During the quarter, the vertically-integrated cannabis company underwent a transition from focusing on cultivation to working in extraction, distribution and consumer brands
Mojave Jane Brands Inc () (OTC:HHPHF) highlighted the company's development in California as it posted fiscal third-quarter results late Tuesday.
During the quarter, the vertically-integrated cannabis company underwent a transition from focusing on cultivation to working in extraction, distribution and consumer brands.
On July 16, Mojave acquired a 21% stake in 2083 Group, which owns the on-demand cannabis delivery service Speedweed. The deal also gave Mojave the option of increasing its interest in 2083 to up to 40% of the company at a future date.
READ: Mojave Jane takes a stake in 2083 Group to realize its ambitions in the Golden State
Bravo Distro, a Mojave Jane subsidiary, received a Conditional Use Permit and Development Agreement from West Sacramento to develop a 15,000 square-foot facility in the city during the quarter.
Additionally, the company brought in Los Angeles branding studio Bad Supper to build out its American brand identity. Though Mojave’s operations are in California, it is headquartered in Toronto.
The company is also moving forward with a non-brokered private placement, announced on July 24, in a bid to raise $8 million.
Mojave Jane CEO Gary Latham commented: "Q3 concluded the internal work at Mojave Jane to scale our team and our operations to meet market needs and adjust spend according to our supply chain strategy.
"Specifically, we reduced our spend on distribution until our license and facilities are operational. We also focused CALIGOLD on establishing a long-term presence in a permanent facility, reducing spend along the way. And we halted spend on the development of CoachellaGro to match our supply chain strategy."
For the quarter, the company posted a loss of $0.07 per diluted share on negative revenue of nearly $116,000.
In lunchtime trading, Mojave Jane stock remained flat at $0.26 on the CSE and US$0.18 on OTC Markets.
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