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.
Dead yesterday. Alive today.
After South Dakota House State Affairs Committee members voted 8-3 on Feb. 28 to defeat an adult-use cannabis bill, the legislation is back up and kicking on March 1 via a “smoke out” vote.
RELATED: South Dakota Adult-Use Bill Defeated; Ballot Measure’s Weight Amplifies
Rep. Greg Jamison, a Sioux Falls Republican, gathered 25 colleagues in the 70-member chamber for the political maneuver that has revived Senate Bill 3, which aims to legalized up to 1 ounce of cannabis for adult use in the state. It was passed by the Senate via an 18-17 vote last week.
Under the smoke-out rule, 24 members needed to be onboard with bringing the bill back to life.
Jamison now needs a 36-member majority for the full House to consider the bill, according to Keloland’s Bob Mercer.
A bill moving through the Illinois state legislature would create a commission to study and improve equity in agriculture, including in hemp and cannabis production.
H.B. 5201 would establish a task force to advise the state on policies and programs that would bolster socially disadvantaged producers and create more equity within the industry.
“We know agriculture is the largest job-producing industry in the state of Illinois,” says State Rep. Sonya Harper, who introduced the bill.
However, the loss of Black and other minority farmers in the industry has led to issues with food security, health, and the economy, especially in disadvantaged communities, according to the bill text.
If created, the committee would include around 30 members who come from diverse backgrounds both demographically and professionally, including a representative from a nonprofit organization aimed at increasing healthy food access, an attorney or legal expert in property law, and six socially disadvantaged farmers or agribusiness owners.
The bill specifically highlights hemp and cannabis as an area of focus for the commission. Harper says H.B. 5201 is one of several bills she has introduced and helped pass as it relates to agricultural equity and increasing opportunities for farmers of color.
If other states already made mistakes, then Pennsylvania does not have to repeat them.
That was the tone among state lawmakers during a Senate Law & Justice Committee hearing Feb. 28 to discuss implementing an adult-use cannabis program in Pennsylvania.
The hearing was the second in a series on the issue that kicked off last month, when the committee became the first legislative body in Pennsylvania’s General Assembly to begin planning for legalization beyond the state’s current medical program.
RELATED: Pennsylvania Lawmakers Take First Step Toward Adult-Use Cannabis Legalization
This week’s hearing included testimonies from individuals who played active roles in legalization efforts elsewhere, such as California, Illinois, Massachusetts and New York.
Sen. Mike Regan, the committee’s chair and a former law enforcement officer who represents part of Cumberland and York counties, said Monday that there has been demand from many of his colleagues in both the Senate and the House that any adult-use legislation needs to be comprehensive and include best practices from other states.
Multistate cannabis operator MedMen Enterprises Inc. has announced plans to sell its Florida assets while agreeing to license its trademarks in the state for a limited time.
The company will sell its medical cannabis license, dispensaries, inventory and cultivation operations to Florida-based Green Sentry Holdings for $83 million, according to a press release.
MedMen has also agreed to license its trademarks in the state for a two-year period for a quarterly, revenue-based fee.
“As MedMen continues to transform its business model and position itself for future growth, our go-forward strategy is going to include an asset-light model that enables us to leverage the power and strength of the MedMen brand,” said MedMen’s chairman and interim CEO, Michael Serruya, in a public statement. “We feel confident this model will deliver strong financial results and opportunities for growth across many states and will continue to identify trademark licensing opportunities that will introduce the MedMen brand and retail experience to other markets across the United States and internationally.”
The transaction is expected to close in late April or early May, pending regulatory approval.
We are deep into the first quarter of the new year, and federal legalization of cannabis remains a pipe dream, an ambition located further into the imaginable future than it seemed a year ago. 2021 was called a cannabis “nothing burger” by Forbes Magazine in its own year-end reflection on the federal cannabis legalization movement, which aptly describes the federal inactivity of last year.
Federal action was initially thought by some to happen quickly after the November 2020 watershed election which brought feather-thin Democratic margins in the U.S. Congress and in which five states (all over the geographic and political map) saw cannabis legalization efforts pass with healthy voter margins.
But with the world entering year three of a global pandemic, Russia invading the country of Ukraine, and Americans bickering about mask mandates, federal cannabis legalization has had to take a backseat to other major issues in the crosshairs of the Biden administration. Even though the U.S. House of Representatives at the beginning of February 2022 “advanced” provisions of the SAFE Banking Act (which would permit access to banking by cannabis businesses). That bill, like the previous SAFE banking bills, is expected to go nowhere in the U.S. Senate, however. This latest vote was the sixth such passage of the SAFE Banking Act in the House.
Has the Lack of Federal Legalization Impacted the Market?
This stymied and stalemated federal impasse is now obvious to cannabis multistate operators and M&A specialists. Federal legalization fervor has waned and is reflected in the market. Cannabis stock prices (once soaring) took significant hits in 2021.
However, a downturn in stock value or performance does not tell an industry’s whole financial story. Brad Sodowick, a finance professor at Drexel University’s LeBow School of Business, and who teaches the “Emerging Business of Cannabis,” explained that “the failure to federally legalize is but one factor to be considered when investing in publicly traded cannabis companies. Many other variables are in play as investment in cannabis has always been risky. Thoughtful investment in this industry requires a long-term, multiyear strategy.”
Sodowick’s strategy pointers also include looking at cannabis sales. He forecasts that “marijuana sales in legal states will continue to grow exponentially in 2022 and beyond.”
Patients enrolled in Minnesota’s medical cannabis program can now access flower after a new law went into effect March 1, according to a CBS Minnesota report.
Until now, the state’s dispensaries could only sell medical cannabis in pill, oil and topical form, but the new law, a result of legislation that passed last year, now allows them to sell smokable flower, the news outlet reported.
Two dispensaries, Green Goods in Minneapolis and LeafLine in St. Paul, have been approved by the Minnesota Department of Health to sell flower, according to a KARE 11 report, and patients must apply to obtain flower.
Flower will provide a cheaper alternative to other cannabis products, the news outlet reported, which will help alleviate pricing concerns in the market.
“The number one complaint we have heard from patients over the years is the price point, really,” Chris Tholkes, director of the medical cannabis office within the Minnesota Department of Health, told KARE 11. “[Flower is] cheaper because it's not concentrated like wax pens."
Oregon shoppers who purchased vape products that were allegedly mislabeled as 100% cannabis more than two years ago can begin filing $200 claims through the settlement of a class-action lawsuit.
The lawsuit claims that Cura Partners Inc. failed to disclose that 186,000 units of certain Select brand oil products contained botanical terpenes, according to case administrators, who said Feb. 27 they are ready to begin processing claims, The Oregonian reported.
The claimants must be Oregon residents 21 and older who purchased products from the Select Elite, Select Pax and/or Select Dabbables product lines, including cartridges, disposable pens or pods, between Aug. 15, 2018, and Nov. 22, 2019, according to CPT Group, the case administrators.
Curaleaf signed a definitive agreement to acquire Portland, Ore.-based Cura Partners and its Select brand in May 2019 in a $948.8-million all-stock deal. Curaleaf completed that acquisition in February 2020.
The following year, Curaleaf became involved in a separate lawsuit for allegedly mislabeled products associated with a September 2021 recall by the Oregon Liquor and Cannabis Commission. Those products involved mislabeled CBD tinctures that actually contained THC.
UPDATE: Curaleaf to Face Wrongful Death Lawsuit Tied to Mislabeling CBD Products
Colorado officials issued a health and safety advisory Feb. 28 regarding potential lead contamination in adult-use cannabis products that were sold in the state.
The Colorado Department of Revenue (DOR) and Colorado Department of Public Health and Environment (CDPHE) issued the advisory in response to the identification of potentially unsafe levels of lead on pre-rolls produced by JEM Dutch Acres, LLC, doing business as Earls.
The pre-rolls were sold between Nov. 26, 2021, and Jan. 3, 2022, at JEM Dutch Acres’ dispensary in Leadville, Colo.
The affected products will have the following license number, batch number and product name on the label:
Retail Marijuana Cultivation License: 403R-00509Batch ID Number: 4546Product Name: Pre-Roll Joints Mix, Alaskan Cherry Chem SnakeThe advisory instructs consumers who purchased the affected products to destroy them or return them to the store where they were purchased for proper disposal. Those who experience adverse health affects from consuming the affected products should seek medical attention and report it to Colorado’s Marijuana Enforcement Division (MED) using a MED Reporting Form.
LAS VEGAS – Feb. 28, 2022 – PRESS RELEASE – The Source+, an award-winning cannabis company with four dispensaries in Las Vegas Valley and Reno, recently launched sales of cannabis-infused syrups from Cannalean, available now at all locations.
“Cannalean syrups are both versatile and delicious, and we’re excited to give our customers another option for cannabis consumption, whether you add them to your favorite fizzy drink or right over your morning pancakes,” said Tina Ulman, director of brands for The Source+. “The work that this small, Black-owned local business has put into bringing such a distinct cannabis product to the market is inspiring and we are looking forward to supporting Cannalean.”
A unique addition to the growing cannabis drink market, Cannalean syrups are gluten-free, sugar-free, vegan and organic syrup offered in seven different flavors. Each 100 mg bottle contains 20 capfuls of syrup, yielding roughly 5 mg of THC each and 100 mg total. Cannalean syrups may be added to any beverage or food item of choice.
Flavors offered at all of The Source+’s locations across Nevada include the Grape Drink, made from organic grapes grown in Central California; OG Watermelon, a fan favorite since its release in 2018, made with organic sugar baby watermelons; Pina Punch, crafted from organic pineapples grown in Oaxaca, Mexico; Plain Jane, an unflavored, simple syrup; and Strawblurry, the first flavor released in 2014, made from organic strawberries grown in Central California; all priced at $15.
The Source+ advocates for accessibility to cannabis, with an emphasis on health and wellness benefits, and always provides 10% off purchases for veterans and senior citizens. Offered at its four locations are more than 80 different strains of cannabis, as well as a variety of concentrates, edibles and related medical cannabis products. Customers are encouraged to utilize The Source+’s online ordering platform and in-house delivery services to minimize time spent shopping in-store. More information on store and delivery, curbside and pickup hours can be found here.
Chai Beckett, assistant manager at Buzz Box in Portland, Ore., considered a career in American Sign Language (ASL) before landing in the emerging cannabis industry. She had studied ASL in college, taking her coursework as far as she could, but then she found herself at a crossroads: What should she do professionally, after school?
Cannabis won out, but she soon discovered that it wasn’t an either-or proposition.
Last fall, Katalina B., founder of the advocacy group Human Informed Culture, reached out to Beckett to gauge her interest in a new set of ASL classes directed specifically at budtenders. Beckett jumped at the opportunity. It followed a sequence of events that had kept ASL at the very center of her life for years.
“It just seemed like a really cool language to me,” she says, describing her ASL path. “I started getting really into the music scene, interpreting songs. And then it was like, ‘Why don't we have ASL taught at our school? We just have Spanish and French and German. We don't have ASL, but why not?’” From high school, where she petitioned administrators to add ASL as a course offering, through college, Beckett’s interest in the language bloomed. Then came the cannabis industry.
The monthly ASL-for-cannabis classes are taught by Matt Maxey, founder of Deafinitely Dope. Prior to developing his three-tiered series of ASL classes for the cannabis space, Maxey brought his sign language skills to the music world. He’s worked with Waka Flocka Flame, Chance the Rapper and others to bring music to the hard of hearing.
Maxey describes himself as “hard of hearing—severely profoundly hard of hearing.” He wears two hearing aids.
PALMDESERT, Calif., March 1, 2022 – PRESS RELEASE – Cannabis 21+, a premier family, women, veteran andprivately owned licensed cannabis dispensary operator in California, hasexpanded again, opening its largest store yet in Palm Desert. This is the firstof seven Riverside County locations set to open in the next 18 months.
"Weknow how to run high-volume stores, as our San Diego SDRC-branded locationsserve almost 1,500 customers per day, but we've never had the square footageand service options that this new location offers,” said CEO Sean St. Peter,co-founder of Cannabis 21+. “Coachella Valley residents and tourists will bedelighted by the variety and value we are bringing to the community, including sixlarge kiosks that our supply partners will staff to highlight the benefits oftheir product lines."
ManagerNick Smith added "Cannabis dispensaries should provide all the value ofstorefront retail-like, face-to-face assistance, product education and instantaccess to products. We strive to make shopping for cannabis fun, fast andbudget-friendly, without any of the hassles or worries some associate withcannabis. Our stores are bright, open and have plenty of parking, gettingpeople aged 21 and above back to their daily lives with a smile on their face whetherthey are brand new to cannabis or long-time consumers."
Thislatest edition of what is expected to be 20 locations by the end of 2023 tookover two years to get permitted by Riverside County officials and remodeledwhat was originally constructed as a boutique grocery store. Cannabis 21+ PalmDesert has 15 stations where visitors are offered one-on-one privateconsultation covering the 1,500-plus products it will carry.
Cannabis21+ prides itself on being a "deal store," which only carries itemsit can offer at the lowest price for one unit, and the value gets greater whencustomers tap into their daily deals and bundled offers which its well-trainedbudtenders go over in a fun and fast fashion.
"Wehelped create the reputation for many of California's biggest brands and stillsupport them, but we also like give innovative new companies an opportunity tosucceed, which our customers love," St. Peter said.
LAS VEGAS, March 01, 2022 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Gb Sciences, Inc., a plant-inspired, biopharmaceutical research and development company, has been issued a new patent today by the U.S. Patent and Trademark Office (USPTO) for a cannabinoid-containing mixture designed to treat cardiac hypertrophy, often present in advanced heart disease. Gb Sciences' newly issued patent also covers the use of these receptor-targeted formulations for the treatment of TRPV1-receptor-associated hearing loss and urinary cystitis.
Despite multiple categories of prescription heart medications on the market, heart disease remains the leading cause of death in the United States for people of most racial and ethnic groups. Alternative therapeutic approaches are still needed, especially for the treatment of advanced heart disease. The market for prescription heart disease medications is predicted to rise to $64 billion dollars in the US by 2026, with future market growth fueled by innovative new therapeutic approaches.
"At Gb Sciences, our novel approach to drug discovery combines artificial intelligence and the power of plants to find new treatments based on traditional medicine from around the world," said Dr. Andrea Small-Howard, President, Chief Science Officer, and Director of Gb Sciences. "Our latest patent-protected formulations will potentially help those who are afflicted with advanced heart disease, and they may be useful for the prevention of TRPV1-associated hearing loss and urinary cystitis because of their activity at that important receptor."
Gb Sciences is committed to developing cannabis- and plant-inspired therapies for the prescription drug market that treat advanced heart disease. Gb Sciences' patent covers methods of treatment using optimized mixtures of cannabis-derived compounds as the Active Pharmaceutical Ingredient ("API"), regardless of whether the individual compounds are derived from the cannabis plant, another plant, synthetically produced, or derived from a combination of sources. Gb Sciences' formulations will be produced using synthetically manufactured molecules that are exact copies of the plant-based ingredients that inspired these formulations, but without the need to grow plants to obtain these ingredients.
MARCH 1, 2022 – LAS VEGAS – Cannabis Conference (produced by Cannabis Business Times, Cannabis Dispensary and Hemp Grower media brands) announces today that it will continue a joint partnership with Minority Cannabis Business Association (MCBA) to help minority cannabis entrepreneurs access networking and education opportunities to grow and support their business. The 2nd annual Cannabis Conference Diversity Scholarship Program will provide selected MCBA members with 20 complimentary All-Access Passes to Cannabis Conference 2022.
In addition to the Diversity Scholarship Program, Cannabis Conference is offering a 20% registration discount to all MCBA members.
The Diversity Scholarship Program is part of Cannabis Business Times, Cannabis Dispensary and Hemp Grower media brands’ ‘Game Changer’ Partnership with MCBA. In addition to the scholarship, the media brands will provide nearly $100,000 in annual print and digital MCBA-related promotions to support this pioneering organization dedicated to serving the specific needs of minority cannabis entrepreneurs and their communities.
“It’s important to facilitate advancement opportunities for minorities, who have been disproportionately affected by the war on drugs,” Cannabis Conference Editorial Director Noelle Skodzinski said. “MCBA does essential work to promote equality and diversity in the cannabis industry by working toward fair policies and regulations and creating educational and networking opportunities. We’re proud to be assisting in that effort for a second year at Cannabis Conference and within our media brands.”
“The Diversity Scholarship Program allows us to further empower minority operators and connect them to caliber networking and educational events that are often inaccessible. We are once again excited to partner with the Cannabis Business Times, Cannabis Dispensary, and Hemp Grower brands in providing this invaluable resource to minority cannabis businesses and furthering our mission to see an equitable cannabis industry that we can all be proud of,” MCBA Executive Director Amber Littlejohn said.
Diversity Scholarship Program applications are now open. (Passes will be allocated at the discretion of MCBA.) Click here to apply.
In an effort to support Tennessee’s cannabis and hemp industries, the Tennessee Growers Coalition is hosting an all-day advocacy event for its members from 12-1 p.m. March 1 at the Tennessee State Capitol.
“Hemp Day on the Hill” will include legislative speakers and updates and allow members to connect and engage with representatives to discuss the “importance of continuing to create an economically viable, accessible, and safe hemp industry,” according to a press release.
The event will also consist of several meetings to address top legislative priorities including: House Bill 1690, a measure that would tax and regulate cannabis, including delta-8 THC, and Senate Bill 2598, cross-filed with House Bill 1969, which would decriminalize cannabis use under specific circumstances, as well as create a “regulatory framework for the cultivation, transport, researching, processing, and distribution of marijuana,” the bill text states.
As 54.2% of South Dakota voters are still waiting on their 2020 ballots to sway public cannabis policy, state lawmakers have indicated adult-use legalization isn’t high on their priority list.
South Dakota House State Affairs Committee members voted 8-3 on Feb. 28 to delay consideration of Senate Bill 3 to March 29—one day after the state Legislature’s 2022 session ends—essentially killing the adult-use legalization effort for all intended purposes.
The legislation, which passed the Senate via an 18-17 vote last week, aims to legalize up to 1 ounce of cannabis for those 21 and older.
RELATED: South Dakota Senate Clears Adult-Use Bill by Slimmest Margin
Although the bill is unlikely to progress in the House this year, advocacy group South Dakotans for Better Marijuana Laws (SDBML) released a statement on social media that said there’s still a chance.
“S.B. 3 was just defeated in the SD House State Affairs Committee in an 8-3 vote that demonstrates the political establishment’s disdain for the will of the people,” SDBML officials said in the statement. “But this fight is not over. A group of 24 state representatives can still force a bill to the floor of the House (this is called a "smokeout"). We will keep working to pass legalization until the very end of the session.”
PRESS RELEASE - Greenhouse and indoor dehumidifier developer, DryGair, has appointed Elad Spiegel as the new head of U.S. and Canada operations and sales.
Elad Spiegel is an experienced agronomist who specialized in the design and management of commercial cannabis and hemp cultivation.
Prior to joining DryGair, he acted as director of cultivation and breeding at several companies in North America and Israel. His experience includes designing cannabis production systems and drying rooms, as well as providing leadership in operation management and product development in leading companies.
Spiegel will be attending Indoor Ag-Con 2022 in Las Vegas and representing DryGair on the HVAC panel which will take place on March 1.
Virginians hoping to buy adult-use cannabis from licensed retailers by this September will likely have to wait longer.
Legislation to expedite sales for the state’s forthcoming adult-use program passed the Democratic-controlled Senate earlier this month, but the bill was rejected by Republican-controlled House subcommittee members Feb. 28.
Senate Bill 313 would have allowed certain medical cannabis operators in the state to sell cannabis to the broader adult-use market starting Sept. 15, 2022, but it died along party lines Monday in the lower chamber, the Virginia Mercury reported.
“I think this is a bigger issue than we can correct in two weeks’ time,” said Del. Jay Leftwich, R-Chesapeake, referencing the Virginia General Assembly’s March 12 adjournment date for its 2022 legislative session.
The previous General Assembly legalized adult-use cannabis in March 2021, before an amended compromise bill was ultimately signed by former Gov. Ralph Northam in April.
As a result, adults 21 and older have been allowed to possess up to 1 ounce of cannabis and grow up to four plants per household since July 2021. But the full roll-out of an adult-use program was put on the backburner, subject to reenactment from the 2022 General Assembly.
West Virginia has joined the list of states moving to regulate or ban delta-8 THC.
Sen. Jack Woodrum (R) introduced Senate Bill 666 Feb. 17, which would add the active chemicals in Kratom and delta-8 THC to the Schedule I Controlled Substances list.
According to the National Institute on Drug Abuse (NIDA), Kratom is an herbal extract—typically sold online—that comes from a topical tree (Mitragyna speciosa) grown in Southeast Asia. The leaves of the tree contain “compounds that can have psychotropic (mind-altering) effects,” NIDA reported.
Since the measure was introduced, it has received many public comments from individuals in favor and against the measure. Most commonly, some say they’ve used either substance for medicinal benefits, while others argue that there is not enough scientific research to back those arguments.
Metrc could stand to gain $12 million in the first year as Oklahoma’s sole seed-to-sale tracking contractor for medical cannabis now that an injunction has been lifted.
The Oklahoma Medical Marijuana Authority (OMMA) and Metrc, co-defendants in a class-action lawsuit filed last year, received an agreed order Feb. 25 that allows Metrc to move forward with providing the tracking system for the state’s program, according to OMMA.
The resolution comes after Viridian Legal Services, which represented more than 10,000 of Oklahoma’s licensed cannabis businesses, obtained a restraining order last April. At the time, Viridian attorney Ronald Durbin told NBC-affiliate KFOR that contracting Metrc would create a tracking system monopoly.
“[The licensees are] being required by the OMMA to follow the terms of a contract they had nothing to do with, which we believe is a violation of Oklahoma law,” Durbin said in April.
Now that the temporary restraining order has been lifted through the agreed order, all medical cannabis licensees have until May 26 (90 days) to become compliant.
The agreed order comes as a resolution between the plaintiffs and co-defendants, OMMA officials announced in a release.