This is a copy of the December 23rd edition of our weekly Newsletter, which we have been publishing since October 2015.
As the year wraps up, one of the highlights has been the emergence of large multi-state operators (MSOs) that have been consolidating the American cannabis industry as they have gained access to capital, with several of them beginning to trade publicly. Most of them talk about a dual approach to growth, with mergers and acquisitions supplemented by organic growth opportunities through winning new licenses in relatively restricted markets. License wins, especially in states where the MSOs have operations already or in states where the programs are well established, are a relatively low-risk and inexpensive way for these companies to expand.
December has been a truly remarkable month for the MSOs. Earlier this month, Nevada issued additional adult-use licenses, roughly doubling the number. Essence, which is being acquired by Green Thumb Industries (GTI), picked up 8 of the 61 licenses. Green Growth Brands won 7, while MPX Bioceutical snagged 4. This week, New Jersey doubled its vertically integrated medical cannabis licenses, with MSOs picking up 5 of the 6 new licenses, including Columbia Care, GTI, MPX, TerrAscend (NETA) and Verano Holdings. Finally, Pennsylvania awarded 23 new dispensary licenses, with the majority going to MSOs, including 6, the maximum, for Harvest Health & Recreation, 4 for GTI, 2 for PharmaCann and 1 each for Cresco Labs and Vireo. GTI is on a roll, winning in all three states and also picking up licenses in West Hollywood (through Essence).
Several of these companies will be at the Benzinga Cannabis Capital Conference next month in Miami, in addition to many other leading companies from Canada and from the ancillary space, giving our readers a great opportunity to meet with them directly. The MSOs confirmed at this time for company presentations include Cannex Capital, which is merging with 4Front, Curaleaf Holdings, DionyMed Brands, Harvest Health & Recreation, iAnthus Capital, Liberty Health Sciences, Plus Products, Surterra and Trulieve. George Allen of Acreage Holdings, Steve White of Harvest, Hadley Ford of iAnthus, George Scorsis of Liberty and Kim Rivers of Trulieve will participate in a Town Hall Panel after lunch that Alan will be moderating. Additionally, Curaleaf CEO Joe Lusardi will be delivering one of the keynote addresses, while Cresco Labs CEO Charlie Bachtell will be participating in a Fireside Chat.
After the tremendous success of the first Cannabis Capital Conference in Toronto this summer, we are excited to be working with Benzinga again for its next event that is designed for North American cannabis investors and entrepreneurs, which will take place next month in sunny Miami Beach.
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New Cannabis Ventures publishes curated articles as well as exclusive news. Here is some of the most interesting business content from this week:
- Aleafia to Acquire Emblem in $173 Million Stock Deal
- Canadian LP TerrAscend Wins New Jersey Medical Cannabis License
- Exclusive: Cannabis Extraction Technology Company Vitalis to Take Its Direct Sales Model into New Markets
- Canopy Growth to Enter U.S. Market with Hemp Legalization
- FDA Asserts Regulatory Authority over Cannabis Derived Products
- Exclusive: Green Growth Brands is Using Decades of Retail Experience to Power its Multi-State Cannabis Strategy
- New Jersey Doubles Medical Cannabis Licenses with Addition of 6 Companies
- Pennsylvania Issues 23 Additional Medical Cannabis Dispensary Permits
- Terra Tech Hit by Fraud Allegations in its Nevada Cannabis Operations
- Tilray and AB InBev to Invest Up to $100 Million in Cannabis Beverage Venture
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Alan & Joel