PALM BEACH, Florida, March 25, 2019
PALM BEACH, Florida, March 25, 2019 /PRNewswire/ -- Across the U.S. and Canada, the consumer demand for cannabis products continues its steady growth but one obstacle could be the unmet need for more dispensaries. A recent Forbes article said that after legalization: "the rollout hasn't been as smooth as they would have liked The most pressing problem facing the country's legal weed market is the fact that, in the majority of provinces, suppliers are unable to meet demand the complexity of scaling up a national legal cannabis supply chain has left many retailers with just a fraction of the promised products. In many areas, the supply shortage may last well into 2019." Although the article continued to say that: "Health Canada has added significant resources to attempt to shorten the approval process, but the backlog is significant," McIntyre explained. "In the coming months, we expect to see this supply shortage ease." Active companies in the industry making moves to ready that include: Choom™ Holdings Inc. (CSE:CHOO) (OTC:CHOOF), Aurora Cannabis Inc. (NYSE:ACB) (TSX:ACB), MedMen Enterprises Inc. (CSE: MMEN) (OTC: MMNFF), Curaleaf Holdings, Inc. (OTC: CURLF) (CSE: CURA) Trulieve Cannabis Corporation (OTC: TCNNF) (CSE: TRUL).
An article in the National Retailer Federation said there may be growing pains within the internal operations of these stores: "Cannabis retailers also face the same challenges that many ordinary retailers do. There's a growing demand for point-of-sale and inventory management systems to meet the unique needs of the industry. (An industry insider) says many companies are "winging it" with off-the-shelf solutions that don't serve their industry "Just like any other retail business, success is based on understanding your customer — who they are, what their needs and pain points are and how to design the store to create a comfortable and easily navigable shopping experience." The article concluded: "The industry is on the way there, in terms of being in better shape on the software side from a retail perspective. As the adult-use market grows the companies out there will continue to improve, and more players will pop up."
Choom™ Holdings Inc. (CSE:CHOO) (OTCQB:CHOOF) BREAKING NEWS: Choom™, an emerging adult and medical use cannabis company that has secured one of the largest national retail networks in Canada, is pleased to announce, following its strategy to become a multi-state operator, that it intends to expand into Florida. Choom, through its wholly owned US subsidiary, Choom Holdings USA Inc., has signed a letter of intent ("LOI") to purchase a 95% equity interest in a Florida-based vertically-integrated cannabis applicant (the "FL Company").
The FL Company is progressing on its Master License application to operate up to 25 retail locations with potential for more as the number of registered patients increase, as well as, a micro-processing and cultivation facility for medical purposes. Upon completing the transaction, Choom will use its medical brand, Clarity Medical Centres, to create a network of branded Medical Marijuana Treatment Centers. Florida's medical marijuana program has over 190,000 qualified patients, up from approximately 168,000 at the start of 2019, making it the largest medical marijuana market in the United States. Florida has recently allowed the use of smokable medical marijuana products, potentially opening the program to a considerably larger audience.
"We are very excited to be expanding into Florida and to bring Choom's medical brand into that market. Florida's medical marijuana program is a very attractive opportunity for us seeing that it allows for vertically-integrated operations and it has been a market we've had our sights on for a while now." states Chris Bogart, President & CEO of Choom. "This investment aligns with our strategy of becoming a multi-state operator in the US and helps us to bolster our growth targets. Florida is home to over 21 million residents and has shown impressive year over year growth on the number of registered patients with a large portion of the market being relatively uncaptured." Read this and more news for Choom™ at: https://www.financialnewsmedia.com/news-choo/
Additional industry related developments from around the markets:
MedMen Enterprises Inc. (OTCQX: MMNFF) (CSE: MMEN) recently announced that it has signed a binding term sheet for a senior secured convertible credit facility of up to US$250,000,000 (the "Facility") from funds managed by Gotham Green Partners ("GGP" or the "Investor"), an investor in the global cannabis industry. Management believes this is the largest investment to date by a single investor in a publicly traded cannabis company with U.S. operations.
"This strategic partnership with Gotham Green Partners represents another key milestone for MedMen and stems from our long-standing relationship with The Cronos Group and GGP's brand portfolio," said Adam Bierman, CEO of MedMen. "The growth capital will be used to operationalize the balance of our footprint and we look forward to creating further alignment with GGP and their global cannabis platform."
Curaleaf Holdings, Inc. (OTCQX: CURLF) (CSE: CURA) a leading vertically integrated cannabis operator in the United States, recently announced the grand opening of its Gainesville dispensary as the company continues to expand rapidly throughout the state. Curaleaf has the largest cannabis dispensary footprint in the US.
"Strong patient demand in the Gainesville area supported the transformation of our fulfillment center into a full-service dispensary where Alachua County patients can take advantage of our compassionate, exceptional customer service and educational resources, in addition to having access to our premium quality medical marijuana products," shared Joe Lusardi, Curaleaf CEO.
Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB) recently announced that it has appointed Nelson Peltz as a Strategic Advisor. Mr. Peltz and Aurora will work collaboratively and strategically to explore potential partnerships that would be the optimal strategic fit for successful entry into each of Aurora's contemplated market segments. Mr. Peltz will also advise on the Company's global expansion strategy.
"Nelson is a globally recognized business visionary with a strong track record of constructive engagement to generate accelerated, profitable growth and shareholder value across many industry verticals that are of great interest to us," said Terry Booth, CEO. "Like us, Nelson also takes a long-term view of value creation to benefit all stakeholders. We look forward to working with Nelson to further extend our global cannabis industry leadership by aligning Aurora with each of the major market segments cannabis is set to impact."
Trulieve Cannabis Corp. (OTCPK: TCNNF) (CNSX: TRUL) a leading and top performing cannabis company in the United States, recently announced it was the first medical marijuana licensee in Florida to make a sale of smokable cannabis. The sale took place at Trulieve's Tallahassee dispensary, the first dispensary to have opened in the state.
"We are excited about the opportunity to sell whole flower smokable products to patients in Florida and honored to be the first company in Florida to do so. Thank you to Governor DeSantis and the Legislature for taking up and approving smokable products in Florida and special thanks to the Department of Health and the Office of Medical Marijuana Use for their quick action to make today a reality for patients in need. Offering these whole flower products to our patients in their purest, most effective form is something we – and patients – have been looking forward to since we opened the doors of the state's first dispensary," said Trulieve CEO Kim Rivers .
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