Medical marijuana initiative taken off the ballot in Nebraska
Yesterday, the Nebraska Supreme Court ruled that the medical marijuana legalization initiative will be kept off the November ballot due to violating the state constitution. This appears to be the end for the medical marijuana initiative, despite Secretary of State Bob Evnen rejecting a petition to keep the question off the ballot last month.
Presently, there are five states with marijuana legalization initiatives on the ballot:
Canopy Growth launches Martha Stewart CBD product line (CGC, STZ)
Yesterday, Canopy Growth announced the launch of a Martha Steward CBD, a product line of “premium quality, hemp-derived wellness supplements, with flavor profiles inspired by some of Martha’s most popular recipes.” The initial product offering contains gummies, soft gels, and oil drops, with a gift box and a pet line launching later this year. The products are naturally made in the USA with hemp-derived CBD isolate. Currently, Martha Steward CBD is available only online at the Canopy’s e-commerce platform, Shop Canopy.
At launch, the Martha Stewart CBD product line includes:
- Martha Stewart CBD 10mg Wellness Gummies in Citrus Medley (Meyer Lemon, Kumquat and Blood Orange flavors, 30 count) for $34.99
- Martha Stewart CBD 10mg Wellness Gummies in Berry Medley (Raspberry, Huckleberry and Black Raspberry flavors, 30 count) for $34.99
- Martha Stewart CBD 25mg Softgels (Unflavored, 30 count) for $44.99
- Martha Stewart CBD 750mg Oil Drops (Blood Orange, Meyer Lemon or Unflavored) for $44.99
The CBD oil products market is crowded and yet poised for immense growth – BDS Analytics estimates that the CBD market in the U.S. alone will surpass $20B by 2024. With the celebrity backing of Martha Stewart and the retail distribution of Constellation Brands, the product line has potential to become a standout in a packed field. Overall, the introduction of CBD products to Martha Stewart’s consumer demographic of mostly white, 50+ years old, and middle-class women will increase exposure to the greater cannabis derivative category.
In Colorado, the early September freeze may ruin marijuana and hemp harvests (CCHWF)
Colorado has been experiencing dramatic swings in weather this week. On Monday, temperatures were around the low-to-mid 90s with wildfires breaking out across the state. Over the weekend, Denver had record-breaking temperatures of 101 and 97 degrees on Saturday and Sunday, respectively. By Tuesday, a sudden cold front moved through the state, bringing snow accumulation upwards of six inches in some places and dropping to freezing temperatures.
For outdoor cannabis and hemp farmers, the 70+ degree temperature swing has brought significant crop damage. In interviews with Marijuana Business Daily, cannabis growers spoke on the impact of the summer cold snap. A PotCo outdoor marijuana farm outside Pueblo estimated that their business losses could reach $4M-$5M – much of the canopy of ~7,000 plants trellised together collapsed under the heavy snow/rainfall. Lightshade, a Denver-based operator, had employees working around the clock to maintain the climate controls for their four indoor grows and greenhouse with 20,000 square feet of growing space.
Following Columbia Care’s completed acquisition of The Green Solution on September 1st, the MSO became the largest operator in the Colorado market. The Green Solution has 23 dispensaries in the state and at least 250,000 sq. ft. of indoor grow and 140 acres of outdoor grow. Whether this will materially impact Columbia Care’s goal of transitioning to positive Adj. EBITDA in Q3 is unclear.
