursue our next indications, this new agreement with PsyLabs demonstrates our commitment to advance the highest quality psilocybin candidate into clinical development.”

HIGH TIDE LAUNCHES CANNA CABANA 2.0 SITE: On Tuesday, High Tide (HITI) announced the re-launch of the website for its flagship Canadian bricks-and-mortar retail brand, Canna Cabana, which represents more than 90% of the company’s revenue. The new website features the latest tech, resulting in an enhanced user interface and overall improved customer experience, the company said.

“For some time now, our loyal ELITE and Cabana Club members have been asking for an improved online experience, and we’ve heard that feedback loud and clear. That’s why I am so thrilled to announce the re-launch of our next-gen Canna Cabana website. Our newly enhanced website boasts a sleek, modern design that prioritizes user experience, offering intuitive navigation and visually engaging content. Every element of this new website has been meticulously crafted to ensure that our online presence will exceed member expectations, reflecting our commitment to quality and innovation,” said CEO Raj Grover.

The company also announced Thursday that its Canna Cabana retail cannabis store located at 389 Main Street, Lucan, Ontario will begin selling recreational cannabis products and consumption accessories for adult use on September 6.

IGC PHARMA ADVANCES IGC-AD1 TOWARD CLINICAL TRIALS: IGC Pharma (IGC) announced Wednesday that the company is advancing its proprietary formulation, IGC-AD1, toward clinical trials as a potential anti-amyloid disease-modifying treatment for Alzheimer’s disease. The company said, “The recognition of amyloid-targeted therapies in slowing Alzheimer’s progression and improving cognitive function underscores the growing demand for innovative treatments. While recent drug approvals have been a significant milestone in enhancing disease treatment, there is still an increasing demand for safe and effective treatments. IGC-AD1, an orally administered medication with a strong safety profile, potentially positions IGC Pharma favorably in this market landscape.”

The APIs in IGC-AD1 have been shown to target amyloid plaques in Alzheimer’s cell lines through two mechanisms: inhibiting amyloid protein production and preventing its aggregation. Preliminary data from Alzheimer’s cell lines suggest that IGC-AD1 may reduce plaque aggregation by approximately 20% and decrease its production by up to 40% without affecting the production of Amyloid Precursor Protein , which is essential for cell growth and survival.

Ram Mukunda, CEO of IGC Pharma, stated, “As we continue our ongoing Phase 2 clinical trials for treating agitation in Alzheimer’s dementia with IGC-AD1, we’re excited to advance our research into its potential as an anti-amyloid disease-modifying treatment. Evidence from cell lines suggests that IGC-AD1 may reduce amyloid levels while preserving APP production, a critical factor for brain health. With Phase 1 and Phase 2 interim safety and tolerability data, IGC-AD1 stands out as a differentiated drug candidate. The initiation of disease-modifying investigational trials, expected in early 2025, will open a significant market opportunity for IGC Pharma.”

CURALEAF LAUNCHES JAMS REMIX: On Friday, Curaleaf Holdings (CURLF) announced the launch of JAMS Remix, a new line of flavor-forward jellies. The company said JAMS Remix pairs fast-acting onset technology with unique multi-cannabinoid ratios and functional ingredients to deliver cannabis benefits from daytime to nighttime, with Shineapple for morning, Sootheberry for mid-day and Lullaberry for night. JAMS Remix will initially be available in Arizona in August and New York and Massachusetts in late September, with additional markets to follow, pending regulatory approval, including Connecticut, Maryland, New Jersey, Illinois, and Utah.

“JAMS Remix is a new, dynamic line of edibles specially formulated with cannabinoids, and nutraceuticals to meet the diverse needs of the modern consumer,” said CEO Boris Jordan. “For those looking to start their day with a boost of energy or those hoping to unwind after a long day, JAMS Remix has a functional jelly designed to meet their needs across the duration of each day. In the expanding cannabis edibles category, JAMS Remix is uniquely positioned to deliver the products consumers seek to achieve their desired mood, with innovation at its core. We are eager to see it roll out as we continue to explore new avenues for growth and product expansion.”

CANNABIS/PSYCHEDELIC STOCKS: Publicly-traded companies in the space include Acreage (ACRHF), Ascend Wellness (AAWH), Atai Life Sciences (ATAI), Aurora Cannabis (ACB), Ayr Wellness (AYRWF), Avant Brands (AVTBF), BZAM (BZAMF), Cannara Biotech (LOVFF), Canopy Growth (CGC), Cansortium (CNTMF), Chicago Atlantic (REFI), Clearmind (CMND), Clever Leaves (CLVR), Compass Pathways (CMPS), CordovaCann (LVRLF), Cresco Labs (CRLBF), Cronos Group (CRON), CV Sciences (CVSI), Cybin (CYBN), Entourage Health (ETRGF), Enveric (ENVB), Flora Growth (FLGC), Trees Corporation (CANN), Greenlane (GNLN), Green Thumb (GTBIF), GrowGeneration (GRWG), Hemp (HEMP), Heritage Cannabis (HERTF), IM Cannabis (IMCC), Innovative Industrial Properties (IIPR), InterCure (INCR), Lowell Farms (LOWLF), Lucy Scientific Discovery (LSDI), MediPharm (MEDIF), MindMed (MNMD), NewLake Capital (NLCP), Numinus (NUMIF), Optimi Health (OPTHF), Organigram (OGI), PharmAla (MDXXF), Planet 13 (PLNHF), Red White & Bloom (RWBYF), Relmada Therapeutics (RLMD), Reunion Neuroscience (REUN), RIV Capital (CNPOF), Safe Harbor Financial (SHFS), Skye Biosciences (SKYE), SNDL (SNDL), Stem Holdings (STMH), TerrAscend (TRSSF), Tilray (TLRY), Trulieve (TCNNF), Tryp Therapeutics (TRYPF), Verano (VRNOF), Village Farms (VFF), Vireo Health (VREOF), Zynerba (ZYNE) and 4Front Ventures (FFNTF).