The extraction specialist currently trades under the ticker LABS on the TSXV and it plans to keep that ticker once it graduates.
LABS opened at $2.29 when it commenced trading on Oct. 4, 2018, and its price was $1.74 by the end of the year. It has been among the best performing pot stocks in 2019, increasing to $7.39 in May.
It dipped to $4.22 at the start of this week, but it has increased steadily to $4.66 at the close of trading yesterday, and the market is likely to be buoyed by the news of its conditional graduation to the TSX.
Chief executive Patrick McCutcheon said he was “thrilled” and called it “an important step” for the business.
“We have achieved significant growth and strong performance since we first began trading last October to become a top revenue-generating cannabis company in Canada,” he said.
He expects the uplisting to allow MediPharm to expand its investor base and improve the liquidity of its shares.
MediPharm is in the process of expanding the throughput of its extraction facility in Ontario to 500,000 kg per year. It can turn cannabis flower into a wide range of consumer products, and it should have a strong opportunity to grow its business when the Canadian market opens up for edibles, beverages, topicals, and other extracts later this year.
It has tied up deals with major Canadian producers like Canopy Growth and Cronos Group, and it is bolstering its presence in the budding Australian market through a partnership with AusCann.
MediPharm has just increased its weekly production rate and its sales team is busy trying to secure deals that will allow it to operate at full capacity, turn a profit, and deliver long-term value for its shareholders.
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