|The amended licensing agreement with Cookies will extend its exclusive partnership for another two years on top of the original five-year exclusivity and will introduce “Cookies Corners”, a store-within-a-store concept to the state of Michigan. The deal provides Gage and Cookies with full coverage of the Michigan market, with a target goal of opening 12 Cookies branded retail dispensaries and Cookies Corners in all Gage stores by the end of 2024. The Company expects that this extension will establish Michigan as the strongest Cookies market outside of California.
“We are excited to continue this journey with the Cookies family as we extend our exclusive licensing agreement,” said Fabian Monaco, CEO of Gage. “We look forward to continue working with the entire Cookies team to produce and supply the best cannabis products in Michigan, now, and for years to come.”
This announcement solidifies the partnership held between Gage and Cookies in Michigan. The Company will continue to evaluate further partnership opportunities with Cookies in other markets in the United States.
“After performing at the Michigan cannabis cup a few years ago, I got a chance to really understand how important the Michigan market was to the industry and shortly after, chose Michigan as the first state to open a Cookies store outside of California,” said Berner, Co-Founder and CEO of Cookies. “Since then, we have developed an amazing relationship with Gage and they fully understand and respect the vision, brand, and standards when it comes to quality. With the Cookies Detroit 8 Mile location being one of our highest performing stores, we have decided to expand Cookies’ footprint throughout the state. The Michigan market has welcomed us with open arms and for that I’m extremely humbled. We are working on developing exclusive menus for Michigan and we can’t wait to release them in our new stores.”
Caution Regarding Cannabis Operations in the United States
Investors should note that there are significant legal restrictions and regulations that govern the cannabis industry in the United States. While legal in certain states, cannabis remains a Schedule I drug under the U.S. Controlled Substances Act, making it illegal under federal law in the United States to, among other things, cultivate, distribute or possess cannabis. Financial transactions involving proceeds generated by, or intended to promote, cannabis-related business activities in the United States may form the basis for prosecution under applicable U.S. federal money laundering legislation. Investors should carefully read the risk factors and disclosures contained in the offering circular prepared in connection with the Offering before making any decision to invest in the Company.
Explanatory Note Regarding the Company‘s Operations
References in this news release to the Company and its operations and portfolio are inclusive of the operations and assets of certain licensed cannabis operators that operate under the Gage brand pursuant to contractual arrangements with the Company. For additional information, please refer to the Company’s long form prospectus dated March 26, 2021 and other disclosure documents available on the Company’s profile at www.sedar.com.
Forward Looking Information
This news release contains “forward-looking information” within the meaning of applicable securities laws. Forward-looking information contained in this press release may be identified by the use of words such as, “may”, “would”, “could”, “will”, “likely”, “expect”, “anticipate”, “believe, “intend”, “plan”, “forecast”, “project”, “estimate”, “outlook” and other similar expressions, and include statements with respect to future growth of the Michigan market, future partnerships with Cookies and future product offerings of Gage. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management in light of management’s experience and perception of trends, current conditions and expected developments, as well as other factors relevant in the circumstances, including assumptions in respect of current and future market conditions, the current and future regulatory environment; and the availability of licenses, approvals and permits.
Although the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. Forward-looking information is subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking information including, but not limited to, those risks disclosed in the Company’s long form prospectus dated March 26, 2021 and other disclosure documents available on the Company’s profile at www.sedar.com. The statements in this press release are made as of the date of this release. The Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
(This information is primarily sourced from Gage Growth Corp. Highly Capitalized has neither approved nor disapproved the contents of this news release. Read our Disclaimer here).