MjLink Cannabis Business News and Press

Verano Holdings closed its acquisition of all equity interests of vertically integrated Sierra Well (WSCC Inc).

Verano’s acquisition includes two operational dispensaries – one in Reno, the other in Carson City – as well as an active 100,000-square-foot cultivation and production facility in Reno and real estate property in each city. Sierra Well is now a wholly-owned subsidiary of Verano, according to a company release.

With the acquisition, Verano’s Nevada portfolio now totals five dispensaries and two cultivation and production facilities. The acquisition also includes two medical cannabis cultivation licenses, two medical dispensary licenses, one medical production license, two adult-use cultivation licenses, two adult-use dispensary licenses, one adult-use manufacturing license, and one adult-use distribution license.

“Today signifies a huge step forward for our business in Nevada, a state that we have long considered a core growth market and key piece of our operational footprint,” said George Archos, co-founder and CEO of Verano. “Gaining a presence in Reno and Carson City provides Verano with comprehensive retail and distribution opportunities in Northern Nevada that complement our current operations in the Las Vegas area. With a growing population, booming tourism and an abundance of natural beauty, we look forward to a bright future in the great state of Nevada.”

RELATED: Verano’s Preparedness Drives Anticipated Growth in New Markets: Q&A with CEO George Archos

Verano’s total U.S. footprint now spans 116 dispensaries and 14 cultivation and processing facilities across 13 states.

The Seattle City Council unanimously approved a package of legislation Sept. 6 to help create a more equitable cannabis industry.

The bills, backed by Mayor Bruce Harrell, would, among other provisions, establish a social equity cannabis license for qualifying entrepreneurs in the city.

RELATED: Mayor Introduces Cannabis Equity Bills in ‘One Seattle’ Approach

The legislative package is made up of three bills, as outlined in a press release:

“I am very pleased to see that this joint effort between my office, the Council, [Finance and Administration Services] (FAS) and community stakeholders has resulted in the passage of this suite of bills,” Harrell said in a public statement. “It’s worth repeating that this is a first—but necessary—step toward equity long overdue in the cannabis industry. The work still to come will highlight additional opportunities for improvement in our current system, and I look forward to the recommendations that result from the Cannabis Needs Assessment. This work won’t be easy, but I believe together we can foster an open conversation between workers, community members and industry leaders to identify common priorities and align on efforts to advance our shared values of equity and restoration.”

The New Mexico Cannabis Control Division of the Regulation and Licensing Department announced Sept. 7 that the state’s total cannabis sales set a new record in August, with total medical and adult-use sales surpassing $40 million.

Medical cannabis sales totaled $16,459,951.69 last month and adult-use sales totaled $24,219,338.50, for a grand total of $40,679,290.19.

RELATED: New Mexico Total Cannabis Sales Top $40 Million in July

Albuquerque, Santa Fe, Las Cruces, Hobbes and Rio Rancho reported the highest sales numbers, with Albuquerque racking up $14,628,736.33 in total sales.

Glass House Brands, a vertically integrated cannabis company, has expanded its California footprint by acquiring Natural Healing Center (NHC) dispensaries in Grover Beach and Lemoore, Cali.

Under the agreement, Glass House will acquire two operating NHC dispensaries in Grover Beach and Lemoore and is expected to close the acquisition of two additional NHC locations in Morro Bay and Turlock (upon the store’s opening) by the end of this year, according to a press release.

“As we stated when announcing the execution of definitive agreements for the NHC transaction, this acquisition will advance us further in our goal of becoming one of the largest retailers in the state of California, adds further support to our recently acquired PLUS edibles business and provides incremental outlets for CPG (consumer packaged goods) sales as the SoCal farm continues to expand its output,” said Kyle Kazan, Glass House Chairman and CEO. “Given NHC’s positioning in limited license markets and its strong consumer following, we are excited to add these [four] dispensaries to our retail portfolio. We are now poised to execute a dramatic transformation in the size of our retail dispensary business.”

In addition, the company also acquired three active retail, distribution and cultivation licenses, “as well as six city-level adult-use and medical cannabis retailer, distributor and cultivation licenses,” in early August from The Pottery dispensary in Los Angeles, Cannabis Business Times reported.

NHC CEO, Valnette Garcia, also expressed her excitement about the acquisition.

“I am excited to see the Grover Beach and Lemoore transactions finalized and look forward to sharing best practices between NHC, the Farmacy stores and The Pottery to drive operating efficiencies, amplify purchasing bargaining power and heighten profitability, while always providing our customers with a world-class experience and the highest quality cannabis at an affordable price,” she said.

Michigan lawmakers are considering a bill that would lower the minimum age to work with cannabis in an effort to allow college-aged students engage in cannabis-related studies in the classroom setting.

House Bill 6061, sponsored by Rep. Kevin Coleman, D-Westland, would amend the state’s adult-use cannabis law, the Michigan Regulation and Taxation of Marihuana Act, to lower the minimum age to work with cannabis in certain capacities from 21 to 18 years old, according to an MLive.com report.

Michigan’s 2016 Medical Marijuana Facilities Licensing Act set the legal age for employment at medical cannabis operations at 18, according to the news outlet, but when voters enacted the Michigan Regulation and Taxation of Marihuana Act in 2018, it legalized the possession, use and cultivation of cannabis for adults 21 and older.

H.B. 6061 would allow adults 18 and older to possess, consume, purchase or otherwise obtain cannabis, as well as process, transport and sell it, but only if doing so as an agent of a specified cannabis licensee, MLive.com reported.

The legislation would also allow adults 18 and older to volunteer for or work at a cannabis facility, according to the news outlet.

BOSTON, Sept. 7, 2022 /PRNewswire/ -- PRESS RELEASE -- Bountiful Farms has won first place in the Massachusetts Cultivator's Cup, held Labor Day Weekend in Worcester, Mass. This marks the second year in a row that Bountiful Farms has taken home the "best in show" recognition and been awarded "the best grass in Mass" at this blind-tasting competition judged by Massachusetts cannabis enthusiast consumers.

Bountiful Farms took home first place in the cannabis Flower Category for their coveted Slap and Tickle just one year after winning the cup for their signature Pina Grande strain. The team also came in second place in the Solventless Category for their Colorado Chem as well as second place in the Vape Category for their Papaya Cake.

LISTEN: Growing Indoors with Zachary Taylor

The Massachusetts Cultivator's Cup is a true-blind cannabis competition aimed to discover who grows "the best grass in Mass." The Cultivator's Cup was developed to empower and establish emerging licensed cultivators of cannabis while allowing for consumers to provide honest feedback of various cannabis and cannabis-infused products.

"We are humbled and honored to have won this coveted award once again, and we couldn't be more excited, said Zachary Taylor, General Manager of Cultivation at Bountiful Farms. "This award is truly a testament to our entire team at Bountiful Farms who pour our lives into growing the best, highest-quality cannabis possible.  We live, eat, breathe, and sleep cannabis at Bountiful Farms and this blind competition is truly all about the love and the art of growing. We are grateful that our hard work and passion is being recognized and enjoyed by cannabis lovers across Massachusetts."

Bountiful Farms has gone from a brand-new cultivator and dispensary to an important player in Massachusetts cannabis in just two years through its commitment to quality and innovation. These latest awards add to the team's growing list of coveted Cannabis Cups including three out of four awards at the inaugural Massachusetts Cultivator's Cup in 2021, and the High Times Massachusetts Cannabis Cup first-place winner for "Best Indica Flower."

LAS VEGAS, Sept. 7, 2022 /PRNewswire/ -- PRESS RELEASE -- Today, Pro Football Hall of Famer, Calvin Johnson Jr., along with his co-founder of Primitiv, Rob Sims, and Fohse, announced their new exclusive partnership where Fohse will equip Primitiv's Michigan based cannabis cultivation facility with LED fixtures to increase and optimize its cannabis production.

Calvin Johnson Jr., and Rob Sims, former NFL teammates, founded Primitiv in 2021. The company is dedicated to the advancement of cannabis as a form of elevated wellness. Both Johnson and Sims suffered from the long-term effects of the physical and mental punishment sustained during their playing careers. As they explored ways to achieve a higher state of healing, Johnson and Sims discovered that the cannabis plant holds incredible potential as a healing agent. 

Primitiv's vision is to positively impact the global cannabis industry, changing stigmas and stereotypes by educating people about the plant's benefits and producing innovative products that help people and athletes optimize their wellness through plant-based medicine.

To reach these goals and dominate the cannabis industry as they did the football field, Primitiv has teamed up with Fohse, a manufacturer of LED grow lights. Fohse has outfitted the cultivation facility with their state-of-the-art fixture model The Scorpio, a 1000 W industrial grow light.

Calvin Johnson Jr. says, "I truly believe in the healing power of the plant and it's our mission to educate the public about our mission to help break down the stigmas associated with cannabis, while also pushing the envelope in product innovation. Part of growing quality product comes from surrounding yourself with the best team possible, and after doing our research, we have decided to partner with Fohse since they make the best grow light on the market."

Rob Sims adds, "The Scorpio LED light is allowing us to optimize our grow and increase our yields to increase our production while producing an extremely high-quality product. We want to bring this product to anyone searching for mental or physical relief, specifically those who are looking for a natural, plant-based remedy to what ails them."

DENVER, Sept. 8, 2022 /CNW/ - PRESS RELEASE - Schwazze, a vertically integrated, multi-state operating cannabis company with assets in Colorado and New Mexico, announces the grand opening of its adult-use dispensary, Star Buds located in Glendale, Colo. Star Buds Glendale is at located at 492 South Colorado Blvd at the corner Virginia Avenue and Colorado Boulevard.

Schwazze kicks off the grand opening celebration at Star Buds Glendale on Saturday, Sept. 10, 2022, at 11 a.m. The celebration will feature swag bags for the first 50 shoppers, games, food trucks, social media scavenger hunts, and representatives from various prominent cannabis brands such as: O.Pen, Wyld, Kaviar, 1906 and more. In addition, Star Buds Glendale will offer all-weekend, in-store discounts including 50% off flower and Buy One Get One 50% off products. Shoppers also receive a house pre-roll for $1 with a minimum, pre-tax purchase of $60.

"Our team is excited to open Star Buds Glendale and to bring customers the largest selection of flower, vapes, edibles and more," said Collin Lodge, President of Colorado Division for Schwazze. "We're thrilled to become a part of the Glendale community and look forward to introducing everyone to the Star Buds difference related quality, service and product selection."

The dispensary, located at 492 South Colorado Blvd, Glendale, CO 80246, has undergone extensive remodeling this summer following the acquisition of Smoking Gun in December 2021. The acquisition and rebrand under the Star Buds name are part of an aggressive expansion plan in Colorado led by Schwazze, which has grown the total number of Colorado dispensaries to 23 statewide.

Star Buds Glendale

492 South Colorado Blvd

SEATTLE, Sept. 8, 2022 /PRNewswire/ -- PRESS RELEASE -- Headset, a provider of data and analytics to the cannabis industry, today expanded access to its competitive intelligence tool, Headset Insights, to businesses in Massachusetts and Florida. This expansion will mark Headset's fourteenth and fifteenth cannabis market reads based on aggregated Point of Sale data at the receipt level for the U.S. and Canadian markets. Headset Insights is also available in Arizona, Alberta, California, Colorado, Maryland, Michigan, Illinois, Nevada, Oregon, Washington, British Columbia, Ontario, and Saskatchewan.

Headset Insights will equip businesses in Massachusetts and Florida with informative real-time market data and valuable consumer trend insights. Cannabis businesses in these markets will be able to identify growth opportunities and develop data-driven strategies that will allow them to stay ahead of the curve. More specifically, the platform will offer category-level data to better understand Florida's medical market, while the deeper Massachusetts read now allows cannabis businesses to leverage more granular data down to the SKU-level.

"We're excited to introduce Headset Insights to the southeast and expand the platform further into the northeast," said Cy Scott, founder and CEO of Headset. "Massachusetts and Florida each have unique cannabis industries that continue to evolve daily. Headset Insights will serve as a unique guide for businesses looking to navigate medical and recreational marketplaces."

Florida is one of the five most notable cannabis markets in the U.S. Bringing in $1.04B in medical cannabis sales from January through July 2022. The Sunshine State sits behind Illinois as the fifth largest cannabis market in the U.S. with a 21+ population that is expected to exceed 16 million. Florida has the ability to generate more than $3 billion in cannabis sales by 2025. Headset also indicates that there is a 50% chance that Florida could legalize recreational cannabis use by 2025. The introduction of recreational cannabis use could make Florida home to the second largest cannabis market in the U.S. The category level read now available in Headset Insights will greatly assist growing cannabis companies in seizing opportunities in Florida as the marketplace continues to evolve.

Massachusetts is among more than a dozen U.S. states that have welcomed recreational and medical cannabis businesses. The Bay State recorded positive year-over-year growth in July 2022, unlike many other U.S. markets currently experiencing year-over-year sales retractions. Furthermore, the state has produced nearly $1 billion in cannabis sales this year, surpassing more mature markets such as Washington and Oregon. By year's end, Massachusetts could also record higher sales than Colorado. Headset Insights will help companies track Massachusetts' cannabis market growth, product category sales and shares, basket size and make more accurate projections for the growing cannabis market.

To learn more about Headset Insights, please click here.

MIAMI and HARTFORD, Conn., Sept. 08, 2022 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Ayr Wellness Inc., a vertically integrated U.S. multi-state cannabis operator, announced that Connecticut Cultivation Solutions, an entity co-owned by Tiana Hercules Esq., a Hartford City Councilwoman, and Ayr, has been awarded a provisional Disproportionately Impacted Area (DIA) cultivator license in Connecticut.

Ayr has partnered with Hercules to bring its cultivation experience, knowledge and access to capital. The Company owns a minority stake in Connecticut Cultivation Solutions.

Connecticut Cultivation Solutions aims to serve Connecticut communities at large, particularly those negatively impacted by cannabis prohibition. Ayr and Attorney Hercules have already partnered on a handful of social justice and social equity projects throughout the state. The initiatives include support of the Bridge to Morehouse Program which creates a pathway for Hartford based community colleges to transfer seamlessly to the prestigious Atlanta HBCU, Morehouse College, and a partnership with UConn School of Law, NAACP, and Capital Community College to host a free expungement clinic.

“Ayr’s commitment to social justice and social equity initiatives and commitment to the areas where they operate made them the ideal partner to work with,” said Hercules. “While I previously explored other social equity license opportunities, it became clear once I met Ayr that this partnership would enable me to accomplish my social equity goals. The experience they bring to the table in cultivation and access to capital are crucial to operating in a competitive landscape. I look forward to working with Ayr to build out our cultivation operations and subsequent retail locations in conjunction with this license.”

“Having the opportunity to partner with someone like Tiana is one of the most rewarding parts of working in the cannabis space,” said Jonathan Sandelman, founder and CEO of Ayr. “We’re grateful to be in a position to support her dream, while also expanding into a new state that seamlessly fits into our operating footprint. We look forward to working with Tiana as we build out the Connecticut footprint together.”

Massachusetts Treasurer Deborah Goldberg announced last week that former state Treasurer Shannon O’Brien has been appointed as the new chair of the Cannabis Control Commission (CCC), according to CommonWealth Magazine.

O’Brien was sworn in Sept. 1, on the fifth anniversary of the commission’s founding, the news outlet reported.

“I am confident that her financial background, experience in corporate governance, executive management, and business development, combined with outstanding leadership skills and an acute knowledge of the legislative process, will help the Massachusetts cannabis industry be fairly regulated, equitable, and successful,” Goldberg told CommonWealth Magazine.

The CCC announced in May that former Chairman Steve Hoffman had resigned in late April and that Deputy Treasurer Sarah Kim had been appointed as the interim chairwoman.

RELATED: Massachusetts Cannabis Control Commission Chairman Resigns, Deputy Treasurer Appointed as Interim Chairwoman

An extreme heat wave in California has led the Department of Cannabis Control (DCC) to request that those who hold cannabis licenses consider engaging in energy conservation efforts. 

California Gov. Gavin Newsom issued a state of emergency Aug. 31, stating that temperatures throughout the state are expected to exceed 110 degrees in some areas. The National Weather Service also issued excessive heat warnings and watches beginning Aug. 31 and ending Sept. 6. 

The state of emergency states that the heat wave is and will “continue to put significant demand and strain on California’s energy grid.” 

In addition, the heat wave is expected to be a “West-wide event, meaning that energy demand will be high across the region, and California will have limited ability to import energy from out-of-state,” the document states.

In response to the state of emergency, the DCC issued an alert to cannabis license holders Sept. 6, requesting for them to think about reducing their energy loads by:

Between Aug. 30 and Sept. 6, the California Independent System Operator issued several emergency alerts regarding energy conservation efforts and expects that “future emergency alerts may follow,” the state of emergency states.

An appeals court has sided with the state of Nebraska in medical cannabis advocates’ legal battle to ease the state’s ballot requirements.

The 8th U.S. Circuit Court of Appeals rejected a request Aug. 31 to temporarily block part of Nebraska’s ballot initiative petition process that requires petitioners to gather signatures of 7% of registered voters—and at least 5% of voters in at least 38 of the state’s 93 counties—in order to enact a statute, according to the Associated Press.

The lawsuit, filed in May by Nebraskans for Medical Marijuana, sought to overturn the 5% requirement, which some have argued gives disproportionate power to the state’s smallest counties.

RELATED: Nebraskans for Medical Marijuana Sues State to Ease Ballot Requirements

A federal judge granted a preliminary injunction in the case in June to block the Nebraska Secretary of State from enforcing the 5% rule, but state officials immediately responded with plans to appeal the decision.

As Michigan’s cannabis industry rapidly matures, the state’s education and labor markets are meeting the needs of the burgeoning new industry.

Western Michigan University, located in Kalamazoo, Michigan, is offering a new cannabis marketing course starting in spring 2023. The course will be offered through WMU’s Haworth College of Business and is intended to equip students with the necessary skills to enter the cannabis industry, according to a release.

“The industry growth and accelerated national legalization are creating new jobs in a robust fashion,” said Dr. Kelly O’Reilly, chair of WMU’s department of marketing. “In cannabis marketing, it is essential to have complete knowledge of the supply chain, cultivation, cannabinoids, history, trends in consumers usage, health benefits, how food and cannabis cultures intersect, and the importance of state tax revenue. This knowledge will help differentiate our students from those from other universities. We expect cannabis marketing to help us continue to solidify our place in the industry for retailer and producer collaboration research.”

The course will be taught by Dr. Russell Zwanka, director of WMU’s food marketing program and associate professor of marketing, and will focus on several key areas of interest in cannabis, including history of the plant, consumer traits, ethical and responsible marketing, retail channels, and more. Zwanka has done extensive research in the cannabis market, including working on three books about THC and CBD, three published academic papers, two student-led research projects and more, according to the release.

Both undergraduate and graduate students will be able to register for the cannabis marketing class, with flex options for either in-person or online attendance one night per week.

“This is a rising business that is changing on a daily basis. It’s an exciting place for consumer goods and retailing where we can show thought leadership and training,” Zwanka said. “This is extremely important to food marketing, as well as supply chain management and sales and business marketing majors, in addition to MBA students in these fields.”

September 6, 2022 – PRESS RELEASE – Canapa by Paxiom has added to its lineup of automated preroll solutions by introducing the first preroll tube loading and tray loading systems available on the market.

Fully customizable to meet the exact needs of their preroll clients, both systems integrate seamlessly with the JuanaRoll preroll machine as well as other brands of semiautomatic machines and manual joint filling processes.

When paired with the fully automatic JuanaRoll, the tube loading system uses their intelligent elevating conveyor to automatically convey prerolls up to their inspection conveyor to be inspected and check-weighed prior to being robotically or manually loaded into tubes, capped and sealed. For those operations using semiautomatic or manual preroll filling processes, Canapa has designed this system to be manually fed or partnered with a SCARA robotic preroll loader.

Their preroll tray filling solutions apply the same principle as the tube loading system. Prerolls are conveyed, weighed and inspected prior to being delicately placed into the client’s tray by a customized SCARA robot. This system is driven by their Vision camera system to ensure precise preroll placement into the designated tray packing pattern.

With additional system options available for labeling, bagging, cartoning, case packing and robotic palletizing, Canapa by Paxiom can provide complete A-to-Z automation options that will improve efficiency, increase production and decrease product waste for any preroll producer.

Ascend Wellness Holdings CEO and Chairman Abner Kurtin was arrested Sept. 6 on a misdemeanor battery charge in Southern Florida, according to the Miami-Dade County Clerk of the Courts.

Kurtin, 55, who founded the New York-based multistate operator, was released on a $1,500 bond and issued a stay-away order with pretrial conditional victim contact allowed, according to the Miami-Dade Clerk.

Ascend issued a public statement Tuesday evening acknowledging the incident.

“The company is aware of allegations against CEO, Chairman, and Founder Abner Kurtin regarding a domestic-related misdemeanor,” Ascend officials said in the release. “The independent members of the company’s Board of Directors, through its Compensation and Corporate Governance Committee, are conducting an investigation of the matter with the assistance of independent legal counsel, Goodwin Procter, LLP.”

Abner’s arraignment hearing is scheduled for Sept. 30, according to the Miami-Dade Clerk.

“While the company cannot comment on an active investigation, it is treating this matter with the utmost seriousness and will continue to evaluate appropriate steps as more information becomes available,” Ascend officials said. “The independent members of the board are keenly attuned to the company, its shareholders, and employees, and the management team is focused on ensuring AWH continues to operate effectively during this time.”

HEXO Corp. is partnering with Tyson 2.0 to become its exclusive producer in the Canadian market.

Under the partnership agreement between the two companies, HEXO will produce Tyson 2.0’s range of products in Canada, including flower, prerolls, vapes and edibles.

RELATED: Organic Remedies MO, Inc. Announced Strategic Partnership with Tyson 2.0

“We’re delighted that HEXO has been chosen as the exclusive Canadian producer for Tyson 2.0 brands,” said Charlie Bowman, CEO of HEXO. “Our boutique cultivation capabilities and product offerings enable HEXO to elevate the consumer’s cannabis experience. With their broad product range from flower to straight edge prerolls to edibles, the Tyson 2.0 brand fits perfectly into HEXO’s market-leading portfolio.”

Tyson 2.0’s HEXO-produced lines will launch in Canada this fall, according to a company release.

“Our partnership with HEXO allows us to deliver Tyson 2.0’s vision of a premier cannabis experience to Canadians,” said Chad Bronstein, co-founder, president and chairman of Tyson 2.0. “Tyson 2.0 is dedicated to bringing innovative cannabis products to market and HEXO’s strong reputation as the leader in quality standards made them the obvious choice in Canada.”

CHICAGO--(BUSINESS WIRE)--PRESS RELEASE--Cresco Labs, a vertically integrated multistate operator and a U.S. wholesaler of branded cannabis products, today announced that it has completed and closed on an agreement to sell its Brookville, Penn. property to Aventine Property Group for total additional non-dilutive funding of $45 million. The Brookville, Penn. property includes approximately 135,000 square feet of existing cultivation, manufacturing and production capacity. This sale marks Cresco Labs’ first sale-leaseback transaction with Aventine.

Concurrent with the closing of the sale, Cresco Yeltrah, LLC, a subsidiary of Cresco Labs, entered into a long-term, triple-net lease agreement with Aventine regarding the property and Cresco Yeltrah will continue to operate the facility as the permitted cannabis cultivation and processing facility, as it has since 2017.

Cresco Labs CEO and co-founder Charles Bachtell said, “This transaction further strengthens our company, unlocking valuable capital from our balance sheet. The scale and quality of our operations ensures access to capital at reasonable rates with strong financing partners like Aventine, even in volatile markets. Our current capital position, combined with the expected cash proceeds from the sale of divested assets related to the pending closing of the Columbia Care acquisition, will put us in a strong position to continue to invest in the high-return opportunities available to us in both the short, medium, and long term to drive returns for shareholders.”

Aventine CEO Raymond Lewis added, “We are extremely pleased to enter into this important new relationship with Cresco Labs through its highly productive Brookville asset. Charlie and his team have built a world-class company in the cannabis space, and we look forward to supporting their strategic efforts in Pennsylvania and elsewhere.”

This press release has been submitted to the Pennsylvania Office of Medical Marijuana for review.

WINNIPEG, Manitoba, Sept. 07, 2022 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Delta 9 Cannabis Inc. has announced that on Sept. 6, 2022, it completed a previously announced transaction with 10552763 Canada Corp. whereby, pursuant to the asset purchase agreement between the company and the vendor dated Aug.12, 2022, the company acquired all or substantially all of the vendor’s assets relating to the operation of three Garden Variety branded retail cannabis stores located in Manitoba, two in Winnipeg and one in Brandon.

“We are pleased to announce the closing of another strategic retail acquisition to grow our market share across the Canadian prairies,” said John Arbuthnot, CEO of Delta 9. “Delta 9 now operates 38 cannabis retail stores, positioning us as one of Canada’s largest vertically integrated cannabis retailers.”

The purchase price paid by the company relating to the transaction was $3,250,000, subject to customary adjustments. $2,925,000 of the purchase price was satisfied through the issuance of 17,944,785 common shares in the capital stock of the company (each a "Common Share") at a deemed price of $0.163 per Common Share, representing the ten (10) day volume weighted average price of the Common Shares on the Toronto Stock Exchange (the TSX) on Sept. 2, 2022 (the “Common Share Price”). $325,000 of the purchase price will be satisfied through the issuance of 1,993,865 Common Shares at a deemed price of the Common Share Price per Common Share, which will be issued in approximately six months.

The closing of the transaction remains subject to the final approval of the TSX.

SANTA CRUZ, Calif., Sept. 07, 2022 (GLOBE NEWSWIRE) -- SC Labs, one of the industry’s largest cannabis and hemp testing labs, has named Hirsh Jain to its board of directors. Jain is the founder of Ananda Strategy, a consultancy that serves cannabis brands and retailers across the country, guiding their expansion strategy and competitive licensing efforts. Jain also serves as the chair of the Los Angeles Cannabis Chamber of Commerce, vice chair of the California Cannabis Chamber of Commerce, and is on the board of California NORML (National Organization for the Reform of Marijuana Laws) which has been at the forefront of cannabis reform efforts in California for the past half century.

“Hirsh’s experience with cannabis policy and regulatory issues creates the perfect complement to our board,” said Jeff Journey, CEO of SC Labs. “The testing industry has a number of policy hurdles and opportunities facing us as we expand our national footprint to better serve MSOs and international hemp brands. Hirsh’s depth of knowledge and experience in these areas will be a tremendous asset as we navigate this evolving market.”

Previously, Jain worked as the director of government affairs at Caliva and as the West Coast director of government affairs for MedMen. “I hope to use my cannabis policy experience to support the testing space’s evolution away from a focus on potency, and towards testing standards and methodologies that capture the diverse properties of the cannabis plant,” said Jain.

Lcensed and accredited in California, Oregon, Colorado and Michigan, SC Labs is recognized for its work helping consumers better understand terpenes and the role they play in the cannabis experience, while reducing the emphasis on THC levels. “I’m thrilled to have the opportunity to help advance SC Lab’s mission of educating cannabis consumers about the full spectrum of the cannabis plant,” said Jain. “Empowering consumers to use cannabis with more intention is one of the key tasks the industry now has before it and will be critical in helping cannabis gain greater credibility and more widespread consumer adoption.”