UFC Gets in the Octagon With Aurora Cannabis in Multi-Million-Dollar Partnership – Cannabis Business Times

UFC Gets in the Octagon With Aurora Cannabis in \Multi-Million-Dollar\ Partnership - Cannabis Business Times
UFC inks multi-year, multi-million dollar CBD partnership with Aurora Cannabis
Share Share UFC inks multi-year, multi-million dollar CBD partnership with Aurora Cannabis tweet share Reddit Pocket Flipboard Email Esther Lin Hey, remember when Nate Diaz whipped out his E-pen and started vaping at the UFC 202 press conference and USADA lost its shit?

Thats because the worlds preeminent combat sports promotion just inked a multi-year, multi-million dollar partnership with Aurora Cannabis to help lead continued research into the health benefits of cannabidiol (CBD).

This global partnership places focus squarely on the health and well-being of UFCs talented and highly trained athletes, said Aurora Chief Executive Terry Booth. The Aurora-UFC research partnership creates a global platform to launch targeted educational and awareness campaigns, while creating numerous opportunities to accelerate our global CBD business.

Aurora Cannabis to research CBD with mixed martial arts outfit UFC, Canopy names new CFO

The research will be conducted at the promotions Performance institute in Las Vegas, focusing on pain management, inflammation, recovery and mental health. In other words, UFC has found yet another reason to lock the doors and block the stairs.

Aurora Cannabis (ACB) was higher Tuesday on the news it has inked a research deal into athlete wellness with the UFC. Meanwhile fellow marijuana stock Innovative Industrial Properties (IIPR) has acquired two buildings in Pennsylvania for the production of medical cannabis.

CBD is widely held to have benefits for all of those indications, although there is not a great deal of research to back up the claims, as MarketWatchs Sarah Toy reported last week. The substance is also caught in regulatory limbo ever since the passage of the 2018 Farm Bill, which fully legalized hemp but moved regulation of CBD to the Food and Drug Administration.

Aurora Cannabis said research into CBD products will be conducted at the UFCs Performance Institute in Las Vegas. It will be carried out in collaboration with the UFCs sports performance team and athletes who choose to participate in the studies.

CBD is believed to, and is often used to, reduce anxiety, induce sleep and have anti-inflammatory effects — without the psychoactive punch of THC. Market research firm Brightfield estimates that U.S. CBD sales will stretch 55% higher to $648 million in 2019.

The FDA has said it would not allow companies to add CBD to food or beverages until a regulatory framework has been created. Thats because CBD is the main ingredient in the only cannabis-based drug to win FDA approval, Epidiolex, a treatment for severe childhood epilepsy developed by GW Pharma PLC.

Aurora Cannabis closed up 2% at 8.66 on the stock market today. It has an IBD Composite Rating of 54, and is trading below its 50-day line. Among other marijuana stocks, Tilray (TLRY), the first pure-play marijuana IPO on the Nasdaq, rose 0.9%, Cronos Group (CRON) surged 5.8% and Canopy Growth (CGC) climbed 4%.

In regulatory news, the National Cannabis Industry Association is holding a legislative briefing Wednesday on the Secure and Fair Enforcement (SAFE) Banking Act, a bipartisan bill aimed at providing protections for banks that serve the cannabis industry in states that have legalized.

Aurora CEO Terry Booth said the new deal will help raise awareness about the positive effects of CBD.

The FDAs tripartite assault, coupled with its landmark FTC prosecutorial alliance, sent shock waves through both the hemp and legalized Marijuana industries, said Cannabis Law, noting that health and wellness and food and drinks are what makes CBD attractive to consumers.

“The Aurora-UFC research partnership creates a global platform to launch targeted educational and awareness campaigns, while creating numerous opportunities to accelerate our global CBD business,” Booth said in a news release.

Aurora Cannabis Inc. shares rose Tuesday, after the Canadian company said it has entered a multiyear, multimillion-dollar agreement with mixed martial arts organization UFC to research the effect of hemp-derived CBD products on athlete recovery and wellness.

The clinical studies are to focus on pain management, inflammation, injury/exercise recovery, and mental well-being. Dr. Jason Dyck, Professor at the University of Alberta, will lead the research. He is a Canada Research Chair in Molecular Medicine and serves as an independent director on the board of Aurora Cannabis.

The FDA issued warning letters to Advanced Spine and Pain LLC, based in New jersey and Pennsylvania, Nutra Pure LLC, a Washington-based CBD company and Florida-based PotNetwork Holdings.

UFC President Dana White claimed the deal could help develop new ways to improve the health and safety of athletes in the mixed martial arts franchise.

“Since the day we opened the Performance Institute, our primary goal was to offer UFC athletes the best possible training, nutrition, and recovery services,” he said in a news release. “This partnership with Aurora is an extension of that goal.”

The UFC, which stands for Ultimate Fighting Championship, is broadcast in more than 170 countries and territories, and it claims to have more than 300 million fans around the globe.

Tilray Inc. shares TLRY, +0.91% rose 1.1% and Aphria Inc. APHA, +3.02% APHA, -0.54% was up 5.4%. Hexo Corp. HEXO, +1.01% was up 1.0%.

Meanwhile marijuana REIT Innovative Industrial Properties, which leads marijuana stocks with a 98 Composite Rating, has inked a $13 million deal to buy a two-building property in Saxton, Penn. It comes with 266,000 square feet of industrial space.

Medical cannabis retailer MedMen Enterprises Inc. shares MMNFF, -1.20% were flat. Valens GroWorks Corp. VGWCF, -2.17% was down 0.6%.

The firm has entered a long-term lease agreement with a subsidiary of private marijuana firm Green Leaf Medical. The latter firm is to operate the property to cultivate and process licensed medical-use cannabis.

The Horizons Marijuana Life Sciences ETF HMMJ, +0.85% was up 1%, and the ETFMG Alternative Harvest ETF MJ, +1.92% was up 2%.

Around 103,000 square feet of the space has been redeveloped by Green Leaf for cultivation and processing. The rest of the space can be used for redevelopment in the future.

For more on this topic, read: Push for legislation allowing banks to serve the cannabis business is gaining momentum

“Green Leaf Medical has achieved tremendous success in Maryland in a short period of time, and is focused on replicating that model across a number of states, including Pennsylvania,” IIP CEO Paul Smithers said in a news release. “We are thrilled to serve as one of their capital sources to allow them to continue those expansion initiatives and reach an ever-growing number of patients across the Northeast.”

IIP partners with medical-use cannabis operators and serves as a source of capital by acquiring and leasing back their real estate assets. The latest move expands its portfolio to 21 properties comprising around 1.6 million square feet in 11 states.

Posted in Aurora