Due to a combination of increased legalization, increased consumer demand and advances in medical technology, increased investment is expected in the rapid growth of many marijuana-based businesses, both in the States United and abroad.
Aaron Riley is a California cannabis entrepreneur and investor, and a regular contributor to several cannabis investing publications. We asked Mr. Riley for his thoughts on some of the latest news about MMJ and related products by writing the following article.
If you’re considering investing in the cannabis market, here’s a list of some of the latest industry happenings to help reveal some disruptive opportunities.
The New Year welcomes the legalization of marijuana in many US states
January 2022 marks the implementation of new marijuana laws in many US states, marking the next phase of cannabis legalization. Aaron Riley of California explains that acceptance and regulation is happening at different speeds in each state, ranging from limited use in certain medical settings to full legalization for all adults.
Here are some examples of changes taking place in January at the state level:
- California introduces a law that will allow hospital patients to use marijuana for medical purposes.
- Montana will legalize the retail sale of marijuana, with adults over 21 allowed to consume up to 1 ounce of cannabis per purchase.
- Colorado allows medical cannabis users to purchase up to 8 grams per day.
- In Philadelphia, job seekers will no longer be required to take a marijuana drug test as a condition of their employment.
- In Arkansas, it is now possible for doctors to use telehealth services to recommend medical marijuana to patients.
Aaron Riley says that as a result, experts predict a wide range of retail and medical opportunities for the cannabis sector that companies will capitalize on.
UK builds world’s first carbon-negative cannabis grow facility
According to pharmaceutical cultivation company Glass Pharms, the world’s first carbon-negative cannabis cultivation factory will be built in the UK.
The factory, which was set up to produce high quality medical cannabis, will be built on a 2.5 hectare site in the south of England as part of a £22.5 million investment ( $30.4 million).
Aaron Riley explains that this development showcases the green credentials of the cannabis industry, as well as the rapid growth of the medical cannabis sector over the past year.
Currently, almost all medical cannabis in the UK is imported. Glass Pharms hopes to spark a wave of investment in domestic cannabis production in the UK, after being granted the first commercial license to grow cannabis in the UK by the government.
Undercurrent proposals, the plant will convert food waste into electricity to heat cannabis greenhouses as part of a series of measures that will help the site achieve carbon negative status.
Glass Pharms says it hopes to start supplying medical marijuana to customers later in 2022.
Chicago Atlantic IPO shows strength of cannabis investment industry
Cannabis-focused investment firm Chicago Atlantic closed its IPO in mid-December after raising approximately $100 million in proceeds from the sale of 6.2 million common shares, underscoring the strength of the cannabis investment industry through 2022.
Aaron Riley of California explains that the company, which was founded in 2018, provides home loans to customers who have struggled to obtain traditional financing to set up cannabis plants in the United States.
The successful IPO was one of many high-profile cannabis IPOs in 2021, highlighting the continued growth of the industry globally.
Other successful IPOs include cannabidiol capsule maker HempFusion, whose launch on the Toronto Stock Exchange in January resulted in a better-than-expected market valuation of $175 million, and cannabis giant Leafly. which went public via a SPAC in August. which valued it at $532 million.
The sector’s growth shows no signs of stopping, with a report of Grand View Search suggesting that the marijuana market, which was worth approximately $9 billion in 2020, is expected to grow at a compound annual growth rate of 26.7% through 2028.
Malta becomes first EU country to legalize marijuana
Malta has become the first country in the European Union to legalize sales of marijuana for personal use according to Aaron Riley.
The decision by the Maltese parliament in mid-December allows anyone over the age of 18 to buy up to 7 grams of the drug, while it will also be legal to buy and grow the drug at home. House.
The announcement by the EU’s smallest member state is the first of a number of planned liberalization laws governing marijuana use amid changing attitudes towards drugs across the continent.
Aaron Riley says Germany has announced plans to establish a legal market for cannabis use, while in Italy a referendum on personal use of the substance is being organised.
Switzerland has also announced plans to create a legal market for the substance, while Luxembourg has already passed legislation allowing adults to grow up to four marijuana plants at home.
Growing liberalization is paving the way for increased demand for cannabis around the world as we approach 2022, with several US-based marijuana companies signaling interest in expanding operations on the continent. As a result, Aaron Riley from California believes cannabis will be a great investment for entrepreneurs over the next year and beyond.