Welcome to The Greenfields, your guide to the cannabis business in Australia, New Zealand and around the world.

What’ve we got for you today?

• Alternaleaf chopping prices

• Medicinal Cannabis Friends

• Creso Pharma wants $2m from investors

• Ecofibre exit unprofitable businesses

Alternaleaf Chopping Prices

In an effort to increase market share Alternaleaf have almost chopped their very high (😉) initial consult fee in half from $149 to $79.

Alternaleaf are the telehealth patient funnel for Montu Group, a technology platform for the sale of medicinal cannabis products. Alternaleaf patients get access to doctors that prescribe medicinal cannabis and get access to medicinal cannabis products through pharmacy's on Montu’s Circuit platform.

Patients prescriptions are locked into the Circuit platform. You can’t just print your script and head down to the local Chemist Warehouse and pickup your medicine. You have to purchase your medicine through the pharmacists on Circuit.

Presumably Montu takes a fee in there somewhere.

Alternaleaf can lower the price of their initial consult because it’s being subsidised by the profits of the medicine. Not all of their competitors work the same way. It will be interesting to see what they do in response to this announcement.

Medicinal Cannabis Friends

Everybody likes friends right? Well now Medicinal Cannabis has friends! Parliamentary friends! La dee da…

The Parliamentary Friends of Medicinal Cannabis is a group of senators and MPs from different parties that want to learn all about medicinal cannabis and the industry.

Basically just like you and me but paid heaps more!

Dr. Lenny's Lab

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Dr. Lenny is a plant and brain scientist that can answer your questions about cannabis, plants, brains, research, medicine, and biology.

Reply to this email with your questions and the best one will get an answer in an upcoming newsletter.

Creso Pharma wants $2m from investors

Creso Pharma has asked investors for $2m for sales and marketing in the US, a psilocybin trial and buying other companies. They’ll sell investors 132.8 million shares at 1.5c each.

Creso reported record revenues of $9m, a 44% increase over previous years. Creso does business in Australia, Canada and the US. Their subsidiary Halucenex Life Sciences is looking to expand into psilocybin following the TGA allowing psilocybino to be trialed for treating depression.

(Actual footage of psilocybin treatment)

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Ecofibre exit unprofitable businesses

Ecofibre (ASX:EOF) have exited two unprofitable businesses: Australian plant science and Hemp Black finished goods apparel and 3D knitting (🤔).

They decided to get out of these businesses following a strategic review. Their goal is to achieve positive operating cash flow (more cash is being received than is being spent) in the 2023-24 financial year.

Hemp Black will stop selling clothes to focus on manufacturing materials. A quick look at their website makes us think they decided B2C marketing and fashion design was just too hard.

Ananda Health manufacturers hemp-based nutraceuticals for human and pet consumption. It’s facing a declining CBD market in the US. Ecofibre have decided to reduce their purchase of flower for their CBD products and will draw down on existing inventory.

Ananda health has also had to write down the value of their inventory due to the competitive market in the US for CBD products.

Shutting down the two businesses has written off about $12 million resulting in a total net loss of $17.6m. Ecofibre have a total of $12.7 million cash available to them.

They are still evaluating their options after their over the counter CBD sleep treatment failed to show any difference to a placebo.

That’s your walk through The Greenfields of the cannabis industry today. We’ll see you again on Thursday, but if you want more before then follow us on Twitter or Facebook.

DISCLAIMER: This newsletter is not financial advice. It is strictly educational and is not investment advice or a solicitation to buy or sell anything or to make any financial decisions. Please do your own research and do not buy anything dodgy.