The Daily Hit is a recap of cannabis business news for Oct. 18, 2022.
ON THE SITE
Flower One Files for Canadian Bankruptcy, Plans to Go Private
After the markets closed on Monday, Flower One Holdings (CSE: FONE) (OTC: FLOOF) announced that it and its Canadian subsidiaries obtained an Initial Order of the Supreme Court of British Columbia pursuant to the Companies’ Creditors Arrangement Act, which is considered the equivalent of the U.S. bankruptcy court. The company also said it planned to become a private company by the end of the year to reduce the expense of being a publicly traded company. Read more here.
Audacious Ready for New York (Even if NY Isn’t Ready)
New York may not have an adult-use cannabis program in place, but that doesn’t mean cannabis companies are waiting. Australis Capital (CSE: AUSA)(OTCQB: AUSAF), also known as Audacious, said it has successfully completed its first harvest of adult-use cannabis in New York state with its partner Hempire. Audacious said it shipped its flower for processing and manufacturing into vapes and edibles. Read more here.
Fire & Flower Finds $16 Million From Circle K Owner
Fire & Flower Holdings Corp. (TSX: FAF) (OTCQX: FFLWF) has fashioned a financing deal with Alimentation Couche-Tard, the owner of Circle K convenience stores, in which ACT would supply the company with a $11 million principal amount loan. The two have also revised a stock purchasing agreement, in which ACT will snap up $5 million worth of common shares of Fire & Flower. Read more here.
Commentary: Does Crime Pay in Regulated Cannabis Market?
Now that recreational marijuana prices have collapsed and margins have evaporated, Michigan’s legal marijuana industry is all in on rooting out bad seeds. Pressure on the Cannabis Regulatory Agency (CRA) is on the rise from the state’s largest growers and retailers to identify and eliminate illegal marijuana making it into the legal market. Read more here.
IN OTHER NEWS
The Oklahoma Bureau of Narcotics (OBN) is investigating and dismantling criminal organizations operating within the state’s medical marijuana program. Over the past two weeks, OBN has served Search Warrants at nearly a dozen marijuana farms across Oklahoma. Read more here.
Alabama Medical Cannabis Commission
The Alabama Medical Cannabis Commission said it had received 566 application requests for cannabis licenses before the deadline expired Monday. The commission will issue just 37 dispensary licenses for the first year. Applications for licenses will go out October 24 along with guidelines on what the AMCC is looking for in a potential applicant. Read more here.