Adam Jackson
California-based cannabis company StateHouse Holdings Inc. (CSE: STHZ) (OTCQX: STHZF) has announced an 18-month managed service agreement with Pelorus Capital Group.
Under the deal, StateHouse will be taking over operations at the Willow Creek facility in Humboldt County, commonly referred to as the “Humboldt Facilities.”
“In addition to its cultivation and operational expertise, StateHouse will provide Pelorus with its full range of services including human resources, legal and compliance, post-harvest production and processing, contract manufacturing, distribution and safety management,” the company said in a statement Tuesday.
Willow Creek’s Humboldt facilities feature a 150,000 sq. ft. greenhouse, an additional acre of field production, and two nursery licenses, including a 1,500 sq. ft. tissue culture lab.
Ed Schmults, CEO of StateHouse, shared his optimism about the agreement with Pelorus.
“We are off to an impressive start to 2023 and with numerous corporate milestones already completed, we have secured our position as a leading operator in the State,” said Schmults. “This new arrangement with Pelorus has opened the potential to expand our managed services to be an all-margin business line, which will further improve our bottom line and leverage our proven cultivation and operations experience.”
Schmults went on to express the potential of the partnership to create more opportunities for StateHouse. By showing its skills and proficiency in Humboldt, the company aims to broaden its managed services offering to facility owners throughout California and even nationally. He believes that the initiative might soon turn into a major revenue stream for StateHouse.
Schmults added, “As experts in California, we have many long-standing relationships across the industry and believe we are extremely well-positioned to provide genetics, cultivation prowess, management oversight and strategic thinking necessary to revitalize operations at the Humboldt Facilities.”
Pelorus’ managing partner Travis Goad also expressed his anticipation for the partnership.
“StateHouse has a long history as a trusted operator and we look forward to leveraging the full breadth of their experience and talented team to bring the Humboldt Facilities to their full potential,” said Goad.
“Bringing in such a seasoned operator whose extensive expertise in the cultivation of cannabis is critical to success in the dynamic California market.”
