3 Canadian Cannabis Stocks Investors Need To Be Watching

Yesterday, leading licensed marijuana producer MedReleaf Corp. (LEAF.TO) (MEDFF) traded higher after announcing agreements to acquire 1 million sq. ft. of existing greenhouse infrastructure on a 69 acre property in Exeter, Ontario and 95 acres of adjacent land for $21.5 million in cash and 225,083 common shares.

This is a significant acquisition for the Canadian marijuana producer. After retrofitting the existing facility, MedReleaf will be able produce up to 105,000 kilograms annually with a first harvest anticipated by the end of 2018. When fully operational, the company's fully funded capacity will be approx. 140,000 kilograms per year.

The facility will add large-scale, low-cost greenhouse production alongside MedReleaf's two indoor production facilities. In addition, the adjacent 95 acres of undeveloped land could accommodate a greenhouse approximately 1.5 times larger than the existing facility, providing for future expansion opportunities.

After the market closed, MedReleaf received an upgrade from Canaccord Genuity and the broker-dealer raised its price target on the marijuana producer to $31 from $30. We are favorable on the recent developments and bullish on MedReleaf. We see significant upside to current levels and investors need to keep an eye on this one.

Invictus: An Execution and Valuation Story

Over the last year, Invictus MD Strategies (IMH.V) (IVITF) has significantly advanced its fundamental story and the Canadian marijuana producer is well positioned to capitalize on current growth initiatives. Invictus is comprised of three divisions (Acreage Pharms, AB Labs, and AB Ventures) and we are favorable on this structure as it is strategic in nature and can create synergies for the entire business.

Earlier this year, Invictus reported a milestone when AB Labs secured a strategic supply agreement with Canopy Growth (WEED.TO) (TWMJF) and sold 130 kilograms of premium cannabis, representing Invictus’ first revenue stream since inception.

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Disclosure: This report was authored by and is property of Technical420.All information and data relied upon in drafting this report is publicly available.The author believes and considers its ...

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