An investigation from the New York Medical Cannabis Industry Association found that licensed dispensaries have sold marijuana flower that wasn’t …
Tag: Northwest
-
A global and local perspective on Vermont cannabis, keynotes to know at VTCANN
Featured in the New York Times, a Pulitzer Prize-winning Washington … New York Times Cannabis · Washington Post Cannabis · National Geographic …
-
A New Challenge to Mandatory Labor Peace Agreements Is Filed While Another Is Dismissed
… cannabis industry. Similar laws have been challenged in Oregon, California, and Rhode Island. While several cannabis businesses have challenged …
-
Trump-Appointed U.S. Attorney Says His ‘Instinct’ Is Medical Marijuana Dispensary Shouldn’t …
You may like · Montana Lawmakers Pass Bill Allowing Cannabis Compacts Between Indian Tribes And The Governor · Florida Bill To Make Medical Marijuana …
-
Montana Lawmakers Pass Bill Allowing Cannabis Compacts Between Indian Tribes And …
This story was originally published by Montana Free Press at montanafreepress.org. Florida Bill To Make Medical Marijuana Cards Free For Military …
-
4Front Ventures delays annual filings, can’t pay auditors
4Front Ventures (CSE: FFNT) (OTCQB: FFNTF) said Wednesday it can’t meet its April 30 regulatory deadline to file its annual financial report because it can’t pay its auditors.
The Phoenix-based company also applied for a management cease trade order that would temporarily restrict company leaders from trading its securities while it tries to fix its money problems.
The delay comes as the company works to “resolve the issue and expects to be able to file the necessary reports upon completion of securing additional financing, restructuring its liabilities and continuing discussions with one of the company’s lessors,” according to a news release. Management stated that it expects to file within 60 days of restarting its audit.
The delay follows a tough stretch for 4Front, which lost $6.4 million in the third quarter while watching its revenue slide. Third-quarter revenue dropped to $15.2 million, down from $20.1 million a year earlier and lower than the $18.7 million from the previous quarter.
The company blamed “softness in our retail channel stemming from heightened competition” in both Illinois and Massachusetts markets for the revenue dip.
Still, CEO Andrew Thut previously tried to sound positive, saying the company was making progress on scaling production in Illinois, growing wholesale in Massachusetts and seeing better results in Washington.
“Despite the uncertainties surrounding federal cannabis reform, we’re optimistic, especially given signs that we may have unexpected advocates in the incoming administration,” Thut said at the time. “We’re confident entering Q4 and are ready to return to growth and sustainable positive cash flows from operations.”
4Front also said at the time that it retained Canaccord Genuity to help with an internal reorganization, particularly regarding its financial position. The company also took out an $850,000 loan to finance ongoing operations.
The company asked for relief under Canadian National Policy 12-203, which would block management from trading company securities until it files its financials. The Ontario Securities Commission hasn’t ruled on this request yet.
If rejected, the commission might instead impose a broader order affecting all company securities.
While the filings remain outstanding, 4Front promised to provide biweekly status updates and confirmed that insiders can’t trade company stock until the annual filings are submitted.
The company has been pushing growth initiatives despite its financial crunch. During the third quarter, it continued building a massive 250,000-square-foot cultivation facility in Matteson, Illinois, planning to expand from 24,000 to 34,800 square feet of growing space. Its Massachusetts wholesale business showed some promise with a 56% increase in revenue to nearly $2 million for the quarter.
As of September 2024, 4Front had $278 million in assets, with just $1.2 million in cash, against $326.5 million in liabilities, including nearly $69 million in debt.
The company said there are no bankruptcy proceedings underway and “no material business developments” since filing its last quarterly report in December beyond what its already disclosed.
The post 4Front Ventures delays annual filings, can’t pay auditors appeared first on Green Market Report.
-
Montana: Lawmakers Approve Bills Imposing New Restrictions on Cannabis Edibles, Zero-Tolerant Per Se Limits for Drivers Under 21
A third bill extending the moratorium on new marijuana business licenses was also approved by lawmakers.The post Montana: Lawmakers Approve Bills Imposing New Restrictions on Cannabis Edibles, Zero-Tolerant Per Se Limits for Drivers Under 21 appeared first on NORML.
-
Grown Rogue posts strong early results from ABCO Garden State
Grown Rogue International Inc. (CSE: GRIN) (OTC: GRUSF) announced that its New Jersey cannabis cultivation affiliate generated $1.8 million in preliminary first-quarter revenue with gross margins between 55% and 60%, showing some early success in the Garden State market.
The Oregon-based craft cannabis company provided some details on both the performance and financial structuring of its New Jersey operation, ABCO Garden State, LLC.
According to the company, ABCO has achieved cultivation yields exceeding 60 grams of flower per square foot of bench space and has penetrated more than half of New Jersey’s dispensaries with its flower and pre-roll products.
“I’m excited by the initial progress we have seen in New Jersey across cultivation, post-harvest, and sales,” CEO Obie Strickler said in a statement. “We are seeing strong cultivation yields, greater than 60g of flower per square foot of bench space with preliminary gross margin between 55-60%.”
The company reported an average selling price exceeding $2,500 per pound for whole flower and pre-roll products during the first quarter. Strickler noted that ABCO products are seeing “accelerating re-order trends, providing some early validation with respect to our quality, value, and brand strength.”
Grown Rogue currently owns 44% of ABCO but plans to exercise its rights to convert to 70% ownership in fall 2026, the earliest opportunity allowed under New Jersey regulations. The company has structured its investment primarily through senior secured promissory notes that require repayment before any profit distributions, with a March 31 balance of $8.2 million including accrued interest.
“The majority of the capital Grown Rogue has deployed in ABCO has been structured through secured loans,” CFO Andrew Marchington said in the news release. “The repayment of these notes are structured to be paid as a first priority before the distribution of any profits to ABCO partners. We believe this is a preferred deal structure for Grown Rogue shareholders despite its complex impact on our financial statements.”
ABCO is planning some big expansion, with construction of Phase II scheduled to begin in the second quarter. That’ll double steady-state production from the current 500-600 pounds per month to 1,000-1,200 pounds monthly, it said, with full capacity expected by early 2026.
Due to accounting rules, Grown Rogue doesn’t anticipate being able to consolidate ABCO’s financial results until it obtains 70% ownership. Instead, the company said it will provide pro forma disclosure regarding ABCO operations to give investors appropriate transparency.
The post Grown Rogue posts strong early results from ABCO Garden State appeared first on Green Market Report.
-
U.S. Cannabis Roundtable ‘optimistic’ that rescheduling still on the table
At least one of the major national marijuana trade organizations says it’s still hopeful that federal cannabis rescheduling will be completed under the new administration of President Donald Trump, but a spokesman said the timeline is completely up in the air for now, given the breadth of other political priorities the president has at the moment.
Despite the news this week that the Drug Enforcement Administration has no plans at the moment to proceed with the rescheduling that began under President Joe Biden, David Culver, senior vice president of public affairs for the U.S. Cannabis Roundtable, said the organization has been in talks with the White House and has been told that marijuana reform is still part of the president’s agenda.
The DEA, Culver said, “kicked the can down the road” this past week with rescheduling, but he added that was “expected.” He said the news is just a delay, rather than a death sentence for the rescheduling process as some industry members have worried.
“While the ball remains in the DEA’s court, I think that they’re going to need to get direction from the president in order for rescheduling to occur. And I’m still optimistic about the president acting on cannabis perform. He was very clear in October of last year about what he would like to do in the space, and we were told very clearly at the beginning of this year that we’re going to have to wait our turn,” Culver said, referring to a campaign pledge Trump made to support moving marijuana to Schedule III from Schedule I and to support the SAFE Banking Act.
“The big question is, when is this going to occur?” Culver said. “There’s a lot of hand wringing in the industry right now… I’m spending a lot of my time just talking to people on the phone that are key leaders in this space, trying to make sure that they’re remaining positive and optimistic because the businesses are struggling.”
Culver also said he’s not too worried about visceral anticannabis positions taken in the past by several Trump appointees, including Attorney General Pam Bondi and DEA chief Terrance Cole. He noted that Trump doesn’t tolerate disobedience in the ranks when it comes to his agenda, which means the industry just has to wait for the president to pick his time to put cannabis in the political spotlight. And CNN recently reported that members of the Trump team tried quietly to get a version of the SAFE Banking Act through Congress in December, a positive sign for cannabis industry stakeholders, though the attempt was unsuccessful.
“There are an equal number of key administration officials that are very, very procannabis reform,” Culver said. “And of course, we know that the president has evolved on this issue considerably since he was in office last time around, largely because he’s seen the medical benefit of cannabis with his friends and colleagues on the golf course. And that was a big driver of this.”
The central political hurdle facing the cannabis industry in Washington, D.C., these days is simply competing for attention amid the turmoil over international tariffs, immigration and other top priorities in the Trump administration, Culver said.
“The transition team … they brought out their whiteboard, they put their top 10 priorities together for the first 100 days, and then they made a list of the next 90, and we’re in there,” Culver said. “But again, it’s like, when are they going to get to the second tier of issues that they want to work on? And we’re going to have to be patient. And being patient is especially difficult when you’re facing a very tough business environment.”
The post U.S. Cannabis Roundtable ‘optimistic’ that rescheduling still on the table appeared first on Green Market Report.
-
Tilray continues closing breweries
Breweries seemed to be the answer to balance its cannabis business, but Tilray Inc. (NASDAQ: TLRY) is continuing to shutter businesses it recently bought.
The latest is Hop Valley Brewing in Eugene, Oregon. The company announced the move internally a couple of days ago and confirmed to the outlet BrewBound that…
Please login to read all 723 words.