When the second-largest employer in the U.S. publicly supports cannabis reform, stakeholders take notice. So do the stock markets.

In a statement to U.S. operations employees on Tuesday, Amazon’s Dave Clark, CEO of its Worldwide Consumer business, said the company will be eliminating its drug testing policy for many workers—notably for any positions not regulated by the U.S. Department of Transportation.

“In the past, like many employers, we’ve disqualified people from working at Amazon if they tested positive for marijuana use,” Clark said. “However, given where state laws are moving across the U.S., we’ve changed course. We will no longer include marijuana in our comprehensive drug screening program for any positions not regulated by the Department of Transportation and will instead treat it the same as alcohol use. We will continue to do impairment checks on the job and will test for all drugs and alcohol after any incident.”

Clark went on to say that Amazon supports passage of the Marijuana Opportunity Reinvestment and Expungement (MORE) Act, legislation that aims to legalize cannabis at the federal level while also expunging criminal records and investing in communities most impacted by prohibition. The MORE Act was reintroduced in the U.S. House on May 28.

In the wake of that Amazon statement, Canadian cannabis companies Tilray Inc. and Sundial Growers Inc. embarked on a two-day rally on the Nasdaq Stock Market.

When the market opened Tuesday—the day of the Amazon statement—Sundial’s shares (SNDL) were valued $1.06. Since then, the stock surged more than 38% at its highest point of $1.47 Thursday morning.

And Tilray (TLRY), which opened at $17.45 Tuesday, peaked at $21.27 Thursday morning—a 21.9% increase.

According to HypeEquity data, Tilray and Sundial were two of the top talked-about companies Wednesday among a group of 18 stocks, including AMC Entertainment Holdings, Bed Bath & Beyond and GameStop, as reported by Markets Insider. In particular, AMC attracted attention in late January and early February, when non-professional traders started squeezing long-held short positions on several unsuspecting stocks.

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But since their Thursday morning peaks, the momentum behind the cannabis stock rallies slowed. Sundial dipped to $1.32 at Tilray to $19.80 by noon EST—still up 19.7% and 13.5%, respectively, from where they opened Tuesday.

SANTA FE, N.M. (June 3, 2021)  Santa Fe Farms, a leader in the production, manufacturing and distribution of hemp and hemp-derived products for industrial use, announced today that Kimberly Kovacs, formerly CEO and chair of the Arcview Group, has been appointed chief strategy officer.

“Santa Fe Farms is positioned at the forefront of one of the most important opportunities for global change in our lifetime,” said Steven Gluckstern, founder, chairman and CEO of Santa Fe Farms. Explaining the impetus behind the appointment, Gluckstern said, “For hemp to reach its full potential in transforming global agriculture, it is crucial that we expand production to industrial applications such as building materials, textiles, and advanced carbons. Under Kim’s strategic direction, our company can make a powerful impact by leveraging hemp as a tool for positive change around the world.”

Kovacs will remain on the board of directors for the Arcview Group, ensuring a strong ongoing partnership between Santa Fe Farms and the Arcview family of companies. Jeff Finkel, CEO of Arcview Ventures, will succeed Kovacs as CEO, ensuring continuity of vision and operations at the Arcview Group (comprised of Arcview Capital, Arcview Ventures and Arcview Consulting).

“Joining the leadership team at Santa Fe Farms is an exciting next step for me in my passion to create sustainable solutions to address global carbon reduction. My objective is to enhance Santa Fe Farms’ existing relationship with Arcview to expand our footprint in industrial hemp and advance Environmental, Social and Governance (ESG) initiatives with Global 1000 corporations and large-scale infrastructure projects,” Kovacs stated. “I look forward to continuing my advocacy for carbon neutrality, ESG investing, and environmentally sustainable business practices with the team here at Santa Fe Farms.”

Kovacs’ distinguished career has spanned over 25 years in executive leadership and finance with focus on emerging companies in clean technology, software, life sciences and more recently, the high-growth cannabis sector. She has founded many successful startup ventures, raised over $120 million in capital and delivered significant returns to investors. Kovacs is managing director of Arroyo Ventures, a strategic advisory and investment firm for high net-worth female investors and women entrepreneurs. She is also a long-time advocate for carbon neutrality, working with the California Air Resources Board, the Texas Commission on Environmental Quality and the EPA on developing clean fuel standards and initiatives.

Leveraging her expertise in sustainability, capital markets and regulatory affairs, Kovacs will drive acquisitions, global expansion and impact investment opportunities within the Santa Fe Farms portfolio.

Amazon will no longer drug test employees for marijuana and supports the passage of the Marijuana Opportunity Reinvestment and Expungement (MORE) Act of 2021, the company said in a statement this week.

© credit | Amazon

"We're adjusting our drug testing policy," said Dave Clark, CEO of Amazon's worldwide consumer business. "In the past, like many employers, we've disqualified people from working at Amazon if they tested positive for marijuana use. However, given where state laws are moving across the U.S., we've changed course. We will no longer include marijuana in our comprehensive drug screening program for any positions not regulated by the Department of Transportation, and will instead treat it the same as alcohol use. We will continue to do impairment checks on the job and will test for all drugs and alcohol after any incident."

In addition, Amazon expressed public support for the passage of the MORE Act, which would legalize marijuana at the federal level while also expunging criminal records and investing in communities most impacted by marijuana prohibition.

"We hope that other employers will join us, and that policymakers will act swiftly to pass this law," Clark said.

Cannabis industry associations applauded Amazon's decision to eliminate drug testing for marijuana and the company's support for the MORE Act.

"As the United States' second-largest private employer, Amazon committing to no longer test those of its 1.3 million employees not regulated by DOT for marijuana - and publicly supporting the MORE Act - is a huge step forward in eliminating one of the main ways the drug war has robbed so many of their livelihoods," said Kassandra Frederique, executive director of the Drug Policy Alliance. "Drug testing has never provided an accurate indication of a person's ability to perform their job, and yet this incredibly invasive practice has locked out millions of people who use drugs - both licit and illicit - from the workplace.

"We urge other employers to take note and follow suit, ending this counterproductive practice once and for all," Frederique added. "And we urge the House to swiftly pass the MORE Act absent of harmful provision that was added to exclude federal workers of drug testing protections, so we can roll up our sleeves and get on with the work of passing marijuana justice in the Senate as well."

The Marijuana Policy Project (MPP) also commended Amazon for its support of the MORE Act and its decision to eliminate marijuana testing.

"The decision by Amazon to update their drug testing policy to omit marijuana will have a huge impact," said Matthew Schweich, deputy director at MPP. "Disqualifying potential employees for cannabis use is both outdated and bad for business. Adults should not be punished for responsibly using cannabis outside of the workplace.

"Amazon's support for the MORE Act is yet another sign that the American people - and the American business community - back federal cannabis reform that begins to rectify the harms of cannabis prohibition by prioritizing social justice and social equity," Schweich added.

BOULDER, Colo., June 2, 2021 – PRESS RELEASE – Charlotte’s Web Holdings Inc., a market leader in hemp CBD wellness products and a certified B Corporation, announced the collaboration of its CW Labs division on a preclinical sleep and anxiety study with the University of Colorado Boulder’s REACH (Research and Education Addressing Cannabis and Health) Center. The scientific investigation uses the company’s full-spectrum hemp formulations with cannabinol (CBN) and cannabidiol (CBD) and levels of tetrahydrocannabinol (THC) below 0.3% to examine the impact on anxiety and sleep quality. Charlotte’s Web is the only hemp CBD brand supporting the University of Colorado REACH Center’s milestone study.

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There is limited published preclinical or clinical data on phytocannabinoids other than CBD and THC, especially their effect at levels available in commercially sold hemp-derived CBD supplements. There is some anecdotal evidence on the ability of CBN to help with sleep but little substantiated clinical or preclinical evidence to validate that pervasive claim. Long term, it is anticipated that this study will inform future clinical initiatives to better understand how specific ratios of cannabinoids and different delivery formats are effective at supporting improved sleep quality and instilling healthier sleep architecture in humans.

“Charlotte’s Web is committed to advancing science on the benefits and safety of CBD and other hemp phytocannabinoids through rigorous scientific investigations such as this sleep and anxiety study,” said Tim Orr, senior vice president of Charlotte’s Web and president of its CW Labs division, which currently has more than a dozen scientific research studies underway. “We’re honored to team up with CU’s REACH Center to explore the potential impacts of full-spectrum hemp extract with CBD and CBN on anxiety and sleep quality.”

Monika Fleshner, Ph.D., professor of integrative physiology, and a member of the Center for Neuroscience at the University of Colorado Boulder, is the project lead, and this preclinical study will be conducted in her Stress Physiology Laboratory.   

“There is a great need for properly controlled experimental studies that are designed to test the potential neural and physiological impacts of hemp-derived phytocannabinoids,” Fleshner said. “With support from CU REACH and Charlotte’s Web, our research will explore both the efficacy and mechanisms of how these substances can affect complex brain-mediated behavior, such as disturbed sleep.”