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by Stockwatch Business Reporter

The Canadian Securities Exchange Composite Index slipped 0.33 point to 404.25 Tuesday. Sunniva Inc. (SNN) said yesterday that it is continuing to work on the June 11 agreed-upon sale of Sunniva Medical Inc., which owns the Sunniva Canada operation in Okanagan Falls, B.C. Under the agreement, CannaPharmaRx would pay $20-million in cash (less outstanding liabilities owed by Sunniva Medical) to Sunniva. The update that Sunniva "continues to work" with CannaPharmRx on the sale was rather vague and did not inspire shareholder confidence. It did not help that, along with that announcement, Sunniva revealed that its chief financial officer, Dave Lyle, resigned. He had only been CFO since May 31. Sunniva dropped 14 cents yesterday and another seven cents today. It closed at $1.19.

Sunniva had hoped to close the sale of Sunniva Medical near the beginning of July, so it is well behind schedule, which is something of a recurring theme for Sunniva. The company had originally targeted the end of 2018 to finish the first phase of its California glasshouse (its main growing operation, usually known as a greenhouse). It still has not completed the greenhouse. In part because of a lack of cash, Sunniva said in its most recent update (in August) that it now does not expect the greenhouse to be completed until early 2020. Whether it is a greenhouse or a glasshouse seems to be a word choice. What is not a word choice is Sunniva's inability to deliver on its plans, which has led to a share price drop to $1.19 from a 2019 high of $5.66.

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