MjLink Cannabis Business News and Press

CHICAGO--(BUSINESS WIRE)--PRESS RELEASE--Cresco Labs, one of the largest vertically integrated multistate cannabis operators in the United States, has announced that the company served 3,145 people on New Year’s Day at its five Sunnyside* Dispensaries located in Lakeview, Elmwood Park, Champaign, Buffalo Grove and Rockford, Illinois. Sunnyside* also sold 9,258 cannabis products, including Cresco’s house of brands and items from other Illinois suppliers, with an average ticket price totaling $135.

Customers began to form lines outside Sunnyside* locations as early as 8 p.m. on New Year’s Eve, and lines wrapped around the buildings throughout the day as recreational customers showed their excitement to be part of this historic day. The dispensaries opened at 6 a.m. to immediately start serving recreational customers, with the first sale in the state of Illinois taking place shortly thereafter at Sunnyside* Lakeview. Jacqueline Ryan from Forest Park was the first customer to purchase adult-use cannabis, followed by siblings Elise and Aaron Swopes, two participants in Cresco’s Chicago incubator program, which is part of the company’s SEED (Social Equity and Educational Development) initiative, and Illinois Lt. Gov. Juliana Stratton, who played a critical role in shaping the state’s cannabis legislation.

“We’re ecstatic for our Sunnyside* dispensaries to begin serving recreational customers on such a historic day that launches a new era of cannabis and the development of an industry that will bring greater justice, social equity and business ownership opportunities throughout the state,” said Charlie Bachtell, Cresco Labs CEO and co-founder. “With 13 million residents and 100 million annual tourists, Illinois is predicted to be one of the largest recreational cannabis markets in the United States. Cresco is uniquely positioned in the supply-constrained state, with permission for the largest cultivation footprint at 630,000 square feet and ten retail dispensaries, including three in high traffic areas in the city of Chicago.”

Joe Caltabiano, Cresco Labs President and Co-Founder, added, “We’re thrilled to be part of this historic day and to witness firsthand so much excitement from people on the first day of legal cannabis sales. Our dispensaries served thousands of customers on day one by educating new cannabis consumers, making product recommendations and making sure they had a seamless shopping experience. With five newly re-concepted Sunnyside* locations and an additional five dispensaries opening soon in high profile locations such as one next to Wrigley Field and two in Chicago’s downtown Central District, we expect to serve thousands more customers in response to strong demand. Our Sunnyside* concept is designed to move traffic efficiently, so despite the fact that long lines will likely continue in the first few days of adult-use legalization, we are positioned to ensure that each of our customers gets only the best possible service and the products they are looking for. Cresco is already the leader in Illinois, and we expect to be able to maintain this leadership position as the recreational cannabis market grows, contributing solidly to our overall revenue and our profitability.”

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As a growing number of states legalize cannabis, health officials are increasingly sounding the alarm for technology that can quickly determine when drivers are stoned.

A solution for measuring alcohol intoxication has existed since 1954: the Breathalyzer.

No such technology yet exists for cannabis, but several tech startups and university scientists say they're close to commercializing something resembling a cannabis breathalyzer.

Still, others are quick to caution the answer is not that simple.

Click here to read the complete article

CANADA: Tilray, a global pioneer in cannabis research, cultivation, production and distribution, today announced it has entered into an agreement with Canndoc Ltd., a wholly-owned subsidiary of InterCure Ltd., through its wholly-owned subsidiary Tilray Portugal Unipessoal Lda., to export a wholesale shipment of up to 2.5 tonnes of medical cannabis from Portugal to Israel. The shipment, Read the full article...

ILLINOIS: Cresco Labs, one of the largest vertically integrated multistate cannabis operators in the United States, announced today that the Company served 3,145 people on New Year’s Day at its five Sunnyside* Dispensaries located in Lakeview, Elmwood Park, Champaign, Buffalo Grove and Rockford, Illinois. Sunnyside* also sold 9,258 cannabis products, including Cresco’s house of brands and Read the full article...

WAKEFIELD, Mass., Dec. 20, 2019 /PRNewswire/ -- PRESS RELEASE -- Curaleaf Holdings, Inc., a vertically integrated cannabis operator in the United States, has announced that the company has received commitments from a syndicate of lenders for a US$275 million Senior Secured Term Loan Facilitybearing interest at a rate of 13.0% per annum, payable quarterly in arrears, with a maturity 48 months from closing.

Curaleaf has received commitments for the facility from existing lenders as well as other United States based institutional investors. This transaction constitutes a broadly syndicated institutional deal led by sophisticated and long-term investors that have confidence in the cannabis industry and the Curaleaf team in particular. The proceeds will be used to refinance existing debt, satisfy transaction fees and expenses from previously announced acquisitions, fund capital expenditures and for general corporate purposes. The sole placement agent for the facility is Seaport Global Securities LLC.

"This transaction is a historic milestone for Curaleaf. Our track record of continuously improving results has attracted a strong group of institutional investors who share our belief that we have established a leading credit profile in the cannabis industry," said Joseph Lusardi, Chief Executive Officer of Curaleaf. "Importantly, we have raised debt capital at attractive terms without the need to dilute our shareholders. We believe this additional capital fortifies Curaleaf's balance sheet to take advantage of the significant market opportunities that exist in this space."

Neil Davidson, Chief Financial Officer of Curaleaf, continued, "As our business continues to scale and generate positive free cash flow, this additional capital puts us in a position of strength and provides us with ample liquidity to execute on our strategy. Further, we believe our pending acquisitions, most notably Select and Grassroots will benefit from our expanded balance sheet, both of which are expected to close early next year."

The facility is subject to completion of customary closing conditions, with expected completion of conditions precedent and drawdown on or about Jan. 10, 2020.

Illinois Gov. J.B. Pritzker announced Dec. 31, the eve of adult-use cannabis legalization in the state, that he was pardoning more than 11,000 low-level cannabis convictions.

“When Illinois’ first adult-use cannabis shops open their doors tomorrow, we must all remember that the purpose of this legislation is not to immediately make cannabis widely available or to maximize product on the shelves; that’s not the main purpose, that will come with time,” Pritzker said in his announcement. “But instead the defining purpose of legalization is to maximize equity for generations to come.”

The pardon means that convictions involving less than 30 grams of cannabis will be automatically expunged, and the 11,017 Pritzker pardoned Tuesday will receive notification via mail, the Chicago Tribune reported.

State officials estimate that there are hundreds of thousands of people in Illinois who could be eligible for expungement, according to the news outlet. Illinois State Police are searching criminal records to identify eligible cases and submitting them to the Prisoner Review Board, which reviews the cases and sends the names of those eligible for expungement to the governor’s office to be considered for a pardon.

While many of the cases will be automatically expunged in the next couple of years through this process, those with criminal convictions can get a copy of their record and start the process sooner, the Chicago Tribune reported.

New Mexico Rep. Javier Martinez (D-Albuquerque) will pre-file an adult-use cannabis legalization bill in the coming days that incorporates recommendations from the state’s governor-appointed work group, which was charged with suggesting what an adult-use program should entail.

Martinez’s legislation will establish a private adult-use cannabis industry in the state and regulate the market similar to alcohol, according to a local KRQE report.

In an effort to protect the state’s existing medical cannabis program, the legislation would remove sales tax on medical cannabis products and create subsidies for low-income patients, the news outlet reported.

Martinez participated in New Mexico’s work group alongside 21 other policy leaders from across the state, including law enforcement, medical professionals and politicians. The group submitted its recommendations for an adult-use cannabis program to elected officials in October, and focused on prioritizing the state’s medical cannabis patients and providing a large portion of adult-use proceeds to law enforcement and public health programs.

The New Mexico House passed an adult-use legalization bill last spring by a narrow margin of 36-34, but the legislation ultimately stalled in the Senate.

Now that we're on the far side of the holiday season, the Cannabis Conference team is extending its Early Bird registration deadline (originally Dec. 27) to Jan. 10. 

You don't want to miss out on this deal.

Savings at the Early Bird pricing level include: $500 off the All-Access pass, $400 off the Conference & Expo pass and $300 off the Expo Only pass.

Prices will shoot up another $100 after Jan. 10, so get your registration in now.

And while you're at the Cannabis Conference 2020 website, check out our education schedule and our list of speakers. We've been developing our education offerings with our Cannabis Conference 2020 advisory board, which includes some of the brightest minds in cannabis cultivation and retail, as well as the newly legal U.S. hemp industry. 

Cannabis Conference 2020 will be our fourth annual event, and our second visit to Las Vegas. The conference happens April 21-23 at the Paris Las Vegas Hotel & Casino. We're looking forward to gathering business owners from across the rapidly growing cannabis industry, and we're excited to have everyone share ideas and perspectives on how best to support this fascinating marketplace.

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Long lines and mix of happy and frustrated customers marked the first day of adult-use cannabis sales in Illinois. While some of those customers encountered supply shortages or point-of-sale glitches (or dispensaries that they only thought were licensed for adult-use sales), many on the ground in this newest cannabis market reported smooth sailing.

Sales began at 6 a.m. at most retail locations, and businesses made sure to greet the customers who got up early to take advantage of this historic day.

“The early bird gets the herb!” Oak Park resident Jack Fitzgerald shouted as he left Seven Point in the morning, according to the Chicago Tribune’s roundup of the day’s activities. The Chicago Sun-Times noted that some customers had started lining up outside stores as early as Tuesday night.  

In stores throughout the state, the mood was often jovial—despite the frigid temperatures—and raucous cheers were a common refrain amid the day’s business.

At this point, the state has licensed 43 dispensaries to sell adult-use cannabis products. (On Jan. 1, six of those dispensaries were reportedly not ready yet, according to the Chicago Tribune.) More retail licenses are expected, and we’ve been watching the lottery process unfold in highly contentious neighborhoods in Chicago.

Among the first customers in the state was Lt. Gov. Juliana Stratton, who purchased gummies at the Clark Street Sunnyside* location.

Medical marijuana delivered to your door. Recycling of marijuana product packaging. A “hospitality” license. These are some of the changes going into effect in Colorado’s marijuana industry on Jan. 1, the state’s Department of Revenue announced on Tuesday.

The rules are the product of a handful of General Assembly bills, as well as working groups and public comments.

“We encouraged an even more collaborative approach to rule development where work group participants utilized their experience and expertise within stakeholder teams to engage more directly in the drafting of rule language,” said Jim Burack, director of the Marijuana Enforcement Division.

Click here to read the complete article

Michael Karlik ~ ColoradoPolitics.com ~ 

The historic first day of sales of recreational marijuana in Illinois kicked off Wednesday morning with the expected long lines and party atmosphere as hundreds celebrated their ability to buy weed legally -- all while helping the state out with 10 to 25% of the cost going toward taxes.

Lines formed early at dispensaries in Chicago and the suburbs with customers aware of concerns that the shops could sell out of product early.

Several buyers expressed surprise at just how much cash they had to pay out but were happy that they knew the quality of the cannabis was good — and for once in their life they weren’t breaking the law.

Click here to read the complete article

Ally Marotti and Robert McCoppin ~ ChicagoTribune.com ~ 

The cost of legal marijuana in Caifornia is getting higher in 2020, thanks to a new law that goes into effect on New Year's Day.

“Essentially, the state is raising our taxes $3 on every $100,” said Eric Miramon, co-owner of All About Wellness in Sacramento.

Miramon said his Sacramento pot shop pays $120,000 a month in combined state and city taxes -- and those fees are going up.

Click here to read the complete article

Mike Luery ~ KCRA.com ~ 

Gov. JB Pritzker has pardoned more than 11,000 people convicted of misdemeanor marijuana cases, in the first step toward clearing the records of hundreds of thousands of low-level pot convictions, a day before the state legalizes cannabis in 2020.

“These 11,017 misdemeanor convictions represent individuals who have carried around with them a stain on their records for possessing less than 30 grams of cannabis; a stain that has very often prevented them from obtaining housing, or jobs, or benefits. Today, we lift the burden on the first 11,000,” Pritzker said Monday at Trinity United Church of Christ.

Click here to read the complete article

Chicago.CBSLocal.com ~ 

DENVER, Colo. December 31, 2019 -- PRESS RELEASE -- Marijuana rules stemming from the General Assembly’s 2019 legislative session go into effect on Jan. 1, 2020 for all regulated marijuana businesses across Colorado, most notably allowing, for the first time, state licensing of hospitality establishments and the issuance of permits for residential delivery of medical marijuana. Final rules were adopted by the State Licensing Authority on Nov. 5, 2019 after a summer of extensive stakeholder engagement led by the Marijuana Enforcement Division (MED).

“Feedback from our stakeholders through work groups and public comment has always been a MED priority,” said Jim Burack, MED Director. “But this year, we encouraged an even more collaborative approach to rule development where work group participants utilized their experience and expertise within stakeholder teams to engage more directly in the drafting of rule language.”

Highlights of notable key rules that go into effect on Jan.1 include:

Marijuana Hospitality Businesses (HB19-1230):

Creation of two marijuana hospitality business licenses, subject to local jurisdiction approval, including 1) “Marijuana Hospitality Business” license (may be mobile), allowing consumption of marijuana on the licensed premises, and 2) “Retail Marijuana Hospitality and Sales Business” license (cannot be mobile) allowing for the sale and consumption of retail marijuana on the licensed premises.MED will maintain a list of approved hospitality businesses on the Division’s website.

Regulated Marijuana Delivery (HB19-1234):

Michigan has granted three adult-use cannabis dispensaries approval for home deliveries.

Lit Provisionary in Evart, Battle Creek Provisioning in Battle Creek and Nature’s Releaf in Burton have all been licensed for delivery, according to a Michigan Radio report.

Delivery drivers must be 21 or older and can only carry enough cannabis products for about six deliveries, the news outlet reported. Customers must also be 21 and older with a valid ID, and are limited to two and a half ounces of cannabis per order.

Michigan has licensed 26 adult-use cannabis dispensaries, which are facing very high demand since the market launched Dec. 1, according to Michigan Radio. The state has seen nearly $6.5 million in adult-use cannabis sales from Dec. 1 through Dec. 29, the news outlet reported.

The U.S. Department of Agriculture approved three U.S. states’ hemp regulation plans in late December, allowing Ohio, Louisiana and New Jersey to proceed with licensed hemp cultivation. None of those states allowed hemp cultivation under the 2014 Farm Bill provisions, making this the first time farmers in Ohio, Louisiana and New Jersey may pursue this newly legal crop.

See each state’s plan here:

Ohio 

Louisiana 

New Jersey 

“With the USDA approving our state industrial hemp plan, the pieces of the regulatory puzzle are falling into place,” Louisiana Department of Agriculture and Forestry Commissioner Mike Strain said in a public statement. “We are now able to move forward and begin accepting industrial hemp license applications.”

The U.S. Department of Agriculture (USDA) has issued its hotly anticipated Interim Final Rule (IFR). The IFR implements the hemp-related provisions of the Agricultural Improvement Act of 2018 (the “2018 Farm Bill”). Both the IFR and 2018 Farm Bill apply equally to states and Indian tribes. To avoid repetition, only “states” are referenced here.

The IFR was published Oct. 31, 2019, and became effective immediately. It is already impacting the burgeoning U.S. hemp industry.

States must implement the IFR either by developing production plans or adopting USDA’s plan from the IFR. But some states are choosing to postpone this decision.

The 2018 Farm Bill extended the authority to produce hemp through state “pilot programs” under the Agricultural Act of 2014 (the “2014 Farm Bill”) for one year after USDA’s release of its production plan. So, states with existing pilot programs can delay implementing the IFR through the 2020 growing season. This is important, for one, given many states’ concerns over the IFR. Other states, including some with pilot programs, perceive advantages to implementing the IFR sooner.

It is thus useful to examine the IFR alongside the 2014 and 2018 Farm Bills, together with a survey of how some states have approached hemp production previously and are responding to the IFR now.

The 2014 Farm Bill – Pilot Programs for “Research” Purposes

The 2014 Farm Bill authorized state departments of agriculture and universities to produce hemp “for purposes of research conducted under an agricultural pilot program or other agricultural or academic research.” The law defined “pilot programs” but did little to clarify the meaning of hemp production “for purposes of research.” Congress essentially delegated this authority to states, without mentioning either USDA or the U.S. Drug Enforcement Administration (DEA).

PRESS RELEASE - The list for pesticides that can be used on cannabis without being a violation of the Pesticide Applicators' Act has been updated. Please note the following products have been added:

PureAg PMBioSafe Weed & Grass KillerBT NowBioSafe Disease Control RTULALSTOP G46Eco-1 40Harris *Since 1922* 20% Vinegar Weed Killer

To view the updated list, click here for a pdf or click here for an Excel form. For questions regarding this change, contact Laura Quakenbush at (303) 869-9060 or email [email protected].

The Colorado Department of Agriculture (CDA) is currently reviewing pesticide labels upon request and maintaining a list of products whose label it has reviewed that it believes could be used on marijuana without violating 35-10-117(1)(i), as long as the applicator follows the label directions.

Please be sure to review the list; pesticide products may be removed from the allowed products list if the registrant has not renewed their pesticide product with the department. Use of unregistered pesticides on cannabis would be a violation of the Pesticide Applicators' Act.

Stay Informed

DENVER, Dec. 23, 2019 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Akerna, a cannabis compliance technology provider and developer of the cannabis industry’s first seed-to-sale enterprise resource planning (ERP) software technology (MJ Platform), has named John Fowle, chief financial officer (CFO). As CFO, Fowle will leverage his 20 years of deep systems, integration and SaaS experience to drive the company’s overall financial strategy, including growth plans, as Akerna continues to acquire complementary technologies.

"We are excited to have John on board. His M&A experience, coupled with his proven integration track record, aligns well with our strong performance-oriented culture,” said Jessica Billingsley, chief executive officer of Akerna. “The depth of his SaaS expertise, strength in metrics and reporting, as well as his impressive reputation for execution and achieving results, makes him the right choice to lead our finance team.”

Throughout his career, Fowle has overseen several divisions such as finance, business operations, business intelligence, and monetization operations. Before joining Akerna, he served as CFO for REV360, a SaaS and business services company, and as vice-president and controller for WELLTOK. While at WELLTOK, Fowle led the successful diligence and integration of six acquisitions valued at over $230 million.

"I am pleased to join the Akerna team. I believe the potential for growth and value creation is tremendous, given the smart and passionate people, strong technology, and global footprint,” said John Fowle. “Having played a leadership role in similar business situations and industries, I am confident that we can develop and execute plans to drive consistent growth and result in the further creation of shareholder value.”

Fowle is a certified public accountant. He holds an MBA from the University of California, Irvine, and a Bachelor of Science Degree in Business Administration from the University of Southern California.

KELOWNA, B.C, Dec. 23, 2019 /CNW/ - PRESS RELEASE - Valens GroWorks Corp., a vertically integrated provider of extraction products and services, including a diverse suite of extraction methodologies, next generation cannabinoid delivery formats and an ISO 17025 accredited analytical lab, has announced a multi-year extraction and white label agreement with Emerald Health Therapeutics Inc., a multi-year product supply agreement with Dynaleo Inc., and an update of its OTCQX stock ticker to VLNCF.

Valens signs multi-year extraction and white-label agreement with Emerald Health

The agreement has an initial four-year term, with Emerald Health supplying Valens with an annual minimum quantity of 10,000 kilograms of cannabis and hemp biomass. Valens will process the biomass provided by Emerald Health on a fee for service basis into premium quality resins and distillates using the company's proprietary extraction processing methods. In addition to extraction services, Valens will provide Emerald Health with a variety of white label services including formulation, mixing and filling for product formats including vaporizers, softgels and tinctures. Valens expects to receive and begin processing the first shipment from Emerald Health in Q1 of fiscal 2020 and currently holds all required licensing from Health Canada to carry out its obligations under the agreement.

"We are pleased to have Valens as one of our strategic manufacturing partners, and look forward to bringing the variety of products we will generate with them to market," said Riaz Bandali, CEO of Emerald. "Beyond being an industry leader in extraction, formulation, and other services, Valens' cost-effective end-to-end fulfillment solution can help transition our novel product ideas into tangible products in a faster and more cost-effective manner."

"We are excited to partner with Emerald Health to provide our extraction and white label expertise to bolster their product platform," said Tyler Robson, CEO of The Valens Company. "Emerald Health is one of the industry's leading players, focused on an important medical cannabis patient program for individuals in need across Canada. We look forward to working closely with the team at Emerald Health as they scale their operations and expand their product portfolio for years to come."