MjLink Cannabis Business News and Press
CBT focuses strictly on the business of legal cannabis for medical and recreational use and aims to provide timely information—through its website, e-newsletter, mobile app, print magazine and annual conference—to help the reader make timely, informed decisions to help them run their businesses better and more profitably. In 2018, Cannabis Business Times was named Magazine of the Year by the American Society of Business Publication Editors.
Cannabis consumption lounges are legal in California, but not in the state’s capital—and it looks like it’s going to stay that way after a May 10 committee meeting.
A plan to allow cannabis consumption lounges in Sacramento stalled Tuesday when City Council Law and Legislation Committee Chairman Jay Schenirer refused to discuss the plan, even though it was on the committee’s agenda, the Sacramento Bee reported.
RELATED: Could Sacramento Implement Cannabis Consumption Lounges?
“I personally have not heard and have not talked to a lot of council members about this, but have not seen a lot of desire to move this item at this point in Sacramento,” Schenirer said, according to the news outlet.
Councilwoman Katie Valenzuela, who is also a member of the Law and Legislation Committee, told the Sacramento Bee that she plans to ask the full city council at its May 24 meeting to reconsider holding a discussion on cannabis consumption lounges. If the council gives the green light, the issue will then go back to the committee.
The California-based cannabis company, Solful, is built on its philosophy of selling 100% sun-grown cannabis from small craft cultivators in Northern California.
Eli Melrod, co-founder and CEO of Solful, explains that at the start of operations back in 2017, several people doubted the company's mission. But Melrod says he saw an opportunity to capitalize on the network of small craft farms in Northern California.
Here, Melrod explains the idea behind the company's brand, as well as what led him to his career in the cannabis space.
Andriana Ruscitto (AR): Can you share a bit of your background and how you and your company got to the present day?
Eli Melrod (EM): So, my personal journey with cannabis started when my dad was diagnosed with pancreatic cancer. He's a pancreatic cancer survivor. When I was 11 years old, my dad basically had six to 12 months to live. Fast forward a number of years, a couple of decades later, fortunately, he's still with us and healthy. Cannabis has been really an impactful part of his healing journey. … So anyway, I really saw that experience firsthand.
I grew up in San Francisco, went away to school for a bit on the east coast, and came back in late 2014 or early 2015. Then, I really could just see the writing on the wall that cannabis is getting legalized in California with the ballot initiative [in] 2016. I just got really excited about getting to join the space, something I really believed in, and frankly, I've always wanted to be an entrepreneur. I was always interested in business. So, [I] got involved in the space and began iterating on different concepts with a longtime family friend who ended up being my co-founder. … This was back in 2015. We got really excited about the concept for cannabis retail in California. [We] really understood that ... it’s the best opportunity to build a brand when you have that direct consumer relationship.
Chris “Cheeto” Batten had racked up close to 20 years in the surf, skate and snow industry before CULTA co-founder Mackie Barch visited one of the stores Batten operated and approached him about bringing the same vibe to Barch’s Maryland-based medical cannabis company.
Now, four years and several digital branding and design awards later, Batten, CULTA’s creative director, has crafted a marketing strategy that he says is the brand standard in Maryland’s market.
“I don’t think anyone’s put as much onus on their marketing and branding in Maryland as we have,” he tells Cannabis Business Times. “Branding is really important because it is your image. It’s the first thing people see, it’s what they associate you with, and then you get to the point of quality.”
CULTA announced earlier this month that it received multiple awards from the AVA Digital Awards and Hermes Creative Awards for the company’s digital branding and creative assets.
CULTA received one platinum and two gold AVA Digital Awards for its brand guidelines and stop motion videos, as well as two gold Hermes Awards for its 7/10 and Bones designs.
Lowell Farms, in partnership with Schwazze, will debut its brand and products in Colorado and New Mexico by the fourth quarter of 2022.
RELATED: Lowell Farms Announces Unaudited First Quarter 2022 Financial and Operational Results
The strategic licensing agreement between Lowell Farms and Schwazze will bring Lowell Smokes to dispensaries across both markets, including Schwazze’s three retail brands, Emerald Fields and Star Buds in Colorado, and R. Greenleaf in New Mexico.
“At Lowell, we celebrate great weed and its journey into the mainstream. No cannabis brand can claim authenticity without the stamp of approval from Coloradans to whom the entire industry owes a debt,” said George Allen, chairman of the board at Lowell Farms. “We are excited to enter this fantastic market along with New Mexico with the seasoned team at Schwazze who share our passion for excellence.”
RELATED: A View From The Golden State: Q&A with Lowell Farms Chairman George Allen
The Missouri House voted May 10 to require state regulators to disclose the ownership records associated with the state’s licensed medical cannabis businesses, according to the News Tribune.
The state has thus far withheld this information from the public due a provision included in the medical cannabis legalization measure that voters approved in 2018, the news outlet reported. That language states that regulators must “maintain the confidentiality of reports or other information obtained from an applicant or licensee containing any individualized data, information, or records related to the licensee or its operation,” according to the News Tribune.
Rep. Peter Merideth, D-St. Louis, added an amendment to a local government bill that was approved by the Senate earlier this year to require regulators to disclose the medical cannabis ownership records, the news outlet reported.
Lawmakers approved the amendment in a 128-6 vote, according to the News Tribune, and now that the full House has passed the underlying bill, it heads back to the Senate for final approval.
Legislators on both sides of the aisle argued at Tuesday’s hearing that the Missouri Department of Senior Health and Services’ (DSHS) decision to keep the medical cannabis ownership records confidential has created issues in overseeing the program.
Beginning May 26, the Los Angeles Department of Cannabis Regulation (DCR) will re-open verification for the city’s social equity program. The 60-day window for verification will close on July 25, according to DCR.
Dispensary, delivery and cultivation licenses will be issued solely to Social Equity Individual Applicants (SEIAs) through Jan. 1, 2025, per DCR.
RELATED: Wading Through Social Equity in Los Angeles
SEIAs must have a prior cannabis-related arrest or conviction in California. They must also either qualify as low-income or have a cumulative residency of 10 years in a Disproportionately Impacted Area.
“Applicants in 2019 [who] wish to pursue a retail storefront license application as part of the Phase 3 Retail Round 2 lottery … will need to be verified again with the updated criteria in order to qualify,” according to DCR.
In 2020, the Los Angeles City Council unanimously voted to overhaul the city’s social equity program, according to Katchko, Vitiello & Karikomi, PC. DCR states that program changes that year included revised definitions for “Low Income” and “Disproportionately Impacted Areas.”
Many of the legacy cannabis growers who built California’s flower market are in trouble, facing wholesale price compression, high taxes and a still-thriving illicit market with no way to compete against the larger operators in the state’s volatile marketplace.
Justin Calvino has set out to bring larger margins back to the state’s smaller farms with the launch of Emerald Road, a cryptocurrency-exclusive, blockchain-backed e-commerce platform that allows consumers to interact with farmers and purchase product for delivery through Organic Kind, a licensed cannabis delivery service in the state.
“Boy, are we resilient,” Calvino told Cannabis Business Times. “We’re just reinventing ourselves every day.”
RELATED: California’s Cannabis Market: ‘A Recipe for Disaster’
Emerald Road is hosted on a web3 platform, a new iteration of the internet centered on decentralization and token-based economics that can support blockchain technology.
The largest medical-only cannabis market in the U.S., Florida continues to be an attractive state for expansion for some of the biggest cannabis companies in the world.
Earlier this month, Massachusetts-based multistate operator Curaleaf Holdings Inc. announced plans to open three new dispensaries in Florida: a 5,000-square-foot facility in Bradenton that will have a grand opening May 13; a 5,821-square-foot facility in Tampa that will have a grand opening May 20; and a 3,156-square-foot facility in Orlando that will open at the end of this month, pending regulatory approval.
That expansion will bring Curaleaf’s retail footprint to 11 dispensaries in those three cities alone, and to 50 dispensaries in Florida and 133 locations nationwide.
While Curaleaf’s strategic expansion includes operations in 23 states, Florida in particular has been a key focus in recent months: The company has added 12 dispensaries in the Sunshine State since December, increasing its retail footprint there by 31.6%.
With that expansion, Curaleaf’s Florida retail footprint trails only Tallahassee, Fla.-based Trulieve, which had 115 operating dispensaries in the state as of May 5, according to Florida’s Office of Medical Marijuana Use (OMMU).
Detroit City Council members approved an ordinance allowing adult-use cannabis businesses within the city last month, more than three years after Michigan voters approved an adult-use legalization measure in the 2018 election, and now a lawsuit threatens to further postpone the city’s adult-use rollout.
A group of medical cannabis dispensaries in Detroit—House of Dank, Herbal Wellness, TJM Enterprises Services and Detroit Natural Selections Enterprises—filed the lawsuit May 11 in Wayne County Circuit Court, according to the Detroit Free Press.
The plaintiffs are challenging a provision in the city’s adult-use cannabis ordinance that bars medical cannabis operators from receiving an adult-use license until 2027, the news outlet reported.
The dispensaries claim that the city’s medical cannabis businesses will have likely closed down due to lack of sales by the time Detroit opens the adult-use program to medical operators, the Detroit Free Press reported. They are asking the court to block the city from prohibiting dispensaries that sell both medical and adult-use cannabis.
The plaintiffs’ argument rests on claims that Michigan’s adult-use cannabis law specifies that once municipalities opt in to the program, they cannot bar medical cannabis licensees from seeking licenses to operate in the adult-use market, according to the Detroit Free Press.
BOCA RATON, Florida, May 12, 2022 - PRESS RELEASE - Jushi Holdings., a vertically integrated, multi-state cannabis operator, announced it is expanding its retail footprint in California with the opening of its 32nd retail location nationally and third dispensary in the Golden State: BEYOND / HELLO Grover Beach. The new store, located between Ocean and Pismo Beach at 923 Huber Street, is the fourth and final retail dispensary permitted in Grover Beach.
BEYOND / HELLO Grover Beach will officially open and start serving consumers and medical cannabis patients at 10:00 a.m. Friday, May 13. Along with providing an unparalleled customer-centric retail experience, the store features options for online ordering through beyond-hello.com as well as nine point-of-sale systems, including two express checkouts and 27 on-site parking spots.
"With an annual tourist population of approximately 2.2 million and many of the surrounding municipalities prohibiting retail cannabis dispensaries from operating, Grover Beach presents a key market opportunity for Jushi," said Jushi CEO, Chairman and Founder Jim Cacioppo. "We are excited to expand access to this thriving beach town and region and look forward to strategically expanding our footprint in California with the opening of an additional retail location in Culver City."
BEYOND / HELLO Grover Beach will carry top cannabis brands and products, including flower, concentrates, vaporization products, tinctures, edibles, topicals, capsules, pills and various ancillary products such as approved rigs, batteries, merchandise and other devices. The retail location provides Californians with an efficient, accessible and safe experience that goes beyond the traditional cannabis retail environment. As part of the company's commitment to exceeding customer expectations, experienced, well-trained staff will also be on-site to help dispense products, answer questions and provide exceptional service. In addition, BEYOND / HELLO Grover Beach is handicap accessible, LGBTQIA+ friendly and offers a standing 10% discount to anyone 65 years or older, as well as veterans and active military personnel with identification.
Jushi owns 78% of the equity of the Grover Beach, California retail license and has the option to acquire the remaining equity in the future.
The company is also excited to announce it has begun offering language translation services for phone calls received through the Jushi Customer Care Team. Callers can speak to the Customer Care Team directly or access via the auto-attendants at each dispensary location to utilize the service. The service can provide caller translations in over 200 languages to support patients and customers in local areas. Furthermore, it helps Jushi better serve diverse communities and foster an inclusive atmosphere while also providing information about its national retail network and products.
]]>Thailand’s government plans to provide one million cannabis plants to its citizens for home cultivation once legal restrictions on cannabis possession and production are lifted next month, according to the Associated Press.
Public Health Minister Anutin Charnvirakul signed a measure in February that removed cannabis from a list of controlled drugs, and officials are optimistic that a regulated cannabis industry will generate hundreds of millions of dollars each year and attract foreign tourists, AP reported.
Thailand’s parliament voted to approve cannabis for medical use in 2018, and restrictions on cannabis have been gradually loosened since then, according to AP.
RELATED: Thailand Unveils International Medical Cannabis Research Center
The decriminalization measure takes effect June 9, the news outlet reported, legalizing cannabis possession and the use of all parts of the plant, including flower and seeds.
MIAMI, May 12, 2022 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Ayr Wellness Inc., a vertically integrated U.S. multi-state cannabis operator (MSO), today announced the opening of its 47th Florida dispensary, located in Clermont, a western suburb of Orlando.
The new dispensary spans 4,000 square feet of retail space and is located near Clermont Historical Village. The store features Ayr’s full line of concentrates, edibles, gummies, vapes and a selection of high-quality flower, including newly launched Kynd whole flower offerings and Walking STiX pre-rolls.
“We continue to open stores in Florida at a rapid pace, with today’s opening marking 47 locations across the state,” said Jonathan Sandelman, founder, chairman and CEO of Ayr. “The expansion of our Florida footprint, combined with the continued rollout of our national brands like Kynd, STiX and Entourage, positions us well to continue to capture market share throughout the Sunshine State.”
In February 2021, Ayr purchased Florida-based Liberty Health Sciences, which included 31 dispensaries across the state. Since then, the company has opened 16 additional locations–bringing the current total to 47 stores.
In 2021, Ayr relocated its U.S. headquarters from New York City to Miami, underscoring the company’s commitment to the region. Florida has ~715,000 patients enrolled in its medical marijuana program as of May 6, 2022, per Florida OMMU. Florida’s cannabis market ranks third in the nation by total legal cannabis sales, per BDSA, and generated over $1.8 billion in medical cannabis revenue in 2021. BDSA expects Florida’s cannabis market to generate $3.4 billion per year by 2026.
NORWOOD, Mass., May 12, 2022 – PRESS RELEASE – MariMed Inc., a leading multistate cannabis operator focused on improving lives every day, announced the appointment of Jon Levine to the new role of chief administration officer (CAO) and the appointment of Susan Villare to chief financial officer (CFO) effective May 12, 2022. Strengthening MariMed’s leadership team will enable the company to more effectively implement its strategic growth plan and solidify MariMed’s status as a premier national cannabis company.
Levine co-founded MariMed with CEO Bob Fireman. As the company’s CFO, he drove the financial discipline required to make MariMed an industry leader. The company’s finance and accounting teams, operations, sales and marketing, and external communications will all now report to Levine as CAO.
Villare is a CPA and finance executive with nearly 30 years of experience leading global and national organizations through transformations and dynamic growth. Most recently, Villare was the senior vice president of Financial Planning and Analysis and treasurer for Ribbon Communications and held CFO and other senior finance leadership positions for public and private companies, including BigBand Networks, Burst Media, MatrixOne, and Price Waterhouse. She has an accounting degree from Boston College and is skilled in the areas of financial reporting and analysis, mergers and acquisitions, ERP implementations, investor relations and more.
"Jon has been a driving force behind MariMed’s success the past decade, including positioning us financially to achieve our ambitious growth goals,” Fireman said. “As CAO, and with Susan, a seasoned finance executive in place, Jon can now assume a greater role to use his decade of cannabis management and operation experience to help lead MariMed into the next phase of our promising future.”
Levine said, “I am excited to embark on this expanded role at MariMed, which is possible in large part because we are welcoming such a talented executive to take on our CFO role. Susan’s experience managing and analyzing complex financial and accounting data, and negotiating and integrating dozens of acquisitions in high-growth industries, will be invaluable as MariMed embarks on the next phase of its growth strategy.”]]>Fast Take With Matt Darin, Curaleaf CEO
Biggest challenge in either launching or maintaining a cultivation operation:
Missouri's medical cannabis sales had yet another record-breaking month in April totaling $335.8 million—up roughly 11% from March.
April's sales saw a 773.3% increase from last April, which brought in $38.5 million, according to data from the Missouri Department of Health and Senior Services (MDHSS).
Sales have also seen a steady month-over-month increase since they began in October 2020, and since the program's launch, the MDHSS has issued over 185,000 medical cannabis cards to patients and caregivers, according to a press release from the Missouri Medical Cannabis Trade Association (MMCTA).
Missouri is also working to broaden participation within its cannabis industry this year through its 2022 ballot initiative. According to the MMCTA release, the initiative would specifically target "small business owners and among historically disadvantaged populations, including those with limited capital, residents of high-poverty communities, service-disabled veterans and those previously convicted of non-violent marijuana offenses, among other categories," according to the release.
The state would create a new licensing category reserved for small businesses to add a minimum of 144 licensed facilities to the existing 378. The new licensing category would also allow "operators to both cultivate the plant and manufacture cannabis products," according to the release.
A monthslong legal battle between a pair of multistate cannabis operators over a definitive acquisition agreement is on its way to being resolved.
New York-based Ascend Wellness Holdings Inc. (AWH) announced May 11 that it signed a term sheet to settle a lawsuit against Los Angeles-based MedMen Enterprises Inc. and acquire 99.99% controlling interest in subsidiary MedMen New York Inc. (MMNY) for $88 million—$15 million more than originally considered.
The filings in the lawsuit stemmed from an earlier $73-million definitive investment agreement between the two companies on Feb. 25, 2021. One of New York’s 10 licenses to distribute medical cannabis was on the table in that agreement.
But MedMen officials backed out of the deal, announcing Jan. 3, 2022, their decision to terminate the investment agreement just weeks after the two companies received final approval from the New York Cannabis Control Board and the state’s Office of Cannabis Management for the acquisition, sparking legal claims.
RELATED: Ascend Wellness Files Amended Complaint Against MedMen
To settle the dispute, Ascend officials announced Wednesday that they will increase the transaction consideration by $15 million, $4 million of which is contingent on the start of adult-use sales at an MMNY dispensary.
Edwardsburgh, ON, May 11, 2022- PRESS RELEASE - Purplefarm Genetics, a cannabis company in Johnstown, Ontario, has announced that it has entered into a business partnership with U.S. based Tyson 2.0, legendary boxer, entrepreneur and cannabis advocate Mike Tyson’s recently formed cannabis company. Through the partnership, Tyson 2.0 and Purplefarm Genetics will aim to bring innovative, craft cannabis products, develop curated content and create a customized brand strategy across Canada.
The undisputed heavyweight champ first began using cannabis to promote relaxation and concentration. Mike Tyson said, “I wish I discovered the many benefits of cannabis earlier in my boxing career. Cannabis brings relief and repair to the mind and body, and it has changed me for the better. Through Tyson 2.0 cannabis products, tested and approved by me, I can now share that gift of cannabis with others seeking greater wellness."
Purplefarm Genetics produced proprietary genetics for Tyson 2.0’s TKO, a craft strain which will be available in 7-gram bags starting in mid-May 2022. Grown in Purplefarm’s dedicated cultivation facility, all of the flower in this collection is trimmed, dried, and packaged by hand utilizing only the top portion of the bud while discarding the middle sections. Tyson 2.0 will also sell its ear-shaped edibles, Mike’s Bites, beverages and concentrates in collaboration with Purplefarm Genetics retailers. The products will first be available starting in May across British Columbia followed by Quebec and Ontario, Canada’s largest and most populous provinces in Fall of 2022.
Purplefarm Genetics’ mission is to grow unique cultivars with consistently rich cannabinoid and terpene profiles for the Canadian medical and recreational markets. With a commitment to operational transparency and cultivation excellence, the Purplefarm Genetics’ team will bring to the Canadian market incomparable cannabis products that can only be derived through innovative, precision agriculture.
“We are honored to collaborate with Purplefarm Genetics, one of the leading cannabis producers in Canada known for unrivaled quality, to bring Tyson 2.0 TKO and Mike Bites to Canadians nationwide,” said Mike Tyson, Chief Brand Officer and co-founder of Tyson 2.0.
LAS VEGAS, NV / ACCESSWIRE / May 10, 2022 / PRESS RELEASE / Planet 13 Holdings Inc., a vertically-integrated multi-state cannabis company, announced the second location of its planned Florida dispensary network located in the city of Port Richey, a prominent suburb in the rapid-growth Tampa - St. Petersburg - Clearwater region.
"We are continuing to execute on our Florida expansion in line with our budget and timeline. This is our second dispensary location of our initial six neighborhood dispensaries targeted towards major Florida population centers with underserved local residents," said Larry Scheffler, co-CEO of Planet 13.
The location in Port Richey is on a busy retail corridor near a Home Depot and on the way to the popular waterfront destinations from downtown.
For more information on Planet 13, visit the investor website.
Curio Wellness named Greg Miller as the company’s new president of retail, effective May 3.
Miller will lead Far & Dotter, Curio Wellness’ retail subsidiary. In his new role, Miller will be responsible for raising the company’s national profile in regard to cannabis quality, patient education, and counseling, company officials said in a release.
Miller comes to Curio Wellness with experience as a former executive at McDonald’s and, more recently, as chief operating officer at Taco John’s, where he led operations, training and development, franchising, construction and real estate, and restaurant technology.
RELATED: BellRock Brands Announces Exclusive Licensing Agreement with Curio Wellness
He will join Curio’s executive leadership team and report directly to Chairman and CEO Michael Bronfein.
“At Far & Dotter, we are committed to living out Curio Wellness’ patient-first approach. Greg’s career demonstrates that he too is intensely focused on delivering excellence for his customers, and building brand loyalty and trust,” Bronfein said. “Greg’s extensive experience in franchise operations lends itself well to the growth of the Far & Dotter brand. I look forward to collaborating with him as he shapes the future of our innovative business model intended to increase diversity in the cannabis retail industry.”
Miller also expressed gratitude and optimism in his new position as president of retail at Curio Wellness.
Cannabis consumption lounges are legal in California but not in Sacramento. But now, the state’s capital is looking to jump on board.
During a Tuesday committee meeting, city officials were set to review several issues related to cannabis, including a proposal that would allow licensed dispensaries to create designated onsite areas for individuals to consume cannabis.
The proposal touches on ideas like monitoring individual usage, implementing employee training, setting time limits, and having lounges be required to offer ride-share services or regional transit passes, MSN reported.
Officials could reach a decision on the proposal later this month.
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