The uses of cannabis, hemp, and other CBD products have continued to grow. in sum, the versatility of the drug continues to grow as the solutions which it continues to create far outweigh those provided by some of the current drugs in the market. Furthermore, its acceptance by different countries – Canada’s federal legalization of recreational cannabis and the signing into law of The Hemp Farm Bill in the United States – now presents an opportunity for different people in the private sector to capitalize on and grow their revenue base, therefore their share prices.Presently, there is research being undertaken into the use of cannabis for the development of animal products. This will open up the cannabis market to the multibillion-dollar market that is pet products. Consequently, the process may also develop solutions for different ailments which previously hadn’t been created, therefore ensuring that a new and untapped market segment is further created.At the forefront of this venture is Green Cures & Botanical Distribution, Inc (OTCMKTS:GRCU).The firm is currently creating a new division as well as putting considerable resources into the research of cannabis and its potential use in the creation of solutions within the pet market. This is just one step into the broader strategic mandate that entails GRCU growing their product line. In general, there are a number of products which the firm has continued to add to their portfolio and this is in addition to acquisitions which they have continued to make in the recent past.This has led to an uptick in the share price over the last few days. During this period, the price has risen from $.0045 to its current price of $.0059. This 31% increment has been accompanied by an over 40 million share turnover, significant momentum building in the stock. The above is seen in the chart below: GRCU Daily ChartWhile the price increment remains small, it appears that the last announcements by the firm have had some impact on their performance. As a result, we have opted to take a look at the current announcements and establish its implications on the performance of GRCU both in the short and long-term.
Background of GRCU
Green Cures & Botanical Distribution, Inc is a California-based company which operates within the medical marijuana and botanical industry. The firm’s primary focus is in the production, management, and distribution of cannabis-derived products which comprise different minerals, supplements, and specialty products. Furthermore, the firm’s online hub supplies the public with information and education regarding cannabis-derived products and the benefits which accrue from them.Presently, given the need to grow the revenues, the firm is working towards growing its product line. Therefore, their venture into different products has come to ensure the above is successfully achieved.
The Hollywood Hemp Brand and The Pet Market
GRCU has been quite active in the recent past.The most recent announcement made by the firm speaks to the firm getting into an agreement with an FDA-approved and GMP compliant manufacturer. Under the terms of the agreement, the manufacturer will provide a full array of premium CBD-infused products such as capsules, body lotions, and tinctures.These products are targeted towards the Health, Wellness, Mixed Martial Arts and Pets & Animals sectors.The agreement allows them to venture into the entire value chain as pertains these products all the way from the CBD extraction, the manufacture, bottling and eventual distribution of the products (there are other steps contained herein which have been left out). GRCU also has the rights to scale these services (should they choose to) as their Hollywood Hemp brand grows.Through this, the firm will also be adding the Hollywood Hemp CBD capsule line to its portfolio. The product (which is a 100% organic hemp product) will be administered through Tinctures. The latter present the best way to administer the herbal medicine and, upon its addition to the product line, is expected to significantly impact the firm’s revenue base.This agreement is also a step towards the venture into the Pet & Animals market. Currently, pet owners spend about $29 billion per annum on supplements. This, therefore, makes this greenfield venture which GRCU has ventured into one which may have considerable growth prospects for the firm and consequently lead to stability of its revenue and profit base.As with any market, due to the nature of these products as the value proposition from the firm, GRCU has continued to receive interest from different parties across the country for distribution and retail of their products. According to management, this positive feedback speaks to the expected success of the firm’s product line and should thus postulate their expected success to the market.
Growing Through Acquisitions
The most recent news entails an agreement which GRCU has entered to acquire 100% of the domain name ReliefProducts.com in addition to forming Relief Products Inc as its wholly owned subsidiary. The platform is part of the firm’s strategy to build its online reach and scale its distribution network. It is thus meant to showcase the different products meant for health and wellness as well as relief.In order to ensure that the platform fits into their strategy, it will need to generate revenues for the firm. Therefore, in addition to handling the billing process, but also provide fees for each service provider used in the process.In its development, GRCU was conversant with the opioid crisis and is using this as a means to ensure that they effectively and efficiently provide a different solution to patients currently suffering from pain due to different illnesses.GRCU is currently aggressively marketing the platform to their patients as well as working with different mass media marketing platforms. The success of this marketing campaign, according to them, will not only be good for their revenues but also for the firm to help alleviate the looming crisis: the opioid crisis.
Conclusion
GRCU’s venture into the pet & animal market presents them with access to a new and different market base which has previously been untapped. Its success could, therefore, have amazing results for the firm and consequently lead to major growth. Overall, there's a lot to like with GRCU.We will be updating our subscribers as soon as we know more. For the latest updates on GRCU, sign up below!Disclosure: We have no position in GRCU and have not been compensated for this article.
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