Announcement • Jul 16
FIKA entered into a binding term sheet agreement to acquire Cannabis retail store business and the logistics and distribution business of Delta 9 Cannabis Inc. (TSX:DN). FIKA entered into a binding term sheet agreement to acquire Cannabis retail store business and the logistics and distribution business of Delta 9 Cannabis Inc. (TSX:DN) on July 15, 2024. MLT Aikins LLP acted as legal advisor to Delta 9 Cannabis Inc. Reported Earnings • May 17
First quarter 2024 earnings released: CA$0.02 loss per share (vs CA$0.02 loss in 1Q 2023) First quarter 2024 results: CA$0.02 loss per share (in line with 1Q 2023). Revenue: CA$16.5m (down 2.4% from 1Q 2023). Net loss: CA$5.07m (loss widened 70% from 1Q 2023). Revenue is forecast to grow 12% p.a. on average during the next 2 years, compared to a 9.1% growth forecast for the Pharmaceuticals industry in Canada. Announcement • Apr 20
Delta 9 Cannabis Inc., Annual General Meeting, Jun 28, 2024 Delta 9 Cannabis Inc., Annual General Meeting, Jun 28, 2024. Recent Insider Transactions Derivative • Apr 19
Co-Founder exercised options to buy CA$31k worth of stock. On the 18th of April, John Arbuthnot exercised options to buy 1m shares at a strike price of around CA$0.045, costing a total of CA$56k. This transaction amounted to 9.9% of their direct individual holding at the time of the trade. Since June 2023, John's direct individual holding has increased from 11.52m shares to 12.13m. Company insiders have collectively sold CA$98k more than they bought, via options and on-market transactions in the last 12 months. Reported Earnings • Apr 02
Full year 2023 earnings released: CA$0.10 loss per share (vs CA$0.22 loss in FY 2022) Full year 2023 results: CA$0.10 loss per share (improved from CA$0.22 loss in FY 2022). Revenue: CA$71.1m (up 12% from FY 2022). Net loss: CA$17.5m (loss narrowed 36% from FY 2022). Revenue is forecast to grow 10.0% p.a. on average during the next 2 years, compared to a 10% growth forecast for the Pharmaceuticals industry in Canada. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has fallen by 58% per year, which means it is performing significantly worse than earnings. New Risk • Feb 14
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 50% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (28% average weekly change). Negative equity (-CA$606k). Earnings have declined by 46% per year over the past 5 years. Shareholders have been substantially diluted in the past year (50% increase in shares outstanding). Market cap is less than US$10m (CA$4.49m market cap, or US$3.31m). Reported Earnings • Nov 17
Third quarter 2023 earnings released: CA$0.03 loss per share (vs CA$0.06 loss in 3Q 2022) Third quarter 2023 results: CA$0.03 loss per share (improved from CA$0.06 loss in 3Q 2022). Revenue: CA$18.4m (up 18% from 3Q 2022). Net loss: CA$5.48m (loss narrowed 26% from 3Q 2022). Revenue is forecast to grow 8.4% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Pharmaceuticals industry in Canada. Over the last 3 years on average, earnings per share has fallen by 23% per year but the company’s share price has fallen by 60% per year, which means it is performing significantly worse than earnings. Announcement • Oct 31
Delta 9 Cannabis Inc. to Report Q3, 2023 Results on Nov 14, 2023 Delta 9 Cannabis Inc. announced that they will report Q3, 2023 results After-Market on Nov 14, 2023 New Risk • Aug 24
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 60% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (18% average weekly change). Earnings have declined by 42% per year over the past 5 years. Shareholders have been substantially diluted in the past year (60% increase in shares outstanding). Market cap is less than US$10m (CA$9.04m market cap, or US$6.66m). Minor Risk Significant insider selling over the past 3 months (CA$191k sold). Reported Earnings • Aug 15
Second quarter 2023 earnings released: CA$0.02 loss per share (vs CA$0.04 loss in 2Q 2022) Second quarter 2023 results: CA$0.02 loss per share (improved from CA$0.04 loss in 2Q 2022). Revenue: CA$18.3m (up 4.3% from 2Q 2022). Net loss: CA$2.82m (loss narrowed 41% from 2Q 2022). Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Pharmaceuticals industry in Canada. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has fallen by 55% per year, which means it is performing significantly worse than earnings. New Risk • Jul 31
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Canadian stocks, typically moving 17% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$2.7m free cash flow). Share price has been highly volatile over the past 3 months (17% average weekly change). Earnings have declined by 36% per year over the past 5 years. Market cap is less than US$10m (CA$11.6m market cap, or US$8.74m). Minor Risks Shareholders have been diluted in the past year (42% increase in shares outstanding). Significant insider selling over the past 3 months (CA$221k sold). Announcement • Jul 28
Delta 9 Cannabis Inc. to Report Q2, 2023 Results on Aug 14, 2023 Delta 9 Cannabis Inc. announced that they will report Q2, 2023 results After-Market on Aug 14, 2023 Recent Insider Transactions • Jun 23
Co-Founder recently sold CA$99k worth of stock On the 19th of June, John Arbuthnot sold around 2m shares on-market at roughly CA$0.056 per share. This transaction amounted to 12% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. John has been a net seller over the last 12 months, reducing personal holdings by CA$286k. Reported Earnings • May 17
First quarter 2023 earnings released: CA$0.02 loss per share (vs CA$0.037 loss in 1Q 2022) First quarter 2023 results: CA$0.02 loss per share (improved from CA$0.037 loss in 1Q 2022). Revenue: CA$16.9m (up 35% from 1Q 2022). Net loss: CA$2.99m (loss narrowed 28% from 1Q 2022). Revenue is forecast to grow 9.8% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Pharmaceuticals industry in Canada. Over the last 3 years on average, earnings per share has fallen by 41% per year but the company’s share price has fallen by 51% per year, which means it is performing significantly worse than earnings. Recent Insider Transactions • Dec 21
Co-Founder recently sold CA$52k worth of stock On the 13th of December, John Arbuthnot sold around 611k shares on-market at roughly CA$0.085 per share. This transaction amounted to 3.7% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. John has been a net seller over the last 12 months, reducing personal holdings by CA$276k. Announcement • Dec 20
Delta 9 Cannabis Inc. Announces Changes to Board of Directors Delta 9 Cannabis Inc. announced that Mr. Stuart Starkey has joined the Company's board of directors effective December 19, 2022. Mr. Starkey's appointment follows the previously announced resignation of Joanne Duhoux-Defehr as a director of the Company. Over the past 15 years, Mr. Starkey has been an entrepreneur, para-athlete, and non-profit founder. As President of Two Small Men Canada, Mr. Starkey grew a national moving chain to achieve corporate and franchise revenues of $35 Million per year with over 400 employees. As Co-founder of Mighty Moving Mr. Starkey grew a cross-docking and logistics business to service dozens of large chain retailers, with offices across Alberta. He has since successfully exited both Two Small Men Canada and Mighty Moving. During his tenure as a successful entrepreneur, Mr. Starkey realized the importance of businesses giving back to his community. In 2018, Mr. Starkey founded the Community of Big Hearts, a social enterprise with the purpose of getting businesses and people more involved within their communities, by making volunteering simple and engaging. The appointment of Mr. Starkey as a director of the Company remains subject to the approval of the Toronto Stock Exchange. Reported Earnings • Nov 17
Third quarter 2022 earnings released: CA$0.06 loss per share (vs CA$0.011 loss in 3Q 2021) Third quarter 2022 results: CA$0.06 loss per share (further deteriorated from CA$0.011 loss in 3Q 2021). Revenue: CA$15.7m (up 3.3% from 3Q 2021). Net loss: CA$7.40m (loss widened CA$6.28m from 3Q 2021). Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Pharmaceuticals industry in Canada. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 38 percentage points per year, which is a significant difference in performance. Price Target Changed • Nov 16
Price target decreased to CA$0.80 Down from CA$0.95, the current price target is provided by 1 analyst. New target price is 567% above last closing price of CA$0.12. Stock is down 69% over the past year. The company posted a net loss per share of CA$0.11 last year. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. No highly experienced directors. Independent Director Hugh Aird was the last director to join the board, commencing their role in 2018. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Nov 12
Delta 9 Cannabis Inc. Provides Earnings Guidance for the Quarter and Nine Months Ended September 30, 2022 Delta 9 Cannabis Inc. provided earnings guidance for the quarter and nine months ended September 30, 2022. For the quarter, the company anticipates anticipates revenue to be between $15.5 million and $15.8 million compared with $15.2 million for the same period last year.For nine months, the company anticipates revenue to be between $45.5 million and $45.8 million, compared to $45.2 million for the same period last year. Announcement • Nov 11
Delta 9 Cannabis Inc. to Report Q3, 2022 Results on Nov 14, 2022 Delta 9 Cannabis Inc. announced that they will report Q3, 2022 results After-Market on Nov 14, 2022 Announcement • Sep 08
Delta 9 Cannabis Inc. (TSX:DN) acquired All or Substantially All Assets from 10552763 Canada Corp. Delta 9 Cannabis Inc. (TSX:DN) entered into an asset purchase agreement to acquire All or Substantially all assets of 10552763 Canada Corp. for CAD 3.25 million on August 15, 2022. The Purchase Agreement includes several customary conditions in favor of the Company, including due diligence and the approval of the TSX. The Transaction is expected to close on or around August 29, 2022.
Delta 9 Cannabis Inc. (TSX:DN) acquired All or Substantially All Assets from 10552763 Canada Corp. on September 6, 2022. Price Target Changed • Aug 17
Price target decreased to CA$0.80 Down from CA$1.00, the current price target is provided by 1 analyst. New target price is 332% above last closing price of CA$0.18. Stock is down 57% over the past year. The company posted a net loss per share of CA$0.11 last year. Reported Earnings • Aug 16
Second quarter 2022 earnings released: CA$0.04 loss per share (vs CA$0.014 loss in 2Q 2021) Second quarter 2022 results: CA$0.04 loss per share (down from CA$0.014 loss in 2Q 2021). Revenue: CA$17.5m (up 4.4% from 2Q 2021). Net loss: CA$4.83m (loss widened 249% from 2Q 2021). Over the next year, revenue is forecast to grow 42%, compared to a 26% growth forecast for the Pharmaceuticals industry in Canada. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 45 percentage points per year, which is a significant difference in performance. Announcement • Aug 16
Delta 9 Cannabis Inc. (TSX:DN) entered into an asset purchase agreement to acquire all or Substantially all assets of 10552763 Canada Corp. for CAD 3.25 million. Delta 9 Cannabis Inc. (TSX:DN) entered into an asset purchase agreement to acquire all or Substantially all assets of 10552763 Canada Corp. for CAD 3.25 million on August 15, 2022. The Purchase Agreement includes several customary conditions in favor of the Company, including due diligence and the approval of the TSX. The Transaction is expected to close on or around August 29, 2022. Announcement • Jun 17
Delta 9 Cannabis Inc. has completed a Composite Units Offering in the amount of CAD 2 million. Delta 9 Cannabis Inc. has completed a Composite Units Offering in the amount of CAD 2 million.
Security Name: Units
Security Type: Equity/Derivative Unit
Securities Offered: 9,090,909
Price\Range: CAD 0.22
Discount Per Security: CAD 0.0154 Announcement • Jun 11
Delta 9 Cannabis Inc. has completed a Composite Units Offering in the amount of CAD 2 million. Delta 9 Cannabis Inc. has completed a Composite Units Offering in the amount of CAD 2 million.
Security Name: Units
Security Type: Equity/Derivative Unit
Securities Offered: 9,090,909
Price\Range: CAD 0.22
Discount Per Security: CAD 0.0154 Price Target Changed • May 17
Price target decreased to CA$0.95 Down from CA$1.04, the current price target is provided by 1 analyst. New target price is 252% above last closing price of CA$0.27. Stock is down 46% over the past year. The company posted a net loss per share of CA$0.11 last year. Reported Earnings • May 16
First quarter 2022 earnings released: CA$0.04 loss per share (vs CA$0.042 loss in 1Q 2021) First quarter 2022 results: CA$0.04 loss per share (up from CA$0.042 loss in 1Q 2021). Revenue: CA$12.5m (down 5.7% from 1Q 2021). Net loss: CA$4.17m (loss narrowed 2.8% from 1Q 2021). Over the next year, revenue is forecast to grow 49%, compared to a 88% growth forecast for the industry in Canada. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 52 percentage points per year, which is a significant difference in performance. Announcement • May 02
Delta 9 Cannabis Inc., Annual General Meeting, Jun 29, 2022 Delta 9 Cannabis Inc., Annual General Meeting, Jun 29, 2022. Board Change • Apr 27
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. Independent Director Hugh Aird was the last director to join the board, commencing their role in 2018. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Apr 01
Full year 2021 earnings released: CA$0.11 loss per share (vs CA$0.072 loss in FY 2020) Full year 2021 results: CA$0.11 loss per share (down from CA$0.072 loss in FY 2020). Revenue: CA$62.3m (up 20% from FY 2020). Net loss: CA$11.2m (loss widened 74% from FY 2020). Over the next year, revenue is forecast to grow 24%, compared to a 136% growth forecast for the pharmaceuticals industry in Canada. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 28 percentage points per year, which is a significant difference in performance. Announcement • Apr 01
Delta 9 Cannabis Inc. announced that it has received CAD 9.6 million in funding from Sundial Growers Inc. Delta 9 Cannabis Inc. announced that it has entered into a security purchase agreement for the issuance of senior secured second-lien convertible debentures for subscription price of CAD 9,600,000 on March 31, 2022. The transaction included participation from Sundial Growers Inc. The debenture is convertible into common shares at a conversion price of $0.35 per common share, if the company completes an offering of equity securities in the six months from the closing of the offering at an issuance price that is equal to or less than $0.29 per common share, the conversion price will be adjusted downward to a share price that is equal to a 20.0% premium to the issuance price of such offering of equity securities provided that, until shareholder approval is obtained by the company, such price is not less than the 5-day volume weighted average trading price of the common shares as of the date of the conversion of the holder floor price. The notes issued at original discount of 4% $10,000,000 in principal amount. The debentures will bear interest rate of 10% per annum, payable monthly. The debentures will mature on March 30, 2025. Announcement • Jan 13
Delta 9 Cannabis Inc. Provides Preliminary Unaudited Earnings Guidance for the Fourth Quarter and Year Ending December 31, 2021 Delta 9 Cannabis Inc. provided preliminary unaudited earnings guidance for the fourth quarter and year ending December 31, 2021. For the quarter, the company expects net revenues to be between $16.6 million and $17.4 million. For the year, the company anticipates net revenues to be between $61.8 million and $62.6 million, compared to $52.1 million for the same period in the prior year. Board Change • Dec 05
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. Independent Director Hugh Aird was the last director to join the board, commencing their role in 2018. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 17
Third quarter 2021 earnings released: CA$0.01 loss per share (vs CA$0.07 loss in 3Q 2020) The company reported a solid third quarter result with reduced losses, improved revenues and improved control over expenses. Third quarter 2021 results: Revenue: CA$15.2m (up 16% from 3Q 2020). Net loss: CA$1.12m (loss narrowed 81% from 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 40% per year but the company’s share price has only fallen by 34% per year, which means it has not declined as severely as earnings. Recent Insider Transactions • Oct 29
Independent Director recently sold CA$126k worth of stock On the 21st of October, Joanne Duhoux-Defehr sold around 326k shares on-market at roughly CA$0.39 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of CA$154k more than they bought in the last 12 months. Price Target Changed • Aug 24
Price target increased to CA$1.13 Up from CA$1.04, the current price target is provided by 1 analyst. New target price is 176% above last closing price of CA$0.41. Stock is down 27% over the past year. Reported Earnings • Aug 18
Second quarter 2021 earnings released: CA$0.014 loss per share (vs CA$0.01 loss in 2Q 2020) The company reported a soft second quarter result with increased losses and weaker control over costs, although revenues improved. Second quarter 2021 results: Revenue: CA$16.8m (up 29% from 2Q 2020). Net loss: CA$1.39m (loss widened 64% from 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has fallen by 33% per year, which means it is performing significantly worse than earnings. Announcement • Aug 12
Delta 9 Cannabis Inc. Announces Health Canada Approval for Perimeter Expansion and Vault Area Delta 9 Cannabis Inc. announced that on August 6, 2021, the company received approval from Health Canada for two expansion approvals for its Winnipeg based cultivation, processing, and distribution facilities. The Expansion Approval allows for; (i) an expansion of the Company’s licensed perimeter at its Winnipeg based facilities, expanding the area currently under license from approximately 80,000 square feet to approximately 95,000 square feet, and (ii) the licensing of a new 7,500 square foot purpose-built storage and distribution area. The expanded licensed perimeter will allow the Company to improve control systems within its licensed perimeter, improve the operational flow of its operations, and to position the Company to better plan for future expansions of the Company’s licensed cannabis operations areas. The new purpose-built storage and distribution area will allow the Company to improve its product packaging, case-packing, and distribution efficiency to better allow it to cater to its provincial distribution markets across Canada. The Company anticipates that the new storage area will improve its value proposition in various provincial markets across the country. Price Target Changed • Aug 11
Price target decreased to CA$1.04 Down from CA$1.15, the current price target is provided by 1 analyst. New target price is 145% above last closing price of CA$0.42. Stock is down 35% over the past year. Recent Insider Transactions Derivative • Jul 07
Co-Founder exercised options to buy CA$63k worth of stock. On the 5th of July, John Arbuthnot exercised options to buy 143k shares at a strike price of around CA$0.49, costing a total of CA$71k. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. Since September 2020, John's direct individual holding has decreased from 16.99m shares to 16.81m. Company insiders have collectively bought CA$106k more than they sold, via options and on-market transactions, in the last 12 months. Recent Insider Transactions • Jun 27
Co-Founder recently bought CA$53k worth of stock On the 23rd of June, John Arbuthnot bought around 118k shares on-market at roughly CA$0.45 per share. In the last 3 months, they made an even bigger purchase worth CA$75k. Despite this recent buy, John has been a net seller over the last 12 months, reducing personal holdings by CA$125k. Recent Insider Transactions • Jun 26
Co-Founder recently bought CA$53k worth of stock On the 23rd of June, John Arbuthnot bought around 118k shares on-market at roughly CA$0.45 per share. In the last 3 months, they made an even bigger purchase worth CA$75k. Despite this recent buy, John has been a net seller over the last 12 months, reducing personal holdings by CA$125k. Announcement • Jun 24
Delta 9 Cannabis Inc. Provides Revenue Guidance for the Three-Month and Six-Month Period Ending June 30, 2021 Delta 9 Cannabis Inc. provided revenue guidance for the three-month and six-month period ending June 30, 2021. For the three months, the company anticipates revenue to be between $15.5 million and $17.25 million.
For the six months, the company anticipates revenue to be between $28.75 million and $30.5 million. Recent Insider Transactions • May 29
Co-Founder recently sold CA$138k worth of stock On the 26th of May, John Arbuthnot sold around 270k shares on-market at roughly CA$0.51 per share. This was the largest sale by an insider in the last 3 months. John has been a seller over the last 12 months, reducing personal holdings by CA$178k. Major Estimate Revision • May 25
Consensus revenue estimates fall to CA$66.3m The consensus outlook for revenues in 2021 has deteriorated. 2021 revenue forecast decreased from CA$74.5m to CA$66.3m. Forecast losses increased from -CA$0.01 to -CA$0.06 per share. Pharmaceuticals industry in Canada expected to see average net income growth of 120% next year. Consensus price target down from CA$1.15 to CA$1.12. Share price was steady at CA$0.51 over the past week. Recent Insider Transactions • May 22
Co-Founder recently sold CA$115k worth of stock On the 18th of May, John Arbuthnot sold around 230k shares on-market at roughly CA$0.50 per share. This was the largest sale by an insider in the last 3 months. John has been a seller over the last 12 months, reducing personal holdings by CA$310k. Reported Earnings • May 19
First quarter 2021 earnings released: EPS CA$0.04 (vs CA$0.023 in 1Q 2020) The company reported a soft first quarter result with weaker earnings and weaker control over costs, although revenues improved. First quarter 2021 results: Revenue: CA$13.2m (up 13% from 1Q 2020). Net loss: CA$4.29m (down 309% from profit in 1Q 2020). Over the last 3 years on average, earnings per share has increased by 52% per year but the company’s share price has fallen by 30% per year, which means it is significantly lagging earnings. Announcement • May 07
Delta 9 Cannabis Inc. Provides Revenue Guidance for the First Quarter Ending March 31, 2021 Delta 9 Cannabis Inc. provided revenue guidance for the first quarter ending March 31, 2021. For the quarter, the company anticipates revenue to be between $12.90 million and $13.25 million. Reported Earnings • Apr 03
Full year 2020 earnings released: CA$0.07 loss per share (vs CA$0.16 profit in FY 2019) The company reported a mediocre full year result with weaker earnings and weaker control over costs, although revenues improved. Full year 2020 results: Revenue: CA$52.0m (up 64% from FY 2019). Net loss: CA$6.42m (down 147% from profit in FY 2019). Over the last 3 years on average, earnings per share has increased by 58% per year but the company’s share price has fallen by 30% per year, which means it is significantly lagging earnings. Announcement • Mar 03
Delta 9 Cannabis Inc. Provides Update on Strategic Cooperation Agreement with F1NE Cannabis Cultivation LTD Delta 9 Cannabis Inc. announced that it has completed its final services milestone under an agreement with Ontario based Micro Cultivation partner, F1NE Cannabis Cultivation LTD. (F1). As one of Delta 9’s Micro Cultivation partners, F1 entered into a Strategic Cooperation Agreement (“SCA”) with the company whereby Delta 9 provides services relating to the cannabis production, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, marketing services to develop the F1 brand and other services supporting the acquisition of the Health Canada license. On February 19, 2021, F1 confirmed it had reached its final milestone under the SCA and has been granted its cannabis micro cultivation licenses from Health Canada (the “Health Canada License”). The Company's cannabis production methodology is based around a modular, scalable, and stackable production unit called a "Grow Pod", which are based on retrofitted 40-foot shipping containers. The turn key smart growing platforms are developed using precision hardware and software grow applications for the indoor cannabis cultivation marketplace. Delta 9 offers vertical growing units, integrated grow racks, and LED grow lights; and non-proprietary products designed, engineered, and manufactured by third parties, such as air cleaning systems and automated fertigation and watering systems. F1’s facility has been designed using this turn key and Grow Pod system. Once cultivation is harvested, Delta 9 plans to purchase the premium quality cannabis products from F1 for distribution through the Company's established distribution network, and through Delta 9's branded retail stores. Delta 9 has now successfully licensed over 100 Grow Pods in third party facilities across Canada. Announcement • Feb 27
Delta 9 Cannabis Inc. Launches Province Wide Delivery in Saskatchewan and Reserve Online in Alberta DELTA 9 CANNABIS INC. announced that it has introduced new services to meet consumer demand for online ordering in all retail markets it serves. Delta 9 already has a robust online service in the Manitoba market and it has now launched a province wide delivery service in Saskatchewan and same-day home delivery service program to the Lloydminster, Saskatchewan marketplace. Delta 9 has also launched an online order service allowing customers to reserve products from Delta 9 stores in Calgary and Grande Prairie and have them ready for pick up within one hour. The Company to provide the next phase of convenience for customers and further enhance safety during the COVID -19 pandemic by minimizing contact time between customers and staff in its Alberta retail stores. With the click of a mouse, customers can browse through a complete inventory of cannabis products and reserve any products for pick up in the Delta 9 stores in Calgary and Grande Prairie and have it ready in one hour. The Company is also pleased to provide mail order delivery throughout the province of Saskatchewan as well as same day delivery in Lloydminster. Delta 9's online platform features allow an order to be ready in one hour or less along with same day local delivery services for the residents of Lloydminster, Saskatchewan. Customers will receive direct email order updates from their chosen store and can visit the Delta 9 website. Announcement • Feb 11
Delta 9 Cannabis Inc. to Report Q4, 2020 Results on Mar 30, 2021 Delta 9 Cannabis Inc. announced that they will report Q4, 2020 results Pre-Market on Mar 30, 2021 Announcement • Feb 05
Delta 9 Achieves Milestone in Agreement with Micro Cultivation Partner DELTA 9 CANNABIS INC announce that it has completed its final services milestone under an agreement with Alberta based Micro Cultivation partner, Dry Island LTD. (“Dry Island”). Dry Island is an arm’s length third party in which the Company has no ownership control or interest. On January 29, 2021, Dry Island confirmed it had reached its final milestone under the Strategic Cooperation Agreement (“SCA”) and has been granted its cannabis micro cultivation licenses from Health Canada (the “Health Canada License”). As one of Delta 9’s Micro Cultivation partners, Dry Island entered into a Strategic Cooperation Agreement with the company whereby Delta 9 provides services relating to the cannabis production, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, marketing services to develop the Dry Island brand and other services supporting the acquisition of the Health Canada license.Dry Island has developed a micro cultivation facility on an 1/2-acre parcel of land, in Stettler, Alberta, that is half way between Calgary and Edmonton. This new facility houses a micro cultivation license, including twelve new grow pod systems, and a proprietary craft growing approach developed by Delta 9. Dry Island’s initial plan is to focus on growing two strains of 20+ THC before it expands its product offering. Dry Island owns two additional half acre adjacent lots to the property which are slated for future expansion. The well-rounded Dry Island team has a strong entrepreneurial background, with experience in construction and agriculture. The Dry Island team is committed and passionate about growing premium craft cannabis and looks forward to building a leading craft cannabis company in Alberta. Is New 90 Day High Low • Jan 28
New 90-day low: CA$0.49 The company is down 14% from its price of CA$0.57 on 29 October 2020. The Canadian market is up 18% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is up 79% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$3.34 per share. Recent Insider Transactions • Jan 22
Independent Director recently sold CA$75k worth of stock On the 13th of January, Hugh Aird sold around 150k shares on-market at roughly CA$0.50 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of CA$679k more than they bought in the last 12 months. Recent Insider Transactions • Jan 17
Independent Director recently sold CA$75k worth of stock On the 13th of January, Hugh Aird sold around 150k shares on-market at roughly CA$0.50 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of CA$679k more than they bought in the last 12 months. Recent Insider Transactions • Dec 25
Co-Founder recently bought CA$98k worth of stock On the 21st of December, John Arbuthnot bought around 176k shares on-market at roughly CA$0.55 per share. This was the largest purchase by an insider in the last 3 months. Despite this recent buy, John has been a net seller over the last 12 months, reducing personal holdings by CA$303k. Announcement • Dec 24
Delta 9 Achieves Milestone in Agreement with Micro Cultivation Partner Delta 9 Cannabis Inc. announced that it has completed its final services milestone under an agreement with Manitoba based Micro Cultivation partner, Alicanto Gardens Ltd. (“Alicanto”). Alicanto is an arm’s length third party in which the company has no ownership control or interest. On December 18, 2020, Alicanto confirmed it had reached its final milestone under the SCA and has been granted its cannabis micro cultivation licenses from Health Canada (the “Health Canada License”). As one of Delta 9’s Micro Cultivation partners, Alicanto entered into a Strategic Cooperation Agreement (“SCA”) with the company whereby Delta 9 provides services relating to the cannabis production, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, marketing services to develop the Alicanto brand and other services supporting the acquisition of the Health Canada license. The Company's cannabis production methodology is based around a modular, scalable, and stackable production unit called a "Grow Pod", which are based on retrofitted 40-foot shipping containers. Alicanto’s production facility has been designed and built using this turnkey and state of the art Grow Pod system. Once cultivation begins, Delta 9 plans to purchase premium quality cannabis products from Alicanto for distribution through the Company's established distribution network, and through Delta 9's branded retail stores. Delta 9 has now successfully licensed over 100 Grow Pods in third party facilities across Canada. Alicanto has developed a state-of-the-art micro cultivation facility on an 80-acre parcel of land, about ten minutes from Morris and an hour south of Winnipeg. This new facility houses a micro cultivation license, including twelve new grow pod systems, and a proprietary craft growing approach developed by Delta 9. Alicanto’s initial plan is to focus on growing a single strain of high THC before it expands its product offering. The well-rounded Alicanto team has a strong entrepreneurial background, with extensive experience in building a $50 million distribution business from the ground up over the last decade. The Alicanto team is committed and passionate about growing premium craft cannabis and looks forward to building a leading craft cannabis company in Manitoba. Is New 90 Day High Low • Dec 24
New 90-day low: CA$0.52 The company is down 7.0% from its price of CA$0.56 on 24 September 2020. The Canadian market is up 12% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is up 67% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$3.51 per share. Announcement • Dec 23
Delta 9 Cannabis Inc. has completed a Composite Units Offering in the amount of CAD 5.000001 million. Delta 9 Cannabis Inc. has completed a Composite Units Offering in the amount of CAD 5.000001 million.
Security Name: Units
Security Type: Equity/Derivative Unit
Securities Offered: 9,090,910
Price\Range: CAD 0.55
Discount Per Security: CAD 0.0385 Announcement • Dec 16
Delta 9 Partners with Emterra Environmental to Create Sustainable Recycling and Landfill Diversion Program for Canadian Cannabis Industry DELTA 9 CANNABIS INC. has partnered with Emterra Environmental, and a number of leading Canadian cannabis producers, to create a sustainable recycling program for cannabis packaging and disposable vape pens and a landfill diversion program for vape cartridges, that will help the Canadian cannabis industry transition to a circular economy. The new program will have two components. The first provides customers with a convenient option for the recycling of cannabis packaging similar to the well-known Blue Box Program. The second focuses on landfill diversion and uses the best technology currently available for the recycling of disposable vape cartridges and vape pens. The program will accept cannabis packaging, disposable vape pens and vape cartridges from every Licensed Producer, regardless of brand. Announcement • Dec 12
Delta 9 Cannabis Inc. Completes Final Services Milestone Under an Agreement with Prairie Craft Canopy Delta 9 Cannabis Inc. announced that it has completed its final services milestone under an agreement with Prairie Craft Canopy. PCC is an arm's length third party in which the Company has no ownership control or interest. As one of Delta 9's Micro Cultivation partners, PCC entered into a Strategic Cooperation Agreement ("SCA") with the company whereby Delta 9 provides services relating to the cannabis production, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, marketing services to develop the PCC brand and other services supporting the acquisition of the Health Canada license. On December 4, 2020, PCC confirmed it had reached its final milestone under the SCA and has been granted its cannabis micro cultivation licenses from Health Canada (the "Health Canada License"). PCC has developed a micro cultivation facility on a 10-acre parcel of land. The facility is in the RM of Edenwold No.158 just minutes from Regina, Saskatchewan. This new facility houses a micro cultivation license, including twelve new grow pod systems, and a proprietary craft growing approach developed by PCC. The facility includes some of the latest technology surrounding climate control and grow room automation. PCC plans to incorporate more innovative sustainability in future phases of expansion. PCC expects this facility to be the first step in a more significant growth strategy, as it makes plans for a second micro cultivation license and that will include another twelve-grow pod production capability in the near term. The well-rounded PCC Team has a strong entrepreneurial background, with an executive team that has many years experience in growing start-up companies. The PCC Team is committed and passionate about growing premium craft cannabis and looks forward to building a craft cannabis company in Saskatchewan. PCC expects to be in production by January, 2021 with plans to grow a unique strain of premium craft cannabis that consumers are looking for. Announcement • Nov 26
Delta 9 Cannabis Inc. Develops Proprietary Decontamination Technology to Help Fight COVID-19 Pandemic Delta 9 Cannabis Inc. announced that it has developed and validated new proprietary decontamination equipment, branded the “Decontamination Pod” (or “D-Pod”), which can be used to decontaminate medical supplies, personal protective equipment (“PPE”), and other equipment. Canadian and US patent applications have been filed on behalf of the Company for the D-Pod, which is a standard shipping container retrofitted to include heating and ultraviolet light technologies. When PPE or other materials are placed inside the treatment area of the D-Pod, the combination of heat and UVC is sufficient to kill the COVID-19 virus. The Company, through a newly incorporated and partially owned subsidiary, Blue Horseshoe Manufacturing Inc., plans to manufacture and distribute the new technology across North America, providing a new tool for governments, health care facilities, long-term care facilities, businesses, and First Nations in their fight against COVID-19. The Company will leverage the success of its cannabis grow pod division which has produced and installed over 500 pods for in-house and third-party facilities since 2017 and use its existing cannabis grow pod manufacturing facilities in Winnipeg to manufacture the first D-Pods. Management believes that the Company will quickly be able to ramp up production capacity to 16 to 20 D-Pods per month, while working with other Canadian manufacturers to compliment its internal capacity. The D-Pods are expected to sell for approximately $250,000 per unit. The Company has already received inquiries from groups interested in deploying the technology and expects to begin taking orders in the coming week. The technology used in the D-Pods was originally developed in partnership between Delta 9, RSR Project Management Ltd., Northern Green Homes Inc., and Connco Electric and the finished D-Pod was tested and validated by an independent and accredited third party lab, BioScision Pharma Inc., which confirmed that the technology should be effective in decontaminating materials which may be contaminated with the COVID-19 virus. The D-Pod is the first innovation of Delta 9’s grow pod business unit which can be used as a tool in the fight against COVID-19. The Company is now developing additional technologies which can decontaminate equipment at low temperatures and modular storage and transport units which can be used to store and distribute vaccines while maintaining quality and stability. Announcement • Nov 25
Delta 9 Launches Click & Collect and Same Day Delivery Service in Thompson & Brandon, Manitoba DELTA 9 CANNABIS INC. announced that it has expanded its click-and-collect and same-day home delivery service program to the Thompson and Brandon, Manitoba markets. As a result, Delta 9 becomes the only retail store chain offering the above services in Winnipeg, Brandon, and Thompson, Manitoba. The Company is pleased to provide the next phase of convenience for customers and further enhance safety during the COVID-19 pandemic by minimizing contact time between customers and staff. With the click of a mouse, customers can browse and sort through a complete inventory of cannabis products by store and reserve any products from whichever retail location that is most convenient. Delta 9’s online platform features allow an order to be ready in two hours or less along with delivery services for all Manitobans. Customers will receive direct email and text order updates from their chosen store and can visit the Delta 9 website to seamlessly place an order. Customer service operators are available by phone or online chat. Announcement • Nov 20
Delta 9 Cannabis Inc. Completes Final Services Milestone Under an Agreement with Ahahswinis Green Investments Ltd Delta 9 Cannabis Inc. announced that it has completed its final services milestone under an agreement with Ahahswinis Green Investments Ltd. ('Ahahswinis') which is 100% owned by Hupacasath First Nation. Ahahswinis is an arms length third party in which Delta 9 has no ownership control or interest. As one of Delta 9’s micro cultivation partners, Ahahswinis entered into a Strategic Cooperation Agreement (“SCA”) with the company whereby Delta 9 provides services relating to the cannabis production facility design and construction, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing, and other services supporting the acquisition of the Health Canada license. On November 13, 2020, Ahahswinis confirmed it has reached its final milestone under the SCA and has been granted a cannabis micro cultivation license from Health Canada (the “Health Canada License”). The Company's cannabis production methodology is based around a modular, scalable, and stackable production unit called a "Grow Pod", which are retrofitted standard 40-foot shipping containers. Ahahswinis’s facility has been designed and built using this turn key and Grow Pod system. Once cultivation begins, Delta 9 plans to purchase premium quality cannabis products from Ahahswinis for distribution through the Company's established distribution network, and through Delta 9's branded retail stores. The Hupacasath First Nation has owned and occupied their traditional territory in Central Vancouver Island for thousands of years. Their goal is to enhance the quality of life for their people by providing jobs and economic development opportunities so families can support themselves. They have invested $1.9 million in the 4,560 square foot micro cultivation operation with 12 Delta 9 Grow Pods, located outside of Port Alberni Vancouver Island, British Columbia. Reported Earnings • Nov 13
Third quarter 2020 earnings released: CA$0.07 loss per share The company reported a mediocre third quarter result with increased losses and weaker control over expenses, although revenues were improved. Third quarter 2020 results: Revenue: CA$13.1m (up 97% from 3Q 2019). Net loss: CA$5.85m (loss widened 307% from 3Q 2019). Over the last 3 years on average, earnings per share has increased by 72% per year but the company’s share price has fallen by 45% per year, which means it is significantly lagging earnings. Announcement • Oct 30
Delta 9 Cannabis Inc. to Report Q3, 2020 Results on Nov 12, 2020 Delta 9 Cannabis Inc. announced that they will report Q3, 2020 results at 9:00 AM, Eastern Standard Time on Nov 12, 2020 Announcement • Oct 27
Delta 9 Cannabis Inc. Enters into Strategic Cooperation Agreement with Paradise Cannabis Ltd Delta 9 Cannabis Inc. announced that it has completed its final services milestone under an agreement with Saskatchewan based Micro Cultivation partner, Paradise Cannabis LTD. Paradise is an arm’s length third party in which the Company has no ownership control or interest. As one of Delta 9’s Micro Cultivation partners, Paradise entered into a Strategic Cooperation Agreement with the company whereby Delta 9 provides services relating to the cannabis production facility design, development of standard operating procedures and sanitation programs, consulting on Health Canada licensing and other services supporting the acquisition of the Health Canada license.