💳 BAT Converts Charlotte’s Web Convertible Debt into Equity + Invests Additional $10M
The Cannabist Company offloads OH Assets to Holistic Industries and DE Assets to Parma. Vireo Closes Acquisition of Assets of Schwazze. Jushi Refinances Credit Facilities With $160M Debt Financing.
IgniteIt Ohio Valley (Cincinatti) is a month away (April 30th)—if you still need tickets, you can use my code for 20% off. Additionally...if you use my code and send me a screenshot, I’ll enter you into a drawing for another free ticket (two total).
🌿 Industry
Georgia poised to add more cannabis permits under MMJ expansion. Georgia’s small medical cannabis market promises strong growth if Gov. Brian Kemp signs an MMJ expansion proposal lawmakers sent to his desk. — MJBizDaily
Georgia’s medical cannabis program is currently limited to “low THC oil” that’s capped to products with no more than 5% THC. That’s kept enrollment low, with 34,500 registered patients out of a statewide population of 11.3 million – the lowest adoption rate of any MMJ program in the country
But more Georgians might try medical cannabis if they could access higher THC products and cannabis in a form that can be vaporized – two of the improvements promised by SB 220
If Kemp signs SB 220 into law:
Cannabis patients could possess up to 12 grams of THC, with no THC percentage cap on products
Vaporizable products will be allowed for patients 21 and over
More medical conditions will qualify a patient for enrollment, including lupus
More details with Fine Fettle’s GA Market President Judson Hil on the expansion
Alcohol Industry Group Launches Push To Regulate Hemp THC Drinks Instead Of Banning Them. Wine & Spirits Wholesalers of America (WSWA) has created an educational microsite on the issue that offers resources on the issue and argues that “the same regulatory system that has worked for alcohol should be applied to intoxicating hemp products.” — Marijuana Moment
The group is supporting an approach for hemp drinks that would include federal licensure of suppliers and distributors, a federal tax, independent testing requirements and the regulation of trade practices such as a prohibition on slotting fees, while allowing states to regulate the products in their own markets
New vertically integrated cannabis permits could become available in Ohio. Under House Bill 611, so-called “orphaned” cannabis processors would be granted both cultivation and retail permits, allowing them to operate as fully vertically integrated businesses. — MJBizDaily
Ohio has 46 standalone cannabis processors, a license category introduced in the medical cannabis era
But since 2016, state law now allows a cannabis product to be sold without going through an independent processor, leaving 14 processor permits without a corresponding cultivator
Recent changes to Ohio state cannabis law caps the number of retail permits available in the state at 400. There are currently 205 with a certificate of operation, according to state data. Cultivation permits are capped at 37, and all have been issued
New York Total Cannabis Sales Reach $3.3B After Five Years
Illinois adult-use cannabis sales down (5.1%) sequentially in January to $110.7M and down (5.4%) sequentially in February
Virginia cannabis social-equity advocates are calling for the governor to delay the launch of adult-use cannabis sales
💵 Deals
British American Tobacco Debenture Conversion and $10M Equity Investment in Charlotte’s Web. BAT’s transaction with Charlotte’s Web comprises two components: (i) amendment and conversion of BAT’s outstanding C$75.3M principal amount (~$54M) of the convertible debenture, as well as all accrued interest, into common shares of Charlotte’s Web at a conversion price of C$0.94 (~$0.67 at the Bank of Canada exchange rate on March 27, 2026 for estimation purposes); and (ii) a concurrent additional equity investment by BAT of $10M by way of a private placement at a price equal to the greater of (a) C$0.94, or (b) a dollar amount equal to the maximum discount available pursuant to section 607 of the TSX Company Manual applied to the 5-day volume weighted average price of the Company’s common shares on the TSX prior to the closing date. Together, the Transaction results in the issuance of ~110 million common shares of Charlotte’s Web to BAT and represents a total equity commitment of ~$75M. Upon completion of the Transaction, ~$65M of total debt will be eliminated from the Company’s balance sheet, interest on the debenture will stop accruing, and liquidity will increase for near-term operations.
The Cannabist Company Strategic Transactions and Initiates Proceedings Under the CCAA. The Cannabist Company has entered into two definitive agreements to sell (i) all of the ownership interests of its subsidiaries engaged in the business of cultivating, producing, manufacturing, distributing and selling cannabis in the State of Ohio to Holistic Industries; and (ii) all of the business and assets of its subsidiary engaged in the business of cultivating, producing, manufacturing, distributing and selling cannabis in the State of Delaware to Parma Holdco LLC. The Company also announced it entered into a non-binding memorandum of understanding for the sale of certain of its production, manufacturing, distribution and sale operations (through the sale of equity or assets) in the States of Illinois, New Jersey, Colorado, Massachusetts, Maryland and West Virginia. Virginia—As previously announced, on December 2, 2025, the Company entered into a definitive agreement to sell all of the ownership interests of its subsidiary engaged in the business of cultivating, producing, manufacturing, distributing and selling cannabis in the Commonwealth of Virginia to Parma. Under this agreement, Parma acquired all issued and outstanding equity interests of Green Leaf Medical of Virginia, LLC, a wholly owned indirect subsidiary of the Company, for a total consideration of $130M. Ohio—On March 23, 2026, the Holistic agreed to acquire all of the issued and outstanding equity interests of the Company’s subsidiaries engaged in the business of cultivating, producing, manufacturing, distributing and selling cannabis in the state of Ohio for a total consideration of $47M, consisting of $34.5M in cash payable at the closing of the transaction, as well as a $12.5M promissory note issued by Holistic, all subject to adjustment as further described in the equity purchase agreement. The Ohio Transaction is expected to close in Q3 2026. Delaware—On March 23, 2026, the Company entered into an asset purchase agreement with Parma, pursuant to which, subject to court approval and other customary closing conditions set out in the agreement, Parma has agreed to acquire substantially all of the assets of Company’s subsidiary engaged in the business of cultivating, producing, manufacturing, distributing and selling cannabis in the state of Delaware for a total consideration of $16.5M in cash, all subject to adjustment as further described in the asset purchase agreement. The Delaware Transaction is expected to close in Q2 2026.
Vireo Closes Acquisition of Assets of Schwazze. This acquisition represents an initial step toward a broader strategy to build a scaled retail presence in Colorado and New Mexico, which could grow to over 75 dispensaries over time. Forrest Hoffmaster, who will be CEO of Vireo’s Colorado and New Mexico-focused businesses, said “This transaction marks the beginning of a new chapter for the Schwazze team. We are proud to contribute our capabilities to Vireo’s growing platform and remain committed to serving our customers in Colorado and New Mexico with the high-quality products and experiences they expect.”
📄 Company Updates
Vireo Growth Provides Update on Planned Hawthorne Gardening Acquisition. As part of the Hawthorne Transaction, it is contemplated that Vireo would acquire Hawthorne with at least $35M of cash, ~$50M of net working capital, and would be provided ~$20M of inventory comprised mostly of soil to be supplied to the Company over two years, in exchange for the issuance of 206 million subordinate voting shares of the Company and a warrant to purchase 80 million Shares at an exercise price of $0.85 per Share, exercisable for a period of five years from the date of issuance. In connection with the transaction, Vireo intends to appoint Chris Hagedorn, EVP of ScottsMiracle-Gro and Executive Lead of the Hawthorne business, to its Board of Directors following completion of the transaction and upon shareholder approval. Completion of the Hawthorne Transaction remains subject to, among other things: (i) the negotiation and execution of definitive transaction agreements on terms acceptable to both parties and (ii) receipt of all required regulatory approvals, including, if applicable, the approval of the CSE. There can be no assurance that a definitive agreement will be entered into or that the proposed transaction will be completed on the terms described herein, or at all.
PharmaCann Closing Pennsylvania Cannabis Facility, Exits Colorado Market. The company filed a Worker Adjustment and Retraining Notification (WARN) with the Pennsylvania Department of Labor and Industry on March 20, informing the department of its facility closure at 111 Life Science Drive in Scott Township, that will impact 60 workers. PharmaCann’s WARN notice to close its facility in Pennsylvania comes after the company settled a lawsuit with Innovative Industrial Properties (IIP) related to its lease defaults with the real estate investment trust (REIT). As part of the resolved litigation, PharmaCann must turn over its properties in Pennsylvania and New York by May 20, and an additional property in Ohio by May 26, according to IIP. In Colorado, The company will lay off 132 workers and shut down one of Colorado’s largest licensed cultivation operations by May 20.
Jushi Refinances Credit Facilities With $160M Nondilutive Debt Financing with funds managed by FocusGrowth Asset Management. The Term Loan was issued at a 4.0% original issuance discount and bears an interest rate of 12.50% per annum, payable monthly, and matures three years from the issuance date. The Term Loan is guaranteed by certain direct and indirect subsidiaries of the Company and secured by first priority liens on certain assets of the Company and certain of the Company’s direct and indirect subsidiaries. The Term Loan does not amortize and is non-dilutive to current shareholders. Following issuance of the Term Loan and the repayment of the Former 1st Lien Credit Facility and the Former 2nd Lien Credit Facility, the Company has ~$35M of cash, cash equivalents and restricted cash as of March 27, 2026.
Jushi, Revelry Supply Reach Settlement in Hemp-Derived THC Litigation. The litigation, styled Agape Total Health Care Inc., et al. v. Golden Hour, LLC, et al., Civil Action No. 250803198, was filed as part of a broader enforcement action initiated by the Jushi Subsidiaries against multiple entities and relates to the sale and distribution of certain unregulated intoxicating hemp-derived THC products in Pennsylvania. As previously reported by national and industry media outlets, the Company believes certain unregulated wholesalers and smoke shops are engaging in unfair trade practices by selling illegal marijuana products under the guise of “hemp.” The Company believes these products are being distributed outside of the Commonwealth of Pennsylvania’s regulated medical marijuana framework, providing an unlawful economic advantage to unlicensed operators, shifting compliance burdens onto lawful licenses, endangering public health, and destabilizing the regulated market. This agreement with Revelry represents the first settlement reached in connection with that broader action. The Company will continue to pursue its claims against remaining defendants as appropriate in Pennsylvania and across the country.
🏬 Retail / Cultivation
Curaleaf Branded Dispensary Opens in Lorain, OH, in Partnership with RC Retail. Curaleaf provides support services to the current owner and operator, RC Retail, ensuring both medical patients and adult-use customers in Ohio will receive the same elevated retail experience and access to high-quality cannabis they have come to expect when visiting Curaleaf stores. Curaleaf has the future right to ownership of the dispensary, subject to regulatory approval, which would expand Curaleaf's footprint to six stores in the Buckeye State and 164 nationwide.
Curaleaf opens Cape Coral, FL Dispensary. The new location represents the Company’s 72nd store in Florida and 163rd nationwide.
Terra Pharm Opens Cannabis Cultivation Facility, Dispensary in Pennsylvania. The company opened its cultivation and processing facility in Pittsburgh and celebrated the ribbon-cutting of its first dispensary in Uniontown. The company plans to open several additional dispensaries across the commonwealth in the coming weeks. Terra Pharm was granted a clinical registrant license by the Pennsylvania Department of Health in October 2024. Under this license, the company is authorized to operate a cultivation facility, a processing facility, and up to six dispensaries statewide.
🌱 Product
Dabstract Partners with Trulieve for Maryland. Through this collaboration, Dabstract will introduce its celebrated Live Resin High Terpene Extract (HTE) All-in-One Device and Universal Vape Cartridges to select dispensaries in Maryland, with additional product formats planned for future releases. Known for their strain-specific formulations and terpene preservation, Dabstract products are designed to authentically reflect the genetics and native profile of each cultivar.
Canopy Growth launch Deelish, a new cannabis brand built for the everyday consumer with an everyday price. Deelish enters the market built to deliver high THC with flower testing at 27%-33% THC and pre-rolls at 26%-32% THC. And unlike brands built around a single profile, Deelish rotates its genetic lineup regularly, giving consumers access to a curated range of cultivars over time.
🧔 People
Latino Cannabis Alliance launches to serve as a central forum for analysis, commentary and guidance on cannabis issues from a Latino lens. The Latino Cannabis Alliance is composed of community leaders with a diverse range of skills, countries of origin and roles within the cannabis ecosystem. Combined, they have decades of experience in the cannabis reform space.
Cresco Labs Dispensary workers in Pennsylvania secure new union contract after a 20-day labor strike. The new contract for the workers at Sunnyside includes wage increases, improved health care benefits, guaranteed gratuities, protection from unjust discipline or termination, enhanced job security for part-time employees, and additional paid time off.
🎙️ Interviews
Finn Hänsel, Managing Director, Sanity Group | CannabisNow
LEEF Q4 2025 Earnings Review | Higher Exchanges
Elliot Lane on the Future of IgniteIt | High Spirits