By: Ian Cooper
SLANG Worldwide Inc. SLGWF is a leading cannabis consumer packaged goods company that operates in 11 U.S states and currently sells their products in over 2,600 retail locations.
The company announced on Monday March 11, that they have launched its RESERVE products in the world's biggest marijuana market, California.
According to BDS Analytics, California is one of the largest cannabis markets in the Unites States with recreational sales of $1.2 billion for the 2018 calender year.
The expansion of SLANG's products in California further boosts the company's portfolio to expand into every U.S state.
RESERVE is filled with high-quality and high-potency distillate cannabis oil with a selection up to 15 top strains.
Being sold alongside RESERVE, SLANG already sells the #2 best-selling cannabis brand in the U.S with O.PenVAPE. They also sell Bakked, which is currently California's #1 best-selling distillate.
SLANG Co-Founders Sell Mettrum Health in 2017 for $300 Million
One thing we love about SLANG Worldwide is their management team and experience in a very competitive industry.
CEO Peter Miller and President Billy Levy were in the tech industry before realizing a huge growth opportunity in the budding cannabis industry.
The two were granted an early marijuana license from Canada in 2014 and eventually formed Mettrum Health which was acquired by Canopy Growth CGC in 2017 for $300 million.
Mettrum was one of the “Blessed Eight”, a group of Canadian marijuana companies that was rewarded the first federal approvals to move marijuana genetics into the legal regime from the black market.
SLANG Acquires Organa Brands for $200 million
SLANG’s acquisition of Organa Brands was truly a game-changer for its portfolio has Organa is a multistate concentrate and infused product manufacturer and the maker of O.PenVAPE brand.
The O.PenVAPE brand is the 2nd best-selling cannabis brand in the U.S, according to BDS Analytics.
Some key numbers for Organa Brands:
More than $100 million of retail revenue for O.PenVAPE products since 2014.
$12 million in revenue for the nine months ending September 30, 2018
SLANG Worldwide Partners with Trulieve to bring Organa Brands products to Florida
Florida is very quickly establishing itself as a significant cannabis market leader in the U.S with over 180,000 registered medical marijuana patients.
This number has tripled since 2017.
Trulieve is currently responsible for distributing and producing 60% - 80% of cannabis in the state, according to the Floirda Department of Health.
This partnership will allow Trulieve to exclusively offer SLANG’s premium portfolio products at their dispensaries.
SLANG plans to introduce the O.penVAPE, Bakked, District Edibles and Magic Buzz product lines to Florida medical marijuana patients.
Just last week, Florida’s Senate passed a smokable medical marijuana bill that lifts the ban of smoking cannabis in the plant or “flower” form.
Right now in the state of Florida, patients who want to buy flower must purchase the flower sealed in a vape cup used only for a tabletop vaporizer. This bill will allow cannabis to be sold in the nug form without being sealed in the vape cups.
The bill is subject to be approved by the Supreme Court.
SLANG raised $66 million before IPO this Year
In January before going public on the Canadian Stock Exchange, SLANG raised $66 million by offering Subscription receipts.
In February 2018, SLANG completed a brokered private placement of 22 million special warrants that raised approximately $16.8 million.
Also, Canopy Growth Corp., the world’s largest marijuana and hemp producer by market cap, is backing SLANG Worldwide through a complex financial arrangement.
Canopy and SLANG have this complex agreement so it can comply with the Toronto Stock Exchange’s policy of de-listing cannabis businesses that conduct business in locations where the drug is federally illegal, like the U.S.
This arrangement allows Canopy to acquired up to 20% of equity in SLANG if the U.S legalizes cannabis nation-wide.
We believe SLANG has tremendous growth potential and Chasingmarkets.com has purchased shares of SLANG in the open market.
This article has been provided by a Chasing Markets contributor. All content submitted by this author represent their personal opinions, and should be considered as such for entertainment purposes only. All opinions expressed are those of the writer, and may not necessarily represent fact, opinions, or bias of Chasing Markets. Chasingmarkets.com has purchased shares of SLANG Worldwide, Inc. in the open market in which we plan to hold as a long-term investment.
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