MJNA & CANV Lab Producing World-Class Pharmaceutical Grade CBD

Lab

Cannabis Lab

Medical Marijuana, Inc (MJNA) and CannaVest Corp (CANV) have consistently been in the news as their products have been showcased across the nation. The new product lines Cibdex™ and Cibaderm™ have received much positive press, and since they are providing new revenue streams for the company, investors should be very satisfied to see this type of progress being made. Now add the newly released anti-aging product line, Cannabis Beauty DEFINED™ , which was introduced at the American Academy of Anti-Aging Medicine (A4M) conference, and what you have is an impressive lineup of mainstream offerings that are sure to catch the consumer’s eye. However, what’s really interesting is what ties these newer products and, of course, the company’s legacy products (CanChew™ CBD gum and Real Scientific Hemp Oil™) together–the high quality, award-winning natural hemp cannabidiol (CBD) that goes into each.

HempMedsPX, the contracted marketing company and exclusive master distributor for MJNA and CANV, recently represented the CannaVest product, CBD Simple, at the 2013 High Times Cannabis Cup Competition in Amsterdam. The prototype CBD product took top honors for Highest CBD Concentration at the annual event. This major milestone was preceded by winning another award for highest CBD content at both the 2013 Seattle High Times Cannabis Cup and the Michigan Medical Marijuana Conference “Green Cup”. With all these exiting things happening, I thought it was about time that I paid the company a visit to see first-hand what was fueling all these accomplishments. For the record, at the time of my trip, the Amsterdam High Times win and the Cannabis Beauty DEFINED™  product releases had not yet occurred.

I landed a little later than planned in San Diego after the plane was diverted to LA for gas. Once on the ground in “America’s finest city”, I grabbed my rental car and made my way to the company. Then…WOW!

I was really surprised to see all the “hustle and bustle” that was going on. I first met Chairman and Chief Operating Officer (COO) Michelle Sides, who was extremely gracious, and was then given the grand tour of the facilities. Everyone was very nice and knowledgeable about how they contributed to the operations of the company. What was most pleasing, from a work perspective, was how everyone collaborated and seemed to genuinely enjoy working together. There were still some minor renovations going on to optimize work space, but when the FedEx truck showed up to take away the day’s shipments, I got a sense of realism about how far the new focus on marketing and distribution had come.

Later that evening, I was given a tour of the CannaVest lab. My father was a research chemist for the US Army who had taken me to work with him on many occasions when I was younger, and so I thought I had somewhat of a good reference point to gauge equipment levels. My expectations were that there would be much less equipment needed to produce CBD, given the technology advances since my father’s chemist days, but I was wrong. VERY wrong. As the many different pieces of equipment were explained, I began to understand the intricate specialization that went into equipping this facility.

When I spoke with the masterminds behind the whole operation, I was incredibly impressed with their credentials and professionalism. Joshua Hartsel, Ph.D. (the Senior Research Scientist at CannaVest), who is in charge of lab operations, while proud of the accomplishments and accolades that his work had achieved, was really more appreciative of how those advancements have provided those in need with life-changing health and wellness alternatives. Joshua, who received his Ph.D. in Medicinal Organic Chemistry from Virginia Polytechnic Institute and State University, spoke at length about the benefits of the lab. The overriding theme of our conversations was quality control. Being able to guarantee dosages, meet production needs, and reduce costs of production seemed to be Joshua’s main tenants of achieved success.

The capabilities that Joshua brings are not only a product of his considerable education; they are also derived from his many accomplishments and his experience in the industry. He served on the board of the Association of California Cannabis Laboratories (ACCL) and also ran a testing facility for several years prior to joining the CannaVest team. It’s also noteworthy to mention that he has extensive experience designing and testing for insecticides for the Bill and Melinda Gates Foundation, which is important for the cannabis industry.

Along with his focus on quality, Joshua was also pleased with the lab’s ability to further enhance the purity of natural CBD-rich hemp oil to levels that had previously been thought impossible.

This is where Greg Waterbury, the other gentleman instrumental in the lab’s setup and administration, stepped in to add his thoughts. Greg is a Project Manager for CannaVest. Greg attended Syracuse University and brings over 20 years of experience in life sciences to the team. He specializes in setting up new lab facilities for startups and for managing growth new facilities bring to companies. Greg was quick to point out that he, too, was impressed with the accomplishments of the lab–especially that the lab had realized CBD isolation of up to 97% (pharmaceutical grade) purification levels.

I asked Greg what he thought of the lab from purely a business perspective. He felt that its greatest business asset was that it stabilized the supply chain, thereby reducing the risk of not having timely and quality constituents. Never willing to compromise quality, Greg said that the lab enabled the company to be the “masters of our own destiny”. When I asked what the biggest challenges were in setting up the lab, Greg pointed out that they were purely architectural; their cutting-edge equipment selection required them to knock down walls to get that equipment through the door! He then extolled Joshua’s choices of this high-tech equipment, lauding the lab’s new capabilities to increase research and development (R&D) and to bring new products into development.

I could hear the pride in these two gentlemen’s voices as they spoke of their accomplishments. After winning some of the industry’s highest awards for CBD concentrations, that pride is well deserved. With the capabilities of the lab and the expertise and experience that Joshua and Greg bring to the table, I suspect the MJNA and CANV will have many surprises in the form of product expansion in the near future. And with the production efficiencies gained by the new facilities, at greater price points too!

Disclosure: I am an investor in MJNA and this article was written on behalf of Medical Marijuana, Inc.   

Medical Marijuana, Inc & the CannaVest Investment

9818139_lMedical Marijuana, Inc (MJNA) has transformed its business model from that of a pure portfolio company to one that also markets the products of its subsidiary partners and those of CannaVest Corp (CANV). The products are marketed direct to consumers through its exclusive master distributor HempMedsPX™.  It’s a synergistic business model that has investors wondering how this expanding relationship will shape the company’s growth.

This conversation could take on many forms; however, what most are wondering about today is how the relationship with CannaVest will evolve and if MJNA’s investment in the company proves to be one of the biggest diamonds in the company’s eclectic portfolio. There is even talk about whether MJNA and CANV could possibly outgrow their symbiotic relationship or if CANV could take over MJNA altogether. These are all fanciful scenarios which are highly unlikely, given the reach of MJNA in the cannabis community; however, with so much sensationalism in the media, it can be hard for investors to make heads or tails of so much hyperbole.

The most recent investor dialog concerns the value of the sale of the PhytoSPHERE assets to CANV in light of CANV’s recent funding initiative to support continued growth. Before I discuss the effects of the transaction, here’s a little history on the transaction.

The two companies began their relationship when they inked the Dec 31st, 2012 agreement in which the sale of MJNA’s PhytoSPHERE assets would transfer to CannaVEST for the aggregate payment of $35M which would be paid for the all the subsidiaries’ assets and intellectual property. The deal was outlined in the CannaVest’s Feb. 12, 2013 8-K filing that outlined the terms of the deal, and can be also be referenced in the MJNA press release on the company’s website.

The payments could be paid in either cash or stock, which could be reported in either cash value or number of shares. The first payment was calculated based on $5.00 per share with remaining payments thus far calculated based on $6.00 per share. These values are not arbitrary, as they are based on a collar that designates that shares would not be priced at more than $6.00 or less than $4.50 per share. Payments were or are to be paid on the dates outlined below:

  • Jan 31, 2013 – $4.5M – Cash (NA), Stock – 900K  (Cash value $4,500,000)
  • Mar 30, 2013 – $6.0M – Cash (NA), Stock – 1M  (Cash value $6,000,000)
  • Jun 30, 2013 – $8.0M – Cash ($726,157), Stock – 1,212,307  (Cash value $8,000,000)
  • Sep 30, 2013 – $10.M – Cash ($200,000), Stock – 1,633,333  (Cash value $9,800,000)
  • Dec 31, 2013 – $6.5M – Payment has not been reported

The total values are $926,157 in cash and a total of 4,745,640 shares. The September 30, 2013 CannaVest Form 10Q listed the number of issued and outstanding shares of the company to be 11,744,167. These values baseline the MJNA ownership value based on stock ownership at 40.41%.

Now back to CANV’s funding initiative. Under ordinary circumstances, most businesses have a multitude of options to finance business operations and expansion. This is not the same for businesses in the cannabis industry. However, in this case, CANV has secured further investment interest with seemingly little effort as its success in the media has become more apparent.

CANV’s previous funding stream was provided by Roen Ventures, LLC (Roen Ventures) in the form of a credit line up to the amount of $6,000,000. The credit line contained a provision that allowed Roen (with board approval) to convert the outstanding debt to stock based on an independent valuation of the CannaVest stock. The valuation determined that the “fair market value” of the “restricted common stock” was 0.68 cents and that the note (with board approval) would convert at a 12% discount for a total of 10M shares into common stock being issued to Roen Ventures. This effectively eliminated the company’s debt on the note but, of course, added to the share count.

While having this burden of debt repayment removed and the confidence of one of its largest investors is also appreciated, CANV still needs capital to continue growth. Now expecting to “achieve profitable operations,” the company is perusing a private placement offering up to 10M shares at a price of $1.00 per share, which of course is at a premium to the current “unrestricted common” valuation of $1.13. With the payoff of the Roen credit line and the new funding initiative, a potential 20M shares could be added to the current CannaVEST share count.

The Roen Venture credit line conversion to 10M shares would bring the CANV share float to 21,744,167 shares and MJNA ownership to 22%, by my armchair calculations. The loss of ownership percentage comes at the expense of eliminating debt. Then there are the 10M shares that could ultimately be added to the float. Both transactions would erode ownership, but would ensure that the business can continue to thrive.

To date, the Nov. 13, 2013 8K only registers 5M shares of the 10M share private placement, of which only 1.2M shares have been issued. Keep in mind that none of the calculations take into consideration the final payment for the PhytoSPHERE assets to MJNA.

Now here is what I didn’t understand about the brilliance of the PhytoSPHERE deal: By selling off the PhytoSPHERE assets to CANV, MJNA could eliminate the operational risk and cost by allowing in other investors that would have the option to pay them the $35M in cash or stock. But if CannaVest failed and had to pay MJNA in a majority of stock, then MJNA would retain ownership of the PhytoSPHERE assets as a fail-safe to protect those assets.

Now that CANV is thriving on its own and can garner investor interest, MJNA has helped evolve its strategic partner to success and has still secured a significant ownership stake.

Often times, sensationalistic media tries to grind down complex business transactions into negative or positive bites of information that only serve the purpose of increasing readership. These short-term exaggerated views are fuel for the day traders or momentum traders of the world and, ultimately, amount to nothing more than noise that is ignored by savvy investors.

The relationship between MJNA and CANV, which I initially thought to be synergistic, is in reality more symbiotic. While many businesses rely on one another for sales and marketing, MJNA and CANV share a common resource in HempMedsPX™.  As for more money coming into CANV and the effect on MJNA’s investment, ask one question: Would you like more of nothing or a little less of a growing company in its infancy?

Disclosure: I am an investor in MJNA and this article was written on behalf of Medical Marijuana, Inc.

Investing In a Transformational Cannabis Businesses – MJNA

MJNA LogoIt used to be that investing in the stock market was a highly specialized business that required a broker to execute transactions. Most folks didn’t bother to venture down that road, trusting their investments to money managers to guide their retirement accounts or mutual funds. It was usually older, more business-savvy individuals who would, for about 50 bucks a pop, call a broker and request the purchase or sale of a security. In some cases, the cost could even be a percentage of the transaction, adding to the overall cost of investing in the stock market.

How times have changed!

Nowadays, the young man bagging your groceries might go on a break and rebalance his portfolio on his iPhone™ for about $7.95 per transaction. Today, the securities market serves people of all ages and professional backgrounds.  And with the recent Gallup poll citing that 58% of Americans now favor the legalization of marijuana, many of these investors will be looking to the cannabis industry to catch the next wave of opportunity.

For those investors who are pro cannabis legalization—as well as those against legalization but who recognize a good investing opportunity—InvestorPlace author Dan Burrows might offer a good starting point. In Dan’s article, “4 Best Medical Marijuana Stocks to Buy Now,” he suggests that the possibility for “10-bagger returns” exists in the cannabis market. Citation 1

Topping Mike’s list is Medical Marijuana, Inc (MJNA). The company just released its Q3 financials and reported a net income of $7.9 million on gross income of approximately $10.4 million. Medical Marijuana Inc. has recently transformed its business model from that of a portfolio company to one that is engaged in marketing and selling its portfolio products directly to consumers through HempMedsPX™.

As the exclusive master distributor for Medical Marijuana, Inc (MJNA) and CannaVest Corp. (CANV), HempMedPX™ is overseeing the marketing and sales of the growing industrial hemp-based cannabidiol (CBD) oil product portfolio including: CanChew™ gum, Cibaderm™ beauty products and salve, Cibdex™ CBD drops, HempVĀP™  vaporizer atomizers and pen, and Real Scientific Hemp Oil™ (RSHO™) dietary supplement.

Medical Marijuana Inc. has a significant competitive advantage.  Unlike other companies whose products are based around THC, (the psychotropic compound in marijuana) Medical Marijuana Inc.’s products are based on industrial hemp-derived CBD oil that doesn’t get people “high”. In fact, these CBD oil products are legal to consume in all fifty of the United States.

CNBC’s Jane Wells recently reported from the National Marijuana Business Conference that “pot has become a very big business in this country and will top $10 billion in the next five years.” Citation 2 Now, most professionals in the industry prefer the term “cannabis” instead of “pot”, but Jane’s comments still carry a significant message. There is a lot of money to be made in this industry and it is enough to attract mainstream attention.

Jane’s data point was derived from an ArcView Group report that is predicting an increase of 64% in the industry this year, including a forecasted rise to $10 billion within five years. ArcView is doing fantastic things for the industry, like providing cannabis research and education; however, investing with them comes at a premium. The group’s websites states that “membership is open to accredited investors who are looking to put at least $50,000 into the right opportunity(ies)”. Citation 3

I believe the high cost of entry into ArcView’s investment pool to be justified, as they really aren’t trying to run a securities market. They’re looking for “high net-worth individuals” who have capital and are looking for expertise to help them to strategically position that capital in the emerging cannabis industry.

Retail investors need not worry; there are numerous opportunities for investments that can be had for any size investment (plus the low cost of the brokerage fee). The market is chock full of companies offering investment opportunities in the cannabis industry, but  not all investments are good investments. Many companies are rushing to the industry to take advantage of the expected rapid expansion as legalization proliferates and aren’t fully anticipating what the “big picture” of a legitimate cannabis industry entails.

The lucrative opportunities in the cannabis industry have caused companies to completely shift their business models, spurring many to wonder if they have a legitimate business interest or are just trying to take advantage of a trend. Dan Burrow’s Medical Marijuana Inc. picks are based on what he considers the “most established options” for investment in the industry. This is because the company has not just “jumped on the band-wagon” —they have a balanced portfolio of companies that are involved in medical research, nutrition, health and wellness and education and services. A major issue facing the cannabis industry today is one of consistent supply. There is always a question of where supply comes from, how much can be grown and by whom. If MJNA did nothing else, there is no other company in the industry that has done the regulatory legwork and created a fully compliant and consistent supply chain—a supply chain, I might add, that is unmatched by any other legitimate entity. As threats of shortages of CBD from cannabis loom large, this is a competitive advantage that should not be overlooked.

Today’s retail investors now have access to more information and have greater ability to trade on the open market than ever before. With this greater ability comes greater competition, and many investors are looking for the next big discovery to help them gain an edge on the market. While the cannabis industry is not new the growing acceptance is, and with it a massive transformation is occurring. You might want to take a look at one of the most trusted issues in the market: MJNA.

Disclosure: I am an investor in MJNA and this article was written on behalf of Medical Marijuana, Inc.

Citations:

Citation 1: http://investorplace.com/2013/11/best-medical-marijuana-stocks-mjna/view-all/#.Uo6VPcSsi-2

Citation 2: http://www.cnbc.com/id/101182512

Citation3: http://arcviewgroup.com/investornetwork

Social Media – A Treasure Trove of Information for MJNA & CANV Investors

11304978_mlThere’s been a tremendous amount of activity going on with Medical Marijuana, Inc (MJNA) and CannaVest Corp (CANV), much of which has been highlighted in recent press releases. Their exclusive master distributor and contracted marketing company, HempMedPX™,  has been busy canvassing events across the US, highlighting the benefits of cannabidiol (CBD) and introducing new products that contain the exciting compound. However, investors want to know more detailed information, and for that, social media makes an excellent starting point.

We’ve all heard the phrase “a picture is worth a thousand words.” The phrase is antiquated at best when you consider the impact of social media. Just ask yourself, “how many more words would we have if we added more pictures, video, streaming audio, and real-time discussion?” It’s not a real math problem, but you get the message–social media is a critical part of sharing information for investment due diligence.

I suggest you start with the company’s MJNA Facebook page. For professional money managers, good investment research starts with examining a company’s financials and analyst opinions. While scrutinizing this type of information is important, by the time the retail investor can find a nugget of information that would suggest that an issue is mispriced, the information is probably already factored into the market price. Financials are usually examined by professionals as soon they come out, and while the market reaction can be hard to predict, the reaction is usually definitive in direction and very rapid.

Social media, however, can assist in identifying shifts in opinion or longer-term trends that are of more value to investors that don’t have time to watch and react to every detail about a stock. Searching through the MJNA Facebook page revealed a tremendous amount of information that provided valuable details about much of the activity reported in the company press releases.

Seeing products demonstrated and smiles on faces provides for a “see-for-yourself’ experience of the transformation that the family of MJNA companies is undergoing. What you have is single portal that shows photos and video from the events HempMedsPX has attended, along with testimonials and commentary from company representatives and real users alike.

There are also Facebook fan-supplied links to more information about CBD and its many benefits. The links point to detailed research and examples of how CBD is helping people today. This information is provided by a multitude of media sources and users, so other users can quickly validate claims and opinions from multiple sources, thus streamlining the research process.

One of the more beneficial aspects of researching MJNA’s Facebook page is the history of activities. If you aren’t familiar, Facebook has “cascading dropdown” feature whereby as you continue to scroll down, new information is added for viewing. The site goes back to 2011 and has an eclectic history of MJNA company information, industry growth and evolution, as well as company news. You can really gauge the growth by how sparse the number of posts are in the earlier years when contrasted with the explosion of information that’s been posted this year alone.

Now if you have more of a trader mentality or just want to get updates more quickly, the HempMedsPX™ Twitter site provides an excellent source of information for current events and announcements. The HempMedsPX™ team will report from events in near real-time, and Twitter is the perfect platform for such news. Twitter has come a long way since its inception and now includes photos and links. The site also has the cascading-dropdown feature so researching company “tweets” is a snap.

While the roots of social media are derived from those wishing to form communities and networks to share information, social media utility has evolved into indispensable tools for businesses that want to embrace transparency and want to connect with their patrons. Through social media, you get is the company’s message augmented by user comments that provides a mode of checks and balances that investors should use to stay abreast of when looking for signs of potential shifts in market sentiment.

If you’re looking for specific product information, below are some of the products marketed by HempMedsPX™ and their Facebook pages:

The HempMedsPX™ Facebook page may be found here.

Social medial is especially important for start-up companies looking to expand product knowledge and foster loyalty through engagement with their customers.  Luckily for investors, this consolidation of knowledge provides an excellent source of research to augment the periodic press releases and bland financials. Social media provides an excellent tool for investors and it’s actually a lot of fun, too!

Disclosure: I am an investor in MJNA and this article was written on behalf of Medical Marijuana, Inc.

Medical Marijuana, Inc. is Active in Public Outreach to Help Kids

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HempMedsPX(TM) VP of Communications, Charles Vest, with Hope4Harper.com Supporting CDKL5 Disorder & Seizure Research

Medical Marijuana, Inc (MJNA) recently started to announce some of its public outreach initiatives, revealing that it and its subsidiary and corporate partners not only want to be the number one cannabis companies in the industry, they want to do so as good corporate citizens. Public outreach is a good indicator of corporate maturity and leadership in an organization. Such actions are often the result of a corporate culture that demonstrates a sense of community with those it serves.

The most successful companies understand this sense of civic duty and practice social responsibility as a tenet of core values. The company and its subsidiary and corporate partners are represented by HempMedsPX, which is the exclusive master distributor and contracted marketing company for both CannaVest Corp (CANV) and MJNA.

The company’s products contain cannabidiol (CBD) which is derived from the non-psychoactive industrial hemp. CBD was featured on Dr. Sanjay Gupta’s CNN documentary, WEED which highlighted its ability to treat a form of severe childhood epilepsy known as Dravet Syndrome.  Of course the documentary was not intended to be an infomercial and made no mention of CBD from hemp being legally available to parents and families nationwide. But its impact was remarkable all the same.

This unintended information gap led many in need to believe that they would have to take extraordinary steps, possibly illegal steps, to obtain this miraculous compound. There are now “medical marijuana refugees”—families who have uprooted their lives and moved to medical marijuana states so that their children can have access to medical cannabis. HempMedsPX responded by increasing the awareness about and understanding of nationwide CBD availability, but the messaging campaign is far from over.

HempMedsPX can’t make specific medical claims about any of their products, as they are marketed as dietary supplements or, in the case of Cibaderm™, personal care products. As you would expect with any compound that offered the benefits demonstrated in Dr. Gupta’s documentary, there will be individuals that have a desire for it or who are in need of its benefits, but can’t afford it. That’s the next area that HempMedsPX is tackling in its efforts to get hemp-based CBD to the individuals and families who need it most.

Lacking the needed research, and slowed by federal prohibition against marijuana and sanctioning by the FDA, developing pharmaceutical CBD to treat diseases and illnesses is likely to continue to move slowly. So for those looking for healthy and natural alternatives, and for those who want to maximize the benefits of CBD, there are options. Access to dietary supplements that have significant disease fighting properties is not a rare notion; vitamin C and its cancer fighting properties are well documented on the American Cancer Society website and it is available in almost every grocery or drug store. Cannabis is also found on the American Cancer Society website; the cancer-fighting properties of cannabis and cannabinoids are well documented at Cancer.gov (National Cancer Institute) as well. This is most certainly progress, but bureaucratic progress that is agonizingly slow-going for families who can’t afford to wait.

A portion of HempMedsPX’s outreach involves education and participation in industry associations that foster advocacy and policy reform. The company recently participated in the International Drug Policy Reform Conference in which over 1,000 participants worked on strategy to advance the responsible integration of cannabis in the legal, criminal and health reform landscape. One of HempMedsPX’s main messages is to increase the awareness of federally legal hemp-based CBD as a “stop gap” for people and families who otherwise wouldn’t have access to it. HempMedsPX VP of Communications Charles Vest said in the company’s 25 Oct press release that “with recent news about the benefits of cannabidiol, thousands of individuals are actively seeking information on this product.”

HempMedsPX is also taking outreach to a more personal level, as demonstrated by the announcement of a donation to the Hope4Harper mission to fund CDKL5 epilepsy and seizure research. The research is being conducted by Dr. Frances Jensen, Chair of the Department of Neurology at the University of Pennsylvania. Hope4Harper was founded on behalf of Harper Howard who was diagnosed with the rare disease at the age of ten months. The Hope4Harper website says that since starting a regimen of Real Scientific Hemp Oil™ (RSHO™), young Harper’s seizures have been reduced by two-thirds. It is the company’s hope that clinical research on CBD will yield the same results in all seizure disorder-afflicted children as it has in little Harper.

Good corporate stewardship involves a mutually beneficial relationship with a company and the communities it supports. In the case of the companies represented by HempMedsPX, this could very well be a multi-national endeavor as seizure disorders such as CDKL5 are not confined to any borders. I would suspect that with its commitment to core values and outreach, Medical Marijuana, Inc. will continue to advance its legitimacy as, in the words of Dan Ritter, “the largest and arguably most-well established company in the space.” Citation 1

Disclosure: I am an investor in MJNA and this article was written on behalf of Medical Marijuana, Inc.

Citations:

Citation 1 – http://wallstcheatsheet.com/stocks/whos-making-money-off-the-marijuana-gold-rush.html/2/

Medical Marijuana, Inc Gains National Exposure on the Dr. Phil Show

Cheryl

Dr. Phil Show

Cannabis industry icon Cheryl Shuman squared off with actor and model Antonio Sabato Jr. on the nationally syndicated Dr. Phil show in response to Sabato’s campaign to ban the growth, distribution and sale of medical marijuana in homes that have children under the age of 18.

Dr. Phil, hosted by Dr. Phil McGraw, is a spin-off of the doctor’s successful segments on the Oprah Winfrey Show and is in its 11th season. The talk show commands a wide audience as it tackles controversial topics, drawing on the doctor’s ability to key in on the root cause of problems and offer his special brand of analysis.

The previous segment went long, leaving Antonio and Cheryl only enough time for a few comments on the topic. As it turned out, Antonio’s crusade is a personal one based on a failed relationship with the mother of his eleven-year-old daughter. His ex-girlfriend has a legal marijuana business and grows cannabis in her home. Because Antonio used marijuana to get high in his younger days, and then went on to abuse other substances, he feels as though his ex’s business is a bad influence on his daughter.

Antonio said that “one of the biggest issues right now, in the United States, is medical marijuana, and I want to try and keep as many kids away from this as possible.” While I understand that his message is based on his own experiences with marijuana as a “gateway” drug for his personal drug abuse, he seemed completely oblivious to the benefits that cannabis offers to people of all ages.

With Dr. Sanjay Gupta’s recent CNN documentary, WEED, that highlighted the use of cannabidiol (CBD) to treat a severe form of childhood epilepsy known as Dravet Syndrome, I expected Antonio to be, well, more informed.

It is my opinion that Antonio is trying to use his celebrity to change the laws to align with his opinion that cannabis should be outlawed. I’m sure it would just be a “serendipitous” outcome that he would most likely be granted sole custody of his daughter should such a law be enacted. His biggest fear is that once his daughter becomes a teenager, she would laud the benefits of medical marijuana and would want to use it, too.

To be clear, Sabato Jr. spoke in general terms and not solely about his daughter. Interestingly, he made no mention about the “dangers” of exposing kids to other intoxicating drugs or alcohol. For example, his premise infers that making red wine in one’s home should be banned as well, because the beneficial effects of resveratrol would make his daughter want to drink wine. No word from Sabato Jr. about banning teens’ new favorite intoxicant: prescription drugs.

The show segment that went long and left little time for the medical marijuana topic to unfold was about “a lazy, irresponsible (teen) mom who refuses to get a job and is often found asleep on the couch, leaving her 11-month-old baby unattended” (Citation 1) while testing positive for recreational marijuana use. Antonio showed no interest in what may have caused this teen mom’s underlying issues, only that she used marijuana.

Honest debate only happens when you are willing to hear the other point of view so that you can respond with a valid rebuttal. When Cheryl was finally given an opportunity to speak, Antonio was quick to interrupt. I truly believe that his passion is derived from the love of his daughter and this had made the issue a “crusade” for him. And then with pinpoint accuracy, Cheryl said,  “I think that this is a custody issue versus a medical marijuana issue.” Bingo!

Both Antonio and Cheryl agreed that children should be protected from the use of medical marijuana without the recommendations of medical professionals. Dr. Phil then interjected the results of a poll that the show had conducted (and as the credits began to roll) that asked “should parents with children under 18 be banned from being able to grow & distribute medical marijuana?” Not surprisingly, 61% answered “yes,” as the question provided no clue as to how CBD derived from hemp, which has no psychotropic (the high) effects, might fit that scenario. The debate ended with Cheryl’s comment that “we need law reform and we need regulation to protect our families,” which I took to mean that common sense needs to be injected into the legal landscape.

Even though the segment was cut short, this type of exposure is invaluable for HempMedsPX, which has taken the lead as the exclusive master distributor and contracted marketing company for CannaVest Corp (CANV) and MJNA. HempMedsPX is a portfolio company of MJNA and markets products from other MJNA subsidiaries and partner organizations.

Since coming on board, HempMedsPX has been a lightning rod of marketing and branding as they have canvassed trade shows and other events showcasing existing products and introducing the new Cibdex™ and the Cibaderm™ product lines. Previously existing products include CanChew™ hemp CBD gum and Real Scientific Hemp Oil™ (RSHO™). To further enhance product visibility, HempMedsPX recently brought Cheryl on board as a Brand Ambassador and anticipate her presence to be a significant catalyst in bringing greater product and CBD awareness to the masses.

I know that sensationalism helps to pay the bills as far as talk shows go, but let’s hope that that future hosts don’t let these types of typical “baby mama drama” segments overshadow an important national message about the benefits of hemp, cannabis, and natural CBD.

Disclosure: I am an investor in MJNA and this article was written on behalf of Medical Marijuana, Inc.

Citations:

Citation 1 – Website link: http://www.drphil.com/shows/show/2097

Investors Respond to Medical Marijuana Inc’s Cibdex™ Product Release

CibdexMedical Marijuana, Inc (MJNA) closed up 4.41% Friday after the official launch of its new Cibdex™ “CBD-Rich Hemp Oil Tincture Products” line. The stock traded in positive territory for most of the day after the morning press release and then started to rally in the late afternoon – about the same time emails started to land inviting patrons to purchase Cibdex™ at an introductory 30% discount. The drops are the most convenient way to consume CBD and are designed for everyday use. The company will also be adding capsules in the near future.

I suspect the second wave of buying was due to some investors—who had not yet seen the press release–finding out for the first time that there might be a new catalyst for MJNA as they received notices in their cell phone and computer inboxes. It’s no secret that investors have been looking to the company to add products with more mass marketing appeal.

MJNA has been at the center of the evolution of the legitimate cannabis industry. They received significant notoriety as a leader in research and development while the push for various forms of legalization gained traction nationwide. While state-level legalization efforts have been encouraging and exciting, federal cannabis prohibition worried investors who were reluctant to put their faith in a “conglomerate” business model in an emerging and “high risk” industry.

Dr. Sanjay Gupta’s CNN documentary, WEED, boosted interest in cannabidiol (CBD), and investors wanted to see more focus on marketing this astonishingly promising substance. WEED highlighted CBD’s ability to treat a form of severe childhood epilepsy known as Dravet Syndrome, yet made no mention of CBD from hemp being legally available to parents and families nationwide.

Since February of this year, HempMedsPX has taken the lead as the exclusive master distributor and contracted marketing company for CannaVest Corp (CANV) and MJNA. HempMedsPX is a portfolio company of MJNA and markets products from other MJNA subsidiaries. The company hit the ground running by marketing and selling the consumer-ready products, and has been spending considerable time and effort to make consumers aware of future product rollouts.

Featured products now include CanChew™ hemp CBD gum, Real Scientific Hemp Oil™ (RSHO™), Cibdex™ and the Cibaderm™ product lines. So far the company has only introduced a CBD salve from the Cibaderm™ product line; however, the company is currently in the process of finalizing the formulations of its CBD Hemp Shampoo, Hemp Conditioner, Hemp Body Wash, Hemp Body Lotion and Hemp Hand Cream.

These are all premium products at a variety of price points for those looking for healthy and natural alternatives and for those that want to maximize the benefits of CBD. The introduction of these products marks a significant transformation for Medical Marijuana Inc. and CannaVest Corp. While Dr. Gupta’s acknowledgement that CBD offers significant medicinal benefits was a major revelation for many consumers, the company can’t make any medical claims and markets its offerings as dietary supplements or, in the case of Cibaderm™, personal care products.

However, those that have a need for the benefits of CBD will certainly not wait for the federal government to pass progressive legislation that would support wider research. CBD, when derived from industrial hemp, is actually legal to consume in all 50 of the United States, but growing hemp in the states and more research could be achieved when legislative hurdles are removed.

MJNA’s press release highlighted that HempMedsPX  will be displaying products at the following tradeshows:

Investors should take note as these product introductions and new product rollouts take place.  As with any new product rollout, I would suspect that with the introduction of so many new products that HempMedsPX  are working through their fair share of challenges. However, each product represents a new potential revenue stream. And with industry icon Cheryl Shuman coming on board as a “Brand Ambassador,” I would suspect that Friday’s price action was a sign of promising things to come.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Medical Marijuana Inc. Shifting to Growth Model as it Matures in the Business Cycle

CibadermThe cannabis industry has been extremely compartmentalized, thanks to state laws enacted in the absence of wider federal legalization and direction. Although states have made a great effort to be thorough, legislation at the state level still imposes restrictions that limit business growth and offer forms of protectionism that promote the exclusion of large corporate consolidation. Entrepreneurs pioneering the industry have responded by maturing their products to better navigate the regulatory environment. What the future will hold is anyone’s guess right now, but national and worldwide cannabis legalization efforts bode well for the future of the industry.

Given that the two broad categories in the cannabis industry are recreational cannabis and medicinal cannabis, the logical conclusion is that products focused on health and wellness will receive the least amount of resistance at the national level. While the recreational market is extremely lucrative, a timeline for federal legalization that would collapse the underground market and open the door to legalized distribution is not on the visible horizon.

Entrepreneurs such as Jamen Shively—former Microsoft Corporate Strategy Manager and the founder of Diego Pellicer, a proposed ”premium” cannabis brand—are resigned to wait out the federal government. Shively, who is planning to open a chain of stores nationally (Citation 1), has met with much controversy. He’s often considered to be the voice of “big marijuana”, even as he represents only a small corner of the market. Some believe that the premium branding model won’t work with marijuana, but Shively is willing to wait as long as it takes to find out.

GrowLife, a company that markets hydroponics equipment for both large and small scale operations, is not handicapped by legalization.  But GrowLife still has a significant amount of growth tied to the access that would be afforded by the removal of marijuana prohibition.

All roads to near-term significant growth seem to lead back to health and wellness products. This revelation is not one held by a perceptive few; the flood gates have opened and numerous public companies are looking to develop the next medical breakthrough.

Then there is Medical Marijuana, Inc (MJNA) that has focused on high caliber investments and manufacturing across the cannabis industry. The company’s subsidiary profile reads like a “who’s who” of the next generation of breakout companies that can be invested in on the open market.

A great example of one of these acquisitions is KannaLife Sciences, which holds the exclusive  license agreement with the US National Institutes of Health – Office of Technology Transfer (NIH-OTT) for the commercialization of US Patent 6630507, “Cannabinoids as antioxidants and neuroprotectants” (the “‘507 Patent”). KannaLife is permitted to focus their exclusive license agreement on hepatic encephalopathy (HE), a disorder associated with reduced brain function due to various forms of liver toxicity.

Back in February 2013, Medical Marijuana Inc. created a synergistic relationship with CannaVest (CANV) through a licensing arrangement of its PhytoSPHERE assets. CannaVest is using those assets produce its new product lines—Real Scientific Hemp Oil (RSHO), Cibdex™, Cibaderm™—through its subsidiary, US Hemp Oil. These products are all infused with high quality, legal, hemp-based cannabidiol (CBD), the cannabis compound showing significant promise in the treatment of epilepsy, schizophrenia, and cancer.  Unlike most of the cannabis products people hear about, hemp-based CBD is legal and can be consumed in all 50 of the United States. CBD doesn’t have the psychotropic effects that are associated with THC, the component in marijuana that produces the “high”. CBD was recently featured in CNN’s Chief Medical Correspondent Dr. Sanjay Gupta’s special documentary, WEED, which highlighted the compound’s ability to treat a form of severe childhood epilepsy known as Dravet Syndrome.

Medical Marijuana, Inc. and its family of companies are now in a transformational phase. Much of the company’s previous activities had been focused on acquisition, strategic partnerships and product development. Now the company is transitioning some of that focus to put the fruits of its labor into the hands of the consumer.

Both MJNA and CANV are now marketed by HempMedsPX, their portfolio and contracted marketing company. HempMedsPX recently turned up the “marketing heat” with its new focused marketing campaign and retention of the medical marijuana industry icon Cheryl Shuman. Ms. Shuman will be joined by Charles Vest, the HempMedsPX VP of Communications on the Ohio Rights Group (ORG) ten day and forty-stop tour.

It’s rare to see an industry that’s not based on information technology have so much potential for growth. While news about the next greatest smart phones dominate the media, the overwhelming evidence of the genuine health and economic benefits of cannabis are filtering into the national discussion like never before. Medical Marijuana Inc. and CannaVest have clear advantages in that they have developed a completely legal product line for those that have a need today and, as such, are already equipped to be trustworthy industry leaders when cannabis is fully legalized. With unique CBD-based products entering the market, and a pharmaceutical pipeline in development, their evolution to be the next company with household name recognition in the US and international markets might be on the horizon.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://video.msnbc.msn.com/msnbc/52723690#52723690

The Economics of Hemp Makes Extraordinary Sense

10020465_m (1)When the questions surrounding cannabis legalization come up, the benefits are often related to those who have a special interest such as medicinal needs or a desire for recreational use. Medical necessity is certainly a high on the list of noble causes, and as recreational use goes, marijuana is well-documented to be less harmful than alcohol. But society—and the US economy—stands to benefit economically once cannabis legalization is brought about.

California Gov. Jerry Brown recently signed SB 566 into law, which will allows for the cultivation of non-psychoactive industrial hemp in the state. The bill was authored by Sen. Mark Leno who said that, “In the past year, the conversation to legalize the cultivation of hemp has gained momentum at the federal level, and it is only a matter of time before a farmer’s right to grow hemp is restored.” Citation 1

California is still awaiting federal approval, but this important step comes in the wake of the Department of Justice’s (DOJ) memo establishing its prosecutorial priorities to not conflict with state laws. Traditionally, enforcement discretion has been deemed a sign of abuse of power. Citation 2 However, in this instance, the DOJ was responding to a wider conflict that existed between the federal Controlled Substances Act (CSA) and the various levels of state legalization.

Sen. Leno stated on his website that the bill “would permit growers in the Golden State to cultivate industrial hemp for the sale of seed, oil and fiber to manufacturers and businesses that currently rely on international imports for raw hemp products.” Citation 3 This is the type of common sense legislation that’s needed across the nation. Hemp agriculture creates jobs, provides needed products for nutrition and medicine, and hemp itself is a renewable and versatile source of natural raw materials for manufactures of building materials, bio fuels, textiles, foods and hundreds of other industries.

I recently spoke with Chris Boucher, VP of Product Development and Imports at US Hemp Oil and hemp industry pioneer. US Hemp Oil is a subsidiary of Medical Marijuana, Inc (MJNA ) and CannaVest (CANV), which produce many products containing the cannabidiol (CBD), a cannabinoid derived from the hemp plants seeds and stalk. CBD was recently highlighted in Dr. Sanjay Gupta’s CNN documentary, WEED, which demonstrated its abilities as an astonishingly successful treatment for childhood epilepsy.

Chris spoke about the company being past the research and development phase and increasing production to support sales. Gov. Brown’s support for SB 566, along with federal government approval, could mean a California winter hemp crop of 160 acres this year. Eliminating or reducing import expenditures could have a huge impact on costs, which translates in to increased profits and reduced prices for consumers.

HempMedsPX, the marketing arm for MJNA and CANV, had Chris’ efforts focused on its new product lines Cibdex™ and Cibaderm™; however, it was clear that US Hemp Oil was positioned to be supplier of raw or semi-processed materials (such as hemp oil) to well-established consumer products manufactures such as the Procter & Gambles of the world. Hemp-based CBD has strong analgesic and antioxidant properties and, as a natural compound, fits well into any company’s health and wellness product lines.

A close analog to hemp or high CBD hemp strains is aloe or aloe vera.  Aloe, a genus of over 500 species, is mostly known only because of aloe vera, a widely-used plant species found only among cultivators and thought to be extinct in the wild. Similarly, hemp varieties that are grown for their high CBD content are cultivars of expert design, and will be in high demand as a commodity as awareness of the many benefits of hemp, CBD, and other cannabinoids increasingly come to light. The reintroduction of hemp to the agricultural community alone is substantial, but the larger impact would be on an struggling economy that would benefit immensely from the integration of a product with a multitude of utility.

With the numerous stalemates in congress, it’s hard to believe that progress is actually being made on the legalization of hemp agriculture in the US. The reality is that both marijuana and hemp are already grown in the US, but not on a large scale and not legally (yet) at the federal level.

Chris likened growers to hobbyists due to the lack of ability to plant and cultivate hemp on a large scale. You can read my full interview with Chris here: “Hemp Veteran Chris Boucher Shares His Insight on the Industry and the New Hemp CBD-Infused Cibaderm Product Line at Natural Products Expo East in Baltimore”.

Hemp is a commodity that literally built this great nation, but was cut out of our economy by corrupt, fear-mongering politicians and focused (instead of free market) capitalism. Its reintroduction represents an economic stimulus that is natural to our economy—much like the plant itself. If you are looking for investment opportunities for the long term, you may want to take a closer look at the companies mentioned in this article.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://www.huffingtonpost.com/2013/10/03/california-hemp_n_4033632.html

Citation 2 – Website link: http://en.wikipedia.org/wiki/Enforcement_discretion

Citation 3 – Website link: http://sd11.senate.ca.gov/news/2013-09-27-governor-signs-senator-leno-s-industrial-hemp-bill

Hemp Veteran Chris Boucher Shares His Insight on the Industry and the New Hemp CBD-Infused Cibaderm Product Line at Natural Products Expo East in Baltimore

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It was fitting that I met with Chris Boucher, hemp industry pioneer, at Natural Products Expo East. The event was packed with vendors from all over the world looking to find retailers for natural and organic products from every category imaginable. Hemp products were well-represented throughout the expo, but as Chris and I made our way through the thousands of attendees and natural and organic company representatives, we made sure to stop at the HempMedsPX booth first.

As Chris and I spoke, numerous attendees approached him to ask questions about hemp and hemp-based cannabidiol (CBD). From what I gathered, some had heard about CBD for the first time thanks to Dr. Sanjay Gupta’s CNN documentary, WEED. Others were big supporters of hemp products in general. All wanted to know more about what HempMedsPX had to offer and why they are different. The line of people asking questions got so long that Chris suggested we retreat to a nearby restaurant to conduct our interview.

Chris is the “real deal” as far as health and wellness aficionados go. It was clear right away that he was not just another marketing or sales guy. A staunch vegetarian and holistic health advocate, Boucher is the epitome of the new “conscious capitalism” businessman.

Chris’ journey to become one of the foremost authorities on the cultivation of hemp is a fascinating story. He was responsible for the first and only USDA-grown hemp crop in the United States, and has led the charge towards total legalization of industrial hemp for over twenty-five years.

But that’s not at all where he started. Chris explained that as a young man he had an interest in aviation and had joined the Air Force. After completing his stint in the service, he had no idea that his future career—and most of his adult life—would be focused on hemp.

Our conversation continues below:

Perry Coleman (PC): What’s your official title at US Hemp Oil and how long have you been with the company? 

Chris Boucher (CB): I’ve been with the company about two years as VP of Product Development and Imports. Our import operations are still somewhat proprietary, but I can tell you that our products are imported from Europe and processed in San Diego.

PC: What type of responses are you receiving at the Expo?

CB:  Phenomenal. It’s about natural products. People want a lot more information on hemp and hemp-based CBD and their benefits.

PC: Since Dr. Sanjay Gupta’s documentary (WEED) aired on CNN recently, have you been approached by those with medical needs they want to address with CBD—especially people with epilepsy?

CB: Yeah, many people want to know more about the health benefits of CBD. We don’t make any medical claims about our products, but we understand that there are many people who want to use our products to see if they will help various ailments. We do have a compassionate donation program that is focused on charitable outreach, which includes people who suffer with epilepsy.

PC: What new products do you have in the pipeline?

CB: Our newest product line is Cibaderm™, which is a skin and hair care line. We’re doing our first rollout of hand lotions, salves and shampoos. These products are different than our nutritional supplements in that they have broad appeal. They are the first consumer body care products that have hemp-based CBD in them.

PC: What product do you think will be your biggest seller?

CB: While we certainly believe our Cibdex™ hemp CBD drops will be highly successful, the Cibaderm™ products will have a massive market. Our products are on the higher end of the quality spectrum. We’ve removed the parabens, sulfates and phylates and use steam-distilled essential oils. They are amazing products.

PC: Tell me about your history in the hemp industry.

CB:  I wrote the first legislation for industrial hemp in California and Colorado, and I opened one of the first hemp companies in the US in the 1990s. I was also one of the first to grow industrial hemp at a United States Department of Agriculture (USDA) research center in 1994.

Now it’s twenty years later and there is a bill on [California] Governor [Jerry] Brown’s desk to legalize hemp cultivation in California. Governor Brown is expected to sign the bill which would give us permission to grow hemp in California’s Imperial Valley.

Note: Governor Brown signed Senate Bill 566 legalizing hemp cultivation at the state level on 27 September, 2013.

PC: How is your hemp-based CBD different from the high CBD cannabis plants that some are already growing in the US?

CB: The current growers have greenhouses and are more akin to hobbyists. Their plants are derived from clones and cloning is not agricultural production. They have to put each cloned plant in the ground. Unfortunately, what current US-based cannabis growers are doing now is just not scalable, and it’s illegal at the federal level.

We have high CBD hemp cultivars and could, when federal law allows, import these seeds from our overseas seed banks. US Hemp Oil uses seeders that can sow a thousand seeds in twenty minutes—right now! This year we could plant 160 acres and possibly have a winter crop. 

PC: That’s huge! As a publicly-traded company, what would you say to your shareholders about the advantages you have?

CB: Look at production, product and market penetration. We have a consistent supply chain and quantities of hemp available for full-scale commercial production. In fact, we’re increasing production and marketing which, of course, translates into sales and cash flow. We are past the research and development phase and are focused on merchandizing our products for a variety of industries. Just look at the natural supplements industry—it’s a 34.5 billion-dollar industry alone with the overall natural products industry at 65 billion. That’s “billion” with a “b” and the natural supplements is only one market in which we already have our hemp CBD products.

With that, it was time to get back to the convention center. I got to take in more of the amazing Expo before saying goodbye to the HempMedsPX crew.

My biggest takeaways for consumers and investors alike was that a significant new product line is being rolled out, and that growing hemp in the US would significantly reduce production costs.

HempMedsPX, a Medical Marijuana, Inc (MJNA) portfolio company and contracted marketing company for MJNA and CannaVest Corp (CANV), represented both MJNA and US Hemp Oil as Gold Sponsor of Natural Products Expo East. This is just one of many trade shows on an extensive schedule this autumn, placing them in numerous venues across the US to showcase their hemp-based CBD products.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

The DOJ Expands Markets for Medical Marijuana, Inc. and Subsidiaries!

DOJ

The Department of Justice (DOJ) has initiated an important first step in moving away from the criminalization of marijuana. Without yielding any authority to prosecute violations of the Controlled Substances Act (CSA), the country’s chief law enforcement agency is showing that it is willing to compromise with state legalization to allow medicinal and recreational use of marijuana. This action and its defining reason for change will accelerate the removal of prohibition and allow for significant expansion of cannabis-based businesses.

The DOJ is openly acknowledging that the current policy is incongruent with the limited resources of federal law enforcement agencies. This is not new information and its public proclamation is long overdue. In fact, continuous enforcement of the outdated laws is also unsustainable.

Suppressing an underground economy that, when legalized, could create jobs, generate needed revenue and relieve the costs associated with incarcerating nonviolent users seeking a “buzz” or medicinal relief is finally coming to an end. While this seemingly simple first step will have far-reaching implications, I don’t think market participants have fully grasped the long-range impact on businesses in the cannabis sector.

Following the DOJ’s announcement at the end of last week, the market reaction lifted the publicly-traded companies in the marijuana space. This was followed by a decline moving into Friday’s trading across the board. I’m sure the prospect of the US firing missiles at Syria had an effect on the overall market’s decline, but many still expected the “MJ” stocks to continue their run. Let’s face it, the stocks in this space have been on a rollercoaster ride and it’s not always easy to predict market reaction in any industry.

What I think the market didn’t recognize is that while the DOJ’s announcement did not produce a catalyst for money to come rushing into the industry in the form of profits from product sales, it did change the playing field for many big businesses. Larger corporations will now have to review their corporate strategies and alter their strategic planning objectives and timelines to appropriately manage the risk to their respective market shares.

Most investors think about the mega-businesses such as “big pharma”, “big alcohol”, and “big tobacco” as the main types of entities that will take note. This is certainly true, but other industries will also start to look closer at cannabis. The versatility of the cannabis plant will transform the economy in many ways that may not yet seem obvious. The market potential expands to textiles, nutritional products, cosmetics and the food industry, to name just a few out of thousands of possibilities. Could you imagine a Lays™ potato chip infused with THC? How many of those could you eat?

Cannabidiol (CBD)–which doesn’t produce any psychoactive effects–will also be in high demand as its health benefits become more widely known. The compound is already showing an uncanny ability to reduce seizures for epilepsy sufferers, which was highlighted in Dr. Sanjay Gupta’s CNN documentary, Weed. High quality CBD can be extracted from the hemp plant’s seed and stalk and is legal to consume in the United States.

There is much of the rhetoric that talks about how marijuana and hemp are plants that can’t be patented. This assumption somehow completely ignores the fact that KannaLife Sciences, a subsidiary of Medical Marijuana, Inc’s (MJNA. PK) and PhytoSPHERE Systems and its intellectual property holder, CannaVest Corp. (OTC: CANV), already have an exclusive license agreement with the “National Institutes of Health – Office of Technology Transfer (“NIH-OTT”) for the commercialization of U.S. Patent 6,630,507, “Cannabinoids as Antioxidants and Neuroprotectants” (the “‘507 Patent”)” to focus on Hepatic Encephalopathy (HE), which is associated with reduced brain function due to various forms of liver toxicity.

While this is great news for MJNA and CANV in one respect, the nutritional supplements business also creates significant opportunity for revenue and expansion without patents. The argument about not being able to patent a plant is often accompanied with the question: Why would someone buy something they can grow? My answer is simple: because it’s more convenient. Let’s consider the convenience factor a little further. If a person catches a cold, are they more likely to buy a bottle of high-dose Vitamin C or buy a bag of thirty oranges? If you chose a bag of oranges, you may want to consider an investment advisor.

The DOJ has opened the door to market expansion for products created with marijuana and hemp. While large corporations will come into the fray, it won’t be all about using cash to dominate the little guys. Traditional industry will be looking for strong brands and strategic partnerships that will allow them to enter the industry with minimal cost. The melee will most likely be among the larger businesses vying for partnerships and alliances with the smaller, well-established companies such as the subsidiaries of MJNA.

From September 25-28, The MJNA portfolio company and contracted marketing company for CannaVest Corp. HempMedsPX will be representing both MJNA and US Hemp Oil as Gold Sponsor of Natural Products Expo East in Baltimore, MD. This event comes on the heels of a defining moment for economic transformation and a major shift in business strategies for many industries. The DOJ is returning common sense to the legal landscape and our economy. Don’t be left on the sidelines as this new era takes shape.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Can The Cannabis Component Cannabidiol (CBD) Cure Schizophrenia?

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A component of the cannabis plant known as cannabidiol (CBD) is receiving much attention after Dr. Sanjay Gupta aired his special “Weed” on CNN highlighting the advantages of treating a form of childhood epilepsy with the cannabinoid.  The documentary was groundbreaking news for sufferers and their families in that it that it revealed a highly effective alternative to treatment that was not previously known to a majority of the public.  Now it appears that schizophrenia may be yet another disorder that could benefit from cannabidiol.

Dr. F. Markus Leweke of the University of Cologne in Germany has conducted clinical research showing that CBD was just as effective as the antipsychotic medication amisulpride with little or no side effects. While research is continuing, these initial results are a precursor of what could be a natural treatment for various forms of psychosis.

The Wikipedia description of schizophrenia is “a mental disorder characterized by a breakdown of the thought processes and by a deficit of typical emotional responses. Common symptoms include auditory hallucinations, paranoid or bizarre delusions, or disorganized speech and thinking, and it is accompanied by significant social and occupational dysfunction.” (Citation 1)

Schizophrenia, like other types on mental disorders, varies and often manifests into personality changes and bizarre behaviors that impede social activity and acceptance. The disorder also carries a negative stigma in society as many associate psychotic behaviors to those prone to violent criminal activity.  And yes, schizophrenia can lead to violence and other harmful behaviors.

Sufferers need new treatments that allow them to remain or become productive members of society without having to take powerful medications, many of which can have negative side effects. This is why researching and finding efficacy in natural compounds like CBD are so important.

Maia Szalavitz reported in her article on Time.com that “[r]esearchers led by Markus Leweke of the University of Cologne in Germany studied 39 people with schizophrenia who were hospitalized for a psychotic episode. Nineteen patients were treated with amisulpride, an antipsychotic medication that is not approved in the U.S., but is comparable to other medications that are.

The rest of the patients were given cannabidiol (CBD), a substance found in marijuana that is thought to be responsible for some of its mellowing or anxiety-reducing effects. Unlike the main ingredient in marijuana, THC, which can produce psychotic reactions and may worsen schizophrenia, CBD has antipsychotic effects, according to previous research in both animals and humans.”

“The results were amazing,” says Daniele Piomelli, professor of pharmacology at the University of California-Irvine and a co-author of the study. “Not only was [CBD] as effective as standard antipsychotics, but it was also essentially free of the typical side effects seen with antipsychotic drugs.”

Antipsychotic medications can potentially cause devastating and sometimes permanent movement disorders.” (Citation 2)

It’s difficult to fathom how such a promising treatment could have been overlooked for so long due to the stereotypes surrounding the cannabis plant. What many don’t know is that CBD is legal in all 50 of the United States and can be obtained from Medical Marijuana, Inc’s (MJNA.PK), PhytoSPHERE Systems and its intellectual property holder, CannaVest Corp. (OTC: CANV). I recently wrote about the compounds availability in the previous article “Medical Marijuana, Inc. and Subsidiary Partners Offer Legal CBD Now!” One of the more appealing attributes of CBD is that it appears to be highly effective without having any of the psychoactive effects associated with marijuana. The MJNA companies and subsidiary partners produce high quality CBD which is made from the hemp plants seed and stalk.

Treatments using CBD allows for powerful medications with unwanted side effects to be avoided. Antipsychotic medications are associated with reduced pleasure and motivation, and more serious effects such as loss of mobility and higher risks of diabetes.

While traditional research is the only way to validate medical efficacy, CBD as a natural constituent of the cannabis plant is available to be consumed as a dietary supplement. The MJNA companies and partners have actually anticipated the market and currently produce CBD that is delivered in advanced packaging systems that come with a Certificate of Analysis.

Some prominent CBD products that and available today are Dew Drop Hemp Oil Supplements, CanChew gum and Real Scientific Hemp Oil (RSHO). The product descriptions are listed below:

Dew Drop Hemp Oil Supplement – Dew Drops sublingual tincture from Dixie Botanicals offers hemp oil support to promote overall wellness and offer relief from the effects of everyday stress and anxiety. This unique Dixie Botanicals hemp oil product is available in both refreshing cinnamon and natural flavors and is offered at two different concentrations. Our 2 fl oz tincture is 2.5 times more concentrated than our 1 fl oz tincture. (Citation 3) Lab Results

CanChew Gum – CanChew is a delicious, all-natural gum infused with CBD from hemp oil. It’s a first-of-its-kind CBD product—a patented chewing gum containing naturally-occurring cannabidiol (CBD) from the hemp plant. Each piece of CanChew contains 50mg of CBD-rich hemp oil and approximately 10mg of CBD. (Citation 4) Certificate of Analysis

Real Scientific Hemp Oil – Real Scientific Hemp OilTM (RSHOTM) contains the highest quality hemp-based cannabidiol (CBD) in the industry. Our 98%+/- CBD-rich hemp oil is currently available in the BLUE Decarbox Pack. Additional varieties of non-decarboxylated and filtered decarboxylated RSHO will be available soon. (Citation 5)

The RSHO™ and CanChew™ gum come in high-quality packaging that outlines specific amounts of CBD for those looking for certain concentrations. The convenient, measured delivery of CBD offered by Medical Marijuana Inc. and subsidiaries is available to both researchers and the general public.  In fact, CBD can be ordered direct from the companies or on online through their websites, respectively.

Information about the benefits of CBD is spreading at a faster pace since Dr Gupta’s documentary “Weed” aired.  I believe many government leaders were listening to the doctor and may be very close to removing many barriers to research and industrial hemp farming. US Senate Judiciary Chairman Patrick Leahy just announce that there will be a Congressional hearing on the conflicts between federal and state marijuana laws on the upcoming September 10th.

While CBD is currently legal to buy, opening the door to more research through legalization will be the true catalyst to tremendous growth for early adopters of this industry such as MJNA and its subsidiaries.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://en.wikipedia.org/wiki/Schizophrenia

Citation 2 – Website link: http://healthland.time.com/2012/05/30/marijuana-compound-treats-schizophrenia-with-few-side-effects-clinical-trial/

Citation 3 – http://dixiebotanicals.com/products/dew-drops-hemp-oil-supplement/

Citation 4 – https://www.canchewgum.com/

Citation 5 – http://realscientifichempoil.com/

The CanChew Gum Doctors Speak – The Science Explained!

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The doctors behind the revolutionary CanChew products offered some very enlightening responses to questions posed about the unique delivery methods and benefits of Cannabidiol (CBD).  Medical Marijuana, Inc’s (MJNA.PK), PhytoSPHERE Systems and its intellectual property holder, CannaVest Corp (OTC: CANV) offer numerous products that contain CBD and the synergies of these companies allow for their collaboration to benefit customer across all product lines.

This unedited transcript is provided as information reflecting the doctor’s opinions and observations in a discussion format.  Enjoy!

The Doctors:

Dr. George Anastassov

Dr. Phillip Van Damme

Lekhram Changoer

Why is gum the up-and-coming delivery system for nutraceuticals and medicine?

[Philip] I’m an oral and maxillofacial surgeon; I used to be a oral and cranio-maxillofacial surgeon, very involved with the teeth, the jaw—the maxilla and the mandible. It’s known that chewing is very good to stimulate brain activity. The first impulse when you’re born is to start sucking—you look for the nipple for food. Oral behavior is induced by the brain and is inducing brain activity in reverse. Putting things in a chewing gum—because chewing gum is a pleasant thing to enjoy by chewing, the taste, the feeling of it—incorporating nutraceutexaminericals or medication is an idea which is not brand new, but in relation to cannabinoids we are introducing to chewing gum…it’s completely new.

[Lekhram] You get the fastest absorption, and faster uptake of the active ingredient which, in our case is cannabidiol, by the oral mucosal membrane. So a fast release on the indication you are targeting on.

[George] If I can add, also, the regular path of medication—if you take medication through the oral route—much of it will be disintegrated and destroyed by the hydrochloric acid in the stomach and also by liver metabolism, so you will lose quite a bit of the active ingredient. As you know, if somebody has a heart attack, the first thing they tell you when you call 911 is put an aspirin under your tongue. This is because, as Lekhram mentioned, the capillary bed is quite well developed in the oral mucosa and the medication can enter immediately into the systemic circulation without passing through liver metabolism, going through the stomach, and thus, degradation. That’s why the oral mucosal route of introduction of medications…as far as the cannabinoids are concerned is superior.  We’re not the first ones to consider the oral/ transmucosal form. There is also a spray on the market produced by GW Pharmaceuticals and is FDA approved, which contains 27mg THC and 25mg CBD per ml. But the problem with this medication is that the delivery method… the pharmaceutical ingredients are dissolved in alcohol, and alcohol can be quite irritating to the oral mucosa.  Many patients who are on chemotherapy or undergoing external radiation, especially radiation within the area of the head and neck, they end up with xerostomia which is “dry mouth syndrome”. So if you’re putting alcohol on the burning mucosa, it’s not the most pleasant experience they’ll have. Also, by chewing gum you’re actually inducing salivary production in patients who are on chemotherapy and these are most of the people who are taking cannabinoids.

[L] The teeth and mouth by chewing the production of saliva and cleaning in itself.

For people with head/neck/face pain, will the act of chewing the gum aggravate their conditions?

[P] It will probably have the opposite effect.  Chewing motion is an exercise, so people who have some pain within the head and neck—if it’s related to occlusal problems…meaning chewing problems—it’s not related directly to chewing, but to bruxing—which is squeezing their teeth at night when it’s beyond their conscious control. If anything, by chewing the gum you will offload these areas of pressure—such as the temporomandibular joint (TMJ)—and you will exercise the muscles of facial expression, which are involved in these syndromes. Again, the act of chewing, if anything…that’s rehab. That’s an exercise, and it should improve things—not make them worse.

How did you determine the percentage of CBD for CanChew?

[L] According to the literature, you will get a type of accumulation of CBD concentration in your blood when we compare to other products on the market. One of them is GW Pharmaceuticals, they have 27mg of THC and 25mg of CBD per ml  into their product.  But you will need, during the day between six to ten dosages. When we look at tablets that are out on the market in the United States of America, there are concentrations between 5mg and 10mg. So, we have decided to formulate the chewing gum which is now on the market with 10mg of CBD and use between, I would say, between two to six of these chewing gums during the day in order to get that accumulation of CBD concentration into your blood level. What will happen to the CBD? We have two pain receptors in the brain: CB1 and CB2 receptors. They are all, I would say, interacting with CBD. So, you will need one or maybe two chewing gums that you have to chew during the week every day. Due to the accumulation of the CBD into your blood level, you will get the concentration and you will not experience anymore the pain feeling for which indication you are going to use the product.

[G] Another benefit of CBD and cannabinoids in general is that they’re not only centrally acting. As Lekhram just mentioned, they act on the CB1 and CB2 receptors, which are totally different from the mu-receptors, which the opioids like morphine and its derivatives work on. So, it acts on totally different receptors than the ones the opioids are acting on, but it also has peripheral analgesic properties, so they don’t act only centrally, but also peripherally… In a way, [CanChew] will compete with products that are a combination of opioids and NSAIDs like Vicodin and so on, because we know they have two active ingredients; one active ingredient is the centrally-acting thing for pain, for mu- receptors in the brain, and the other one is peripherally-acting, which is the anti-inflammatory compound.  Here we have both of these in our product, without the side-effects of the NSAIDs and the opioids.

Is it true that CBD works in tandem with a variety of prescription drugs—especially pain-related drugs?

[G] Well, they act on different receptors as I just mentioned. The pain meds, analgesics that are available on the world market right now, they are single API or multi-combination drugs. They are either NSAIDs or opioids or a combination between NSAIDs and opioids. But the problem with these drugs is that they all have severe side-effects. We all know the story with Celebrex and then Vioxx, for example, and most recently Vicodin. And we know that Vicodin extra strength used to contain 750mg of acetaminophen, and now it’s reduced to 350mg because it is a known fact now that if you consume more than 1,000mg of acetaminophen, you can actually have some pretty detrimental effects on one’s liver. We know that the patients with chronic pain are consuming medication continuously, so they’re taking not one pill per day, but five, six, ten—and so on. They can then potentially end up with liver damage, gastro-intestinal or cerebro-vascular bleeding, etc. So, all of these problems are totally avoided in the medication we have invented.

Could you talk about the “entourage effect,” by which the use of opioids and NSAIDs can be reduced when combined with CBD?

[G] Yes, well, it’s interesting you mentioned it because probably you’re aware that we’ve done market research where we sent our products to the first couple hundred people with chronic pain who subscribed. And many of these patients were chronic users of analgesics and actually wrote that their experiences were such that they have weaned themselves [off] the opiates they were taking before, which is , I think, a major achievement because if you’re working on Wall Street or you’re driving a bus or whatever, and you have taken opioids, obviously your mind is clouded and you’re prone to mistakes. We have avoided all of these effects; we have even avoided the “high”, if you will, that is caused by THC by not having THC in this particular formulation. And as far as the cumulative effect with other medications, yes of course, because they work on different receptors. So if you have other medications which work on different receptors, and you are also taking our product, which works on the CB1 and CB2 receptors, of course you have a cumulative effect. But the fact that it is possible to wean patients completely from opiates and NSAIDs, that is our ultimate goal in formulating such medications now and in the future.

That’s very impressive. What is the status on MedChewRX that and how does it differ from CanChew?

[L] The MedChewRx product is in stage of clinical development. We have several partners here in Europe; amongst others, a factory that has FDA approval to produce chewing gum under GMP requirements, which amounts as a drug. So that’s continuing. We have different development partners. We have the Free University [Vrije Universiteit] in Amsterdam with whom we already have had meetings… they are open and excited to start with studies on multiple sclerosis patients who are suffering from chronic pain. We have also identified one center in Boston in the United States of America who will  join  the program. The objective is to start with administration of the GMP produced chewing gum  on patients according to FDA/EMA regulations and subsequently apply for registration of MedChewRx as a drug. So the preparation work has already been started for three months now and continuing, and hopefully by Q4 this year, we will start producing the first pharmaceutical samples which could be used for the clinical study in patients with  multiple sclerosis.

There has been research done on CBD that indicates it works well against MRSA. Is there any chance that there would be a resistance—like with traditional antibiotics?

[G] Well, it is totally different avenue—antibiotics—from the drugs which we’re really concentrating at this point. It is known that CBD has multiple positive effects from epilepsy to non-estrogen receptor breast cancer. So, there are a lot of indications for CBD, and perhaps that’s why our initial product is for general well-being—it’s not necessarily involved with only pain or only multiple sclerosis, etc.  I mean, the effects of CBD are well known and, actually, every day we read something new because there is quite extensive research going on – on the effects of CBD on multitude of diseases—for skin cancers, for seizure disorders, and so on and so forth.  We think there will be much more data coming about effects of CBD, and that’s why we have produced CanChew as a general wellness product rather than specifically designed to combat specific diseases. So, that’s why I think that the public should be aware of the positive effects of CBD known as of today, and also to realize that there will probably be many more discovered in the near future.

Is there any additional information that we haven’t covered that you’d like to communicate today?

[L] We can make a comparison with other medications containing THC on the market already like Marinol and Dronabinol, Sativex… they’re running multiple diverse studies, and you can look into the internet to see what is going on with them. To answer your question dosage… about how much CBD is in the chewing gum… this is based on literature and concepts that are also based on experimental studies that are going on.

Why would a healthy person chew CanChew?

[L] In general, there are multiple effects attributed to cannibidiol (CBD) that is against cancer in general, and fighting inflammation…it’s written [all over] the internet.  Cannabidiol is helpful against development of any cancer, especially the breast cancer and in general against pain.

[G] Speaking about general well-being, CBD possesses excellent antioxidant properties.  Cannabinoids contain terpenes, they contain essential amino acids, and so on. It is very important for the general well being.  It’s just like if you’re taking multi-vitamins—not for any particular reason, but for general well-being, the same applies to CanChew. It has CBD in its purest possible form. It’s not synthetic, it’s organic, and as I mentioned before there are multiple, multiple benefits from its use.  Also, we know that the lifestyle of the contemporary man or woman is quite active, and active lifestyle leads to aches and pains and stress and fatigue and general burnout. In all of these processes, CBD has positive effects. That’s why this chewing gum is recommended for everybody not only to treat the particular symptoms, but also to improve the general well-being.

End

This information was presented in context to provide insight into the minds of those on the forefront medical cannabis development.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Medical Marijuana, Inc. and Subsidiary Partners Offer Legal CBD Now!

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The interest in medical cannabis recently spiked when Dr. Sanjay Gupta aired his special “Weed” on CNN that highlighted the advantages of treating childhood epilepsy with the natural non-psychoactive compound, cannabidiol (CBD).  Since the special aired, it has been followed by numerous exposés chronicling the benefits and hypocrisy surrounding the legalization of marijuana use. However, what the CNN documentary did not mention is that CBD is legal and available now from Medical Marijuana, Inc’s (MJNA.PK), PhytoSPHERE Systems and its intellectual property holder, CannaVest Corp. (OTC: CANV).

The availability of CBD in various markets should prove to be a tremendous benefit to those in need and does not negate legislation for legalization and other reforms. Certainly more research is in order and will be conducted as cannabidiol makes greater monetary headway. Without extensive research, some doctors are understandably reluctant to choose components of cannabis as acceptable treatments. But the exposure that medical marijuana has received over the past week has opened many eyes on this subject for the first time. The “Green Rush” is picking up steam, and I suspect that sensible dialog will continue to take shape as the benefits of cannabis and need for further research are better understood.

The Green Rush

While more of a moniker to the economic effects of cannabis on society, the term “Green Rush” also reflects a moral component to the cannabis legalization discussion. Acceptance by a majority of Americans is an important barrier that, according to the Pew Research Center, has finally been crossed. In April, Pew released the findings which stated that, “A national survey finds that 52% say that the use of marijuana should be made legal while 45% say it should not.” (Citation 1)

The percentage of people supporting legalization is most likely much higher and growing after Dr. Gupta’s documentary and subsequent re-airings. The popularity of the special has also sparked others to join in extolling the benefits of cannabis and exposing the deception that has slowed research in recent years.

The “Green Rush” is certainly underway, but I believe the defining moment will be when marijuana is removed from the list of drugs that fall under the Controlled Substance Act of the United States. The move would not mean legalization per se, but it would be the first step at the federal level of government that shows that legislators are willing to start injecting common sense into the cannabis landscape.

New Jersey Governor Chris Christie recently indicated that he would allow expansion of options for medical marijuana patients, in particular qualified children. Gov. Christie wants to make sure young patients obtain the approval of a pediatrician and a psychiatrist and wants to ensure that marijuana edibles be restricted only to qualified children before signing the bill into law. Given that Christie is a possible Republican Party presidential candidate, after approving the medical marijuana bill (with requested modifications), I think Christie would be inclined to address the “Schedule I” issue if ultimately elected. With that possibility being a ways off, hopefully our current government leaders will take action long before the next election. (Citation 2)

The Holder Effect

In a recent speech to the American Bar Association in San Francisco, US Attorney General (AG) Eric Holder revealed that the Department of Justice (DOJ) would move to cut mandatory minimum drug sentences for non-violent offenders. This is the first dialog to offer some insight as to how AG Holder will now respond to the conflicts between federal and state marijuana laws. I believe that the statements below—taken from his speech directly—addresses the reconciliation that must take place between federal and state authorities:

“This means that federal prosecutors cannot – and should not – bring every case or charge every defendant who stands accused of violating federal law. Some issues are best handled at the state or local level. And that’s why I have today directed the United States Attorney community to develop specific, locally-tailored guidelines – consistent with our national priorities – for determining when federal charges should be filed, and when they should not…

And I’ve encouraged them to convene regular law enforcement forums with state and local partners to refine these plans, foster greater efficiency, and facilitate more open communication and cooperation.” (Citation 3)

AG Holder believes that the ultimate resolution must come from the legislative and executive branches of government. But until that happens, he’s ensuring that that there is a uniform understanding that tying the hands of federal prosecutors to issue mandatory sentences is not the right approach. The cooperation with state authorities and reduced sentences of people found to be in possession of marijuana should promote the further acceptance and trust of users of cannabis and those in the cannabis industry.

Availability of CBD

The consumption of hemp-based CBD is legal in the United States and may be purchased directly from Medical Marijuana, Inc. and its subsidiaries; it can even be obtained on Amazon.com. The company’s three main CBD products are Dew Drop Hemp Oil Supplements, CanChew gum and Real Scientific Hemp Oil (RSHO). The product descriptions taken from the respective websites are listed below:

Dew Drop Hemp Oil Supplement – Dew Drops sublingual tincture from Dixie Botanicals offers hemp oil support to promote overall wellness and offer relief from the effects of everyday stress and anxiety. This unique Dixie Botanicals hemp oil product is available in both refreshing cinnamon and natural flavors and is offered at two different concentrations. Our 2 fl oz tincture is 2.5 times more concentrated than our 1 fl oz tincture. (Citation 4) Lab Results

CanChew Gum – CanChew is a delicious, all-natural gum infused with CBD from hemp oil. It’s a first-of-its-kind CBD product—a patented chewing gum containing naturally-occurring cannabidiol (CBD) from the hemp plant. Each piece of CanChew contains 50mg of CBD-rich hemp oil and approximately 10mg of CBD. (Citation 5) Certificate of Analysis

Real Scientific Hemp Oil – Real Scientific Hemp OilTM (RSHOTM) contains the highest quality hemp-based cannabidiol (CBD) in the industry. Our 98%+/- CBD-rich hemp oil is currently available in the BLUE Decarbox Pack. Additional varieties of non-decarboxylated and filtered decarboxylated RSHO will be available soon. (Citation 6) Certificate of Analysis

The RSHO™ and CanChew™ gum come in high-quality packaging that provides convenient, measured delivery of CBD that will not produce any psychotropic (high) effects. The CBD products of Medical Marijuana, Inc. are hemp-based and come with a Certificate of Analysis to verify CBD concentration.  Dew Drop™ Hemp Oil Supplements, CanChew™ gum and RSHO™ are legal to purchase and consume in all 50 states without restrictions. All of the company’s CBD products are derived from non-psychoactive hemp. The high-CBD marijuana strains mentioned in Dr. Gupta’s documentary do not have the same CBD concentrations as MJNA’s hemp-based products and are still, unfortunately, illegal at the federal level.

The increased exposure of the benefits of medical marijuana and more specifically CBD in the media is well overdue. The merits of marijuana legalization and reform will be difficult for the congressional and executive leaders of this nation to ignore for much longer. For now, access to hemp-based cannabidiol is not an issue due to the foresight of Medical Marijuana, Inc. and its subsidiary partners to bring these products to the market in high quality packaging.  – Now it’s time to get the word out!!!

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://www.people-press.org/2013/04/04/majority-now-supports-legalizing-marijuana/

Citation 2 – Website link: http://www.latimes.com/nation/nationnow/la-na-nn-chris-christie-medical-marijuana-20130816,0,3429534.story

Citation 3 – Website link: http://www.justice.gov/iso/opa/ag/speeches/2013/ag-speech-130812.html

Citation 4 – Website link: http://dixiebotanicals.com/products/dew-drops-hemp-oil-supplement/

Citation 5 – Website link: https://www.canchewgum.com/

Citation 6 – Website link: http://realscientifichempoil.com/

Thanks—Medical Marijuana, Inc Investors Accept Dr. Sanjay Gupta’s Apology!

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Investors in Medical Marijuana, Inc’s (MJNA.PK) showed their support for Dr. Sanjay Gupta’s recent apology about “misleading America” by not looking hard enough for the benefits of medical marijuana. The shares soared as high as 60% before declining in afternoon trading, most likely due to some profit taking, but still closed up a respectable 39.92% on the day. Volume for the day was over 37.4 million shares traded, far above the 4.7 million daily average traded.

Dr. Gupta’s revelation was completely unexpected and seemed to shock the medical marijuana community. At last count, his article “Why I changed my mind on weed” on CNN.com had 27,513 comments.  The article, which was actually published on Thursday, didn’t prompt any initial response. But about one hour into the market open on Friday, the stock started to climb. “The Gupta Effect,” which is what some have dubbed the doctor’s effect on the market, may have had a little extra help: U.S. Attorney General Eric Holder spoke about sentencing reform in a National Public Radio (NPR) interview, which he expounded upon on Monday when he spoke to the American Bar Association.

The Gupta Effect

Dr. Gupta’s endorsement of marijuana having true medicinal value will most likely be one of the defining moments that helps legalization reform and the acceleration of research.  His presence on the issue provides a gigantic leap of creditability. Dr. Gupta is “an American neurosurgeon and an assistant professor of neurosurgery at Emory University School of Medicine and associate chief of the neurosurgery service at Grady Memorial Hospital in Atlanta, Georgia.” (Citation 1) He also holds the title of CNN Chief Medical Correspondent and was asked to be Surgeon General of the United States.

His affiliation with CNN provides a media platform that is watched and respected around the world. Dr. Gupta had previously denounced the benefits of medical marijuana, so the endorsement didn’t come overnight. He cites significant research over the last year as the catalyst for his reversal—research that he shared during the CNN special documentary, WEED, which aired Sunday night.

The documentary was fair and balanced and examined the pros and cons of marijuana use from both medicinal and recreational perspectives. One of the most significant revelations he shared was that the component in marijuana that provides the most medical benefit is the cannabinoid cannabidiol (CBD), which is derived mostly from the hemp plant’s seed and stalk.

CBD does not get you high and is legal to consume in the United States. In fact, it can be purchased from the companies of Medical Marijuana, Inc’s (MJNA.PK), PhytoSPHERE Systems and its intellectual property holder, CannaVest Corp (OTC: CANV). The companies are conducting research and are improving the quality and standardization of hemp-based CBD products.

The Holder Effect

Many, including members of congress, have been awaiting a response from Attorney General Eric Holder on how the Department of Justice (DOJ) would respond to the legalization of recreational use of marijuana in Washington state and Colorado. In his NPR interview, Holder offered some bold statements that seem to be precursors to a revolutionary policy shift for the DOJ. Categorizing current policies as “disastrous” and expressing the need for leadership to roll them back are very foretelling. His policies are expected to be the catalyst for the acceptance of wider reform initiatives that have to be vetted through the executive and legislative branches of government.

Investors Accept

Obviously the title of this article is symbolic of the market reaction to Dr. Gupta’s apology and support of medical marijuana. It was chosen because there is a real benefit to the investors of MJNA, which includes the longer-term acceptance of the components of marijuana as legitimate products in the consumer market.

Two of the company’s products which are available now are CanChew gum and Real Scientific Hemp Oil (RSHO). These products come in high quality packaging that provides convenient, measured delivery of CBD that will not produce any intoxicating effects for users. This was a significant concern for parents highlighted in Dr. Gupta’s documentary in treating childhood epilepsy, who wanted their children to get the medical benefits of Cannabidiol without getting high.

I wrote a three part series on RSHO that highlights the evolution of this product and its many benefits which are linked below:

The hemp-based CBD products of Medical Marijuana, Inc. come with a Certificate of Analysis to verify CBD concentration. Most importantly of all, because their CBD products are derived from non-psychoactive hemp, both CanChew and RSHO are legal to purchase and consume in all 50 states without restrictions.

The need for more research and acceptance of the medicinal benefits of marijuana has received national attention through Dr. Gupta’s documentary.  The next event on the horizon is Attorney General Holder’s speech, the outcome of which is being analyzed as this article is published. The tide has shifted for those who need the help that the components of marijuana can provide and both suffers and patient investors will be rewarded.

Dr. Gupta’s special will re-air Friday at 10:00PM on CNN.  He has followed up with numerous interviews that offer new information on the topic. It looks like Dr. Gupta’s apology will continue to be followed by action.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://en.wikipedia.org/wiki/Sanjay_Gupta

Unlocking New Treatments for Epilepsy with Medical Marijuana

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The use of marijuana to treat various forms of epilepsy is gaining interest among doctors and scientists as more people take matters into their own hands to find overlooked remedies like medical cannabis. Many think that federal laws that classify of marijuana as a Schedule I drug with no medicinal benefit is what’s preventing more widespread use and study. Well it is, but not for the reasons you may think.

The compound found in the cannabis plant that seems to offer promise to epilepsy sufferers can be legally purchased and consumed in the United States: Cannabidiol (CBD), which is derived from the hemp plant’s seed and stalk, is being identified by researchers and in the mainstream media as the component in cannabis that provides life-changing improvements for epilepsy sufferers.

So, access is really not the primary problem anymore, but medical research still continues to be stifled by the government’s classification of marijuana and hemp as the same plant. With the lack of research and approved treatments by the Food and Drug Administration (FDA), a majority of doctors and other health care professionals are reluctant to recommend treatments using the compounds found in the cannabis plant—whether from hemp or marijuana. They see these medical recommendations as outside of the legal and ethical scope of care that they can offer their patients.

But families, especially those with small children who suffer from various forms of epilepsy, are tired of waiting for the medical community to provide better alternatives to dangerous and often ineffective anti-epileptic drugs. Some forms of childhood epilepsy can be extremely debilitating and families know all too well that time may not be a luxury that they have when battling this disease:

Wikipedia describes Lennox-Gastaut syndrome as “a difficult-to-treat form of childhood-onset epilepsy that most often appears between the second and sixth year of life, and is characterized by frequent seizures and different seizure types; it is often accompanied by developmental delay and psychological and behavioral problems.” Citation 1

Then there is Severe Myoclonic Epilepsy of Infancy (SMEI) or Dravet syndrome, described on the Dravet Syndrome Foundation website as “a rare and catastrophic form of intractable epilepsy that begins in infancy. Initial seizures are most often prolonged events and in the second year of life other seizure types begin to emerge. Development remains on track initially, with plateaus and a progressive decline typically beginning in the second year of life.Citation 2

Dravet syndrome can be fatal. Back in December, Kyung Lah featured six-year old Jayden David in her CNN report, “Medical marijuana helps stem 6-year-old’s seizures.” The article described how young Jayden was taking 22 prescribed “anti-seizure pills a day.” These medications, known as antiepileptic drugs (AEDs), have side effects that can be extremely incapacitating and even dangerous to children.

Jayden’s father, Jason–who had even contemplated suicide to end having to watch his son suffer—gave Jayden a form of marijuana as a last resort. To his amazement, Jayden experienced his first full day without a seizure since he was 4 months old. Jayden is currently being given a form of marijuana that is primarily composed of CBD, a component of the cannabis plant, which has no psychoactive effects such as the “high” associated with THC. (THC is the substance that produces the euphoric effects commonly associated with marijuana.)

Then there is two-year-old Vivian Wilson, who also suffers from Dravet syndrome and has had seizures lasting up to 40 minutes. A website was set up to petition New Jersey Governor Chris Christie to sign a bill that would ensure safe access for “afflicted minors.” The site states that “the rescue medicines used to stop these seizures can, and have, caused Vivian to stop breathing. Additionally, pharmaceuticals used to prevent Vivian’s seizures are highly addictive and have a complex list of side effects, including developmental impairment.Citation 3

The site mentions that Vivian received her medical marijuana card in February of 2013, but hasn’t received any medication because of “New Jersey’s overreaching and unsafe restrictions.”

But awareness is spreading, and some children are receiving cannabis medication. Seven-year-old Regan Engelhardt and fourteen-year-old Cooper Brown are receiving medical cannabis and showing significant improvements according to the article “Children Are Using Medical Cannabis, And That’s A Good Thing” by Steve Elliott.

In the article, Regan’s mother Suzie said that pharmaceutical medications left her daughter “’like a zombie’ and did not properly control seizures” and “after experimenting with different strains and CBD ratios, Regan Engelhardt’s daily seizure frequency fell from 50 seizures per night down to five.” Citation 4 The article also offers that while Cooper still has seizures, they are less frequent and much less severe since beginning a medical cannabis regimen.

It’s time for the government to support more research on medical cannabis and remove barriers to access for patients in need. While products that contain CBD are available on the market today, they can’t be targeted or marketed to treat specific ailment unless approved by the FDA.

But pioneering companies such as Medical Marijuana, Inc’s (MJNA.PK), PhytoSPHERE Systems and its intellectual property holder, CannaVest Corp (OTC: CANV), are conducting research and are improving the quality and standardization of hemp-based CBD.

Two of their popular products available now are CanChew Gum and Real Scientific Hemp Oil (RSHO). These products come in high-quality packaging that provide convenient, measured delivery of CBD—without the “high” that is a cause of concern for parents, and might keep them from seeing if CBD is effective for their child’s epilepsy. These hemp-based CBD products also come with a Certificate of Analysis to verify CBD concentration. Most importantly of all, because their CBD products are derived from non-psychoactive hemp, both CanChew and RSHO are legal to purchase and consume in all 50 states without restrictions.

Epilepsy is a debilitating disease for all ages, but the treatment should not be as dangerous as the affliction, especially for children. Epilepsy drugs and treatments for children add another level of danger because of the effects that the AEDs have on young brains and bodies. The NCBI website in the “Cognitive side-effects of antiepileptic drugs in children” states that “All commonly used AEDs have some effect on cognitive function, and the effect may be substantial when crucial functions are involved, such as learning in children.” Citation 5

This is why the promise that CBD is showing for epilepsy sufferers should not be ignored. Make sure your voice is heard; it is time to promote research on this safe, alternative epilepsy treatment that is showing significant promise in improving the health and quality of life for those that rely on us the most—our children.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: https://en.wikipedia.org/wiki/Lennox%E2%80%93Gastaut_syndrome

Citation 2 – Website link: http://www.dravetfoundation.org/dravet-syndrome/what-is-dravet-syndrome

Citation 3 – Website link:  http://lettersforvivian.org/index.php

Citation 4 – Website link: http://www.tokeofthetown.com/2012/07/children_are_using_medical_cannabis_and_thats_a_go.php

Citation 5 – Website link: http://www.ncbi.nlm.nih.gov/pubmed/23622218

KannaLife Sciences – The Next Undiscovered Bio-Tech Play?

KannaLife_1

In the small borough of Doylestown 27 miles north of Philadelphia, lies the Pennsylvania Biotechnology Center of Bucks County. It’s a sprawling 112,000 square foot campus that houses non-profit research organizations and start-up companies.  It’s also home to the research of KannaLife Sciences, a subsidiary of Medical Marijuana, Inc’s (MJNA. PK) and CannaVEST Corp (OTC: CANV).  KannaLife has made some significant progress over the past year, which could prove very lucrative in the future for investors of MJNA and CANV. Could this small innovative company become the next undiscovered bio-tech play?

The Patent

KannaLife is a late stage bio-pharmaceutical and phyto-medical company that specializes in the research and development (R&D) of pharmacological products derived from plants.  The company announced in July of 2012, that it had signed an exclusive license agreement with the “National Institutes of Health – Office of Technology Transfer (“NIH-OTT”) for the Commercialization of U.S. Patent 6,630,507, “Cannabinoids as Antioxidants and Neuroprotectants” (the “‘507 Patent”)” to focus on Hepatic Encephalopathy (HE) which is associated with reduced brain function due to various forms of liver toxicity.

The NIH-OTT website states that The NIH Office of Technology Transfer evaluates, protects, markets, licenses, monitors, and manages the wide range of NIH and FDA discoveries, inventions, and other intellectual property as mandated by the Federal Technology Transfer Act and related legislation.” They further state that they “are committed to seeing that the public has ongoing access to newer and more effective health care products and procedures.” (Citation 1)

KannaLife is in a truly opportunistic position in that it has licensed from NIH-OTT on an exclusive basis the right to develop its intellectual property into a novel therapeutic treatment for HE with a market potential in the range of $500 million to $1 billion dollars. Kannalife’s proposed target drug candidate would be considered part of a new class of pharmaceuticals designed as neuroprotectants with additional potential therapeutic benefits in reducing oxidative stress.

Kannalife’s pre-clinical research being performed at the Pennsylvania Biotechnology Center located in Doylestown, PA. Kannalife’s R&D at Doylestown is focused on the use of Cannabidiol (CBD) and other potential cannabinoids analogs in selecting its target drug candidate for an Investigational New Drug Application (IND), and possibly an Abbreviated New Drug Application (ANDA) with the United States Food and Drug Administration (FDA).

Cannabidiol (CBD), used in Kannalife’s pre-clinical testing in Doylestown is, in its natural phyto emitting state, a compound which, aside from cannabis sativa and cannabis indica can be successfully derived from the industrial hemp plant seed and stalk.  More can be found on CBD in my article Medical Marijuana Incs PhytoSPHERE Systems CBD – A Natural Evolution in Health.

Advancing the Research

In April of this year KannaLife signed a research and development agreements with Advanced Neural Dynamics, Inc. (AND) and IteraMed; both are collaborators with KannaLife located at the Pennsylvania Biotechnology Center in Doylestown.

Advanced Neural Dynamics is providing expertise in the pharmacology of small molecules and neuro-peptides focused on “novel small molecule neuroprotective therapeutics for the treatment of neurological diseases” and IteraMed “offers “value added” organic synthesis, medicinal chemistry consulting, and internal drug discovery” (Citation 2) according KannaLife’s press release. This is an impressive team that’s advancing the work of the government patent developers. Inventor’s of the patent is credited to the following doctors:

  • Dr. Aiden J. Hampson – National Institute of Mental Health (NIMH) Neuro-Pharmacologist
  • Dr. Julius Axelrod – Professor Emeritus, NIH Pharmacologist
  • Dr. Maurizio Grimaldi – Professor Neurology / Neuropsycopharmacology & Toxicology NIMH

Efficacy and Standardization

As KannaLife progresses its drug development, it is also taking steps to provide commercial and regulatory guidance and practices for producing and certifying organic botanical medicaments. Under Kannalife’s certification program it will seek to ensure it and others who subscribe and utilize Kannalife’s quality control (QC) and quality assurance (QA) protocols and processes does so to manufacture and sell quality products that can meet or exceed the standardization controls found in FDA’s Guidance for Industry Botanical Drug Products (June 2004). This guidance, in part, states:

“A traditional herbal preparation, which may have evolved over time, generally has the following characteristics:

• It meets official compendia or other published standards in terms of the botanical identity and plant part used for each botanical raw material.

• In the case of a multi-herb substance, it is composed of the same formulation as a historical formula, with the amount of each botanical ingredient falling within the range of traditional usage.

• It is prepared by the same processing methodology as traditionally used.

• It is used in the traditional manner in terms of therapeutic indication, route and schedule of administration, and quantities or doses.

For initial clinical studies on a botanical drug product that is not currently lawfully marketed in the United States or elsewhere but is prepared, processed, and used by humans according to an established methodology, sufficient information might be available to support the studies without standard nonclinical testing. In general, the considerations listed under section VII.C are applicable.” (the Act), 21 U.S.C. 355(b).

The company recently announced that it was entering into a Joint Venture (JV) with Biotech, Inc. through the creation of South Park Ventures, LLC.  The JV taps into the expertise of Biotech in “establishing industry standards for phyto-medical products which includes providing certification, quality control and quality assurance standards for the growing of botanicals for use as medicine”.

As part of the deal, KannaLife also acquired the rights, titles and interests in Cannatol™ a phyto-medical compound produced from “highly standardized, consistent and high yielding organic Cannabidiol phyto stock, free from pesticide and mold contaminants” according the company press releases (Citation 3)

As part of its approach to standardization, KannaLife is marketing a proprietary packaging system to be marketed and sold as under the KannaPak trademark.  This system provides for standardized testing, labeling and packaging that has already gained early and timely acceptance from several sizeable industry experts, licensees, and producers in Colorado, California, New Jersey and Connecticut.

Strategic Value

So now what you have with KannaLife is an extension of the over-the-counter (OTC) products of MJNA and CANV such as CanChew Gum and Real Scientific Hemp Oil (RSHO).  KannaLife rounds out the health and wellness corporate profiles of both MJNA and CANV by adding a phyto-medical and pharmaceutical company to its portfolio of investments.  It is likely that there will be dynamic and synergistic interplay between all of MJNA and CANV related entities, including but not limited to, quality and standardizations processes, which can flow between the various entities, thus reducing R&D costs and accelerating products to market.

Conclusion

KannaLife has assembled what looks to be a very strong advisory board as well as a team of well regarded scientific professionals with strong pharmaceutical experience. Through South Park Ventures LLC, KannaLife has positioned itself to provide expertise in efficacy and standardization of product development.

In light of these positive developments, it wouldn’t be surprising if KannaLife proved to be the next breakout pharmaceutical company.  You may want to adjust your portfolios accordingly.

Disclosure: I am an investor in MJNA and (OTC: CANV) and this article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://www.ott.nih.gov/about_nih/about.aspx

Citation 2 – Website link: http://www.kannalife.com/kannalife-sciences-inc-signs-research-and-development-agreements-with-advanced-neural-dynamics-and-iteramed-in-the-discovery-of-novel-neuroprotectants/

Citation 3 – Website link: http://www.kannalife.com/kannalife-sciences-inc-and-biotech-inc-enter-into-definitive-joint-venture-agreement/

Real Scientific Hemp Oil – Part III – The Journey from Commodity to Medicine

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Part I of this series describes Real Scientific Hemp Oil (RSHO) and the present state of hemp in America.  Part II expanded more on how RSHO enters the body and its beneficial effects. Here in the final Part III, we will delve more into the medical benefits of Cannabidiol (CBD) and will discuss the “Entourage Effect”.

As the many benefits of RSHO are discussed throughout the article, readers should also remember that there is also a value proposition as these many benefits become better known.  The product development and growth potential of Medical Marijuana, Inc’s (MJNA. PK), PhytoSPHERE Systems and CannaVEST Corp (OTC: CANV) might prove to be an extraordinary opportunity as new discoveries related to cannabinoids unfold.  Many of the products are being developed by the subsidiary US Hemp Oil, so you may want to visit the site to learn more about the many new products on the horizon.

I wanted to start this final installment of this three part series by discussing the benefits of using CBD-rich oil to ease pain because of the associated quality of life benefits. I then wanted to focus on the research of CDB and cancer. The aim is to show that to truly benefit from the CBD-rich oil found in RSHOwe should first make sure we have a life worth living. Then we should move to extend that life for as long as possible. And finally I wanted to discuss how a synergistic approach to health using the “Entourage Effect” might offer the best approach to abate the symptoms that erode our health.

Pain Relief

The ability to manage pain is directly correlated to one’s quality of life. According to Dr Alan Frankel, CBD “will be used to treat chronic pain, anxiety and other mood disorders, as well as being a neuro-protectant and a very helpful anti-cancer drug.” (Citation 1)

CBD has become known as an extremely powerful anti-inflammatory.  While inflammation is normally treated with corticosteroids and non-steroidal anti-inflammatory drugs (NSAIDS), the improvements in quality and understanding of CBD content increases the opportunity for the inflammation and associated pain to be treated with cannabinoids.

Dr Frankel goes on to say thatCBD works against pain primarily in the peripheral nervous system. It does not work like typical pain meds by affecting the central nervous system; it works at the neuro-synapse.  When we sustain injuries, often the pain is acute and disappears completely. Other times we have persistent or intermittent pain, but it is still not that big of a deal. However, with many disorders the pain is either part of the underlying problem itself (Multiple Sclerosis, Rheumatoid Disease, etc) or the pain becomes a syndrome of its own. In other words, the pain takes on a life of its own and is now crippling the patient.” (Citation 2)

CBD has also been associated with the relief of back pain. Suffers, (like those suffering from other type of pain) being treated with drugs can experience fatigue, organ damage or even become dependent on pain medications.  Having a natural alternative with no side effects is certainly preferential. This is one of the most important points when we think about the current treatments for cancer.

Fighting Cancer

According to the Stanford Medicine Cancer Institute website “There are over 50 chemotherapy drugs that are commonly used” to treat cancer.(Citation 3) The site goes on to name numerous side effects associated with the cancer treatments.  When most people think of chemotherapy and other cancer treatments, they think of side effects such as hair-loss, nausea and loss of appetite. But the side effects can be much more debilitating, causing long-term and sometimes even irreversible damage.  For example some treatments can cause kidney damage, mouth ulcers, “lung and heart damage (with high doses)” and while rare “secondary malignancies”. (Citation 4) That’s right; cancer treatment may even cause cancer.

Allen Badiner wrote in his article High on Health: CBD in the Food SupplyCBD has no side effects and becomes very effective as an anti-psychotic when given in larger doses. With more antioxidant potency than either vitamin C or E, CBD has consistently demonstrated neuroprotective effects, and its anti-cancer potential is, by all accounts, enormous. Sean McAllister, PhD at California Pacific Medical Center said “CBD could spell the end of breast cancer,” and claims it could render chemotherapy and radiation a distant 2nd and 3rd options for cancer patients.

Don Abrams M.D. at UCSF says the studies point to “a remarkable ability of CBD to arrest cancer cell division, cell migration, metastasis, and invasiveness.”  The vast impact of the endocannabinoid system on human health explains and validates anecdotal reports of cannabis used effectively for a wide range of health conditions.” (Citation 5)

We are really just beginning to unlock the potential of CBD. Many people had previously thought that it was THC, the psychoactive component in cannabis plant, as the primary cannabinoid having the most medicinal properties. But it’s really CBD, the non-psychoactive component in cannabis, that is providing the most health benefits.

This is what makes a product like RSHO so important. RSHO is sold with CBD concentrations between 10%-25% and a Certificate of Analysis comes with each product that specifies the CBD concentration.  You would think that this would be the end over the story, but there is more.  When CBD is used in conjunction with terpenes, the resulting synergetic effect can produce benefits that could not be achieved with the individual components.

The “Entourage Effect” – A Synergistic Approach

Terpenes are produced by cannabis and other plants and help to provide that aromatic distinction that helps us identify different varieties of plants.  But in the plant world, they serve the purpose of attracting insects for pollination or deterring and repelling predatory insects that might damage the plant.

The terpene’s aroma could be s signal to an insect to stay away or the chemical makeup of the compound could actually kill the insect that eats it. The point is that they are very diverse in their makeup and when diverse strains are used in conjunction with CBD, they have the potential to provide a wide variety of synergetic benefits still yet to be discovered. The phrase “Entourage Effect” is a reference to the synergistic benefits that the terpenes and CBD provide.

Dr Ethan Russo spoke in regards to the “Entourage Effect” that “cannabinoids and terpenoids can work in concert, synergistically to abate symptoms of pain, inflammation, depression, anxiety, addiction, epilepsy, cancer, fungal and bacterial infections including methicillin-resistant

Staphylococcus aureus (MRSA, which kills more Americans nowadays than AIDS) and other illnesses.” (Citation 6)

Conclusion

What seemed like a simple plant, victimized in society, is yielding surprisingly new alternatives to achieving health and wellness. It seems senseless that that hemp plant can’t be grown in America anymore. When George Washington was growing hemp on his farm in Mt. Vernon, VA, I’ll bet he had no idea that the country he helped found would ban such a wonderful commodity. And if he understood the health benefits of CBD-rich oil, I think he would be even more appalled. But luckily Real Scientific Hemp Oil (RSHO) is here for us today.

This is Part III of a three part series on Real Scientific Hemp Oil.  Part I can be found herePart II expanded more on how RSHO enters the body and its beneficial effects and can be found by clicking on the link.

Disclosure: I am long MJNA and (OTC: CANV).  This article was written on behalf of Medical Marijuana, Inc.

Citations

Citation 1 – Website link: http://www.greenbridgemed.com/2010/07/16/chronic-pain-and-cbd-cannabidiol/

Citation 2 – Website link: http://www.greenbridgemed.com/2010/07/16/chronic-pain-and-cbd-cannabidiol/

Citation 3 – Website link: http://cancer.stanford.edu/information/cancerTreatment/methods/chemotherapy.html

Citation 4 – Website link: http://cancer.stanford.edu/information/cancerTreatment/methods/chemotherapy.html

Citation 5 – Website link: http://www.realitysandwich.com/high_health_cbd_food_supply

Citation 6 – Website link: http://cannabisclinicians.org/wp-content/uploads/2011/12/OS-2011-Terpenes+Minor-CBs.pdf

Real Scientific Hemp Oil – Part I – The Journey from Commodity to Medicine

Hemp 2 Commodities generally refers to a class of goods which has demand but is bought and sold across its markets with little distinction given to its qualitative differences. When we think of commodities, usually coffee beans, wheat and even pork bellies comes to mind. But rarely does one think of hemp stalk and seed.  Well that may soon change as the portfolio companies of Medical Marijuana, Inc’s (MJNA.PK) refines these raw materials into unique innovative products that improve the way consumers and health care professionals approach wellbeing and treatments for disease.

The key to successfully turning commodities into consumer products is the result of processing. For example, wheat into flour or pork bellies into bacon.  Intellectual property (IP) is what drives those processes and is ultimately what provides the distinction that drives consumer choices. You can buy hickory smoked bacon, honey bacon, thin sliced, thick sliced, low sodium and even turkey bacon; the choices can be endless.

So I wasn’t surprised to see MJNA expand it CBD-rich hemp oil products offerings. The two products gaining the most attention thus far are the Real Scientific Hemp Oil (RSHO) and CanChew BiotechnologiesCanChew gum. More information can be found on CanChew gum in my article CanChew Gum Offers Health & Opportunity.

RSHO (Real Scientific Hemp Oil) is a wholly-owned subsidiary of US Hemp Oil which falls under the PhytoSPHERE client group. US Hemp Oil is the world’s leading hemp products company.

What is RSHO

Real Scientific Hemp Oil is a concentrated form of CBD-rich hemp oil. Cannabidiol or CBD is a naturally occurring compound derived from the industrial hemp plant seed and stalk. RSHO is sold with CBD concentrations between 10%-25%. The company lists the CBD percentage along with a Certificate of Analysis with each product. Real Scientific Hemp Oil is not to be confused with Rick Simpson “Hemp” Oil.

Rick Simpson Oil is really not a hemp product at all. Rather it’s derived from the high THC varieties of the cannabis plants that are associated with marijuana. THC is the cannabinoid that is associated with the psychoactive effect or high marijuana is known for. It’s also the reason that cannabis is illegal at the federal level.

Hemp the Commodity

Hemp is derived from a different variety of the cannabis plant that has little or no THC.  The plant has been grown and cultivated throughout the world for thousands of years for industrial and medical purposes.  Hemp is an industrial commodity from which a myriad of products can be developed.  The list below provides some of the many uses of hemp:

  • Paper
  • Rope
  • Clothing
  • Ships Sails
  • Fuel
  • Building Materials
  • Food & Supplements
  • Medicinal Use

There are thousands of other uses for hemp. More information can be found on the Hemp Wikipedia page. You should also visit the IndustrialHemp.net website which provides a very informative Myth vs. Reality section that debunks much of the lore about hemp.

The Journey

Hemp farming was once part of American culture.  It was so common that even our country’s Founding Fathers were hemp farmers.  George Washington, Thomas Jefferson and Benjamin Franklin, to name a few, grew hemp on their respective farms.  Even Henry Ford had a hemp farm and actually built and constructed a car from hemp that was to run on hemp gasoline.  The US government even once mandated that hemp be grown.  Hemp was so valuable that taxes could be paid with this precious commodity.

The US now lags behind much of the industrialized world as hemp has been banned in America since the early1900’s. While hemp is legal to import, it still can’t be legally grown according to federal law.  But many of the states have decided not to wait on congress to catch up to the desires of its constituents and have enacted their own laws allowing hemp to be grown. Colorado’s Amendment 64, for example, allows for the cultivation, processing, and sale of industrial hemp.

Industrial hemp is thought to be able to jump start the US economy.  These assumptions are very plausible as imports from Canada and China are equal to $2 billion alone.

A bill seeking to distinguish hemp from marijuana is currently before congress.  Hemp would be considered of the Cannabis sativa L. variety having of less than 0.3% of THC under H.R.525 – Industrial Hemp Farming Act of 2013. For reference, quality marijuana is thought to have 14% to 20% concentrations of THC. The Congressional Research Service recently published Hemp as an Agricultural Commodity which is a “must read” for those interested in this subject.

Health & Medicinal Benefits

Research and clinical trials have shown the significant health and wellness benefits of the hemp plant and more directly CBD.  Hemp is a completely digestible protein containing all ten of the essential amino acids.

Hemp is a rich source of phytosterols, phospholipids and chlorophyll containing calcium, sulfur, magnesium, potassium, zinc, sulfur, potassium and vitamins A, B1, B2, B3, B6, C, D and E.  The North American Industrial Hemp Council has stated that it also contains gamma linoleic acid (GLA), a difficult-to-obtain amino acid found in breast milk.  The amino acid profiles are also thought to support immune cells.

Hemp oil contains the most essential fatty acids than any other plant. According to the Mayo Clinic, obtaining an adequate intake of the omega omega-3 fatty acids reduces the risk of cardiovascular disease and stroke.

RSHO is a natural concentration of these properties that extends the wellness attributes to the many medicinal prospects associated with CBD.

CBD provides for a host of benefits that includes chronic pain, anxiety, and inflammation. US Patent # 6,630,570 documents and attests to the validity of the medical benefits. This natural compound is even showing promise to be an effective anti-cancer drug.

Further, “Cannabidiol offers hope of a non-toxic therapy that could treat aggressive forms of cancer without any of the painful side effects of chemotherapy.”(Citation 1)

Dr. Sean McAllister’s lab also is analyzing how CBD works in combination with first-line chemotherapy agents. His research shows that Cannabidiol, a potent anti-tumoral compound in its own right, acts synergistically with various anti-cancer pharmaceuticals, enhancing their impact while cutting the toxic dosage necessary for maximum effect.

Conclusion

As I finalize this article on the 4th of July, the United States Independence Day, a flag made of hemp is being flown of the US Capitol building.  The Atlantic wire reports that is has been 80 year since a flag made of hemp flew over the Capitol. The site also has a neat map at the bottom that shows an animation of the progress of legalization across the states through the years. The map serves as a testimony to progress and inevitable success to be had by the advocates of the science of cannabis.

This is Part I of a three part series on Real Scientific Hemp Oil.  Part II can be found here. Check back soon to learn more about this wonderful product.

Disclosure: I am long MJNA and this article was written on behalf of Medical Marijuana, Inc.

Citations

  1. Citation 1- Website link: http://www.thedailybeast.com/articles/2012/09/06/marijuana-fights-cancer-and-helps-manage-side-effects-researchers-find.html

CanChew Gum Offers Health & Opportunity

RSHO_2

Who ever thought that chewing gum could become one of the choice delivery methods to achieve the benefits offered by Cannabidiol (CBD) and the many other cannabinoids of the cannabis plant? Well, luckily for those wishing to utilize this socially acceptable delivery method, the developers of CanChew Gum did.

Development

Around 2008, the pharmaceutical company Sanammad Foundation was founded in the Netherlands where Dr. Phillip VanDamme, Dr. George Anastassov and Lekhram Changoer began work to focus on the treatment of pain and other medical disorders using cannabis/cannabinoids.  Their choice delivery method would be chewing gum based products because of the rapid absorption capability gained by bypassing the intestinal tract and liver.  Excited about their achievements, they then contacted Medical Marijuana Inc. to explore expansion opportunities.

Joint Venture Evolves into CanChew Biotechnologies Inc

After much work and success the company had come up with the CanChew product.  Sanammad and Medical Marijuana, Inc’s (MJNA.PK) then formed a joint venture (JV) in April 2012 with MJNA acquiring a 50% stake in the new company to create CanChew Biotechnologies. CanChew Biotechnologies then formed a wholly-owned subsidiary, CannaGum Marketing Group for the purpose of marketing and selling CanChew gum with hemp-based cannabinoids, specifically CBD.  CanChew gum is for sale now and can be purchased at the company website (www.canchewgum.com). The site does not offer any medical claims associated with sales and provide full FDA disclosure.

CanChew Biotechnologies Inc then created MedChew RX which is presently undergoing its pre-clinical work for the formal clinical trials starting this year in Europe for treatments of pain, multiple sclerosis and other indications.

Benefits

CanChew Gum is truly a unique product in that it is the first ever gum to contain CBD. CBD is a naturally occurring cannabinoid that provides for a host of benefits that includes chronic pain, anxiety, and inflammation.  See US Patent # 6,630,570.

It’s even showing promise to be an effective anti-cancer drug.  To quote from Dr McAllister:  “Importantly, we have recently discovered that CBD, a nontoxic cannabinoid that lacks psycho-activity, can inhibit Id-1 gene expression in metastatic breast cancer cells and consequently their aggressive phenotype. The full research report can be found here.

Pain: A UCSF Study Finds Medical Marijuana Could Help Patients Reduce Pain with Opiates.    CBD is “a major non-psychoactive component of cannabis that helps shrink inflammation and reduces pain without inducing the euphoria effects of THC. It has been used to treat rheumatoid arthritis, inflammatory bowel diseases, psychotic disorders and epilepsy. Larger amounts of CBD can relax the mind and body without causing negative side effects associated with THC.”
Anxiety: A preliminary report published in the Journal of Psychopharmacology Jan 2011 titled the “Neural basis of anxiolytic effects of CBD in generalized social anxiety disorder” states that studies indicate that CBD “has anxiolytic properties.

Sleep: CBD has even been shown to modulate sleep in rats by increasing wakefulness and reducing REM sleep during “lights-on” phases of the testing. The report is titled Cannabidiol, a constituent of Cannabis sativa, modulates sleep in rats.

Multiple Sclerosis MS: Research shows that CBD compounds have been shown to improve the symptoms of multiple sclerosis in animal models and clinical trials. CBD affected the progression of the disease through decreased inflammation, neuronal protection, and decreased immune cell activity.

The research report that discusses this, “Scientists Uncover How CBD Treats MS, Alters Cholesterol Metabolism”, goes on to discuss the beneficial effects of CBD on cholesterol.
Cholesterol: Genetic details reveal that “CBD can affect the genes Soat2 and Cyp27a1, which control sterol metabolism (Ex. Cholesterol). These are part of a larger group of genes, known as stress genes”. Research has also shown that CBD can increase the amount of Anandamide, a natural cannabinoid neurotransmitter mammals make from lipids. It is thought to be the “natural THC” found in our brains and throughout and bodies. The last 45 years has revealed that it is possible to demonstrate that CBD has a wide range of pharmacological effects that are of therapeutic interest, but validation of the benefits will still have to be proven through clinical trials.

Improved Efficacy

CBD works differently from the traditional non-steroidal anti-inflammatory drugs (NSAIDs) in that it works at the neural-synapse instead of the central nervous system.

Essentially this allows the information signals to brain to be better managed. This can translate into negative indications such as pain being muted or positive effects such as increasing appetite to be enhanced.

Actually increasing appetite is more associated with THC, the cannabinoid that provides the psychotropic (high) effect associated with marijuana. CBD is non-psychoactive, so the benefits can be realized without the medicating effects of THC.

Legal in the US 

What’s great about CBD is that it’s legal in the United States when contained within hemp oil. CanChew Gum actually contains 50mg of CBD-rich hemp oil – that same hemp oil contains 10mg of CBD.   CBD continues to gain popularity among those looking for better alternatives to pain management.  I believe that this novel approach using gum as a delivery method will become increasingly more popular.

Value Play

Other off the shelf hemp oils contain very little CBD. CanChew Biotechnologies analysis shows that it would take 5 of the 8 oz. bottles of hemp oil (at a cost of $40) to equate to the CBD in 1 piece of CanChew gum (10 mgs).  Store bought hemp oil basically contains 10 mg CBD per kilogram as shown in Table 1. Hemp Seed Oil Macrocomposition on page 41 of the linked document. For synthetic CBD, Cayman Chemical charges $23 per milligram and Tocris BioScience has availability at $135 per 10 mgs

Opportunity

MJNA and its family of companies have many innovative products and CanChew is proving to be another great offering. While those interested in the company as an investment can purchase the company’s stock, entrepreneurs can participate through the company’s new affiliate and wholesalers programs that are just recently coming on line.

Take a look at what these synergistic companies are doing. It’s always interesting when technology and innovation meet opportunity.

Disclosure: I am an investor in Medical Marijuana, Inc (MJNA) and this article was written on behalf of Medical Marijuana, Inc.