Illinois Tracker
Illinois total sales were up significantly from last year to $150 Million. This is a 4% sequential increase from last month. As expected, medical sales have remained fairly stagnant while adult-use sales skyrocket as individuals in the state don't have to worry about getting a medical card any longer. Adult-use sales were up 5% sequentially to $114 Million, a monthly sales record. Both in-state and out-of-state sales are increasing, without state sales having a larger YoY growth. The state has an annual run rate of $1.58 Billion.
Maine Tracker
Adult-use sales in Maine continued their growth with a 16% sequential increase over last month to $4.4 Million. Adult-Use sales are still in their early stages in the state as we expect this market to grow to $340 Million upon maturity. Concentrates grew at the fastest pace with 17% sequential growth in sales over last month. ACRHF and CURLF are the only public MSOs with operations in Maine.
Schumer Commits to Federal Legalization at NYC Rally/Commentary From Politico Safe Act Call
Senate Majority Leader Chuck Schumer spoke at The Annual Cannabis Rally in NYC and reaffirmed his commitment to legalize marijuana federally. "We have taken the legalization to the laboratories of democracy, we've done the experiments, and the results are in. What we have accomplished in New York is just the beginning. I will fight with you until fair, just, and full legalization. Booker, Wyden, and I are putting together the final touches. You'll see it very soon," he said during a speech at the rally. The bill will more than likely feature various racial and economic equity components. We do not expect the bill to pass the current senate as it will need at least 10 republican votes to get past the filibuster. The more, as republicans call it, "liberal wishlist" items are on the bill, the less likely it is to pass.
The focus on full legalization has a lower likelihood of any bill passing, as congress is getting distracted from what actually has bipartisan support - The Safe Act. With midterm elections in less than a year and a half and Democrats expected to lose seats, the pressure is on to get something passed. The current version of the safe act does not have any capital markets component that would allow cannabis stocks to list on the Nasdaq. If congress can pass some reform before the midterm election, it would be a pleasant surprise. Expectations that any bill unlikely to pass is being priced into cannabis stocks, especially with the correction which has been happening since February.
