Love Hemp, whose shares have been suspended from trading on the Aquis Stock Exchange (AQSE) since May this year, told investors this week that its application for listing on the standard segment of the London Stock Exchange is now also ” obsolete”. .
In an investor update released earlier this week, Love Hemp said his ongoing suspension and work to find a new AQSE adviser has prevented him from making sufficient progress on his listing proposal toward the most great LSE.
Retailer CBD first announced plans to launch on the standard LSE segment in November 2021, and the process was originally expected to take around three months.
On December 3, 2021, a month after Love Hemp announced its intention to target a listing, the Financial Conduct Authority (FCA) raised the minimum market capitalization for companies in the Standard and Premium segments of the main market by £700,000 at £30m.
Although it is understood that Love Hemp submitted its application for listing on the LSE before these changes were implemented, its market capitalization has since fallen from £21m to just over £5m. during.
According to Love Hemp, the FCA has “confirmed to the company that the review of its application has expired due to the passage of time.”
“The Board of Directors understands that this will be disappointing news for shareholders, but reaffirms that this does not preclude the company from advancing a re-listing in the market or a dual listing for the company in the future. , the company continues to focus on building its infrastructure, strengthening its controls and improving business performance, which must be its current priority.
Meanwhile, the company has announced further changes to its board, welcoming Robert Smyth as its new chief financial officer with “immediate effect”, who is credited with “leading the IPO of KP Renewables” on AIM.
Non-executive chairman Graham Mullis said Mr Smyth brings the financial and managerial experience to “have a significant impact on the operation and anticipated growth of the business”.
He added: “We understand that shareholders may be disappointed with the halt to the LSE’s standard market listing process, but we would like to reassure shareholders that the company is developing exciting plans both on the business plan and operational plan that she looks forward to sharing in the future.”
Cellular Goods saw its stock jump almost 20% this week as it continued to regain value from its all-time low of around 1 pence in July.
The latest spike came after the company announced the launch of three new skincare products to its offering, alongside signing a new marketing deal with Danish model Helena Christensen.
Investors hope the three new ‘rejuvenating’ CBD/CBG products will help boost the revenue streams of Cellular Goods, which have been hampered by limitations on what and where they can sell their products, for just £13,000 for its three first months of sales.
Key to that will be the newly signed deal with Ms Christensen, with Cellular Goods leveraging its considerable social media presence to overcome advertising hurdles it has struggled with since launching its products last year.
The new range will be available through Cellular Goods’ proprietary website, its Amazon Marketplace page and at its partner Voyager’s brick-and-mortar retail stores in Edinburgh.
Although the developments were welcomed by investors, as evidenced by the rise in the share price, many continued to worry about its price positioning, with its new products ranging from £69 to £89 for 50ml .
Despite the company’s relative recovery since early July, a report from Simply Wall Street points out that co-founder and chief strategy officer Alexis Abrahim, who bought £155,000 worth of shares at 7.7 pence a share earlier this year has now seen the value of their investment drop by £111,000.
After announcing in January 2022 that it was set to become the sole provider of medical cannabis oil in its home country of Denmark, Stenocare has now published the results of a study of a “new formulation which he says “significantly improves bioavailability” and absorption. of cannabinoids.
The pharmacokinetic study revealed that its new formulation, a “CBD LLT Oil” based on Solural Pharma’s lymphatic targeting technology, showed significantly increased absorption into the bloodstream and reduced onset of action in dogs compared to with commonly used CBD MCT oil.
Stenocare CEO Thomas Skovlund Schnegelsberg said he believes this new LTT oil is “truly game-changing” for the industry and patients, as it addresses “key challenges” in the medical cannabis industry.
He explained: “1) It increases the absorption of cannabinoids by double digits, 2) It ensures uniform absorption into the blood from one individual to another, 3) The maximum concentration of the drug is reached in half of time and, finally, 4) It can be delivered into the body with greater uniformity regardless of food consumption”.
“Pending regulatory approval,” Stenocare says it expects to introduce the first products based on this formulation within the next 18 to 36 months.
The announcement has yet to have a significant impact on the company’s share price, which has fallen about 5% over the week.