Business
Choom and Aurora Team Up for Canadian Retail Cannabis -- CFN Media
Choom and Aurora Team Up for Canadian Retail Cannabis -- CFN Media.
About this update from Choom Hldgs Inc.
[{"type":"text","content":"\nSEATTLE, June 27, 2018 (GLOBE NEWSWIRE) -- CFN Media Group (“CFN Media”), the leading agency and financial media network dedicated to the North American cannabis industry, announces publication of an article covering Choom Holdings Inc. (CSE:CHOO) (CNSX:CHOO) (CHOO.CN) (OTCQB:CHOOF), formed with the sole intent of creating a recreational brand for Canada, and recent corporate developments including a strategic investment by Aurora Cannabis Inc. With the date now set for Canada to fully legalize adult-use cannabis on October 17, 2018, it may be useful for investors to review how companies are positioned for the event. There are a lot of moving parts at this point, with wholesale supply concerns, branding and advertising rules, and retail licensing among them. Choom™ looks to be on track to make a splash this fall.\n Significance of Aurora/Choom Relationship Over the last several months there has been a pattern of established Canadian licensed producers investing in, partnering with, and acquiring retail oriented companies in anticipation of full legalization. On June 18, Choom™ and Aurora announced that Aurora acquired a 6% ownership interest as a cornerstone investor in Choom’s private placement. Aurora is one of the largest licensed producers in the world with a market cap of approximately $5.5 billion. Why would a large global company take an interest in Choom? Aurora CEO Terry Booth explained, “This strategic investment positions Aurora to participate in the emerging craft cultivation market, as well as in an exciting Western Canada retail strategy with a seasoned team of executives. Choom’s product cultivation strategy puts the cultivar first, developing a high-grade offering with unique flavour profiles, which are anticipated to resonate strongly with the adult-use consumer market, once legalized. We’re pleased to close our investment in Choom, and look forward to building a strong, long-term relationship with the team.” In short, Aurora is interested in Choom’s retail and branding strategy. Choom is focused on building out a national retail point of sale presence to reach the cannabis consumer with upscale retail settings and handcrafted strains. As a company that is ensconced in the medical marijuana sector, Aurora is focused on ra...