The expanding legalization of medical marijuana has triggered a myriad of new companies going public trying to get their piece of the action.
Here are three companies that appear to be well positioned to make their move if the medical-marijuana industry takes off.
Hollywood, Calif.-based Medbox, Inc. (OTCPINK Markets: MDBX), a maker of patented, self-service, identity-verifying medicine dispensers, believes it is perfectly positioned to cash in on the burgeoning medical marijuana market.
"Legal marijuana is one of the most rapidly expanding medical markets in the U.S., projected to exceed $3 billion in 2014," said Dr. Bruce Bedrick, chief executive officer, Medbox, Inc., in a written statement. "This rapid growth is creating significant opportunities and Medbox is positioned as the first mover and clear industry leader in this burgeoning sector. Our offerings include sophisticated and comprehensive consulting services for dispensary permit applicants and cultivators, as well as offering dispensing technologies and vaporizers. The breadth and depth of our offerings position us to strengthen our leadership role and we felt it was an appropriate time to retain proven IR counsel to help us raise our visibility in the investment community, communicate our investment thesis and broaden our shareholder base," he added.
Medbox's dispensers even have the precaution of requiring a finger print check for identity. The company hopes to ultimately place these dispensers in the thousands of clinics and approved facilities that it hopes one day will dispense medical marijuana.
MDBX share price closed at $37.65 cents on Jan. 28, down $39.45 cent from its closing price of 38 cents the previous day.
Find out what could be the best investor's move when it comes to MDBX by getting the complete report here, or by cutting and pasting the following link in your Web browser:
Secure Delivery Service
On Jan. 28, Marijuana Inc. (OTC PINK: MJNA) share volume shot through the stratosphere, with 117,547,625 shares changing hands, 6.5 times its 3-month average of 18,007,320 shares.
The sudden volume was triggered by a Jan. 28th announcement made by the San Diego holding company that one of its newly-formed subsidiaries would be providing armored transport services for companies in the cannabis industry.
Marijuana Inc.'s subsidiary, Wellness Managed Services, has gained this capability by purchasing a 50% stake in MPS International.
Cannabis Security Issue
In a written statement, MPS International’s CEO Mike Roberts outlined some specifics about the new armored marijuana transport service.
"Large amounts of product will be moved from grow to wholesaler, warehouse, testing facilities, bakeries, infusion laboratories and finally to retail locations," Roberts said. "Post transaction, and especially right now with federal regulations prohibiting FDIC insured banks from offering financial services to cannabis industry businesses, large amounts of cash will need to be transported between parties securely as this creates an easy target for predators and competing businesses," he added.
Potentially Lucrative Opportunity
In the release, Roberts went on to outline the potential opportunity that existed for providing armor transportation for currently legal cannabis businesses. He pointed out that there are now about 448 dispensaries in Colorado alone, while in California there are an estimated 2,700 dispensaries, co-operatives, wellness clinics, and taxi delivery services.
"Using an average of one armed security officer working 10 hour shifts, 7 days per week billing at the industry standard of $25/hour armed, 52 weeks per year, annual gross revenue created by just 11 locations is more than $1,000,000 for just static physical security," Roberts explained.
Once the company establishes this footprint, it says it will evaluate other cannabis markets such as those in Canada.
MJNA share price closed at 39 cents, down 1 cent from its closing price of 38 cents the previous day. Find out what could be the best investor's move when it comes to MJNA by getting the complete report here, or by cutting and pasting the following link in your Web browser:
Hydroponic Grow Containers
Another company with a robust stock volume is Growlife Inc. (OTCBB: PHOT), a Woodland Hills, Calif. holding company operating in the legal cannabis industry. On Jan. 28, the company's share volume hit 39,892,960, which is higher than its daily average of 31,499,686. PHOT shares closed at 26 cents, down 2 cents from its closing price of 28 cents the previous day.
Growlife is strongly positioning itself by developing various markets and deploying new products and services for the legal cannabis industry. For example, one of its recently acquired companies makes hydroponic grow containers, which are designed to grow vegetables, herbs, flowers and fruits in any environment. The company appears to be vigorously considering every possible angle and service to capture its piece of the legal cannabis pie.
Find out what could be the best investor’s move when it comes to PHOT by getting the complete report here, or by cutting and pasting the following link in your Web browser:
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