The legalization of cannabis in the US and Canada means the potential for enormous sales growth. Cannabis Business Plan- a cannabis research firm, predicts that the cannabis industry will grow 28% in the next three years, achieving $25 billion in annual revenues by 2025. The research firm expects states like Arizona and Florida to legalize all sorts of cannabis in the next five years, which will substantially increase the size of the industry.
The report further forecast that factors such as consumer education and general societal acceptance of cannabis-based products will add to the sales momentum.
The firm has also highlighted few companies that are likely to take advantage of booming market dynamics:
CLS Holdings USA, Inc. (OTC:CLSH) is among those companies that are actively working on growth strategies to expand their market share.
It is engaged in the extracting of cannabinoids from cannabis plants and transferring the resulting cannabinoid extracts into concentrates including waxes, oils, shatters and edibles. The company has recently announced its acquisition of Oasis Cannabis – which will allow CLS to expand its penetration in the Las Vegas markets.
Pot Network Holding (OTCPK:POTN) is also among the companies expanding their sales at the robust pace. This cannabis company has reported year over year sales growth of 152% in March.
Its CEO stated, “We believe that we are standing on the threshold of a revolution in this marketplace. We have pursued industry leadership and robust market penetration. Now that we have established a solid foundation, we are ready to step into a stronger and more advantageous financial arena.”
Cannabis Business Plan report also gives importance to the expansion strategies of Canopy Growth Corporation (NYSE:CGC). Its shares started trading on NYSE today. The listing of shares of the world’s best exchange highlights the level of execution and increasing market capitalization.
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