Earlier this month, we highlighted VapenMJ (VAPN.CN) ahead of its go-public transaction and we hope you have been watching this emerging opportunity.
Following the completion of a successful go-public transaction, Vapen has been trending higher and this is an opportunity to be watching. During the last year, we have seen a significant increase in the amount of interest in United States focused cannabis businesses and this is an area that Vapen has been laser focused on.
Initially, Vapen has been capitalizing on the medical cannabis market in Arizona and has been targeting new markets as part of its expansion. One of the reasons we are excited about this cannabis company is due to the focus on the cannabis concentrate market and we find this to be significant.
Vapen is a leading medical cannabis concentrate brand in Arizona and has distribution of the 100+ dispensaries in the state. Last month, Select, a leading cannabis concentrate brand, was acquired for approx. $1 billion (CAD) and believe that this bodes well for a company like Vapen. Over the next year, we expect the cannabis concentrate market to record massive growth and this market is just getting started. According to BDS Analytics, the cannabis concentrate market is expected to be generating approx. $8 billion in retail sales by 2022 and this represents a massive opportunity for companies like Vapen.
We have been bullish on the cannabis concentrate market and believe this is an area where investors need to be focused on. According to BDS Analytics, cannabis concentrates represent approx. 26.6% of the entire United States market and has been gaining market share at a rate that is faster than any other cannabis product type. Vapen is well positioned to capitalize on the increasing demand for cannabis concentrates and we will be monitoring how the team executes from here.
Focused on Expanding into California and Nevada
Arizona is the third largest medical cannabis market in the United States and we expect the recreational cannabis market to open after the 2020 election. We are bullish on the opportunity in Arizona and are favorable on Vapen’s ability to execute and gain significant market share in this market. If recreational cannabis legislation is approved in Arizona, this will prove to be a major catalyst for the cannabis concentrate brand and would benefit companies like Vapen.
One of the reasons we are excited about Vapen is due to its plans to expand into markets that already has a recreational cannabis market and we are favorable on the growth prospects associated with this. When looking at the markets that the company is targeting for an expansion, we are most excited about the opportunity in California and Nevada. In these markets, the demand for cannabis concentrates has been significant and we are bullish on this opportunity for Vapen.
Over the next year, we expect the entrance into new markets to be the most significant value driver for Vapen. The opportunity in Arizona is very important and we expect a change in regulations to be a major catalyst for the business. We believe that Vapen is focused on selling the right products in the right markets and are bullish on the growth prospects going forward.
An Emerging Growth Opportunity
One of the reasons we are confident in Vapen’s ability to expand is due to the management team that is place. We believe that the company is led by an executive team that has a proven track record of success and this is an important aspect of the business. We are favorable on the management team’s ability to create value for shareholders as well as the cannabis markets that it is focused on.
Vapen has several major potential catalysts for growth and is led by a management team that is laser focused on execution. The company offers a premium product line and has done an incredible job when it comes to executing on the Arizona medical cannabis market. Going forward, we expect to see Vapen enter new markets and expect revenue numbers to ramp higher as the team continues to execute.
Although the recent rally has been significant, the valuation is attractive when compared to its peers and we believe that this is an opportunity to be watching. Vapen is in the middle of a major growth cycle and we are favorable on the risk-reward profile.
The cannabis concentrate market represents a multi-billion-dollar market and we are favorable on the opportunity that Vapen has to capitalize on it. To learn more about the cannabis concentrate company, please email email@example.com.
Pursuant to an agreement between StoneBridge Partners LLC and Vapen MJ Ventures we have been hired for a period of 180 days beginning May 13, 2019 and ending November 13, 2019 to publicly disseminate information about (VAPN) including on the Website and other media including Facebook and Twitter. We are being paid $6,500 per month (VAPN) for or were paid “ZERO” shares of unrestricted or restricted common shares. We own zero (0) shares of (VAPN), which we purchased in the open market. We plan to sell the “ZERO” shares of (VAPN) that we hold during the time the Website and/or Facebook and Twitter Information recommends that investors or visitors to the website purchase without further notice to you. We may buy or sell additional shares of (VAPN) in the open market at any time, including before, during or after the Website and Information, provide public dissemination of favorable Information.