The IGC and New Age Beverage launch rockets to lead the gathering in the cannabis sector



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Shares of India Globalization Capital Inc. exploded on Friday at a seven-year high, following the big gains in the marijuana sector, investors rushed to take part in the market for CBD-infused drinks.

The developer of Cannabinoids, or CBD, based in Maryland

IGC + 40.22%

soared by 27% in the afternoon and almost doubled this week, up 101%, after the company said to have entered the market for CBD-infused energy drinks. The rally allowed the action to close at the highest level since April 2011.

Cannacord Genuity analyst Bobby Burleson said he expects a significant increase in the revenue share of cannabis-infused beverages over the next few years, exceeding the demand by more than twice global marijuana.

"The brewing industry has shown growing interest in a substitution relationship between cannabis and alcohol, while large soda companies increasingly view CBD as a natural part of their strategic wellness offerings." , wrote Burleson.

Shares of New Age Beverages Corp.

NBEV, + 30.81%

climbed 32% on a volume of 40.4 million shares. The Colorado-based functional beverage company is expected to begin its portfolio of CBD-infused drinks at the North American Convenience Store in Las Vegas on October 8th.

Also in the CBD sector, with its products under the Kathy Ireland Health and Wellness brand, shares of Level Brands Inc.

LEVB, + 0.83%

increased by 8.6%. Earlier Friday, the company announced the price of its public offering of shares.

The focus put by investors on the CBD, a non-psychoactive component of marijuana, rose after the Drug Enforcement Administration said Thursday that it was placing FDA-approved drugs in "V List" , defined as having the lowest potential for abuse, – treatments for diarrhea and cough suppressants.

Shares of GW Pharmaceuticals PLC

GWPH, -1.01%

As a result, the only FDA-approved CBD drug, Epidiolex, for the treatment of children with epilepsy increased by 7% on Thursday after the announcement of the DEA. It slipped 1.2% in the afternoon of Friday.

David Lebowitz, of Morgan Stanley, raised his price target on GW to $ 240, 39% more than the share price, saying the DEA's decision was a "risky event that should allow a launch in force "for Epidiolex.

The cannabis sector made significant progress on Friday after two days of weakness with ETFMG Alternative Harvest

MJ + 3.43%

up 2.9% in the afternoon, with 26 of the 37 components moving up. The ETF gained 0.7% this week, while the S & P 500 index

SPX, + 0.00%

slipped 0.6%.

Among the main gains of the ETF are Tilray Inc.'s US-listed stocks.

TLRY, + 9.38%

was up 5.2% and up 39% after four straight wins. Earlier this week, the company signed a 12-month supply agreement with Supreme Cannabis Co. Inc.

SPRWF, + 3.57%

FIRE, + 1.83%

in which Supreme will supply dried cannabis to Tilray to assist patients treated with medical cannabis in Canada.

Supreme shares gained 4.2% on Friday, putting them at 4.0% this week.

The most active ETF component was Aurora Cannabis Inc.

ACBFF, + 7.18%

CBA + 1.80%

which saw its shares listed in the United States rise by 5.8% on 8 million shares.

Do not miss: Berkshire Hathaway of Cannabis Companies Profits from Increased Pot Pumps.

Read also: Canada's largest province unveils the rules governing the retail sale of marijuana.

Shares of Aleafia Health Inc.

LEAF, -9.55%

ALEF, -9.06%

slipped 11%, but was still up 27% this week, fueled by the decision of the cannabis culture and health care services company to expand into the retail business and close a deal with With CannTrust Holdings Inc.

TRST, + 1.68%

CannTrust shares rose 7.1%.

In other more active pot stocks, Cronos Group Inc.

CRON, + 1.65%

CRON, -0.83%

increased by 1.2%, Canopy Growth Corp.

GSC -1.58%

CANNABIS, -7.23%

increased by 1.2% and DavidsTea Inc.

DTEA, -5.26%

lost 5.3%.

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