MjLink Cannabis Business News and Press

TORONTO, Oct. 28, 2020 /CNW/ - PRESS RELEASE - Liberty Health Sciences Inc., has announced that Victor Mancebo has resigned from the Board of Directors and his role as chief executive officer, effective Dec. 31, 2020.

"We are grateful for Victor's leadership and contributions to Liberty," said Chairman William R. Pfeiffer. "As a board member and an officer of the company, Victor was instrumental in building Liberty into the company that it is today with a network of dispensaries spanning the state of Florida. We thank Victor for those efforts and wish him the very best on all his future endeavors."

George J. Gremse, a member of the Board of Directors, has been appointed as interim CEO during the process of identifying a permanent CEO. Gremse has held senior management positions in both Fortune 500 companies and start-ups. He holds a degree in agriculture from Cornell University and an MBA from Baruch College of the City University of New York. Mancebo will work with Gremse to ensure a smooth transition.

During the two-day NORML 2020 Conference, which celebrated the organization’s 50th year, activists discussed Oct. 23 their adult-use ballot measures being put in front of voters in four states this election year: Arizona, Montana, New Jersey and South Dakota.

Leaders behind these state campaigns spoke about distinctive campaign challenges and recapped their efforts with volunteer and paid canvassing and voter education.

 

Arizona – Proposition 207

In addition to collecting signatures with masks, gloves and melting pens in the desert heat, Smart and Safe Arizona, the group behind the state’s 2020 adult-use legalization ballot measure, was busy in 2020 fending off a challenge in court by a campaign funded by the Center for Arizona Policy, according to the Arizona Republic.

“They challenged a couple different parts of our initiative, like they challenged the definition of marijuana,” said Alejandro Chavez, political director at Smart and Safe Arizona. “They didn't want it to include edibles and other parts. But because we … followed so much of what medical had already laid out for us, that argument had already been made and determined in another case. They [also] tried to challenge something around [DUIs].”

In August, a Maricopa County Superior Court judge ruled in favor of Smart and Safe Arizona, and when Arizonans for Health and Public Safety appealed the ruling the next week, the Phoenix New Times reported, the Arizona Supreme Court confirmed the Maricopa County judge’s decision.

The director of Missouri’s medical cannabis program believes voters could legalize adult-use cannabis in the state as early as 2022, according to a local FOX 2 Now report.

Lyndall Fraker, director of the section of medical marijuana within the Missouri Department of Health and Senior Services (DHSS), told the news outlet that he believes medical cannabis legalization was a step toward adult-use in the state.

“Absolutely, I think that was the intent of the drafters,” he said. “We’ve already heard that they are going to try and work and get it on the ballot, but I don’t think the legislature will do it; I think it will have to be a petition. It’s going to be on the ballot in 2022, I’m very confident in that, but I don’t know what that language will look like.”

Missouri voters approved medical cannabis in 2018, and the state’s first dispensaries opened their doors to patients earlier this month.

Four dispensaries will be operating in the state by early next week, FOX 2 Now reported, and Fraker told the news outlet that he hopes to have 96 operational dispensaries by the end of the year.

Bill and Dustin Freas know what it takes to build and operate a successful cannabis business, and the father-and-son team plan to apply lessons learned from other markets to their latest venture, Harvest Care Medical, which recently became one of 10 companies to win a medical cannabis cultivation license in West Virginia.

The Freases first entered the cannabis space six or seven years ago, when they launched Grow West, a medical cannabis cultivation and dispensary operation in Dustin’s hometown of Cumberland, Md.

“It was a real gamechanger for our post-industrial, Rust Belt community,” Dustin, Harvest Care Medical’s chief development officer, tells Cannabis Business Times and Cannabis Dispensary. “We were very successful here with our family and our partners at Grow West.”

The Freases have since secured cultivation licenses in additional states, as well, including Connecticut, Minnesota, Pennsylvania, Missouri and Virginia. When West Virginia Gov. Jim Justice signed the state’s medical cannabis legislation into law in 2017, Bill and Dustin embarked on a nearly four-year journey to build their latest operation in Bill’s home state.

The cultivation license allows Harvest Care Medical to build out two grow facilities, and the company plans to locate these operations in Harrison County, right outside of Bridgeport, and in Kearneysville, which is located in Jefferson County.

Due in part to the ongoing coronavirus pandemic and its attendant stay-at-home encouragement, delivery has become a hot-button issue in the cannabis industry. Tracking with consumer sales trends in other commercial spaces (food, home goods), cannabis has become a category that many consumers now connect to the idea of delivery.

But it’s not yet a staple of the fragmented cannabis industry in the U.S., where differing state regulations set up an irregular business-to-consumer relationship across state lines.

The following states allow cannabis delivery under a specific regulatory regime, either via a retail license or a specific delivery license: Arizona, California, Colorado, Maine, Maryland, Massachusetts, Michigan, Nevada, New Mexico, New York, Oregon, Rhode Island and Vermont.

Massachusetts, as one example, is just now on the cusp of implementing its new delivery regulations.

“The reason that we’re doing that is because we really, through this license, the entire purpose of the limited delivery license was to try to create a pathway that included lower barriers to entry and by providing for this waiver, we really want to foster those lower barriers and create opportunities as a priority with this license,” Cannabis Control Commissioner Britte McBride said. 

Other states, such as Alaska and Washington, have generally allowed a gray-market approach to cannabis delivery services—loose regulatory language that greenlights the delivery of cannabis “gifts.” And in Pennsylvania, for instance, a delivery structure was implemented quickly to accommodate the fallout from the pandemic.

This is part one of a two-part interview. Part two will be published next week.

Last Prisoner Project (LPP), the nonprofit group dedicated to helping ensure the freedom of all 40,000 cannabis prisoners in the U.S., as well as inmates serving cannabis sentences around the world, is one year old.

Cannabis Business Times and Cannabis Dispensary recently spoke with Sarah Gersten, executive director and general counsel LPP, about some of the facts and statistics that drive the organization’s work and how it has navigated an eventful year.

Patrick Williams: The Last Prisoner Project just sent out its “Year One at a Glance” report, which highlights the work that the organization has been doing over the past year. It explains how, among other things, LPP and the law firm Goodwin successfully secured the compassionate release of Philong Chuong. Who is Philong, and what are the next steps for him?

Sarah Gersten: Philong is a 57-year-old father of two. He actually came here as a refugee during the Vietnam War. And he really was an incredible father, really a benefit to his community. He was living in Oakland, California, and all of his friends, family members, neighbors, had really positive things to say about him. But unfortunately, he was sentenced to 87 months in federal prison in 2015 for a nonviolent marijuana offense.

So, at this point in 2020, he's been incarcerated for five years. … He's, like anyone that's incarcerated now during this pandemic, really at risk of contracting COVID, and because of his age, it [could be] really serious for him, Philong's release efforts are part of a broader effort that Last Prisoner Project, along with Goodwin and a few other law firms initiated bonds to COVID. This is really a pivot for us this year. To date, our release efforts had been focused on securing release through executive clemency, and with COVID, we really saw an opportunity to grant compassionate release, particularly for individuals like Philong, who either were older or had preexisting conditions. So, over the summer, he was part of several compassionate-release motions we filed, and he was actually the first [judicial] opinion either way that we got [on compassionate release]. And And obviously his compassionate release motion was granted. Last month, he was released and returned home to his family.

Michigan’s legal cannabis industry is one of the country’s youngest, with adult-use dispensaries open only since December 2019. And while business is healthy—in July, the state reported earning $200 million in revenue in less than seven months—Michigan faces several challenges. Three-fourths of its municipalities have opted out of the state-approved recreational program, and at over $400 on average for an ounce of retail flower, cannabis is much more expensive than other parts of the country.

And like those other parts of the cannabis industry, Michigan’s market also faces a diversity problem. In a survey sent out by the state, only 4% of license holders were Black, despite a 14% statewide population (though only 19% of the cannabis business surveys were returned). 

Fortunately for the marginalized communities hurt most by prohibition, there are forces working to help create a fair industry in Michigan, where cannabis sales are expected to reach $1 billion annually by 2021.  

Michigan’s Uphill Equity Battle

With around 80% of the population, Detroit is the largest Black-majority city in the country and home to important American cultural contributions. Unfortunately for aspiring green entrepreneurs in the Motor City, Detroit is one of the more than 1,400 Michigan municipalities that has opted out of adult-use recreational sales. Reports this week suggest the city wants to change that, but it still has a long road to a mature industry.  

Then there’s the licensing process itself: Currently, the state requires prospective adult-use dispensaries to have a medical license. That provision will change, but not until March 1, 2021. Marijuana-related business fees are exponentially higher in Michigan, as well: In Massachusetts, a cannabis microbusiness needs to pay $300 for an initial application license. In Michigan, the cost for a microbusiness application is $6,000. 

Fifteen percent of seniors report having used cannabis products within the past three years, primarily for therapeutic purposes, according to data published in the Journal of the American Geriatric Society.

Investigators affiliated with the University of California at San Diego surveyed 568 respondents at a geriatric clinic in southern California. All of the study’s participants were at least 65 years of age, and 73% of respondents were older than 75.

Fifteen percent of those surveyed reported consuming either cannabis or CBD within the past three years; over half of those who responded affirmatively reported using cannabis products either daily or weekly. Seventy-eight percent of consumers described their use as medical, primarily to mitigate pain, improve sleep or to reduce anxiety. Some three-fifths of users in the survey acknowledged initiating their use of cannabis products as older adults. Fewer than half of all elderly consumers reported ever having spoken to their health care provider about their cannabis use.

Commenting on the findings, NORML Deputy Director Paul Armentano said, “It is not surprising that a rising percentage of seniors consider cannabis to a viable therapeutic option in their later years. Many seniors struggle with pain, anxiety, restless sleep and other conditions for which cannabis products may help mitigate. Moreover, many seniors are well aware of the litany of serious adverse side-effects associated with available prescription drugs, like opioids or sleep aids, and they perceive medical cannabis to be a practical and potentially safer alternative.”

Several recent studies have similarly reported that marijuana use is growing in popularity among older adults. Other studies – such as those here, here, here, and here – have determined that medical cannabis use by seniors is relatively safe and effective at mitigating pain and improving self-reported quality of life.

The New Jersey Assembly Appropriations Committee approved legislation Oct. 26 that would require workers’ compensation and personal injury protection (PIP) auto insurance benefits to cover medical cannabis in certain situations, according to an NJ.com report.

A1708 was approved by the Assembly Committee on Financial Institutions earlier this year, and advanced out of the Appropriations Committee Monday in a 7-4 vote, the news outlet reported.

Under the legislation, a patient enrolled in New Jersey’s medical cannabis program could have their costs covered unless the federal government steps in to enforce prohibition, according to NJ.com.

Earlier this year, an appeals court ruled that a New Jersey company must cover an employee’s medical cannabis costs, setting a precedent for workers’ compensation to cover medical cannabis costs in the state.

A1708 must pass the full Assembly, as well as the Senate, which has not yet taken up the legislation, before it can go to Gov. Phil Murphy.

A recent KELOLAND Media Group/Argus Leader poll has revealed that the majority of South Dakotans support the medical and adult-use cannabis legalization measures that will appear on the state’s ballot next week.

RELATED: South Dakota Becomes First State to Place Medical and Adult-Use Cannabis Initiatives on Same Ballot

The poll asked voters if they would vote for Initiated Measure 26 to legalize medical cannabis if the election were held today, and 74% said they would vote yes, 23% said they would vote no and 3% said they were still undecided.

Fifty-one percent of voters said they would vote yes on Amendment A to legalize adult-use cannabis if the election were held today, while 44% said they would vote no and 5% said they were still undecided.

LOS ANGELES (October 26, 2020) – PRESS RELEASE – Viola, a cannabis producer and retailer founded by NBA veteran Al Harrington, has announced its official entry into Washington State. As states continue to legalize cannabis, Viola is breaking ground with expanded territory into the Pacific Northwest, furthering the mission to grow its portfolio across the United States. A peek concentrate market, Washington kicks off the brand’s expansion in the west as the largest Black-owned MSO in the United States, doubling down and bringing six premium concentrate strains to state residents.

Strains of Viola premium flower that will be made available across the state include:

Jump Shot: Enjoy the lemony kush aroma of this indica dominant cross, along with heavy effects that relax the body while leaving the mind functional and clear. Lemon Popsicle: Lemon zesty smell and sweet taste combined with energy and focus makes this strain perfect for all day use. Piece of Cake: Classic sweet berry flavor and aroma, perfect for anybody looking to unwind after a long day. Sunday Cereal: Crazy delicious sweet and citrus flavor with just a touch of energy to get you going in the morning. Grandma’s Pie: This delectable treat rich with tangy sweet earth and pepper, taking notes and dimensions from its OG Dudan Poison parentage.

“We are excited to get entrenched in the Washington market as we take over the Pacific Northwest and continue out east and across the United States,” said Harrington. “This is just the beginning of our expansion plan for Viola as we hit the ground running toward the end of the year and into 2021.”

Viola’s entry into Washington state comes at a time of exciting expansion for the brand with Harrington leading the charge as the number one Black license holder in the United States. Viola product will now be available at various dispensaries in the state including: the recently launched Shawn Kemp’s Cannabis owned by NBA veteran Shawn Kemp.

Earlier this month, Viola along with its portfolio partner Village, was awarded a Stage One pre-approval licence from the Maryland Medical Cannabis Commission (MMCC). It also launched its official incubator program with Gold Standard Farms for aspiring cannabis entrepreneurs and businesses and released a social justice limited edition strain with fellow Black-owned cannabis company, Ball Family Farms. The brand was also selected as one of three growers as MMCC works to address disparities in the medical cannabis industry.

TORONTO, Oct. 26, 2020 (GLOBE NEWSWIRE) -- PRESS RELEASE -- WeedMD Inc., a federally-licensed producer and distributor of medical-grade cannabis, has announced it has commenced shipping its Color Cannabis-branded 510 vaporizer cartridges to Canada’s largest retail distributor, the Ontario Cannabis Store (OCS). Color vapes landed in the “Top 5” status when compared to over 30 available vape brands during its first week of availability, according to OCS-provided data.

RELATED: WeedMD's Bold Pivot in Canada's Evolving Market

WeedMD’s legacy cultivars Pedro Sweet Sativa and Ghost Train Haze, are produced at the company’s state-of-the-art extraction hub utilizing WeedMD’s own terpene-rich biomass. Additional strain-specific offerings, such as Mango Haze and Black Sugar Rose, are scheduled to follow soon.

“The initial success of our Color vapes in Canada’s largest retail market is a significant milestone for our team and reflects the increased brand recognition and strong consumer interest in our quality-derived products,” said Stephen Ng, chief commercial officer. “Our terpene-rich products under Color and Saturday are garnering national appeal as we prepare to launch a broader portfolio of products from our best-in-class cultivation and production platform.”

In addition to Color vapes, WeedMD recently launched a new cultivar, ‘Black Sugar Rose,’ coming this fall, as well as strain-specific pre-roll products, nitrogen-infused packaging and a brand partnership with PAX Labs Inc. for its PAX ERA and ERA PRO line of strain-specific vapes. The company also announced it is the exclusive Canadian supplier and distributor of acclaimed U.S.-based wellness house Mary’s Medicinals, with topicals production slated to commence at WeedMD’s extraction hub in Aylmer, Ontario later this year.

VANCOUVER, British Columbia, Oct. 26, 2020 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Rubicon Organics Inc., a licensed producer focused on cultivating and selling organic certified and premium cannabis, has announced that it has signed a cannabis 2.0 product distribution agreement with Canada House Wellness Group Inc., through Canada House’s wholly-owned subsidiary of Abba Medix Corp. In connection with the agreement, Canada House will distribute Rubicon Organics’ line of concentrate products to Canada House’s provincial distributors while the company waits to receive from Health Canada its authorization for sale of extracts, topicals and edibles.

“With our route to market established for cannabis 2.0 products, we are excited to begin executing on our innovation pipeline. In the coming months, we will be launching our new premium concentrate brand along with a diverse portfolio of products. These products will highlight the terpene-rich profile that our organic and sustainably cultivated Simply Bare flower has become known for,” said Jesse McConnell, chief executive officer. “We are delighted to be partnering with Canada House to accelerate our time to market whilst we wait for Health Canada to issue our extract, edible and topical sales license that we submitted for in early September."

Detroit officials plan to propose an ordinance that would allow adult-use cannabis sales in the city, according to the Detroit Free Press.

Councilman James Tate and Mayor Mike Duggan will share details of the proposal at a press conference at 1 p.m. on Oct. 26, the news outlet reported.

An announcement from the councilman and mayor’s office indicated that 10 types of cannabis business licenses will be offered under the plan, with at least half of the licenses issued to “legacy Detroiters,” who will also receive discounts on application fees and city real estate, according to the Detroit Free Press.

In addition, residents who have been disproportionately affected by the War on Drugs will also have unique opportunities to participate in the adult-use market under the proposal, the news outlet reported.

“In the past when licenses for marijuana businesses become available, they tend to go to non-residents, rather than those who live in this community,” Duggan told the Detroit Free Press. “What Councilman Tate has crafted here in partnership with our law department ensures that longtime Detroit residents will have the opportunity to build real wealth as part of this lucrative new industry.”

This week, Virginia and Missouri launched medical cannabis sales as the states’ first dispensaries opened their doors to patients. Elsewhere, in New York, Gov. Andrew Cuomo’s plans surfaced to include adult-use cannabis legalization in the state’s 2021-2022 budget, as well as to issue new CBD rules.

Here, we’ve rounded up the 10 headlines you need to know before this week is over.

Federal: Several organizations have filed amicus briefs in support of Dr. Sue Sisley, who is petitioning the Ninth Circuit to rule that the DEA’s five-part test to assess if a drug has medical use and can be rescheduled is arbitrary and capricious. The briefs urge the court to grant Sisley’s Petition for Review, which would allow researchers to study the effects of cannabis as a treatment for PTSD. Read moreTexas: According to an economic analysis released this week by Vicente Sederberg LLP, Texas could collect more than half a billion dollars per year in new tax revenue and create upwards of 40,000 new jobs if it legalizes and regulates cannabis for adult use. The state could also save millions of taxpayer dollars per year in criminal justice costs, according to the report. Read moreVirginia: Dharma Pharmaceuticals’ first day of sales marked the opening of Virginia’s medical cannabis market on Oct. 17. “It was overwhelming,” Dharma Pharmaceuticals COO Jack Page told Cannabis Dispensary this week. “And, honestly, it was just truly emotional. We’ve been working seven days a week for two and a half years to get this thing up and running, and to finally actually see patients and see our hard work and money that we invested was pretty amazing.” Read moreMassachusetts: A bipartisan group of Massachusetts lawmakers have voiced opposition to the Cannabis Control Commission’s (CCC) cannabis delivery regulations, drafting a letter to regulators indicating that they believe the proposed wholesale delivery license type “was not contemplated, nor supported, by the enabling legislation.” The draft regulations, which were established last month, proposed the creation of two types of delivery licenses—a limited delivery license, which would allow a licensee to charge a fee to deliver from licensed cannabis dispensaries, and the wholesale delivery license, which would allow a licensee to buy cannabis wholesale from licensed cultivators and manufacturers, store it in a warehouse and sell it to consumers. Read moreThe CCC then approved policy changes to its proposed adult-use cannabis delivery regulations this week, following a public comment period that closed Oct. 15. The rules now establish Marijuana Courier and Marijuana Delivery Operator license types, and regulators put in place operations restrictions, modified caps on ownership and control, and limits to financial relationships with third-party technology platform providers in order to prevent entities from dominating this emerging delivery market segment. Read moreCalifornia: Two cannabis trade organizations, Southern California Coalition and the California Cannabis Couriers Association, as well as Zachary Pitts, CEO of delivery service Ganja Goddess, filed a lawsuit this week against Los Angeles over the city’s delivery licenses. The complaint says restrictions on the licenses have barred the plaintiffs from participating in the market until 2025, and the plaintiffs are asking a judge to overturn rules approved earlier this year that gave only social equity applicants initial access to the delivery licenses. Read moreNew York: Gov. Andrew Cuomo is renewing his push for cannabis legalization in 2021, and also plans to issue new CBD rules in the state. The news was revealed during a recent interview between Axel Bernabe, one of Cuomo’s top advisers on cannabis, and David Culver, an executive with Canopy Growth. Read moreMissouri: Medical cannabis sales have launched in Missouri, as the state’s two operational cannabis retailers, N’Bliss and Fresh Green, opened their doors to patients this week. N’Bliss, a subsidiary of Nirvana Investments, opened its first two stores in Manchester and Ellisville on Oct. 17, while Fresh Green opened for business in Lee’s Summit on Oct. 19. Read moreShortly after the market opened, the Missouri Department of Health and Senior Services conducted an investigation of a complaint that medical cannabis sold in the state contained mold growth. Retesting of the product confirmed that the batch falls within acceptable limits for relevant tests, including microbial screening, and presents no health or safety concerns. Read morePennsylvania: The Pennsylvania House approved an amendment to the state’s DUI law Oct. 21 that would decriminalize trace amounts of medical cannabis in a driver’s system. The state’s current DUI laws criminalize driving while THC is in a driver’s system, even if it has been weeks since ingestion, and even if a driver is a registered medical cannabis patient. Read more

Portland, OR -- PRESS RELEASE -- At its regular monthly meeting on Oct. 15, 2020, the Oregon Liquor Control Commission (OLCC) moved forward with plans to streamline the agency’s recreational marijuana licensing process and adjust compliance and enforcement activity through a Verification of Compliance (VOC) program. The Commission also approved five marijuana violation stipulated settlement agreements.

OLCC has been challenged to timely issue marijuana licenses since April 2016, due to the continued interest in the recreational market. Personnel and technology support have not kept pace with license applications that quickly shot past the initial projection of 800 licenses and now number more than 2,300.

As the industry has matured, the agency’s ability to regulate it has evolved and the OLCC has modified its licensing process several times in an attempt to streamline. This latest licensing process adjustment attempts to make it easier for applicants to begin operating before the final approval of changes in ownership and financial interest changes in a licensed business.

Likening the existing license process to a freeway that squeezes from 10 lanes down to two, the chair of the Commission cautioned that efficiencies made through continuous adjustments to the licensing process would not be enough to address the long term licensing challenge.

“We’re not kidding ourselves, if we don’t get the manpower, the back end is going to be two lanes regardless of the ten lanes up front,” said Paul Rosenbaum, OLCC chair. “If we don’t get the budget, we’re not going to solve this issue.”

The Missouri Department of Health and Senior Services (DHSS) recently conducted an investigation of a complaint that medical cannabis sold in the state contained mold growth, and has concluded that the product batch is safe for consumption, according to a KY3 report.

Retesting of the product confirmed that the batch falls within acceptable limits for relevant tests, including microbial screening, and presents no health or safety concerns, the news outlet reported.

On Oct. 20, the DHSS notified more than 200 patients who had purchased the product in question that a complaint was being investigated.

“We encourage all patients to alert us to any concerns they have about any product they purchase,” Lyndall Fraker, director of the DHSS Section for Medical Marijuana Regulation, said in a public statement. “If there are concerns, we would advise that they do not consume any of the product until the situation can be properly investigated.”

Missouri’s medical cannabis market launched Oct. 17, when the state’s first dispensary, N’Bliss, opened its doors to patients.

The Pennsylvania House approved an amendment to the state’s DUI law Oct. 21 that would decriminalize trace amounts of medical cannabis in a driver’s system, according to a Pittsburgh City Paper report.

The state’s current DUI laws criminalize driving while THC is in a driver’s system, even if it has been weeks since ingestion, and even if a driver is a registered medical cannabis patient, the news outlet reported.

The legislation passed the House in a 109-93 vote, and would decriminalize trace amounts of cannabis in a driver’s system if the driver is a legal medical cannabis user, according to the Pittsburgh City Paper.

The bill also clarifies that an individual may not drive under the influence of a controlled substance with the exception of “marijuana used lawfully in accordance with the act of April 17, 2016, known as the Medical Marijuana Act,” the news outlet reported.

The legislation now heads to the Senate for consideration.

At $102 million, Intrinsic Capital Partners has closed a growth equity fund for investment in cannabis- and hemp-focused life science and technology businesses.

With an overall aim “to build and scale industry-leading companies that address unmet needs across the supply chain,” according to a press release, Intrinsic hopes to do just that here. A team of operating advisors will work to build and scale Intrinsic’s portfolio companies, which so far include ACT Laboratories, Treez, Hound Labs and Elemental Brands. The Pennsylvania-based firm has committed $65 million to these four companies and anticipates directing dollars from the fund to two or three more businesses.

Intrinsic lists four members of its advisory group in the release, all of whom have ties to Johnson & Johnson included in their credentials (as does Cornelius Merlini, one of Intrinsic’s three co-founders and partners). One advisor, Minnie Baylor-Henry, was formerly director of the U.S. Food and Drug Administration’s (FDA’s) Division of Drug Marketing, Advertising, and Communications (DDMAC), the precursor to the federal agency’s Office of Prescription Drug Promotion (OPDP).

Merlini, who before co-founding Intrinsic most recently worked at Endo Pharmaceuticals’ Healthtronics Lab Solutions division, said in the release, “[W]e built a top team of advisors who have scaled valuable businesses and are able to provide our portfolio companies with strategic advice, mentoring, operational support and regulatory know-how.”

Acknowledging that much of the capital invested in the cannabis space has gone to state-legal cultivators, dispensaries and adult-use brands, Intrinsic’s team is focused on investment in ancillary businesses that support the cannabis and hemp markets.

“This is a unique and opportune time for a fund with dry powder to invest in market segments where traditional capital providers and strategic corporations have largely stayed on the sideline, creating price dislocation, attractive private market valuations and ample exit strategies,” said founder and partner Gerald Stahlecker, former president of FS Investment Corporation and executive vice president of FS Investments.

When Andreas Neumann joined Jushi Holdings as chief creative director in early 2020, he brought with him a professional background steeped in experiential brand development. He was new to the cannabis industry, but the cannabis industry itself is new to the vast commercial landscape in the U.S. When he arrived, the industry was moving headlong into a conversation about the importance of brand-building for the long haul.

 

“My vision of the future of branding and communication is really that the experience equals the brand,” Neumann said in recent interview with Cannabis Business Times and Cannabis Dispensary.

He had been working with Queens of the Stone Age on a possible cannabis brand—something to draw on the band’s long-tenured role as stewards of stoner rock—when he linked up with Jushi. The multi-state operator was planning to overhaul its digital experience, and Neumann’s perspective arrived just in time.

In April, shortly after the beginning of the coronavirus pandemic and the series of stay-at-home orders in the U.S., Jushi’s retail brand, BEYOND/HELLO relaunched its website to better accommodate the customer experience and the rise of online shopping. Nuemann said he wanted to blend the digital and physical, using data to understand what Jushi’s customers wanted—and where and when and why they wanted it.

What did he and his team learn right away? “Everybody wants to go to the menu,” he said, so Jushi foregrounded the menu on its relaunch. “And, ideally, they’re already making a decision about what they want to get in the store and where they’re going to get it.” Digital and physical.

Jushi is on the ground in four states, with eight retail storefronts in Pennsylvania, two in Illinois, one in California and one coming soon in Virginia.