MJNA stock is taking a hit in Tuesday's session despite Medical Marijuana Inc's (OTCPK:MJNA) subsidiary announcing its first-ever authorization in Bulgaria to sell hemp-derived CBD products.
CBD Products in Bulgaria
In a fresh development, Medical Marijuana's subsidiary Kannaway received authorization from the concerned officialdom in Bulgaria to sell CBD products extracted from hemp. It is a significant development since it will allow Kannaway’s products to not only be sold from a range of certified markets in Bulgaria but also make it suitable for exports in certain markets.
The subsidiary’s Chief Executive Officer stated that there is hope that Kannaway will emerge as one of the pioneers in hemp-based CBD products in not only Bulgaria but throughout Europe.
However, MJNA stock is down over 8% and now selling at $0.064 on the OTC market.
About Medical Marijuana
Although the name of the company is Medical Marijuana Inc, it needs to be pointed out that the company does not actually deal in marijuana products but instead is one of the oldest names in hemp-based products. The company grows and sells hemp products and holds the distinction of having been the first cannabis company to trade publicly in the US.
Medical Marijuana was listed in 2009 and has been trading ever since. Medical Marijuana Inc has a wide variety of hemp-based products on offer, which range from diet supplements and prescription medicines to CBD products and skin care products. In addition to that, it has also gained a foothold in the hemp product market for pets and sells these products through its subsidiary Phyto Animal Health.
MJNA Stock: Financials Review
In 2018, Medical Marijuana recorded revenues to the tune of $50 million, and it was primarily driven by sales generated by Medical Marijuana's Real Scientific Hemp Oil (RSHO) products. However, the company’s holy grail remains the legalization of hemp and hemp-based products in the US, and once that happens, then it can hope to grow at a much quicker rate.
Although Medical Marijuana Inc is based in the US, it has made forays into international markets and owns subsidiaries in Europe, Mexico, and Brazil. In Brazil, the company’s subsidiary introduced the very first cannabis product back in 2014.
The company has also made a series of strategic investments in a range of companies that could prove to be significant in the future. It holds a 50% stake in cannabis-based gum manufacturer CanChew Biotechnologies, while it also has a 33% stake in KannaLife Sciences. The latter is engaged in producing cannabis-based drugs for neurological problems.
MJNA stock has tumbled over 20% so far in 2019.
What do you think about MJNA stock after today's news?