Namaste Technologies, Combining Cannabis Paraphernalia with Medical Devices
Namaste Technologies Inc. (“Namaste” or the “Company”) (CSE:N) (FRA:M5BQ) (OTCMKTS:NXTTF) is a cannabis paraphernalia company with a market capitalization of roughly $432.602 million. While not a massive company, as paraphernalia companies go they are quite large. Primarily headquartered in Toronto, Canada, they operate e-commerce retail stores in twenty different countries and you may have heard of their top seller and featured vaporizer, Guru. They also sell Namaste Vapes, Grizzly Originals, Vape Gossip, VaporSeller, and Groovy Vapes brands. The big news from Namaste is that they are now trying to get into the medical device business, mainly needle-free injectors for cannabis, with Inolife R&D Inc (OTCMKTS:INOL), a publicly traded penny stock with a market capitalization just over $12,000.
You can see that Namaste struggled with the rest of the cannabis sector of the market earlier this year. While it did break its 50 dma, it still held well above its 200 dma. As of now the 50 dma will probably serve as resistance. Paraphernalia is considered to be a sleeping industry that has the ability to become massive and Namaste is sitting in a good position to be a real leader. If Dodd-Frank restrictions put in place back in 2010 are rolled back and an amendment is added that would open the doors to banking for the cannabis industry, that should be a real spark for the overall cannabis industry and the market as a whole.
Namaste Technologies Inc. is pleased to announce that it has signed a non-binding LOI with Inolife R&D Inc. (“Inolife”), whereby Namaste and Inolife will negotiate the terms of a definitive agreement (the “Agreement”) to initiate a research study to evaluate applications for Inolife’s proprietary needle-free injectors in the medical cannabis industry. Under the terms of the LOI and proposed Agreement, Namaste will hold exclusive rights to research and distribute Inolife’s needle-free injection technologies for applications in the cannabis industry. Namaste will also participate in Inolife’s anticipated private placement by acquiring up to 10% of the shares issued under the offering. Inolife will also provide Namaste with the right to acquire up to an additional 10% of the shares issued under the offering at the same price. Additionally, Namaste will purchase up to 10% of the shares issued in connection with Inolife’s go-public transaction for approximately $250,000. Namaste believes that Inolife’s needle-free technologies could revolutionize dosage and administration of cannabis for medical purposes.
Michael Wright, President and CEO of Inolife comments, “We’re very excited about the proposed partnership with Namaste. We feel that Namaste is best positioned to deliver on our strategic plan to become an innovator of delivery systems for the medical cannabis industry. We’re pleased to be the first company, in partnership with Namaste, to explore needle-free device technology in the context of medical cannabis delivery.”
Drug paraphernalia laws have kept the glass bowl, bong and papers industry in-check for a long time since they are still lumped in with other devices for more illicit drugs. The drug paraphernalia statute, Code Title 21, Section 863 lays out the law, but perhaps with the legalization movement, items likes smoking devices for cannabis use will be excluded eventually.