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Leafly Holdings, Inc. Reports Fourth Quarter and Full Year 2022 Financial Results

March 16, 2023 by MJ News Network Leave a Comment

Delivered full year 2022 revenue of $47.4 million, up 10% over full year 2021

Reported net income of $5.1 million, up from net loss of $12.0 million in 2021; Delivered 2022 adjusted EBITDA loss of $23.2 million, ahead of guidance

Total Ending Retail Accounts grew to 5,806, up 10% over 2021

WASHINGTON: Leafly Holdings, Inc., a leading online cannabis discovery marketplace and resource for cannabis consumers, today announced financial results for its fourth quarter and year ended December 31, 2022.

“Despite a year filled with challenges broadly for the cannabis industry, and the associated impact on our revenue growth, we grew the number of subscribing retailers and brands using our platform by double digits in 2022 and continued to focus on delivering an outstanding consumer experience while driving more value for clients who use Leafly to reach high-intent shoppers. Our recently launched products, combined with our subscriber base, continue to create opportunities for us to increase monetization,” said Yoko Miyashita, CEO of Leafly. “At the same time, we’ve been intently focused on managing our expenses and cash flow. With softer ad spend expected to continue in 2023, we are driving deeper relationships with our customers and optimizing teams for efficiency.”

Full Year 2022 Financial Results

  • Revenue was $47.4 million, up 10% over FY 2021
  • Gross margin was 88%, consistent with FY 2021
  • Total operating expense was $69.5 million, up 43% over $48.7 million in FY 2021, reflecting increased expenses due to new public company costs, and new hires in Q4 2021 through the first half of 2022
  • Net income for 2022 was $5.1 million, compared to net loss of $12.0 million in FY 2021 primarily related to $36.8 million of non-cash changes in derivative liabilities and partially offset by the increased operating expenses noted above
  • Adjusted EBITDA loss was $23.2 million, compared to adjusted EBITDA loss of $9.4 million in FY 2021

Fourth Quarter 2022 Financial Results

  • Total revenue was $12.1 million, in line with Q4 2021
  • Gross margin was 88%, consistent with Q4 2021
  • Total operating expense was $16.3 million, up 8% over $15.1 million in Q4 2021
  • Net loss was $5.8 million, compared to net loss of $5.1 million in Q4 2021
  • Adjusted EBITDA loss was $4.2 million, compared to adjusted EBITDA loss of $4.1 million in Q4 2021

The non-GAAP financial measures EBITDA and adjusted EBITDA are presented in this release. See the reconciliations of such non-GAAP financial measures to their most comparable GAAP measures in the tables included in this release below.

The company is also further aligning its cost structure to better reflect the current industry and macro-economic environment, allocating resources to the areas the company believes will bring the greatest return to ensure a stronger marketplace, long-term. As a result, the company is announcing a headcount reduction of approximately 40 positions – or 21% of the company’s workforce – through a combination of layoffs and attrition. The company expects a one-time cash restructuring charge for the layoffs of approximately $700,000 in Q1 of 2023. Leafly expects total annual cash savings on an annual basis of approximately $8M, beginning in Q2.

“Given the continued pressure on our topline growth, we made the difficult decision to trim our workforce,” said Suresh Krishnaswamy, CFO of Leafly. “With these reductions, in addition to those we made in 2022, we are emphasizing efforts to align more closely with customers and highlighting the value that Leafly can provide. This realignment of our business priorities also helps extend our cash runway as we stay focused on improving our path to profitability.”

 

Key Performance Metrics

 

Three Months Ended December 31,

 

 

2022

  

2021

  

Change

  

Change (%)

 

 

  

 

  

 

  

 

 

Average MAUs (in thousands)

8,026

8,669

(643

)

-7

%

Ending retail accounts

5,806

5,265

541

10

%

ARPA

$

554

$

595

$

(41

)

-7

%

 

Year Ended December 31,

 

 

2022

  

2021

  

Change

  

Change (%)

 

 

 

  

 

  

 

  

 

 

Average MAUs (in thousands)

7,962

10,005

(2,043

)

-20

%

Ending retail accounts

5,806

5,265

541

10

%

ARPA

$

566

$

636

$

(70

)

-11

%

2022 Business Highlights

  • On February 4, 2022, Leafly and Merida Merger Corp. I completed their business combination.
  • Carlos Pinto, a seasoned sales and marketing executive, joined Leafly as Chief Commercial Officer, overseeing the company’s sales, marketing, and content teams.
  • Given the macroeconomic and revenue environment, the company adjusted its expense load through a headcount reduction of 21% in October and improvements to its overall expense and cost structure, with expected savings of $16 million in 2023.
  • Leafly ended the year with 5,806 retail accounts, a 10% increase over 2021 as retailers in existing and new recreational markets adopted the Leafly platform. Leafly saw a 33% increase in the number of brands subscribers leveraging Leafly, growing from 655 at the end of 2021 to 868 at the end of 2022.
  • Retailer average revenue per account (“ARPA”) was $566, a decline of $70 from 2021, driven by Leafly’s overall strategy to enter markets with competitive pricing to drive increased market penetration in local markets. As market penetration increases so does the company’s ability to drive additional revenue. This strategy drove ARPA up in New Mexico and Montana, where market penetration reached 75% with ARPA increases of 55% and 68% respectively in those markets.
  • The number of orders in Q4 was 768,477, just slightly below Q4 2021’s total of 776,098, a year that benefited from COVID-19 induced demand.
  • In October, Leafly and Uber Eats announced a first-of-its-kind partnership providing Torontonians the ability to order safe, legal cannabis and get it delivered straight to their homes via the Uber Eats app. The pilot program launched with several stores in the Greater Toronto area.
  • 2022 saw the launch of several key products including marquee and strain page feature ads, traffic-driving advertising placements across some of Leafly’s most valuable online real estate; new business reporting tools allowing retailers to better track their performance on Leafly; a fresh delivery-first shopping experience making it easier than ever for consumers to place orders for delivery directly on Leafly.
  • Leafly continued to highlight its position as a thought-leader by publishing its annual, informative reports providing the only comprehensive view of cannabis jobs (2022 Jobs Report) and cannabis as a crop (2022 Harvest Report) in the United States. The often-cited reports showed more than 428,000 jobs could be attributed to the cannabis industry and that cannabis had become the 6th largest crop.

Financial Outlook

Today, Leafly is issuing first quarter 2023 guidance. Based on current business trends and conditions, the financial outlook is expected to be as follows:

  • For the first quarter 2023, Leafly expects revenue to be between $11.0 million and $11.3 million and adjusted EBITDA loss to be in the range of $4.3 million to $4.0 million.

Leafly has not provided a quantitative reconciliation of forecasted GAAP net income (loss) to forecasted total Adjusted EBITDA within this communication because the company is unable, without making unreasonable efforts, to calculate certain reconciling items with confidence. These items include, but are not limited to: depreciation and amortization expense from new assets; impairments of assets; changes in the valuation of any derivatives; the valuation of, and changes in, grants of equity-based compensation; gains or losses on modification or extinguishment of debt. These items, which could materially affect the computation of forward-looking GAAP net income (loss), are inherently uncertain and depend on various factors, many of which are outside of Leafly’s control. For more information regarding the non-GAAP financial measures discussed in this communication, please see “Non-GAAP Financial Measures” below.

Webcast and Conference Call Information

Leafly will host a conference call and webcast to discuss the results today, Thursday, March 16, 2023 at 1:30 p.m. Pacific Time (4:30 p.m. Eastern Time). A live webcast of the call can be accessed from Leafly’s Investor Relations website at https://investor.leafly.com.

The live call may also be accessed via telephone at (844) 200-6205 toll-free domestically and at (929) 526-1599 internationally. Please reference conference ID: #037566. An archived version of the webcast will be available from the same website after the call.

Filed Under: Business, Homepage Tagged With: 2022 Q4 Financial Results, cannabis media company, cannabis technology, cannatech, Inc, Leafly, Leafly Holdings, marijuana media company, mjnews, Yoko Miyashita

Olla Issues Going Out of Business ‘Epilogue.’ Last Day of Service is April 1, 2023

March 9, 2023 by MJ News Network Leave a Comment

WASHINGTON: Seattle-based Olla, a once promising eCommerce platform for the legal cannabis industry, is the latest cannatech company to go out of business.  In a farewell “epilogue” posted on the company’s website, Olla bravely admits what many others in the space have discovered, “the costs associated with providing this product to our customers outweighed the price the market was willing to bear.”

According to the website, no new licenses will be issued, and existing customers will have until April 1, 2023 — about three weeks from this notification — to find a new service provider.

Epilogue.

March 2, 2023

Five years ago, we set out to create a retailer-first eCommerce platform to serve the needs of the industry. We believed retailers should be able to build their own loyal customer bases, and deploy high-performing eCommerce experiences without relying on middle-men marketplaces.

Along the way, we’ve worked with retailers nationwide, shipped countless innovations, and facilitated over $1 billion in online orders. We’re proud of the product we’ve built and the team we’ve assembled, and are grateful for the community of ambitious retailers we’ve worked with throughout our journey that made Olla so special.

Olla’s story ends here.
 Many challenges in the world of cannabis remain unsolved, and we’ve failed to establish a viable business model. Simply put – the costs associated with providing this product to our customers outweighed the price the market was willing to bear. We have come to the difficult decision to shut down our operations.

As of today, it is no longer possible to sign up for Olla, and in exactly 30 days, on April 1, 2023, Olla’s services will no longer be available.

We know there will be lots of questions regarding next steps. We have addressed the most impactful below, and will work to support our customers during this transition phase.

Thank you for your loyalty, trust, and support throughout the years – it has meant the world to us. It has been a privilege serving you, and we wish you the best in your continued success in this beautiful industry.

Sincerely,
Nico, Josh, and the Olla Team ♥️

Filed Under: Business, Homepage Tagged With: cannabis technology, cannatech, e-commerce and cannabis, ecommerce, Olla, online menu

Metrc Expands Track-And-Trace Government Contract with the State of Missouri for Regulation of its Adult-Use Cannabis Market

February 7, 2023 by MJ News Network Leave a Comment

FLORIDA: Metrc, the most trusted and experienced provider of cannabis regulatory technology systems in the U.S., announced the expansion of its contract with the State of Missouri to support the regulation of its adult-use cannabis market. The Company has been the state’s partner in the regulation of its medical cannabis market since 2019.

In November 2018, the people of Missouri voted to legalize medical cannabis, and in December 2019, Metrc was selected to help launch and regulate the new market alongside Missouri’s Medical Marijuana Regulatory Program (MMRP) and the NIC. When Amendment 3 was passed in November 2022, Missouri became the 21st state to legalize adult-use cannabis. The following month, the state’s Department of Health and Senior Services (DHSS) began accepting requests from facilities to convert operations for adult-use, and Metrc’s track-and-trace government contract was expanded to include the adult-use supply chain. On February 3, the state issued 207 comprehensive dispensary licenses, 72 comprehensive infused product manufacturing licenses, and 56 comprehensive cultivation licenses, and numerous cities across Missouri commenced retail sales.

“As Missouri implements its adult-use cannabis program, we are thrilled to have the opportunity to build on the solid foundation created through our work with the state’s medical market,” said Michael Johnson, CEO at Metrc. “Our team at Metrc looks forward to working alongside the DHSS to expand our strong regulatory technology framework as the backbone for the entire supply chain, where patients and consumers are confident in consuming safe products and licensees are provided an environment to thrive.”

Metrc’s robust track-and-trace platform facilitates the data collection and regulatory insight for Missouri’s cannabis market, enabling licensed operators to easily track all activities impacting the status of a plant or the creation of cannabis-based products, including origin, testing results, handling, and chain-of-custody information, through the Company’s unique RFID tag model and software-as-a-service (SaaS) system. Seamless data tracking in Metrc helps operators optimize inventory control, accurately report sales data, and improve cultivation management. This information is accessible to state regulators, providing the ultimate transparency to ensure regulatory compliance, help combat the illicit market, and safeguard the health and well-being of Missouri’s patients and consumers.

Metrc now holds exclusive government contracts in every region of the U.S, including Washington, D.C., and maintains a strong presence in the Midwest, where it holds contracts with Michigan, Minnesota, Missouri, Ohio, and South Dakota. While these areas have diverse regulatory frameworks, each jurisdiction shares the common goal of ensuring safe legal cannabis markets. Metrc continues to be the favored partner of regulators and businesses in serving their unique needs and goals.





Filed Under: Business, Homepage Tagged With: 2023 adult use, cannabis technology, cannatech, compliance software, Metrc, Missouri’s Medical Marijuana Regulatory Program, mjnews, MO, State of Missouri, state tracking software, the business of cannabis, traceability software

Chris Baker Named Chief Strategic Officer at POSaBIT

February 2, 2023 by MJ News Network Leave a Comment

WASHINGTON: POSaBIT Systems Corporation, the premier cannabis payments and point of sale platform, is proud to name Chris Baker to the company’s newly-created Chief Strategic Officer role.

“Chris’ extensive experience leading strategic initiatives and teams is a great fit. We could not be more excited to welcome him to the POSaBIT team,” said Ryan Hamlin, CEO/Co-Founder of the Company. “I have no doubt Chris will provide tremendous strategic support and insight as our organization continues to expand.”

“POSaBIT is an amazing opportunity,” commented Baker. “The company’s year over year growth has been incredible, and I am impressed by the strong market fit of their products. I am thrilled to join the team and continue to expand the Company’s footprint throughout North America.”

Chris is passionate about the power of technology, and boasts over 20 years of leadership in the industry. In previous roles, he has led award-winning, multi-disciplinary teams spanning 4 continents for global enterprise clients. In his role as Chief Strategy Officer of the Company, he will lead strategy with the POSaBIT team, partnering across the business to keep the Company ahead in a fast-changing business environment. His career started at IBM Global Services, where he focused on delivering projects and programs across the technology service delivery stack. Most recently, he served as VP of Technology and Innovation at Genius Avenue, an Insuretech/Fintech startup.

In connection with his appointment, the Company has granted 1,000,000 stock options to Chris Baker pursuant to the terms of the Company’s stock option plan. The Options are exercisable into common shares of the Company at an exercise price of $1.10 CDN per share over the next 10 years, with vesting over 4 years, all in accordance with the Plan and the policies of the Canadian Securities Exchange.

Filed Under: Business, Homepage Tagged With: cannabis payments, cannabis software, cannabis technology, cannatech, Chris Baker, fintech, POS, POSaBIT, traceability

Dutchie Becomes First Full Stack Technology Platform to Earn Compliance Certification for Consumer Data Protection 

February 2, 2023 by MJ News Network Leave a Comment

Third party verifies Dutchie POS, Ecommerce, and payments offerings compliant with HIPAA to protect personal data

OREGON: Dutchie — the technology platform powering cannabis commerce — today announced that the company became the first full stack technology platform serving the cannabis industry to earn a System and Organization Controls (SOC) 2 Type 1 compliance certification with a Health Insurance Portability and Accountability Act (HIPAA) attestation – showcasing Dutchie’s commitment to protecting all sensitive customer information. The compliance was verified by a third party auditor and applies to Dutchie POS, Ecommerce, and payments offerings.  

“Cannabis operators face the most difficult operating conditions of any modern business,” said Dutchie’s Chief Technology Officer Chris Ostrowski. “Data security and privacy regulations such as HIPAA are in place to protect patients and customers from abuse – but can be a challenge for operators to comply with. It is a testament to our team and technology to become the first platform serving the cannabis industry to earn one of the highest levels of compliance certification. We enable our customers to create safe and easy access to cannabis, and this distinction furthers that mission.”

As the cannabis industry grows and increasingly handles sensitive consumer and personal data, the threat of hacks, data leaks, and fraud is immense. To ensure data is protected across its offerings, Dutchie underwent a rigorous third-party audit to examine customer data security, availability, and confidentiality across solutions. With the addition of SOC 2 Type 1, Dutchie is the first cannabis technology provider to achieve a HIPAA attestation, which is critical for enterprise and Multi-State Operators (MSO) businesses.

Some markets require dispensaries and their business associates to be HIPAA compliant, meaning they prove efforts to ensure the confidentiality, integrity, and availability of personal health information (PHI). Legally classified as a “business associate,” Dutchie is compliant with regulations under HIPAA and earned this certification to support customers in any market.

This certification is just the latest in Dutchie’s developments to best support dispensaries and advance safe and easy access for all. Dutchie’s fully-integrated digital payment and point-of-sale solutions reduce reliance on cash and support retailers’ operations. To learn more about Dutchie, visit: https://business.dutchie.com/.

Filed Under: Business, Hemp, Technology Tagged With: cannabis business news, cannabis technology, cannatech, digital payments, Dutchie, HIPAA, marijuana business news, mjnews, POS, privacy and cannabis, privacy technology

Dutchie Seeks to Open Up Pennsylvania Traceability Market, Provide Choice to Cannabis Retailers

January 23, 2023 by MJ News Network Leave a Comment

Dutchie’s lawsuit against Akerna, Pennsylvania’s traceability system provider, will increase competition and allow cannabis retailers to use the technology platforms of their choice

PENNSYLVANIA:  Dutchie, The technology platform powering cannabis commerce – announced today that they filed a lawsuit against Akerna Corporation, a cannabis traceability provider, to ensure a fair playing field for technology platforms that support the cannabis industry in the Commonwealth of Pennsylvania. Dutchie is suing Akerna for unfair competition and tortious interference as a result of its refusal to open up its state traceability system for integration with Pennsylvania cannabis retailers’ technology partners of choice, including point of sale systems, despite a state law requiring open integration with any provider.

“We have heard from numerous customers and retailers from across the state that they had no choice but to use Akerna’s point of sale system despite the better options available,” said Dutchie general counsel John Kelleher. “Retailers should have the freedom to choose the technology partners that best help them succeed and ensure patients have safe and easy access to their medication. We are confident that Dutchie will prevail and that our action will help ensure more choice and competition across the state.”

While Akerna stated in its initial state contracting proposal that it would provide an open traceability system, Akerna has run its system in a way that only allows retailers to integrate with the company’s point of sale system. As a result, Pennsylvania legislators passed a new law in 2021 that requires the state, and Akerna as their agent, to open up the state traceability system for integration with any technology provider to increase competition and choice. Akerna has refused to follow the law for over a year. After numerous formal emails, letters, and meetings with Akerna, Dutchie is taking legal action to ensure the Pennsylvania market has access to true choice.

Akerna was hired by the state to provide software that keeps an accurate record of cannabis sales. But, by preventing technology partners from truly integrating, Akerna’s traceability software reduces the accuracy of those records by forcing retailers to rely on manual entry of their sales and inventory data for all information in a system other than Akerna’s own platform. Pennsylvania is one of only two states that don’t allow for open integration with their traceability system out of the 37 states where medical cannabis can be legally sold. Akerna provides traceability services in both of those states.





Filed Under: Business, Homepage Tagged With: 2023, Akerna, cannabis business, cannabis POS, cannabis technology, cannatech, compliance software, Dutchie, lawsuits in legal cannabis, marijuana business, MJBiz, mjnews, PA, Pennsylvania, POS, traceability software

BioHarvest Sciences CEO Ilan Sobel: Pioneering Plant Cell Biology for Cannabis.

January 16, 2023 by drheins Leave a Comment

Ilan Sobel, CEO of Israeli/Canadian biotech innovator BioHarvest Sciences, believes his company has created a better way to grow major and minor cannabinoids. The company has developed a patented bio-cell growth platform technology capable of growing the active and beneficial ingredients in fruit and plants, at industrial scale, without the need to grow the plant itself. This technology is economical, ensures consistency, and avoids the negative environmental impacts associated with traditional agriculture. BioHarvest is currently focused on nutraceuticals and the medicinal cannabis markets.
By David Rheins

David Rheins: Welcome to another edition of Marijuana Channel One. It is my pleasure this morning to talk to the CEO of BioHarvest Sciences, Ilan Sobel.  Thank you for joining us today.

Ilan Sobel: David, it is an absolute pleasure to be on your network and on your show.

DR: So you are in Israel, and BioHarvest Sciences is an Israeli/Canadian company, is that right?

IS: We are listed on the Canadian Securities Exchange.  We are listed on the OTCQB, and our R&D activities are largely done here in Israel.  But, I am actually happy to say we are right now doing some pretty interesting R&D in Canada, as well, with one of our partners there. So it is basically bringing the two countries closer together, and I guess that is what Canada has done with many Israeli cannabis companies and the opportunities that the Canadian market and the Canadian exchanges provide companies like ourselves. It is a good win/win.

DR: So, I want to hear more about BioHarvest Sciences. You know, it is interesting for us in the US [that] the Israeli cannabis market has really been hyper-focused on medical cannabis, and has unlike the US, really from the get-go worked with universities and medical institutions and hardcore scientific research — despite the fact that we have had international prohibition — and now those investments have started to pay off as international law, and cannabis is becoming more mainstreamed.

DR: Tell me a little bit about BioHarvest Sciences and its evolution.

IS: Well, what is interesting is that we are not a cannabis company. We are a biotech company, with platform technology.  And, in fact, we are the global leaders in plant cell biology. We have been doing this since 2007 — so that is 15 years of building expertise in capabilities,  And with that expertise and capabilities, David, we have built the capabilities to unlock the secrets of cellular plant biology better than any other company in the world.

Now, what does that mean to the viewer out there? What it means is that we have a platform technology where we are able to take any plant out there — and God gave us 500,000 plants on day three of creating the world, one of those was the cannabis plant — we can take any of those plants that each contain critical phytomedicinal compounds, so that could be polyphenols, many people in America understand antioxidants, and of course, cannabinoids.

So, [with] our technology we are able to literally take the plant once, and we take cells from the plant throughout the plant’s growth life cycle.  And we take cells from all parts of the plant, and we have developed this unique AI expertise where we can actually look at all the millions of cells and we can figure out which cells are the really smart cells — [the ones] that are responsible for eliciting the critical phytomedicinal compounds: polyphenols, antioxidants, and cannabinoids.

We take those cells, and we grow those cells in solid media — in a petri dish. And, over time, we have developed this unique technology where we are able to take those cells and grow them in massive industrial scale bioreactors. And if you think about what an industrial scale bioreactor look like…I am not going to stand up here, but I am 6 foot 2. They are 7 foot high, maybe 1.5 meters wide, and each of these bioreactors can produce from the cells.

We have in the case of cannabis, been able to really break biological barriers, and to create biological history.  And, we were able to ensure that every cell was able to grow a trichome.  And we all know [that] the trichome is the most important part of the plant — the mini factory that produces the cannabinoids, terpenes and flavonoids.

Biomass produces from BioHarvest Sciences bioreactors is 93% trichomes

So, inside our bioreactors, the cells grow trichomes. Inside our bioreactors we produce, today, 93% trichomes. Every 3 weeks, on average, we produce 8 to 9 kilos of bubble hash in one of these bioreactors, because we are in perpetual flowering. We don’t go through the regular stages that you go through [with traditional agriculture]: from vegetation,  grow cycle, into flowering and [harvest], and you start from the beginning [each crop]. That [cycle takes], in the best multi-state operators, 12 to 16 weeks let’s say.  Now we don’t have to deal with that, because we have figured out how to get the cells of the most important parts to grow the trichomes, and then like I said, we are in perpetual flowering.  And we harvest every 3 weeks the actual material, which is literally the trichomes.

We dry it with special technology, and you are left with this our biomass (holding up jar of biomass) as the audience can see here.

DR: Let me ask you the question [that our readers want to know]: Is what you are talking about really a synthetic process?

IS: No, no, no, no!  You can see how you can see how upset I got there! We are the antithesis of biosynthesis, or synthesis.  Our process, basically, is a non-GMO process. We do not in any way shape or form we do not change the actual structural molecular composition of the actual cells themselves, therefore we are non-GMO.


“We are the antithesis of biosynthesis, or synthesis.  Our process, basically, is a non-GMO process. We do not in any way shape or form change the actual structural molecular composition of the actual cells themselves, therefore we are non-GMO.”


And that’s why this material that we produce, and we are the only company in the world that can grow trichomes in liquid media, in a way that we are really bringing the power of full-spectrum cannabis together with obviously multiple cannabinoids and the power of technology.

We are able — through altering the conditions — we can actually ‘fine tune’ our cannabinoids, which allows us to get actual, let’s call it ‘certificates of analysis’ that you will never find with a regular agriculturally-grown, traditionally-grown, indoor-grown, cannabis plants.

We demonstrated that about three months ago, when we shared a certificate of analysis where we showed how we took a hemp plant — and we did this to just to show the gravity in the magnitude of the technology —  where we took a hemp plant, which had roughly 3% of CBD, obviously no THC,  and we took that plant we put it through our system.  And through our technology, we are able to increase significantly the levels of the cannabinoids.  We came up with a proposition, which went from 3% cannabinoids to 36% cannabinoids. And we took the CBD from 3% to 18%,  and we took the THC — total THC — from literally 0.09 right to 7.5%.  And, we were able to grow significant levels of the variant CBDV of 4.5%, THCV of 2.5%, plus significant amounts of CBG, CBC, CBN.

And that provided us a certificate of analysis, where when you show this to people — whether it’s recreational, or more specific medicinal, people look at this and say, “We’ve never seen a composition of cannabinoids like this all working together in full spectrum.”

As we bring this to market, and commercialize our technology through the different strategies that we’re going to be deploying, we are going to be providing a level of cannabis that I believe cannabis consumers have never seen before. And, frankly, from an economic perspective, the lowest cost in the business by far, and we know very well the costs of the multi-state operators out there.

And importantly, because we are a biotech company that’s focused on health and wellness and making sure that we’re driving transformational positive change in people’s health and wellness in a way that preserves the planet. We have sustainability credentials that are second to none in an industry that really now is plagued by sustainability challenges — whether it’s around water management, whether it’s around energy management.

 

So, that’s really what the technology allows us to bring.  It is important to understand, we do this in cannabis, we do this in polyphenols, antioxidants, and there are many other verticals that we will build in our company, as we aspire to build a multibillion dollar biotech platform technology company, overseeing multiple critical verticals, of which cannabis is one of them.

WATCH THE FULL INTERVIEW ON MARIJUANA CHANNEL ONE



Filed Under: Business Tagged With: AI, BioFarming, BioHarvest Sciences, bioreactors, biotech, Canada, cannabinoids, cannabis technology, CBD, CBG, cell regeneration, DEA, FDA, GMO, Ilan Sobel, Israel, Israeli R&D, Israili/Canadian, medical cannabis research, mjnews, phytomedicine, the business of cannabis, the business of marijuana, VINIA®️

Springbig Announces Cost Reduction Actions to Accelerate Path to Profitability and Strengthen Financial Profile

December 1, 2022 by MJ News Network Leave a Comment

FLORIDA: SpringBig Holdings, Inc., a leading provider of SaaS-based marketing solutions, consumer mobile app experiences, and omni-channel loyalty programs to the cannabis industry, today announced that the company is undertaking a series of initiatives to reduce costs and drive efficiency in order to accelerate its path to profitability. These cost-cutting measures will allow the company to prioritize growth opportunities, right-size its expense structure and preserve capital while strengthening its financial position. Springbig Logo Icon

“Our focus remains on consistent execution and expanding the reach of the springbig platform, while optimizing our organization to deliver profitable growth. We believe that the steps we are announcing today will produce an annual operating expense run rate in 2023 that is expected to be approximately 21% less than annualized operating expenses incurred for the nine months ended September 30, 2022, shortening the timeline to our goal of positive EBITDA during 2023, and we continue to expect an acceleration in revenue next year,” said Jeffrey Harris, CEO and Chairman of springbig.

As part of the initiatives announced today, Springbig has announced a workforce reduction of 37 positions, or 23% of the company’s headcount through a combination of layoffs and attrition to ensure its long-term health. The company expects a one-time cash restructuring charge for the layoffs of approximately $0.2 million in Q4 of 2022.

Harris added, “We greatly value the collaborative efforts of our talented colleagues responsible for building springbig into the platform it is today, and I want to thank all of our employees for their focus and dedication through this process.”

Filed Under: Business, Homepage Tagged With: 2022 cannabis business, cannabis software, cannabis technology, FL, Florida, layoffs, loyalty, marijuana business news, mjnews, POS, SAAS, Springbig, the business of cannabis, the business of marijuana

California Department of Cannabis Control Debuts Data Tool Showcasing Access Areas for Cannabis Business

May 26, 2022 by MJ News Network Leave a Comment

CALIFORNIA: The Department of Cannabis Control (DCC) today rolled out a data visualization tool that will help consumers see where they can purchase safe and legal cannabis products from licensed retailers, inform business owners about which cities and counties license cannabis businesses, and support ongoing conversations about access to California’s safe and legal market.

The data tool can be found on the DCC website here: 

Using data compiled by DCC staff in February 2022 and working closely with the California Office of Digital Innovation, the map shows that only 44 percent of cities and counties allow the licensing of at least one cannabis business type, while 56 percent of cities and counties prohibit the licensing of all cannabis business types. And even more cities and counties – 62 percent – prohibit the licensing of any form of cannabis retail.

“This data helps Californians understand the work we have ahead of us in realizing the promises of cannabis legalization, including supporting access to a safe, legal, and equitable cannabis market across the state and combating the unregulated, illicit market,” said DCC Director Nicole Elliott.

The webpage, which includes a map, statewide statistics, and a search function, underscores challenges to licensing access more than five years after Californians voted to legalize the right for individuals 21 years of age and over to possess and grow specified amounts of cannabis for recreational use. The DCC cannot approve an application for a state license if approval of the license would violate the provisions of any local ordinance or regulation, making access dependent on local participation.

The DCC obtained this data by reviewing local ordinances and information provided on local jurisdiction websites, and by contacting some local jurisdictions directly. The Department recommends that those interested in starting a cannabis business contact their local jurisdiction directly for information about specific requirements. If you’re a city or county official and think your data is not correct, please email the DCC at locals@cannabis.ca.gov.

 

Filed Under: Homepage, Legal, Recreational Tagged With: adult-use cannabis, CA, California, cannabis news, cannabis technology, cannatech, data tool, DCC, local jurisdictions, marijuana business, marijuana moratorium, mjnews, politics of pot

Oklahoma Seed-to-Sale Deadline is May 26

March 30, 2022 by MJ News Network Leave a Comment

All medical marijuana commercial licensees have until Thursday, May 26, to become fully compliant with the Metrc statewide seed-to-sale tracking system

OKLAHOMA:  EVERY commercial licensee must be fully Metrc-compliant by May 26. 

This means that ALL seeds, plants and products must be tagged and tracked in Metrc no later than May 26, except for dispensaries (see more in the Dispensaries section below).

ALL licensees must use Metrc for tracking inventory, transfers, waste and sales, including to patients and caregivers, no later than May 26.

No later than May 26, every licensee must be registered with Metrc, and the owner or key administrator must have already completed the New Business training. It’s offered every weekday and on-demand in Metrc Learn.

Once credentialed, licensees can log in and access the Support page to find on-demand, self-paced learning modules for additional training.

OMMA and Metrc are working together to schedule more training opportunities. Check back for updates.

Dispensaries

Like all commercial licensees, dispensaries must be fully Metrc-compliant by May 26.

Dispensaries have until Aug. 24 to sell or legally dispose of untagged items that were in the dispensary’s inventory on or before May 26. Dispensaries may not buy new untagged inventory after May 26.

Information will be available soon on how to conduct untagged sales from May 27 through Aug. 24. Check back for updates.

Required and Optional Training

Required Training

The owner or key administrator of each commercial license is required to take Metrc’s New Business class to become credentialed in Metrc.

Licensees can use the Metrc scheduler to sign up for New Business training, offered each weekday. The class is also offered on demand through Metrc Learn in your Metrc account.

When you complete the training, reach out to Metrc’s Support team to get credentialed.

Optional Training

OMMA and Metrc will conduct at least 5 free online seminars for Oklahoma commercial licensees between now and May 26. The seminars will have helpful information for licensees learning who wish to learn more about Metrc. Other training opportunities are also in the works. More information will be posted here when it’s available.

Metrc offers other advanced training courses on Metrc Learn and on its scheduler. Metrc also has training videos on its Oklahoma web page and its YouTube channel on the following topics (and many others):

  • How to Register for Training Classes
  • How to Log In
  • How to Get Help
  • Navigate in Metrc & Support Resources

Monthly Reporting

All commercial licensees must continue all monthly reporting using the OMMA Monthly Reporting Template for activity through May 26. The last template with activity through May 26 is due June 15.

Dispensaries must continue using the OMMA Monthly Reporting Template for any untagged sales and waste disposal from May 27 through Aug. 24.

Metrc will meet the monthly reporting requirements and the template is no longer necessary for all tagged sales and waste disposal after May 26.

Filed Under: Homepage, Legal, Recreational Tagged With: "seed to sale", cannabis technology, cannatech, compliance, Metrc, mj legal, MJlegal news, mjnews, mjnewsnetwork.com, OK, Oklahoma, OMMA, the business of cannabis, the business of marijuana

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