The Daily Hit is a recap of the top financial news stories for January 19, 2023.
On the Site
Columbia Care Closes Unprofitable Dispensaries, Cuts Jobs
In an effort to cut costs and try to become profitable, Columbia Care Inc. (CSE: CCHW) (OTCQX: CCHWF) closed four unprofitable dispensaries and cut its headcount by 25%. Col-Care said it closed one dispensary in California and three in Colorado. In addition, the company consolidated cultivation operations in California, Colorado, and Pennsylvania to improve its adjusted EBITDA contribution. Read more here.
IIP Says Cannabis Tenants Not Paying Rent
Innovative Industrial Properties Inc. (NYSE: IIPR) said rent collections dropped to just 92% for the month ending Jan. 31. The company said it had collected 97% of its rent at the end of December. The cannabis real estate investment trust outed various cannabis companies that have slipped in their rent payments. Read more here.
Minnesota Legalization Bill a Good Start But Could be Improved
A new bill in the Minnesota Legislature to legalize adult-use cannabis features a few provisions that indicate state lawmakers are learning which policies work and which don’t when it comes to replacing underground marijuana markets with regulated ones. Read more here.
In Other News
TerrAscend Corp./Wana Brands
TerrAscend Corp. (CSE: TER) (OTCQX: TRSSF), a North American cannabis operator, signed a multiyear agreement with edibles manufacturer Wana Brands to introduce Wana’s products at The Apothecarium retail stores and additional third-party retailers in New Jersey. The agreement will also transfer the manufacturing and sales of Wana’s existing portfolio of products in Maryland to TerrAscend. Read more here.
Relativity Acquisition Corp.
Relativity Acquisition Corp. (Nasdaq: RACY), a blank check company focused on targets in the legalized cannabis industry, received a determination letter from the Nasdaq Listing Qualifications staff that the company was not in compliance with the requirements of the Nasdaq Listing Rules or either of the alternative requirements for continued listing on The Nasdaq Global Market. Read more here.
Tier One Consulting
In a complaint filed Wednesday, Tier One Consulting, which is owned by DJCBP Corp., and David Ju said former city officials of both Baldwin Park and Compton in California conspired to illegally sell a cannabis license to Ju, and mishandled mitigation fees that he paid as part of the license deal. Read more here.