Week In Review: Cresco Labs Finalizes Sale of Arizona Ops & Mortgages NY Properties; 4Front Ventures Secures $10 Million Credit Facility; Germany Contemplates Cannabis Legalization

LOS ANGELES–Welcome to the far too-exciting world of cannabis and psychedelics, where it’s a tale of two markets: there’s innovation and progress in full swing in some parts of the country, while in other parts, the industry is on the ropes largely due to collapsing cannabis prices and lack of access to capital, making cannabis business models very challenging.  This week’s Week In Review is a roundup of key developments in the industry, showcasing the news from key companies in the space.

Weekly Overview: Developments in the Cannabis and Psychedelic Sectors

Cannabis Market Highlights:

#1.Cresco Labs Finalizes Sale of Arizona Operation and Secures Mortgage on New York Properties: Cresco Labs Inc. has officially concluded the sale of its single licensed operation in Arizona to an affiliate of Mint Cannabis, marking another significant move in its strategic financial reshuffling. The sale, fetching a total cash purchase price of $6.5 million, follows the company’s ongoing objective of strengthening its foothold in pivotal markets.

#2. Germany Contemplates Cannabis Legalization Amid Mixed Responses: German’s federal parliament is set to weigh in on a pivotal cannabis reform bill, marking a potential tectonic shift in the nation’s stance on the plant. Championed by Chancellor Olaf Scholz, this proposed legislation could metamorphose Germany’s drug policy, wherein recreational cannabis is currently proscribed.

#3. 4Front Ventures Secures $10 Million Credit Facility to Amplify Illinois Operations:- 4Front Ventures Corp. a multi-state, vertically integrated cannabis operator and retailer, has publicized its recent procurement of a $10 million senior secured credit facility agreement. The agreement is with ALT Debt II, LP, an affiliate of the financial powerhouse, Altmore Capital. This strategic move comes as 4Front seeks to channel these funds into bolstering its retail footprint in Illinois. The investment is synchronizing with the company’s impending inauguration of a state-of-the-art cultivation and processing facility in Matteson.

#4. New York Extends Cannabis Licensing Application Deadline Amid Mounting Concerns and Legal Obstacles. Amid a flood of applications and growing uncertainty from prospective cannabis entrepreneurs, New York’s Cannabis Control Board (CCB) has granted a two-week extension for cannabis business license applications. Originally slated to close on December 4th, the submission window will now remain open until December 18th.

Psychedelic Market Highlights:

#1. Harvard University Embarks on Groundbreaking Study of Psychedelics: Harvard University, a name synonymous with academic excellence, is venturing into a new interdisciplinary field of study. The institution has announced the establishment of the Study of Psychedelics in Society and Culture, funded by a significant $16 million donation from the Gracias Family Foundation.

#2. Governor Gavin Newsom Faces a Crucial Decision on Psychedelic Decriminalization: The movement to decriminalize psychedelics in California, a campaign spanning over six decades, stands at a pivotal juncture. SB58, the bill that seeks to decriminalize various natural psychedelics and pave the way for their therapeutic use, has now reached the desk of California Governor Gavin Newsom.

Updates & Events:

• MJBizCon is the next big event with thousands expected to attend MJBizCon which has become the biggest conference in cannabis in the world (Nov 28-Dec 1st) use 23HCN10 for a double digit ticket discount.
• Check out the short video here showing attendees at the women-only event called the Blunt Brunch gather for a photograph here.  The Blunt Brunch was in San Diego, but they have meetings around most big cannabis conferences. Blunt Brunch is an excellent support network for women entrepreneurs. Find out more about their next events in the coming weeks here.

Stay tuned to Highly Capitalized for more updates as the cannabis and psychedelic industries continue to shape the future at the intersection of wellness and innovation. Subscribe to our newsletter and follow us on LinkedIn.