5. Auscann GroupThe Auscann share price spent most of 2020 in...

5. Auscann Group

The Auscann share price spent most of 2020 in the mid teens but spiked in early December following the UN’s vote on cannabis. Auscann’s CEO commented, “the change in scheduling has the potential to vitalise research into medicinal cannabis, removing some of the deterrents to activity in this space.”

Nonetheless the share price remains well down from all time highs. The company launched its hard shell capsules in 2020 and says sales have initially been slower than hoped but are building. From a low base, sales are currently increasing 50% month on month.

The Australian medical marijuana industry has undergone a reckoning with reality over the last couple of years. This has resulted in more realistic valuations than in the early, exuberant days post legalisation.

As the sector moves toward maturity, 2021 could mark a turning point in discovering what a healthy medical marijuana industry looks like in Australia.

https://www.********.au/2020/12/21/5-top-asx-cannabis-shares-in-2020/

Motley Fool places AC8 as number 5 in Aus..... but MF is an outlier with most keeping AC8 way down the list of the Top 20.

IMO the co continues as a prospective investment, raised from a seeming loss-making venture by the inclusion of CannPal and the appt of Layton Mills as CEO.

Mills seems to have a dedicated following among CP investors yet the co was deeply in debt and needed the capital advantage of AC to cover the costs.. I'm thinking that the synergies of the merger (I don't think of it as a takeover) will achieve better results in the medium term. but I don't expect any short term positives atm.

I'll maintain my "hold" sentiment pro temp and await developments..... I just hope the medium term isn't so far away.