Cresco Labs Closes Acquisition of Verdant Creations’ Four Dispensaries, Reaches Maximum Retail Licenses in Ohio

ILLINOIS:  Cresco Labs, one of the largest vertically integrated, multi-state cannabis operators in the United States, announced today the closing of its acquisition of Verdant Creations dispensaries in Cincinnati, Chillicothe, Newark and Marion, Ohio (collectively “Verdant”). These acquisitions give Cresco four additional dispensaries, bringing the Company’s dispensary presence in Ohio to five – the maximum allowed by the state.

The Verdant acquisition is aligned with Cresco’s strategy of building meaningful, material market positions in the states that matter most. As the seventh most populated state in the U.S., Ohio has a registered medical patient count that more than doubled in 2020 from roughly 78,000 patients to 160,000, in addition to 52 operational dispensaries statewide and 2020 annual cannabis sales of nearly $220 million1. Cresco Labs is well positioned in the market with the largest type of cultivation license allowing 25,000 sq. ft. of cultivation, a full processing facility currently under expansion, and now the maximum number of retail locations allowed by the state. Additionally, the Company distributes its flower product to 88% of Ohio’s dispensaries and is excited to bring its full House of Brands to market following the completion of it’s processing and manufacturing facility later this year.

“In 2020, we demonstrated the growth and leverage that can be created by focusing only on the most strategic markets, executing high-quality cultivation at scale, distributing our branded products onto every shelf and focusing on targeted, consumer-focused, high-volume retail. In 2021, we’re using the same playbook to go deeper in strategic states, including Ohio,” said Charlie Bachtell, Cresco Labs’ CEO and Co-founder. “The Verdant acquisition significantly deepens our position in Ohio, a market that looks structurally similar to Illinois and Pennsylvania in the early years of those medical markets. We are thrilled to be amplifying our operations in Ohio this year and look forward to bringing our brands to more patients throughout the state.”

Cresco Labs’ five Ohio dispensaries are located in Cincinnati, Chillicothe, Marion, Newark, and Wintersville. The Company also has a cultivation and processing facility in Yellow Springs.

Trulieve Opens First Dispensary In Seffner, Florida

The new dispensary marks the Company’s 75th location nationwide

FLORIDA:  Trulieve Cannabis Corp., a leading and top-performing cannabis company based in the United States, announced today the opening of a brand-new Florida dispensary, the Company’s 75th nationwide. The new location marks the first dispensary to open in Seffner, bringing patients direct access to Florida’s largest and broadest assortment of medical cannabis products.

The new dispensary supports Trulieve’s goal of expanding and ensuring direct, reliable patient access to medical cannabis across its home state of Florida. It joins the Company’s 69 other dispensaries statewide, including several in nearby Tampa, Clearwater, and St. Petersburg.

“Access is important to us and has been a driving factor for our growth across Florida for years. Over the past few months, we’ve prioritized opening in cities and towns where access to medical marijuana was limited because we believe patients should have reliable and safe access to the medications they’ve come to rely on,” said Trulieve CEO Kim Rivers. “We’ve come a long way in four years and we’re excited to end the year strong with our 75th location nationwide and the first dispensary in Seffner.”

In honor of the Company’s brand-new dispensary, all patients — from those new to Trulieve to the dedicated Truliever community — will be eligible for a 25% in-store discount at the new Seffner dispensary on opening day. In line with policies adopted statewide, all visitors are required to wear masks for the duration of their dispensary visit. Additionally, only patients and their state-approved caregivers will be allowed inside the waiting room and dispensary at this time.

ANNOUNCING: Trulieve Seffner Grand Opening
WHERE: 801 W Martin Luther King Blvd., Seffner, Florida 33584
WHEN: Wednesday, December 30, 2020, at 9:00 a.m.

In stores and online, patients will find Florida’s largest selection of THC and CBD products, available in a variety of delivery methods, including edibles, smokable cannabis, concentrates, tinctures, topical creams, vaporizers, and more. Trulieve also offers home delivery statewide for patients and convenient in-store pickup at each of its 70 dispensaries in Florida.

To assist patients with ordering, Trulieve has made our entire catalog of products available for online ordering, with in-store pickup and statewide home delivery options available. In addition, patients can schedule a complimentary 30-minute virtual consultation with a Trulieve certified consultant to help navigate questions on products, devices, or to review their doctor’s recommendation.

Furthermore, to assist with CDC recommendations for social distancing and in compliance with additional company-enforced safety guidelines, several measures have been taken to ensure the health and well-being of employees and patients, including modifications to the layout of all stores, installation of plexiglass partitions and HEPA air filtration scrubbers in every dispensary, increasing access to masks and sanitizer throughout the store for staff and visitors, utilizing visual aids to direct traffic throughout the store, and increasing the frequency of deep cleanings for all dispensaries.

Trulieve is closely monitoring the coronavirus situation and will update store policies as needed to ensure the highest level of safety of our patients and staff. All updates will be shared directly on Trulieve’s website as they are enacted.

The Office of Medical Marijuana Use recently announced the registry had surpassed 450,000 registered medical marijuana patients with an active ID card, with Trulieve consistently selling approximately half of the state’s overall volume per the Florida Department of Health. To support the state’s rapidly growing patient base, there are more than 2,700 registered ordering physicians in the State of Florida.

Cresco Labs Opens Tenth Illinois Sunnyside Dispensary In Naperville

The Company increases its national retail footprint to 20 operating stores

ILLINOIS: Cresco Labs, one of the largest vertically integrated, multi-state cannabis operators in the United States, announced today the opening of its tenth Illinois dispensary in the third largest city in the state, Naperville. The adult-use Sunnyside dispensary is located at 2740 W. 75th St., one of the busiest shopping areas in Naperville, a western suburb of Chicago.

 

“Our retail platform continues to outperform because we put such a premium on finding the right location for our stores, and Naperville is another example of opening a new location in the heart of one of the city’s most vibrant retail spaces—on the same block as Costco, Whole Foods and Starbucks. We are normalizing the cannabis shopping experience,” said Charlie Bachtell, Cresco Labs’ CEO and Co-founder. “With the opening of Sunnyside Naperville, we are proud to be the first cannabis operator to reach ten dispensaries in Illinois. This milestone and the acceleration of our store growth this year is a reflection of our differentiated strategy and our best-in-class ability to execute it.”

Illinois is one of the most robust cannabis markets in the country where state retail sales are on an annual run rate of more than a billion dollars.1 Sunnyside retail stores continue to command an outsized share of the market.

Sunnyside Naperville will employ nearly 40 people in the nearly 8,400 square foot dispensary featuring 12 points of sale. Adult-use customers can browse live inventory, place online orders through Sunnyside.shop and pickup orders in-store. They will receive a confirmation when their order is ready for pickup. Sunnyside Naperville requires all customers to wear masks and practice social distancing. Regular store hours are 9:00 AM to 9:00 PM CST daily, seven days a week.

In Illinois, Cresco Labs has 10 operating stores in the River North and Lakeview neighborhoods of downtown Chicago; Chicago northwestern suburb of Schaumburg; villages of Elmwood Park and Buffalo Grove in Cook County, the most populous county in the state; northern cities of Rockford and South Beloit, which is near the Wisconsin border; city of Champaign in central Illinois; and city of Danville in eastern Illinois near the Indiana border.

The Company has 20 operating stores in six states, including Illinois, Arizona, Ohio, Pennsylvania, New York and Massachusetts.

Cresco Labs’ Good News Brand Expands Into Michigan

The Company Increases its Portfolio to Five Brands of Products Now Available in the State for Medical Patients and Recreational Consumers

ILLINOIS: Cresco Labs, one of the largest vertically integrated, multi-state cannabis operators in the United States, announced today the expansion of its Good News brand to Michigan, a state with accelerating adult-use cannabis sales and a growing medical program totaling nearly $600 million in cannabis sales to date, according to data from Headset1. Good News launches with gummy edibles available at dispensaries throughout the state. Good News gummies (100 mg. total; ten, 10 mg. gummies per pack) are sold in approachable packaging and crafted with consumers’ desired mood in mind — Me Time (Indica), Brunch (Hybrid), Friyay (Sativa) and Vegas (Sativa).

Cresco Labs’ Good News brand launches in Michigan with 10 mg. gummy edibles now available to purchase at dispensaries. (Photo: Business Wire)Cresco Labs’ Good News brand launches in Michigan with 10 mg. gummy edibles now available to purchase at dispensaries. (Photo: Business Wire)

“Since receiving our Medical Processing License in March 2020 and launching recreational sales in June, we have remained committed to our strategy of prioritizing wholesale distribution and I’m proud of our Michigan team for creating an outstanding operation that supports our brands and products,” said Charlie Bachtell, CEO & Co-founder of Cresco Labs. “Michigan is a sophisticated market, and we believe our growth speaks to the quality and variety of the brands and products that we are offering to our dispensary partners, patients and customers. We are investing resources in the most strategic markets, and we continue to be excited about the growth potential of Michigan’s cannabis program.”

Nick Fallon, General Manager of Michigan, added, “We’re thrilled to bring Good News to Michigan—it will be our fifth brand available to medical patients and recreational consumers. Our Mindy’s Chef Led Artisanal Edibles and High Supply brands are performing well, with consumers appreciating a low dose edible option from Mindy’s and more affordable, quality vapes from High Supply. In addition, our customers are enjoying our Cresco Liquid Live Resin vape cartridges, which are unique and differentiated from other live resin products in market today because they represent the purest form of the plant and deliver premium quality and flavor. We are proud to offer more choice with the debut of a higher dose edible option from our Good News brand.”

In December of 2019, Michigan became the tenth U.S. state to legalize cannabis for adult-use consumption. In the first eight months of this year, Michigan’s adult use and medical markets brought in over $281 million and more than $313 million, respectively, for a total of $595 million in cannabis sales, according to data from Headset1. Michigan has one of the country’s fastest-growing adult-use markets, with state sales generating over $104 million in October2. In addition to its new adult-use market, Michigan’s growing medical market is ranked second in the country behind California.

Good News is the Company’s mainstream, social-occasion based brand with a product line developed to deliver a quality, safe and consistent cannabis experience through easy to use and benefit-forward forms focused on occasion and mood benefits. Good News is currently available in California, Illinois and now Michigan.

Cresco Labs’ other House of Brands and products available in the state for medical patients and customers include Cresco live resin concentrates and liquid live resin vape cartridges, Mindy’s Chef Led Artisanal Edibles gummies, High Supply disposable vape pens, and Remedi capsules and tinctures.

Cresco Labs has a licensed cultivation and processing facility in Marshall, Michigan, which has a total of 53,000 square feet of cultivation space and is currently under renovation.

For more information on Good News, please visit wearegoodnews.co.

Cresco Labs Announces Record Revenue of $153.3 Million, Growth of $59 Million

Company affirms position as the largest wholesaler of branded products in the industry with $90.5 million in wholesale revenue

Record revenue of $153.3 million, 63% growth QoQ, an absolute increase of $59 million

Record adjusted EBITDA1 of $46.4 million, 182% growth QoQ

Record cashflow from operations of $17.8 million

Retail revenue growth of 60% QoQ to $62.8 million

Third consecutive quarter with over 40% revenue growth

ILLINOIS:  Cresco Labs Inc., one of the largest vertically integrated multi-state cannabis operators in the United States, today released its unaudited financial results for the third quarter ended September 30, 2020. All financial information presented in this release is in U.S. dollars, unless otherwise noted.

Management Commentary

“Cresco Labs entered the third quarter firing on all cylinders achieving record levels of revenue, profitability, and cash flow. We remain the number one operator in the industry focused on, and delivering results in, the wholesale distribution of branded products. Our retail is outperforming, and we are generating substantial operating leverage,” said Charles Bachtell, Co-founder and CEO of Cresco Labs. “Comparing Q1 to Q3, we increased revenue by $87 million while keeping SG&A flat. The investments we made to support growth are paying off, and as a result our profitability has grown dollar for dollar with gross profit. Because of the decisions we’ve made, the changes we’ve managed through and the hard work devoted by our team over the last 12 months, Cresco Labs has substantiated itself within the very top tier of the industry and confirmed the value that is driven by our differentiated strategy. This is a unique story of strategic breadth, depth and execution. As we look toward our next phase of growth, it’s rinse and repeat – the playbook will be applied to more states and, again, we will achieve meaningful, material market positions.”

Third Quarter 2020 Financial Highlights

Operating Results

  • Revenue for the third quarter of 2020 was $153.3 million, an absolute increase of over $59.0 million or a 63% increase over Q2’20 revenue. Wholesale growth was driven by an increase in harvests from expanded capacity in Illinois and Pennsylvania with strong growth in California. Retail growth was driven by strong sequential same-store growth and two new store openings in Illinois.
  • Operational Gross Profit1 as a Percentage of Revenue was 53% in the quarter as compared to 47% in the prior quarter driven by increased efficiency in our expanded Illinois and Pennsylvania facilities.
  • Adjusted EBITDA1 was $46.4 million, an increase of 182% sequentially driven primarily from higher revenue, increased operational gross profit across our largest markets and strong SG&A control which dropped dramatically as a percentage of revenue.
  • Net Income2 was $4.9 million, which includes unrealized gains and losses on mark-to-market instruments that fluctuate until obligations are settled, changes in fair value of biological assets, interest expense and tax expense.
  • Net Cash Provided by Operating Activities was $17.8 million, compared to $9.9 million used in Q2. The increase in cash provided by operating activities was driven by increased operating leverage across the business as the Company scales.

Shares Outstanding

Total shares on a fully converted basis were 380,035,735 as of September 30, 2020.

Conference Call and Webcast

The Company will host a conference call and webcast to discuss its financial results and provide investors with key business highlights on Wednesday, November 18, 2020, at 8:30am Eastern Time (7:30am Central Time). The conference call may be accessed via webcast or by dialing 866-688-4235 (409-216-0711 for international callers) and providing conference ID 9237505. Archived access to the webcast will be available for one year on the Cresco Labs’ investor relations website.

Curaleaf Opens New Cannabis Dispensary In Clearwater, Florida

New Location Marks Curaleaf’s 29th Storefront in Florida and 89th Nationwide

FLORIDA: Curaleaf Holdings, a leading vertically integrated cannabis operator in the United States and one of the largest cannabis operators in Florida, announced today that it has opened a new dispensary in Clearwater, Florida, marking its 29th retail location in the state.Curaleaf Clearwater, located at 2082 Gulf to Bay Boulevard, will carry a wide range of Curaleaf and Select brand products. Select, known as America’s #1 cannabis oil brand now available in 12 states, launched earlier this month in Florida with Select Elite Live, the brand’s new enhanced live resin product, which combines high-quality THC oil and live resin high-terpene extract. The company also recently launched the first-to-market Curaleaf sublingual tablets. The Clearwater location is the first of three new medical dispensaries the company plans to open in the market this quarter.

“Curaleaf remains committed to the Florida market and its patients by providing high-quality medical cannabis products and new consumption formats that make cannabis accessible for all,” said Joe Bayern, President at Curaleaf. “We are thrilled to open Clearwater and support the health and wellness needs of more Floridians.”

Florida’s continued growth in patient registration makes it one of the nation’s fastest-growing medical cannabis markets in the country. Currently, there are over 394,000 medical patients enrolled in the Florida program – about 1.8% of the state’s population – with approximately 5,000 new patients joining each week.

In response to COVID-19, Curaleaf continues to implement new policies and procedures, including curbside services and contactless and cashless payment through approved credit and debit card services, to keep patients, customers and employees safe during this time. To see Curaleaf’s dispensary locations in Florida, please visit www.curaleaf.com/locations/#florida.

Cresco Labs Announces Resignation Of Joe Caltabiano As President

ILLINOIS: Cresco Labs, one of the largest vertically integrated multi-state cannabis operators in the United States, today announced that 
has advised the Company of his decision to resign from the position of President effective immediately.

Mr. Caltabiano’s management responsibilities will be taken up by CEO and Co-founder Charlie Bachtell as well as other members of the Company’s recently strengthened leadership team. The Company wishes Joe well on his future endeavors and looks forward to continuing its path to building the most important company in cannabis.

 

Acreage Announces Grand Opening Of The Botanist By Compassionate Care Foundation in Atlantic City

The Botanist by Compassionate Care Foundation is the first The Botanist dispensary to open in the state of New Jersey

Acreage-Holdings

NEW JERSEY:  Acreage Holdings, one of the largest vertically integrated, multi-state operators of cannabis licenses and assets in the U.S., today announced the opening of The Botanist by Compassionate Care Foundation on Saturday, February 22, 2020, by its business partner, New Jersey’s Compassionate Care Foundation, Inc., a New Jersey nonprofit corporation. Acreage and CCF are parties to a services agreement with CCF under which Acreage delivers its operational expertise, product development capabilities, and The Botanist retail dispensary brand.  On November 15, 2019, Acreage and CCF entered into a reorganization agreement which will result in CCF becoming a wholly-owned, for-profit subsidiary of Acreage.  Closing of the transaction is subject to state approval.

The medicinal cannabis dispensary is located on the Atlantic City Boardwalk at 1301 Boardwalk, Atlantic City, New Jersey. With the opening, Acreage now owns or has management services, consulting or other agreements for 31 operational dispensaries in 12 states, including 13 The Botanist branded dispensaries.

Developed by Acreage, The Botanist is both a retail and product brand, deeply rooted in health and wellness, and focused on the holistic power of cannabis to help individuals live balanced lifestyles. The Botanist CCF offers a wide selection of flower-only products and features a “science meets nature” retail design reminiscent of a 19th century botanist laboratory. Offering a warm and inviting environment in which to learn about the healing properties of the cannabis plant from trained patient care specialists, The Botanist CCF’s design includes a “SEED BAR” education station, a private consultation room, The Botanist’s signature “green foliage wall,” and much more.

Acreage Announces Resignation Of Board Member Bill Weld To Focus On Presidential Campaign

NEW YORK: Acreage Holdings, announced that Bill Weld, former Governor of Massachusetts and a 2020 Republican candidate for President of the United States, has resigned as a member of Acreage’s Board of Directors to focus on his political campaign.

“I have greatly enjoyed working with CEO Kevin Murphy and the other members of the Board to help Acreage grow and work toward its mission of enabling access to legal cannabis for everyone who needs it, but I feel I owe it to my supporters and the country to focus on my Presidential candidacy at this time,” said Weld.

“We thank Bill for his tremendous service to Acreage and wish him every success in the future,” said Acreage Chairman and CEO Kevin Murphy. “His contributions will be forever remembered well beyond the value he delivered to our company in helping to elevate the national dialogue on cannabis.”

FSD Pharma To Begin Trading On The NASDAQ Capital Market Under Symbol ‘HUGE’ January 9, 2020

FSD Pharma

CANADA: FSD Pharma Inc. today announced that its Class B Subordinate Voting Shares (the “Shares”) have been approved for listing on the NASDAQ Capital Market under the symbol ‘HUGE’. Trading on the NASDAQ is expected to commence at market open on Thursday, January 9, 2020.

The Company’s Shares will continue to be listed on the Canadian Securities Exchange under the symbol ‘HUGE’.

“As we announce this much anticipated and coveted milestone, I want to congratulate the FSD Pharma team, our stakeholders, and, most importantly, our shareholders. I also want to extend my gratitude to the members of the Board of Directors of FSD Pharma, and especially to the founders of the Company, for their vision and for giving me an opportunity to lead the FSD Pharma team to achieve this strategic advantage. It is exciting to realize that once we begin trading on NASDAQ, we will be included in a select group of 12 Canadian-domiciled cannabis companies trading on either the NYSE or NASDAQ, and the first company in the history of the Canadian Securities Exchange to be dual-listed on a major U.S. exchange,” stated Raza Bokhari, MD, Executive Co-Chairman and CEO.