Investors have already made millions on medical marijuana companies in the first green rush.
But the next big green goldmine starts summer 2018, and it will be EVEN BIGGER!
In fact, it could be up to 6 times bigger, according to a recent Cannacord|Genuity report1
In its report the firm revealed the expected size of the medicinal marijuana market to reach 500,000 and the recreational marijuana market to reach 3.8 million by 2021.
That goldmine is legal recreation in Canada, coming Summer 2018.
Investors and companies that made huge gains on the first green rush were all focused on medical marijuana.
That makes sense as this market has been around for a very long time.
Canada passed the Medical Marijuana Access Regulations (MMAR) in 2001 which made medicinal use marijuana legal.
And it was very good for medical marijuana companies.
Companies like Canopy Growth (TSX:WEED | OTC: TWMJF), and Aphria (TSX:APH) have seen gains of over 400% and 200% starting in the medical cannabis field, and the statistics show those gains could be dwarfed by the recreational market.
In this stage Canopy Growth (TSX:WEED | OTC: TWMJF) went from tiny penny stock with a price of $1.80 to marijuana powerhouse at $36.25 a share.
That’s a gain of 2,030%...
Another hyper-growth marijuana company, ABcann (CSE: ABCN | OTC: ABCCF), went from a tiny $.75 cent penny stock when the Seed Investor told readers about it to $3.29 in less than eight months.
Those gains could be equaled or dwarfed by the recreational market that could be 6 times bigger!
The big Medical Cannabis companies have to transition to the recreational market, and are scrambling to catch up.
Companies like Aphria (TSX: APH | OTC: APHQF) are buying into small recreational brands like Broken Coast and Doja to bolster their recreational portfolio before rec hits.
Canada has a population of 35 million people and it alone has the market potential of a major global economy like California, the largest cannabis market in the world.
Those factors have made Canada the premier place for marijuana investors and have led to the most stable and predictable gains for marijuana investors.
- Federally Legal Medical
- Federally Legal Recreation Planned in 2018
- Millions of dollars investing in a safe marijuana market
That’s just months away and the major marijuana companies (and investors) are moving to take advantage of this watershed moment for legal marijuana later in 2018.
We’ve identified a small company that was built purely for recreational, but also has a head start on a “hidden reserve” in the new green goldmine.
The “Hidden Reserve” of the next green goldmine
Imagine if you lived during prohibition of the 1920’s, and you had the opportunity to invest in a liquor company or a liquor store before prohibition ended?
That kind of opportunity only comes around once in a lifetime.
And recreational legalization this summer is that once in a lifetime opportunity.
But the hidden reserve that we talked about?
How big of an opportunity is this?
Let’s put it this way, Time Money says that on average, in places where recreational marijuana is legal, weed dispensaries make more money per square foot than Whole Foods!!
In Washington alone last year, retail dispensaries saw $784 Million in retail sales!
That’s one state in the US, and we are talking about all of Canada, a market as big as California.
So you can see why companies are making MASSIVE BETS on retail dispensaries.
Companies are already prospecting this hidden reserve by investing huge amounts of money.
Aurora Cannabis Inc. (TSX: ACB | OTC: ACBFF) just announced a strategic investment of $103.5 Million in Liquor Stores N.A. LTD (TSX: LIQ), with an additional investment that could bring their interest to ~40%.
Think about that… one of the biggest medical marijuana companies invested $103.5 Million to try and tap into a retail system so they can try and convert liquor stores to weed stores.
And that’s not all.
Cannabis Wheaton Income Corp. (TSX.V: CBW) recently acquired ~18.5% of outstanding shares in Inner Spirit’s “Spirit Leaf”.
Spirit Leaf aims to be a market leader in franchising retail cannabis dispensaries and has executed over 95 franchise agreements for proposed retail locations.
Agan, one of the biggest Cannabis streaming companies just bought almost 19% of a company that doesn’t even have a single store yet just to prepare for rec.
So you can see that companies are trying to position for recreational retail, but those are big medical companies trying to catch up.
We’ve identified a small Canadian company that has been built from the ground up for the recreational market, that has nothing but potential to grow, and has been preparing for rec, instead of playing catch up.
That company is a tiny recreational brand set to make big waves:
Choom™ Holdings (OTCQB: CHOOF CSE: CHOO)
They have a great modern, cool recreational brand, they have acquired a second late stage ACMPR License, AND they just announced their Retail Strategy and store design.
So let’s recap:
Great recreational brand + 2 late stage ACMPR licenses so they can produce high-grade product + Full retail recreational strategy = WINNING FORMULA
As a pure play recreational brand, Choom™ Holdings (OTCQB: CHOOF CSE: CHOO) is perfectly positioned to capitalize in the retail dispensary market, and they hired the designers responsible for some of the most iconic retail store designs in Canada.
“We wanted to create a retail experience for Choom™ that measured up to stores in any industry. We wanted to be able to translate the brand into a welcoming physical and operational environment. Immersive store design will be critical to retail success in an industry destined for explosive growth” states, Juli Hodgson, President Hodgson Design Associates.
Choom’s retail franchise strategy just announced allows them to scale across Canada quickly by opening up their brand to individual franchise owners.
The power of great branding and the flexibility and scaling potential of the Franchise strategy should go a long way towards establishing Choom Retail as a frontrunner in the Marijuana Dispensary market, helping to dispel some of the stigma traditionally associated with cannabis use.
With a stunning lifestyle brand and cool, modern, stylish store designs, along with 2 late stage ACMPR licenses, we think Choom could be a big winner in the retail dispensary market.
Investors have a once in a lifetime opportunity to invest in the end of prohibition, and we think Choom™ Holdings (OTCQB: CHOOF CSE: CHOO) is a strong bet.
The Canadian Market So Far:
1. (Canaccord|Genuity Canadian Cannabis: Canadian Equity Research, November 28, 2016. Matt Bottomley & Neil Marouka)