Flora Growth Corp Stock Price, News & Analysis

Flora Growth Corp. (NASDAQ: FLGC) has been granted a commercial export quota of 7,900 kg of high-THC dried cannabis flower by the Colombian Technical Quotas Group. This quota is pivotal for the company as it prepares for an inaugural harvest of high-THC cultivars by November 2021, complementing its current high-CBD production. Flora has established agreements for distributing its products across major markets, including Africa, the EU, and Australia, signaling strong international demand for its offerings. The average wholesale price for THC distillate oil ranges from US$3,500 to US$8,000.

Flora Growth Corp. (NASDAQ: FLGC) announced that its Flora Lab has received GMP certification from the Colombian National Food and Drug Surveillance Institute (INVIMA) for manufacturing cosmetics. This achievement positions Flora Lab among the top 13 compliant cosmetics laboratories in Colombia. With over 190 products and 63 OTC products registered, the lab aims to expand its global supply chain strategy, enabling the production of cannabinoid and non-cannabinoid cosmetic products for international markets.

Flora Growth Corp. (NASDAQ: FLGC) has established a strategic partnership with Hoshi International to enhance its European market presence. This collaboration will enable Flora to distribute its cannabis products in Europe, leveraging Hoshi's distribution networks in key countries such as the UK, Germany, and Poland. Flora's investment includes a €2M investment and a securities swap that increases its ownership in Hoshi. Key advantages include a director seat on Hoshi's board and preferential supply agreements for cannabis derivatives, positioning Flora for growth in a burgeoning market.

Flora Growth Corp. (NASDAQ:FLGC) reported selected financial results for H1 2021, generating revenues of over $2M with a gross profit margin of 60%. This marks a significant increase from approximately $100K in 2020. Operating expenses totaled $6M, leading to a net loss of $4M, impacted by $3M in IPO-related costs. Flora's cash balance stood at $19M as of June 30, 2021. The company completed its IPO, expanded into new markets, and plans further acquisitions, including Koch & Gsell and Vessel Brand, while continuing its sustainability initiatives.

Flora Growth Corp. (NASDAQ: FLGC) has signed a Letter of Intent to acquire 100% of Vessel Brand Inc. for $30M. Vessel posted trailing twelve-month revenues of $6.2M and is known for its high-end dry-herb accessories and vape pen batteries. The acquisition aims to enhance Flora's brand portfolio and leverage Vessel's design and marketing expertise to improve consumer experiences and market positioning. The deal is subject to due diligence and customary closing conditions, with a nominee from Vessel expected to join Flora's board post-transaction.

Flora Growth Corp. (NASDAQ: FLGC) has announced a new broadcast titled, “Colombia Challenges Canadian Cannabis Dominance.” The recent changes in Colombia's cannabis regulations allow for the export of dried cannabis flowers, expanding opportunities in various markets like food, beverages, and cosmetics. President Duque stated this will enhance Colombia's regulatory competitiveness. Flora, with its focus on cannabis cultivation in Colombia, stands to benefit from these developments, particularly due to its low production costs and potential for substantial sales in mature markets.

Flora Growth Corp. (NASDAQ: FLGC) has been featured in an editorial by NetworkNewsWire, highlighting Colombia's emergence as a competitor in the global cannabis market. Following a legislative decree on July 23, 2021, Colombia has ended the prohibition on exporting dried cannabis flower, aiming to capitalize on its established infrastructure for cannabis products. This shift presents significant opportunities for Flora Growth, which operates one of the largest outdoor cultivation facilities and focuses on cost-effective, sustainable practices to produce high-quality cannabis derivatives.

Flora Growth Corp. (NASDAQ: FLGC) has announced a significant development in its food and beverage division, Kasa Wholefoods Company S.A.S., which completed its first purchase order valued at approximately US$1.1M to Importaciones y Asesorias Tropi S.A.S. This marks a step in enhancing distribution in Colombia, leveraging recent cannabis law changes for cannabinoid-containing ingestible products. Flora aims to achieve US$2M in monthly sales as it capitalizes on this partnership.

Flora Growth Corp. (NASDAQ:FLGC) will host its first half 2021 earnings call on August 19, 2021, at 4:30 p.m. ET. The call will feature financial results and operational updates, alongside discussions on recent growth and M&A initiatives since the company's Nasdaq listing on May 11, 2021. Analysts and investors will have the opportunity to ask questions post-presentation. Interested participants can access the live webcast through the provided online link.