This is the Daily Hit. A recap of the top business stories from the cannabis industry for March 10, 2022.
On The Site
Greenlane Holdings, Inc. (NASDAQ: GNLN) announced layoffs, cost-cutting efforts, and leadership changes in order to become profitable. The company also provided preliminary financial results for its fourth quarter and full-year ended December 31, 2021. Greenlane had been flying high on sales of JUUL flavored vape pens. However, problems arose over the excessive teen usage of the candy-flavored vapes and regulations caused the market to pull back heavily. That was followed by the vape crisis in the cannabis market when illicit market vapes began causing health problems. At that point, Greenlane joined forces with cannabis packaging company KushCo Holdings, which in turn made the move to cut out its small customers and only focus on the big ones that had no trouble paying the bills. Read more here.
AFC Gamma Inc. (NASDAQ: AFCG) announced its results for the fourth quarter and year-ended December 31, 2021. In the fourth quarter, AFC reported net income of $7.0 million or $0.43 per basic weighted average share of common stock. The company reported total expenses of $4.5 million, an increase of $0.6 million, or 16.5%, compared to the prior quarter. The company had distributable earnings of $8.5 million or $0.52 per basic weighted average share of common stock. Also in the fourth quarter AFC closed $127.3 million of new commitments in Q4 2021 and funded $125.6 million of new and existing commitments. Read more here.
TerrAscend Corp. (CSE: TER) (OTCQX: TRSSF) is the official owner of Michigan-based Gage Growth Corp. (CSE: GAGE) (OTCQX: GAEGF). Gage stock has stopped trading upon completion of the previously announced deal. As a result, TerrAscend will have an expanded footprint with owned and managed operations in California, Michigan, Maryland, New Jersey, Pennsylvania, and Canada, including 7 cultivation and processing facilities and 25 operating dispensaries serving medical and adult-use cannabis markets in the U.S. and Canada. Read more here.
IM Cannabis Corp. (CSE: IMCC) (NASDAQ: IMCC) provided preliminary unaudited financial results for the three months and fiscal year ended December 31, 2021. Preliminary revenues for the fourth quarter were at least $20 million, representing an approximate increase of at least 37% sequentially and at least 308% compared to the same prior-year period. Preliminary revenues for fiscal year 2021 were at least $54 million, representing an approximate increase of at least 240% from fiscal year 2020. Preliminary gross margin before fair value adjustment was at least 22% in fiscal year 2021. Read more here.
In Other News
The Green Organic Dutchman Holdings Ltd. (CSE: TGOD) (US-OTC: TGODF) has agreed to amend the terms of the amended and restated credit agreement dated September 29, 2021, as amended by a first amendment dated November 20, 2021, between The Green Organic Dutchman Ltd. , a wholly-owned subsidiary of TGOD, and its Canadian lender. The Agent and the Borrower have agreed to enter into the second amendment to the Credit Agreement to, amongst other things: (i) increase the revolving facility limit by $5,000,000 to $30,000,000; (ii) allow certain eligible inventory to be included as collateral; and (iii) relax certain covenants set forth in the Credit Agreement. Read more here.
MariMed, Inc. (OTCQX: MRMD) announced the launch of Vibations: High + Energy, an all-natural, full-spectrum cannabis drink mix that provides focus and energy for the mind and body. This launch marks MariMed’s entry into cannabis-infused beverages, which, is one of the fastest-growing categories in the industry, according to Headset data. Read more here.