Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Yeaaaa - Safe banking reintroduced-MSOS up 15% premarkets - CELEBRATE!
🇺🇸 #cannabis 🌿
— Todd Harrison (@todd_harrison) April 27, 2023
position/advisor $MSOS pic.twitter.com/K9BW3Vx8Ph
The logical thing would be that starting tomorrow SHWZ starts to rise. Let's see
Usually the opposite happens
Couldn't help myself. Picked up anther 900 shares today. With the latest 8% convertibles realistically just as cheap as the notes for the 1st year
we are coming for you cresco
Updated Public Dispensary Count:
— Cannalorian (@Cannalorian) April 17, 2023
- $CURLF (FL 59th)
- $AAWH (MI 8th)
- $AAWH (IL 9th)
- $GTBIF (MN 7th)
- $VRNOF (WV 5th)
- $CCHWF (WV 5th)
- $CRLBF (FL 29th) https://t.co/fPC0r0qTQm pic.twitter.com/AekpDz7xs8
Robinhood's Merry Men and now Sucellus fun fact: Celtic god of wine and agriculture.
Marketing could have a field day with these personas on CPG labels, in print advertising and their own special annual sale days.
https://en.wikipedia.org/wiki/Sucellus
A few double and a triple tap with this as outlined in the NM top10. Beats OK (okay) for now.
Still room to grow in Gallup, Taos, Clayton, Glenrio, and Hobbs.
Thanks for the breakout on dispensary count per location. I did notice that the locations were (for the most part) closer to the Texas border, which I found exciting (for the time being), but I intentionally didnt factor that into my napkin math.
Black box thinking, Steven...Authorized is 250MM correct? Any near-term requirement to keep a certain level threshold for NASDAQ or NYSE? No. They could split adjust and keep the newly minted and unissued in the treasury based on a future X-date they announce and keep the holders of common on par with the numbers by not diluting their previous capital paid in despite a lower stock price. Would also create an incentive to hold/buy the stock prior to the dividend date ie a special say 2:1 split adjustment? At the same time, formally incorporate the company as Schwazze. Between the adjustment and the corporate refiling that stomps any nakeds in space out of the mix.
Stores locations:
8- Corales/Albuquerque/Los Rachos; combined w R Greenleaf's 7 now 15
1-Los Lunas " now 2
2-Las Cruces " now 3
1-Sante Fe " now 2
1-Sunland Park + now 2
1-Texico (new Tx Wall location)
https://everestnm.com/dispensary-menus/
Oddly, this isn't what I stumbled over!!!! I wrote the company last week to confirm after 4/20 came and went.
I like the fact that itwas just announced and expected to close in q2. Only 66 days left in q.
Very nice, the company's super regional strategy continues to roll along.
All the best,
Knife
Its the big one weve been waiting for
Wow! If everything closes we are at 60 dispensaries. This is awesome news. Becoming more obvious A/S are going to have to be increased
Good news to hear management will stay in place. This should help margins as redundacy in some functions would be eliminated plus other costs related to synergies.
With this news we might see some buyers step in. I doubt much of a pps increase is warranted at this time as their was some large hidden block sales yesterday sells
I looked at it similarly. [Napkin Math] If they take these 14 retail locations and pull the average per location that they are seeing with their existing 18 locations....approx $3.7M per month, total, across the 18....that is $205,555 per location. For 14 locations, that is an extra $2.88M per month; annualized that is $34.5M...so 1.1x estimated annual sales? I guess we will find out. If it closes on the last day of June, I am guessing it will add about $17M in total revenue by the end of the year...making New Mexico 2023 total revenue $62M; approx $80M run-rate had all 32 retail been producing for 12 months (and that is just retail).
Biggest acquisition by SHWZ in terms of numbers. For 36 million. Not bad.
SCHWAZZE SIGNS DEFINITIVE DOCUMENTS TO ACQUIRE ASSETS OF SUCELLUS, MANAGE ASSETS OF EVEREST, A PROMINENT NEW MEXICO CANNABIS OPERATOR
Consists of:
14 Dispensaries -- located in Albuquerque, Santa Fe, Las Cruces, Los Lunas, Sunland Park, Belen, and Texico.
1 Cultivation Facility -- 16,000 square feet of cultivation
1 Manufacturing Plant -- 8,500 square foot manufacturing facility are located in Albuquerque.
https://stockhouse.com/news/press-releases/2023/04/25/schwazze-signs-definitive-documents-to-acquire-assets-of-sucellus-manage-assets
Sundial and $MSOS trading at new all time lows today after Sundial reported huge losses again.
No it's not being addressed...
In sum: No. Drastic change needed to address the mechanism that feeds the illicit market and the moves while well intended will be ineffective in the short term (2-yrs) Nice start, but what has happened in CA with the outsized "noncommercial family of four mini-home grows" is going to be present everywhere for a while and continue to feed illicit long after the ink on well-intended crime measures are made into law is dry. Over supply without a home? That's a problem that won't disappear unless regulated, expensive, or made painful-fearful.
Closing 800 grows is a jump start in OK. Denying license renewals for violations as basic as tax reporting/illegal labor/trafficking out-of-state is also a means to an end in reducing a what has become an out-of-control med market which is more illicit than anything approaching a medical program. The admission of 7,000 vs 1,000 licensed ops is at least a recognition of oversupply and a lack of meaningful controls. I'd expect the cartels and their organized crime networks to push back with lawfare and why the OK govt is tapping the Federal Govt for support if they are to take down multiple networks, all/most layered and dispersed. Until cross border ops (yes, into Mexico) are greenlighted, it's impulse reaction/policing and that will likely outlast the lawful market as the grey zone of quasi-legal at home grows will always exceed their ability to properly "gift" and instead feed the illicit (and as such avoid anything less than overzealous enforcement unless some drastic changes are instituted like removing home grow as an option)
So you believe the black market and glut is being addressed?
https://non doc.com/2023/04/17/medical-cannabis-bills-focus-on-enforcement/
No doubt OK is a mess. The defeat of State Question 820 was a catalyst for reform. Freeze on more dispensary licensing and grows as well as law enforcement on illegal grows looks like a good place to start. All of the OK cannabis sh@t show falls at the feet of the OK state legislature and only they can fix it.
Other states have built responsible adult use models and OK is missing a golden opportunity to take advantage of having neighboring states way behind in legal rec cannabis. It's perfectly set to reap a cannabis tax windfall if the OK state legislature can become the adult in the room and fix the problem they created.
Well, there was a setback for Adult Use/Rec in OK back last month that your article's author plainly missed or her article was written well prior to her publication which missed the voters denial which was negative to say the least...that said, perhaps the tightening and review of the Med Market is however prompting what you have expounded upon as it will without doubt have an effect on those seven Star*Buds and their grow(s)?
The Bad: Estimated as the major source of illicit sales with 7,078 grows (now 800 fewer?) and over 2,877 dispensaries they are supersaturated despite a 2-year moratorium on new licenses and the recent rejection of rec sales in March by the voters. In sum, they need lots of adult help. At least the problems are recognized as a path to revamping med that may make a difference and allow a viable market and matriculate to adult use in a sensible way for the biz and the people it serves.
One caveat: The biggest frozen previous unlimited license State. Opportune consolidation phase ahead with speed bumps? I dunno. Could get interesting.
https://mjbizdaily.com/oklahoma-vote-on-adult-use-marijuana/
Nice interactive map at the end of the article.
It's a great article and when seeing publications such as this, I continue to believe the next state for Schwazze will be Oklahoma. It is a Southwestern state that would fit the description of Schwazze being a regional powerhouse. Oklahoma is sandwiched between Texas, Kansas and Arkansas to its East, three states that are not yet close to recreational cannabis legalization.
Colorado's strategy to be the first state in the U.S. to legalize cannabis recreationally was smart legislative business. All of Colorado's neighboring states at the time did not have legalized recreational cannabis and all but Arizona & New Mexico did not even have legalized medical cannabis. As Justin Dye knows very well from his deep background in the oh so competitive grocery business, brand recognition and brand loyalty are key selling points. All those border jumping neighbors going to Colorado to purchase legal rec cannabis from a Colorado dispensary will embrace those brands in their state once they go legal rec. In my opinion, Oklahoma is a sleeper state that will be very lucrative for legalized rec cannabis.
I would bet that Dan Pabon and Brian Ruden are working their tails off, educating the Colorado legislature on how to fix their broken oversupply and over licensed issues and this will pave the way for the Justin Dye playbook to be applied to Oklahoma. When Oklahoma's state legislature completes their cannabis regulation reforms, the state will be ripe for legalized cannabis investment and offer the savvy retailer a leg up in advertising and selling their House of Brands to Oklahomans and their state neighbors to the North, South and East. The state of Oklahoma touches six state borders. $$$$$$$$$$$
There are 7, Brian Ruden owned Starbuds in Oklahoma. While Mr. Ruden no longer sits on the Schwazze Board of Directors, he has three Directors representing his interests and continues to have a large investment and influence in Schwazze.
https://www.visualcapitalist.com/us-cannabis-legislation-timeline-2023/
"The earliest states expected to open up next for recreational cannabis sales are Minnesota and Oklahoma. There is always a lag between legalization and actual sales, wherein local regulatory bodies and governments set standards. States like Kentucky, on the other hand, aren’t likely to even legalize medicinal cannabis until 2028."
Cannibus sales are crashing hard in Co. In Feb. Sales were 109 Mil ln rec and $16 Mil Medical coming in less than $125Mil. for Feb. which is down from almost $200 Mil average for 2021.
I realize their is a way to much supply and way to much of a black market. It appears the problem is getting worse.. Oregon is even much worse. Does anyone know if the CO or anyone is doing anything to slow down the black market? Won't be long before all these taxes earmarked for numerous programs will just go away
Sure hope Dye knows something we dony know as $10 Mil for recent medical sounds extremely expensive at this time for $7 Mil in sales..
I know SHWZ sponsored an ultimate frisbee team. I wonder if they would be interested in getting involved in the below event...since it is in Denver this year?
I was an active player up to the pandemic and can personally attest to not only the number of players that this event draws but also the benefits of cannabis aiding in recovery:
Gaelic games in the United States are governed by the USGAA, with over 130 active adult clubs, over 180 teams, and 4500+ members across the country. These clubs will compete to attend the USGAA Playoffs in Denver on the 18th – 20th of August 2023, for the title of National Champions in their respective grades.
It is expected that up to 1500 players along with over 1000 spectators from across North America will travel to Denver and the surrounding Colorado area for the event.
LOCATION OF THE 2023 FINALS
Sandstone Ranch Sports Field Complex
I have not given much thought as to the next state for Shwz , This tool from visual capitalist may provide some insight, as JD would want Recreational with good State Governance, hence Cali is not an option ,
https://www.visualcapitalist.com/us-cannabis-legislation-timeline-2023/
I still see huge green fields in Co , lots to gobble up there for a couple years
A gem...paying taxes as the author points out is important when calculating OCF. Some didn't. $SHWZ did. Makes a difference it seems as this list becomes more and more finitized:
2022 Tax-Adjusted Operating Cash Flow:
— CannaVestments (@CannaVestments) April 18, 2023
GTI: $163.8M
MRMD: $12.3M
SHWZ: $6.1M
VEXT: $5.9M
P13: $3.8M
TRUL: $3.3M
GRIN: $2.0M
VRNO: -$1.8M
FFNFT: -$3.8M
GDNSF: -$18.1M
CRLBF: -$28.0M
JUSHF: -$34.7M
AWH: -$36.9M
TER: -$40.7M
GLASF: -$41.5M
AYR: -$51.3M
TPCO: -$71.8M
CCHW: -$118.8M
Someone started a Reddit board regarding Standing Akimbo news:
https://www.reddit.com/r/COents/comments/12qmj3f/standing_akimbo_enters_into_agreement_to_be/
You thinking Texas medical op as the ultimate target as well?
SHWZ did a nice job with the deferred cash payment structure for the Standing Akimbo purchase, stretched payments all the way to 2026.
All the best,
Knife
Nice Dig , This has me thinking about alternate reasons for the Standing Akimbo purchase? Pure speculation at the moment but very interesting
Interesting note from Noble Capital Markets on $SHWZ retaining Standing Akimbo's management and the march towards 29 CO dispensaries:
https://www.channelchek.com/news-channel/schwazze-shwz-expanding-into-colorado-medical
Fun facts...or almost famous.
https://dlglearningcenter.com/standing-akimbo-llc-v-united-states/
All quiet on 4/19...
While doing a bit of parsing just found an older article covering some of BR's Starbuds' related biz lines when he extended into in Canada (thinking about how often are the US operator's going north in the current MSO's news cycle when Germany is now all the rage? Next will be more gas stations and then Mexico...lol, oh wait, the Cartels may have something to say about that last one):
https://www.newcannabisventures.com/starbuds-secures-multiple-locations-in-ontario-with-government-expected-to-announce-it-will-privatize-cannabis-sales/
The current parts of a whole:
https://www.starbuds.us/ (US/Jamaica private and Schwazze operated sites)
https://www.starbuds.co/ (Canada private)
https://starbudscolorado.com/ (Schwazze only)
And for the sector that outran their pants:
https://www.greenmarketreport.com/most-cannabis-companies-underperformed-last-year-need-funding-to-survive/
I’m assuming this is not the news that you have hidden in your back pocket…I haven’t bought shares since the fund was selling off but seems like a good time to add with such little interest.
While I said yesterday no reason to add and possibly lighten up I sent in more money today. The structure of the deal is good. With so many large and small operators getting killed SHWZ continues to add stores. Scale of economy should continue to alleviate lots of costs that many can not avoid being spread so thin all over.
As read not the most exciting announcement I've seen, but a significant somewhat insulated population market we've been on the outside looking at from Manitou Springs as rec. Also interesting that they purchased a Colorado Springs medical dispensary in 2022 and kept that unannounced until today with the Standing Akimbo (SA) acquisition to expand that banner, there, specifically? SA was Westword's named "Best Medical-Only" Dispensary for Dever in '22 largely it seems based on product price and not on size nor location as parking is limited. BUT (yes, another one) simultaneously another unexplained: this event doesn't illuminate the need for the stand up of a retail integration team (as being and as already hired)...for what is openly described at present as what is to be an additional two-store banner. I'm more certain there's far more than this as detailed to what must be the planned/anticipated relative growth side.
https://www.westword.com/best-of/2022/cannabis-and-more/best-medical-only-dispensary-13810047
https://www.standingakimbodenver.com/
Are they overpaying? Standing A revenue is around 7 million. But they are using Standing A brand to open the CS store that they bought out last year.
More importantly, how much free cash will they get from these two stores? Their cash deal, paying 4 million later is a very good strategy.
I keep going back to what I read in a WestWord article:
"Per capita, there are twice as many residents per store in the Springs as there are in Denver," says Aaron Bluse, co-owner of Colorado dispensary chain Altitude Organic. "This could lead to the doubling or tripling of sales if you're in the right location."
Wondering what other assets are included in the purchase. The price tag is high considering recent dispensary acquisitions so there is more to it than meets the eye.
All the best,
Knife
Followers
|
128
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
21340
|
Created
|
01/10/16
|
Type
|
Free
|
Moderators StevenRisk Drugdoctor damAcon1 |
Instagram: https://www.instagram.com/schwazze/
Facebook: https://www.facebook.com/Schwazze/
Meet the "Steve Jobs of Cannabis" and Schwazze's Chief Cultivation Officer, Josh Haupt:
https://www.youtube.com/watch?v=s36OIBT4XiQ&t=1s
Star Buds is one of the Most Recognized and Successful Retail Cannabis Operators in North America
Company Projects Pro Forma Revenue for Schwazze and its Two Acquisitions (Mesa Organics and Star Buds) of $95 Million in 2020
Company Expects to Be Cash Flow Positive Beginning in January 2021
Company Anticipates Acquiring Remaining Seven Star Buds Retail Dispensaries in Colorado during the First Quarter 2021
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |