Sugarmade Inc (OTCMKTS:SGMD) shares slipped 16.62% to $0.140 and an additional 8.54% in after-hours trading to $0.128. The company has a market cap of $35.31 million at 203.23 million shares outstanding. Share prices have been trading in a 52-week range of $0.02 to $0.42.
In a press release last week, Sugarmade Inc announced the completion of an agreement allowing them to introduce a new and revolutionary set of intelligent and active packaging systems for cannabis transport and storage. These will enable cultivators and retailers to preserve THC levels, protect trichomes and save terpenes while at the same time mitigate pathogen levels.
“We plan to lead the market in advanced transport and storage for the fast growing cannabis industry,” commented Jimmy Chan, CEO of Sugarmade Inc. “Currently, cannabis flowers have a very short shelf life. The trichomes that protect the cannabinoids, terpenoids and flavonoids are extremely sensitive to handling, atmosphere gases, humidity and light. Current methods of transport and storage are very unfriendly to trichome preservation, resulting in millions of dollars in lost profits for cultivators and retailers and reduced enjoyment by consumers. Our aim is to lead the market in fixing these problems for the fast growing cannabis marketplace.”
In line with this, Sugarmade Inc will utilize patent-protected technologies to offer transport and storage containers that will actively create the ultimate protective environment within transport and storage containers. Its licensor partner Cannabis Active Packaging Inc is currently in the applications development process for prototypes that will be used for testing in the laboratory environment.
Sugarmade Inc is a company that is engaged in the supply of products to the quick service restaurant sub-sector of the restaurant industry. It is also a distributor of paper products derived from non-wood sources.
As of June 30, 2015, the Company’s operating unit, CarryOutSupplies.com, which is a producer and wholesaler of custom printed and generic takeout supplies served more than 3,000 quick service restaurants. It conducts its operations in an industry segment, including paper and paper-based products, such as paper cups, cup lids, food containers and others. Its products also include double poly paper cups for cold beverage, yogurt cups, ice cream cups, soup containers and plastic spoons. It is a manufacturer and distributor of tree free copy and printer paper products, made from sugarcane waste and bamboo for home and office environments under the Sugarmade brand name. It has also acquired a minority stake in various patents and products for seasoning and spices for food items.