VIVO Cannabis restructures to adapt to the realities of the market
Cannabis news is buzzing with rumors that VIVO Cannabis Inc is striking while the iron is hot. The Napanee based company is taking immediate steps to streamline operations and make changes to the Board of Leadership. VIVO Cannabis will be eliminating 18 percent of the company headcount.
Who is VIVO Cannabis
VIVO Cannabis Inc is a licensed marijuana producer with its headquarters located in Napanee, Ontario, Canada. Founded in 2007, the company has to its claim several subsidiaries, which include:
Harvest Medicine Inc
Canna Farms Limited
ABcann Medicinals Inc
VIVO is a leading provider of premium marijuana products and services. The global medical cannabis business is operating in Australia, Germany, and Canada. The company holds both sales and production licenses from Health Canada. Cannabis news sources have shared with us the company’s operations of world-class indoor and seasonal air house cultivation facilities located in Hope B.C. and Napanee, Ontario. Some of the collection of premium brands from VIVO Cannabis include:
Canadian Bud Collections
The company has a healthy balance sheet and is in a good position to accelerate on the path to profitability. Early in October, VIVO Cannabis was offered $5,100.000 for fully marketed units of the company. The company is now offering units in all provinces across Canada except Quebec. VIVO has the intention to use the proceeds from the Offering for general working corporate purposes and capital.
VIVO Cannabis is a dedicated company that delivers differentiated marijuana products and services. The company also includes the careful managing of expenses with the goal of achieving a positive adjusted EBITDA within the first half of the upcoming 2021 year. The company also hopes to be more focused by leveraging synergies between the business units while adapting to the realities of the cannabis market.
Barry Fishman, Chief Executive Officer, adds that it was a difficult decision to reduce the workforce . The company is grateful to all employees who were let go and appreciative of the contributions and efforts they added to the company. VIVO Cannabis is hopeful that the changes they make will allow VIVO Cannabis to reduce its costs by specializing resources while streamlining the organizational structure.
The Canadian cannabis operation based in Napanee is focusing on low-cost cultivation, manufacturing, and extraction of a growing line of cannabis concentrates. Capitalizing on economies of scale and reducing costs and other activities like distribution and packaging will now be centralized at the Canna Farms facility located in Hope, B.C.
Cannabis news headlines informed us that VIVO was terminating the planned $5.1 million offerings from early October 2020. The company halted the offering due to some highly unusual trading of VIVO stocks. The volume of trading increased by 8,000 two days after the announcement was made. VIVO was unaware of the reason for this activity with VIVO stock price, but they have reported it to security regulators, according to the CEO of VIVO, Barry Fishman.
He had hoped that the trading activity would eventually level out and that the company would be able to continue with its current business fundamentals and recent achievements that are a reflection of VIVO Cannabis. At least transparency seems to still be part of VIVO Cannabis’s foundation.