A Familiar Strategy
CCHWF is a LONG
The larger US MSO's are all deploying a familiar strategy of creating a national "branded" footprint. Is the most significant value proposition post-prohibition for US Cannabis in the retail footprint? The most recent example is Columbia Care (CCHWF) and its completion of the rebranding of its footprint across Florida to the new Cannabist retail design and experience. In September 2021, Columbia Care received approval from the Florida Department of Health's Office of Medical Marijuana Use (OMMU) to operate as Cannabist. Cannabist locations "Our completion of the rebrand in Florida is a significant milestone in our nationwide transition to Cannabist. This is our first market-wide Cannabist launch and represents a critical step in Columbia Care's evolution. The Cannabist experience is industry-leading, as we aim to provide the best products and the best customer service in the industry, enhanced by our innovative technology solutions that facilitate an efficient, personalized, and targeted shopping experience. Throughout 2021, Columbia Care expanded its product offerings in the Florida market. Patients now have access to more than 100 products, including flower, extract, vaporizer cartridges, capsules, flavored edibles, pre-rolled joints, etc., tinctures. In addition to the 14 Cannabist locations in Florida, Columbia Care has more than 100,000 square feet of operational cultivation and manufacturing capacity, including more than 38,000 square feet of greenhouse space in Alachua that completed its first harvest in June.
Tilray Acquires US Distillery
Irwin's playbook is to buy small companies and claim they will be big winners in the future. In the case of TLRY, everything leaders to the company's participation in the US Cannabis market. Yesterday, Tilray announced the acquisition of Breckenridge Distillery located in Colorado. According to the PR, the distillery is widely-known in CO for its award-winning bourbon whiskey collection and crafts portfolio. Outside of CO, the company has little brand awareness? The distillery was bought from Martin Franklin. Tilray expects the acquisition to be immediately accretive to EBITDA. Irwin D. Simon, Chairman, and CEO said, "Tilray's strength lies in our ability to identify and significantly expand leading CPG lifestyle brands that resonate powerfully with consumers. Breckenridge Distillery is an iconic addition to our platform in this respect based on its portfolio of award-winning spirits, passionate consumer engagement, and a strong sales and distribution network. We see tremendous potential for Breckenridge and our existing SweetWater brand to complement each other, expanding their respective reach and driving further profitable growth in our beverage alcohol segment." Tilray has been on an acquisition spree in the US, previously acquiring Sweetwater Brewing in 2020. Tilray aims to reach $4 Billion in revenue by 2024, and their way of achieving this goal is through rapid acquisition, specifically in the US.
November Cannabis Sales and Themes Update
On the call, we discussed several factors, including:
MACRO FACTORS:
- A new Begining for Cannabis
- What is a cannabis moat?
- Legalization in more than SAFE
- USA Sales Trends
- Canadian Sales Trends.
FUNDAMENTAL FACTORS:
- Canadian Cannabis is struggeling - Market Share winners and losers in Canada
- What are the trends in PA?
- CRON will be the most profitable LP in Canadia (one day)
- TLRY Shareholders are not happy with Irwin
- Monthly sales trends for CGC, TLRY, OGI, and CRON
CLICK HERE for an event replay
