AusCann Group Holdings Ltd Shares Continue To Surge After Australian Govt Allows Cannabis Export

AusCann Group Holdings Ltd Shares

On January 3rd, Australia’s federal government finalized a decision to allow manufactured cannabinoid medicines to be exported from Australia. This decision has positively affected Auscann Group Holdings Ltd (OTC:ACNNF) shares, as they are up 22.41% at the time of reporting, selling at $1.53 a share.

The day after the announcement was made, AusCann’s stock rose 37% that day, at $1.13 a share. This announcement was a big win for Australia’s cannabis industry, as the cannabis industry has been blowing up in North America.

Managing director of ACNNF, Elaine Darby, says, “This is a win for the Australian cannabis industry and Australian patients as it allows us to produce cost effective products at scale.”

The company is perfectly positioned to create high-value export products and will remain focused on Australian patients as the top priority. The company has developed and just recently began implementing a medical outreach program that aims at educating doctors and healthcare practitioners on cannabinoid medicines. AusCann Group is the only company in Australia that has the full set of necessary licenses to grow and manufacture cannabinoid medicines in Australia.

As cannabis became legalized in California the first day of 2018, the North American cannabis stock market skyrocketed. This week, however, it has been struggling and it seems Australia’s market has benefitted. Canadian cannabis stocks have also suffered, which might be in direct correlation to the struggling U.S cannabis stock market. It remains unclear as to why both countries have suffered this week, as demand has increased as there have been major movements into widespread recreational adoption.

At the end of last week, the U.S Attorney General stated in a press release that he was planning on cracking down on legal marijuana sales. The Cole memo, a directive towards federal prosecutors urging them not to prosecute state-sanctioned cannabis production and distributing, is what was revoked. It remains unclear when the North American cannabis industry will rebound but Auscann’s stock is currently reigning supreme.

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