Author: Staff

Recent Stories by Staff
Daily-Hit-Header.png
StaffJanuary 4, 20244min00

The Daily Hit is a recap of the top financial news stories for Jan. 4, 2024.

On the Site

California Cannabis Company Sues State, Alleges ‘Massive Overcollection’ of Taxes

HNHPC Inc. – which is a wing of Long Beach-based Catalyst Cannabis Co. – has filed suit against several state agencies, including the primary tax collection bureau, alleging that the departments conspired to cover up an illegal change to cannabis tax policy and “massive overcollection” of taxes from marijuana businesses. Read more here.

Testing Concerns Lead to Quarantine for 70% of Mississippi MMJ Goods

Mississippi health officials ordered more than two-thirds of the medical marijuana products currently on the market be retested for safety, following an anonymous tip that claimed many of the goods were tainted with pesticides. Read more here.

Connecticut Attorney General Tells Unlicensed Cannabis Events Company to Stop

As part of a broader crackdown on illicit cannabis, the Connecticut attorney general sent a formal cease-and-desist order to a marijuana events company that organizes farmer’s market-style gatherings. Read more here.

Atai Makes $50 Million Investment Into Beckley Psytech

Psychedelic biotech company atai Life Sciences (NASDAQ: ATAI) is making a $40 million direct investment into Beckley Psytech to fund ongoing research, plus an additional $10 million to purchase shares from existing shareholders. Read more here.

Interview: Breaking Down the Benefits of an ESOP for Cannabis Companies

Andrew Nikolai, vice president at CSG Partners and an expert in structuring employee stock ownership plans, recently spoke with Green Market Report about the benefits an ESOP provides for any company – and why there are so few cannabis businesses taking advantage of it. Read more here.

In Other News

Virginia Cannabis Control Authority

A new year means a change in the way Virginia oversees its Medical Cannabis program. It’s now the sole responsibility of a single stage agency, rather than one with a number of duties. The transition from the Virginia Board of Pharmacy to the Cannabis Control Authority is expected to not only help patients quickly access safe, regulated products, but also pick up on what other states are doing. Read more here.

Kentucky MMJ

Gov. Andy Beshear on Thursday called for Kentucky’s medical marijuana program to be expanded to include an extra 15 conditions that would allow an additional 437,000 Kentuckians to qualify for usage when the program launches next year. Read more here.


Daily-Hit-Header.png
StaffJanuary 3, 20244min00

The Daily Hit is a recap of the top financial news stories for Jan. 3, 2024.

On the Site

DEA Reminds Congress it has ‘Final Authority’ on Marijuana Rescheduling

The Biden Administration’s Drug Enforcement Administration reminded members of Congress this week that despite last year’s rescheduling recommendation, it retains “final authority” on where cannabis will be placed on the list of controlled substances. Read more here.

Investor Sues 420 Real Estate Following SEC Complaint

An investor is looking to recoup funds from the fraudulent 420 Real Estate scheme by taking the company to court. Jeffrey Carter and 20 other unidentified plaintiffs filed a complaint on Dec. 28, 2023., saying that he and the other investors contributed more than $1 million to the real estate scheme. Read more here.

New Mexico Revokes Two Cultivation Licenses, Fines Each $1M Apiece

New Mexico marijuana regulators took their most strident enforcement actions to date against rule breaking cannabis businesses, by revoking the grow permits of two cultivation facilities and fining each $1 million apiece. Read more here.

Related: New Mexico Sets Another Monthly Marijuana Sales Record in December

Agrify Shaves More Losses in Q3 as Revenue Slides

Cannabis cultivation and extraction solutions company Agrify Corporation (Nasdaq: AGFY) touted a significant reduction in net losses for the third quarter ending Sept. 30, as sales continue to remain downbeat. Read more here.

1933 Reports Steady Progress on Financial Goals

1933 Industries Inc. (CSE: TGIF)(OTCQB: TGIFF)started the new year by releasing its unaudited interim consolidated financial statements for the first fiscal 2024 quarter ending October 31, 2023, in Canadian dollars. 1933 reported revenues of $5.5 million, an 11% increase from $5.0 million for the fiscal 2023 first quarter. Read more here.

In Other News

California Lab Testing 

Beginning Jan. 1, California-licensed laboratories are required to use Department of Cannabis Control’s standardized cannabinoids test method and standardized operating procedures for testing dried flower, including non-infused pre-rolls. Read more here.

Acreage Holdings

New York-based Acreage Holdings (CSE: ACRG.A.U, ACRG.B.U) (OTCQX: ACRHF, ACRDF) launched its adult-use operations in New York by making its Botanist product line, which includes flower, infused pre-rolls, edibles, capsules, and tinctures, available for wholesale purchase to eligible adult-use dispensaries across the state. Read more here.

Village Farms International

Village Farms International (NASDAQ: VFF) announced the first shipment and the launch of two cannabis brands in the United Kingdom. The company’s Pure Sunfarms and The Original Fraser Valley Weed Co. brands will be distributed by 4C LABS. Read more here.


Daily-Hit-Header.png
StaffJanuary 2, 20245min00

The Daily Hit is a recap of the top financial news stories for Jan. 2, 2024.

On the Site

New York Makes Two MSOs Wait for Recreational Market Entry

During a chaotic meeting on Friday, New York marijuana regulators told two multistate operators – Fiorello Pharmaceuticals Inc., which is owned by Green Thumb Industries, and Citiva Medical LLC, which is owned by iAnthus Capital Holdings Inc. – that they’ll have to wait at least a few more weeks to join the state’s recreational cannabis market. Read more here.

New York’s Legal Marijuana Sales Hit $150 Million in First Year

More than 6,900 businesses have filed applications to sell cannabis products since the state opened its first legal dispensary in December 2022. But to date, just 40 dispensaries have been approved to sell adult-use products, the data shows. The state’s 40 legal dispensaries sold 3.5 million units of cannabis within the last year. Read more here.

Trulieve Closes $25 Million Financing Deal

Florida-based Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) announced last week that it secured a new commercial loan of $25 million at 8.31% interest for five years. Funds from the deal will be used to help the company pay for ongoing operations. Read more here.

Nevada Eases Cannabis Licensing Red Tape

A slew of changes to the Nevada cannabis industry, from possession limits to potency and licensing, went into effect Monday. Under the new rules, the result of a bill signed into law last June, dispensaries serving both recreational and medicinal cannabis will require only a single license, instead of separate licenses for each side of the market. Read more here.

Shiny Health & Wellness Faces Revenue Slide, Rising Net Loss

Toronto-based cannabis operator Shiny Health & Wellness Corp. (TSXV: SNYB) experienced a notable dip in revenue and a rise in net loss, according to its financial statements for the third quarter ending Oct. 31, 2023. The company’s revenue fell 42.7% in the three-month period, to C$4.28 million, compared to the same period last year. Read more here.

In Other News

22nd Century Group

22nd Century Group, Inc. (NASDAQ: XXII) closed the sale of its hemp/cannabis operations. The transaction will significantly reduce the company’s operating costs going forward, a key step in its goal to achieve cash positive operations. Read more here.

FP Omni Technologies

FP Omni Technologies, Inc. (fpomnitech.com) has made the decision to wind down its operations. The decision arose out of the company’s inability to continue with the payment processing services promised to FP Omni by TSYS Acquiring Solutions LLC. Read more here.

Alabama

Montgomery County Circuit Judge James Anderson on Thursday night issued a temporary restraining order to stop the Alabama Medical Cannabis Commission from issuing licenses to companies that will dispense medical cannabis. Anderson’s order putting a hold on the issuance of licenses applied only to the dispensary category. The commission was also scheduled to issue licenses for cultivators, processors, transporters, and testing labs. Read more here.


Daily-Hit-Header.png
StaffDecember 21, 20234min00

The Daily Hit is a recap of the top financial news stories for Dec. 21, 2023.

On the Site

California AG Nixes Interstate Cannabis Commerce Proposal

California Attorney General Rob Bonta came out against a Democrat-backed proposal for the state to enter into compacts with other states to legally export cannabis. California has long had a glut of marijuana supply. Read more here.

Wisconsin Republicans to Introduce Medical Marijuana Legalization Bill Next Month

A key Republican lawmaker in Wisconsin – one of the few remaining states in the nation with no functional cannabis market – announced a new bill to stand up a medical marijuana industry. Read more here.

Body and Mind Ekes Out Profit in First Quarter of New Fiscal Year

Multistate operator Body and Mind Inc. (CSE: BAMM) (OTCQB: BMMJ) eked out net income of $200,000 in its first fiscal quarter of 2024, which ended Oct. 31, the company reported in its most recent financials. Read more here.

Good Shroom Co. Reports ‘Highest Profitable Quarter to Date’

Montreal-based The Good Shroom Co. (TSXV: MUSH) nearly doubled its revenue and turned a small profit in the first quarter of its 2024 fiscal year, the company reported in its most recent quarterly financials. The Canadian cannabis operator made a net profit of C$92,126 in the quarter that ended Oct. 31, on revenue of C$1.5 million. Read more here.

Theory Wellness to Become Largest Employee-Owned Cannabis Company

Massachusetts-based Theory Wellness is becoming the largest employee-owned cannabis company and the timing with the holidays is a bonus. In addition to bringing the employees on as owners, the restructuring will put “millions” back into the company each year – a benefit for both the organization and its new employee owners – by bypassing the onerous 280E tax provision. Read more here.

In Other News

The Grass Is Always Greener LLC

A Washington state court has appointed a receiver to take over the assets of The Grass Is Always Greener LLC, a Seattle-area cannabis company that’s been accused of bilking an ex-business partner to whom it owes a nearly half-million-dollar settlement by putting its dispensary licenses in jeopardy, twice. Read more here.

HEMP BioSciences

Hemp BioSciences, a wholly owned division of WEED Inc. (OTCQB: BUDZ), received licenses in all available industrial hemp categories from the Arizona Department of Agriculture. These include growing, nursery, harvester, transporter, and processor licenses. Read more here.


Daily-Hit-Header.png
StaffDecember 20, 20234min00

The Daily Hit is a recap of the top financial news stories for Dec. 20, 2023.

On the Site

New York Cannabis Regulators Face Yet Another Lawsuit in Adult-Use Rollout

A new lawsuit from a now-notorious marijuana business operator who has filed multiple lawsuits over various social equity programs across the country – and who was responsible for several months’ worth of delays in New York licensing already – has filed a new lawsuit asking a federal judge to block New York regulators from awarding further cannabis licenses. Read more here.

MedMen to Exit Arizona and Nevada, Sell Assets to Mint Cannabis

The long-embattled Florida-based MedMen Enterprises Inc. (CSE: MMEN) (OTCQX: MMNFF) announced Wednesday that it agreed to sell its cannabis assets in Arizona and Nevada to competitor Mint Cannabis, an Arizona-based multistate operator, and will exit those markets. Read more here.

About 7,000 Adult-Use Cannabis Applications Estimated in New York

New York cannabis regulators probably took in about 7,000 business license applications for marijuana companies during its latest submission window, which closed on Monday, according to one attorney who was heavily involved in the process for scores of clients. Read more here.

Filament Health Cancels SPAC Merger

Filament Health Corp. (OTCQB: FLHLF) (NEO: FH) and Jupiter Acquisition Corp. (Nasdaq: JAQC) mutually agreed to terminate their business combination agreement after being advised that “material changes” would be needed to achieve Nasdaq compliance. Read more here.

In Other News

The French Laundry

The founders of Maven Genetics, a California cannabis company, have changed the name of their most celebrated strain after Michelin-starred restaurant The French Laundry caught wind that its trademarked name was being used. Read more here.

Connecticut

Connecticut residents looking to consume alcohol at home on Christmas and New Year’s will have to buy it ahead of time, as stores won’t be allowed to sell alcohol on those days, according to the Department of Consumer Protection. However, cannabis sales and gambling will be allowed, the department announced Wednesday. Read more here.

Oregon

Economist Beau Whitney estimates 1 million pounds of dried pot were grown legally this year in Oregon. But Whitney estimates another 3.1 million pounds of illegally grown Oregon cannabis will be diverted across state lines. By Whitney’s calculations, that means three times as much weed is shipped out of state as is sold in Oregon’s licensed shops. Read more here.


delta-8.jpg
StaffDecember 20, 20231min00

15% – Percentage of 20-something Americans that report using psychoactive hemp

While the topic of intoxicating hemp products has taken over many headlines and legislative discussions, its use among younger adults (age 21-29) in the U.S. has remained relatively stable. Looking at the general population, only 15% of consumers in this cohort say they use these cannabinoids. This is less than half that say they use “cannabis/marijuana.” From 2022 to 2023, the percentage of consumers using psychoactive hemp has stayed the same.

Source: Brightfield Group, Delta-8 & Emerging Cannabinoids Consumer Insights, Q3 2023


Daily-Hit-Header.png
StaffDecember 19, 20234min00

The Daily Hit is a recap of the top financial news stories for Dec. 19, 2023.

On the Site

Missouri Regulators Find 11 Social Equity License Recipients Ineligible

Nearly one-quarter of the 48 social equity marijuana microbusiness permits awarded in October have been deemed ineligible for various reasons, and the 11 applicants – which include permits for nine dispensaries and two wholesalers – are poised to lose those licenses. Read more here.

Organigram Loses Nearly a Quarter Billion in 2023

Toronto-based Organigram Holdings Inc. (NASDAQ: OGI) (TSX: OGI) closed its 2023 fiscal year on Sept. 30 with a C$248.6 million loss, a whopping 1,641% increase from the prior year when the company posted a C$14.2 million loss. The loss contrasted with the company’s C$161.6 million in net revenue for the fiscal year, which was up 11% year-over-year from C$145.8 million. Read more here.

Grown Rogue Back to the Red in Q4 with $2.1M Loss

Oregon-based Grown Rogue International Inc. (CSE: GRIN) (OTC: GRUSF) dipped back into the red as of its fiscal fourth quarter this year, when the company reported a consolidated $2.1 million loss for the three months ended Oct. 31. The losses end a profitable streak for the second-tier multistate operator. Read more here.

Dagmar Cannabis Opens in Soho

Dagmar Cannabis is the first social justice applicant to open a dispensary in New York since the judge lifted the freeze on the adult-use cannabis program. Read more here.

In Other News

Canadian Cannabis Insolvency

Financially distressed cannabis companies continued to seek refuge in Canadian insolvency law in 2023, although such insolvency filings under one statute declined from 2022. This year’s cannabis insolvencies included big names such as retailer Fire & Flower and producer Aleafia Health, highlighting the industrywide struggle to keep operating in the face of low marijuana prices, high taxes and trouble accessing new funding. Read more here.

Cresco Labs

Chicago-based Cresco Labs is suing two Massachusetts dispensaries over a lack of payment for goods produced from Cresco’s Leicester-based production and cultivation facility. The lawsuit, filed in Worcester County Superior Court on Monday, targets Terps – Attleboro and Terps – Wellfleet, two dispensaries that share ownership. Cresco alleges that the two retail stores purchased $88,662 worth of product facility between October 2022 and March 2023 but failed to make payment. Read more here.


daily-hit.jpg
StaffDecember 18, 20234min00

The Daily Hit is a recap of the top financial news stories for Dec. 18, 2023.

On The Site

Former U.S. Attorneys Fighting Cannabis Rescheduling

Citing the old classics reminiscent of Reefer Madness, nearly 30 former U.S. Attorneys sent a letter to Attorney General Merrick Garland asking that cannabis not be reclassified as a Schedule III drug. Read more here.

Trend of Distressed Michigan Dispensaries Closing Without Paying Vendors

A trend has begun in the Michigan marijuana community of financially strapped dispensaries closing up shop quietly without paying off sizable debts, leaving vendors with little recourse but to try and sue. Read more here.

Prominent New York Marijuana Attorney Sues Former Firm, Alleges Unfulfilled Contract

New York marijuana attorney Lauren Rudick, who has made a name for herself in cannabis business circles over most of the past decade, filed suit recently against her former law firm and alleged she was owed hundreds of thousands under an employment contract she says went unfulfilled. Read more here.

Kent State University Contracts With Green Flower for Cannabis Education Courses

Kent State University is breaking into cannabis education, and courses begin as soon as next month. To do this, KSU is partnering with Green Flower, an online education platform founded in 2014 in Ventura, California, by CEO Max Simon. Read more here.

Report: Jushi Plays Long Game to Weather Cannabis Volatility

Despite weathering the challenging headwinds facing the cannabis industry over the past few years, Beyond Hello dispensaries owner Jushi Holdings Inc. (CSE: JUSH) (OTCQX: JUSHF) has forged a path toward growth and resilience, according to a recent report by Water Tower Research LLC. Read more here.

In Other News

Colorado

Coda Signature, a multi-state edibles manufacturer founded in Boulder, has ended operations in Colorado. Read more here.

Missouri

Missouri’s crackdown on a cannabis company accused of illegally importing THC concentrate could lead to a showdown over the state’s authority to regulate the industry. Read more here.

Minnesota

Minnesota health inspectors monitoring the sale of hemp-derived THC edibles recently found more than 1 in 3 retailers they checked were carrying illegal high-dose products. Read more here.


download-1.jpg
StaffDecember 18, 20238min00

This story was republished with permission from Crain’s Cleveland and written by Jeremy Nobile

Kent State University is breaking into cannabis education, and courses begin as soon as next month.

To do this, KSU is partnering with Green Flower, an online education platform founded in 2014 in Ventura, California, by CEO Max Simon.

“Education has been my background. But I’ve also been using cannabis medicinally my whole life. In 2014, I was helping people build online education businesses and felt like I wanted to build something on my own again,” Simon explains. “My thinking was, this is going to be a huge industry, it’s going to need a lot of well-trained people, and I have the perfect background from an educational and cannabis standpoint to play that role.”

KSU will offer certificate programs in fully online and asynchronous formats in four key areas: business; health care; compliance; and agriculture. Registration is open now, with classes beginning in January.

Each program is open to the public, costs $2,950 and takes about six months to complete, according to Green Flower. It will split those proceeds with the school.

Green Flower has been on a growth spurt since raising $20 million in startup capital in 2019, which has helped enable it to develop training programs and secure partnerships.

Since then, Simon said the platform has grown from one college/university partnership to 50 across 22 states. Simon’s goal is to grow Green Flower’s partnership network to 100 by 2027.

KSU is the first higher ed institution in Ohio to work with Green Flower, and it will be the only one for at least some time. KSU spokesman Eric Mansfield said the startup has a three-year contract with the university that requires Green Flower to work with it as its exclusive partner in the state.

The school will independently track progress and student outcomes with the Green Flower programs as it determines whether to reassess or renew its partnership in the future.

This foray into cannabis education ties in with KSU’s Lifelong Learning Initiative.

Mansfield said KSU officials had been vetting Green Flower for “several months” intending to ink a partnership if voters passed Issue 2, Ohio’s adult-use marijuana referendum.

“It aligns with our goal to deliver high-caliber educational experiences and create access and benefits that our students are looking for who want to put themselves in that industry,” Mansfield said.

“This is an important opportunity for Kent State University to collaborate with a recognized private education provider for training related to the emerging cannabis industry,” said Peggy Shadduck, KSU’s vice president for regional campuses and dean of the College of Applied and Technical Studies, in a statement.

While a relatively young company, Green Flower was named cannabis training/education services provider of the year at the 2023 EMJAY Awards during the annual MJBiz Conference in Las Vegas.

As of Nov. 9, there were 7,081 employees working in state-licensed marijuana companies in Ohio, according to regulators. Since the beginning of the year, that workforce has grown by less than 2%.

However, the expectation is the current cannabis workforce will need to expand from there as Ohio transitions from a medical-only state to include adult-use. Many cultivators and product manufacturers will want to expand operations, new dispensaries will come online, and the potential consumer base will expand significantly.

All these elements point to a need for additional jobs.

“With the recent legalization in Ohio, it is important for individuals to become well-informed. These on-demand, online certificate programs will enable individuals to develop specialized knowledge and skills related to the cannabis industry at their own pace,” Shadduck added. “Trained professionals are needed to fill the jobs that are being created now and that will be created in the future. Individuals with a variety of backgrounds can learn technical skills as well as how to apply ethical business practices and quality standards to the emerging cannabis industry.”

Mansfield could not speak to whether KSU considered partnering with Northeast Ohio’s own Cleveland School of Cannabis for these programs, but Simon had a take on that—which he prefaced by emphasizing that he “loves the CSC group” and believes they “do good work.”

“(CSC) are their own school, and we are not,” Simon said. “The reason universities partner with us is we are a turnkey system that allows schools to offer their own cannabis programs.”

Simon said Green Flower has awarded more than 5,000 certificates to date. Completion rates hover around 85%.

As far as employment rates for Green Flower grads, Simon said his company is working on collecting better data there.

He notes that not all Green Flower students are singularly motivated by joining the cannabis industry as some tend to include healthcare professionals looking to learn more about the plant and enthusiasts interested in learning how to grow plants at home, for example.

“We don’t get as much data from the students after they finish the program as I expected us to,” Simon said. “So we don’t have very comprehensive data on what people do with these after they’re finished. But that is a core goal in 2024, to figure out new and creative ways to get students to tell us what they do.”

 


Get the latest cannabis news delivered right to your inbox

The Morning Rise

Unpack the industry with the daily cannabis newsletter for business leaders.

 Sign up


About Us

The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


READ MORE



Recent Tweets

Get the latest cannabis news delivered right to your inbox

The Morning Rise

Unpack the industry with the daily cannabis newsletter for business leaders.