Weekend Unlimited Inc (CSE:YOLO) CEO Paul Chu said Friday in a letter to shareholders that the company is poised to benefit from passage of the US farm bill and other legal changes clearing the way for growth in cannabis products.
The Vancouver-based company added that the signing of the farm bill earlier this month by President Donald Trump is expected to lead to the US reclassification of cannabis from a Schedule 1 substance, meaning it has no currently accepted medical use and a significant potential for abuse, to the more lenient Schedule 2.
READ: Weekend Unlimited will be steered by new CEO Paul Chu to grow acquired brands in Canada, Jamaica and the US
Adult recreational use of marijuana is legal in 10 US states and Canada, while medical marijuana is legal in 33 US states. The US farm bill signed by Trump legalized industrial hemp. Thailand, meanwhile, is about to become the first Southeast Asia country to allow medical marijuana.
“Weekend Unlimited is ideally positioned to benefit from the rapidly changing market environments in North America and globally,” Chu said in the letter to shareholders.
Chu added that the company will focus in 2019 on its tetrahydrocannabinol (THC) and cannabidiol (CBD) products. THC is the principal psychoactive constituent of cannabis while CBD is the nonpsychoactive component.
The Schedule 2 category of drugs in the US includes drugs recognized for having medical use yet a significant potential for abuse. Drugs in that category include cocaine and oxycodone
Weekend Unlimited has acquired or announced the intent to acquire brands in Jamaica, California, Washington State, Alberta and British Columbia.
"The company has established strong footholds in and around North America, with a significant existing product portfolio – and an even stronger one in development that harnesses the reach of our existing brands from beverages to candy to flower and beyond,” said Chu, who was tapped to lead the company earlier this month.
Weekend Unlimited is in the final stages of completing the acquisition of R&D Pharma – Tropicann Jamaica. It's in the advanced stages of its Access to Cannabis for Medical Purposes Regulations application for Northern Lights Organics.
Shares of Weekend Unlimited were at C$0.09 in Friday’s Canadian trading.
Contact Dennis Fitzgerald at [email protected]