MJ420
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The guy sold a few grams of hash in highschool. I doubt he has big connection from that. Get over it and smoke your crap weed
The forthcoming collapse in Canadian Cannabis Companies
- Thread starter Thomas Davie
- Start date
The guy sold a few grams of hash in highschool. I doubt he has big connection from that. Get over it and smoke your crap weed
- Joined
- Feb 6, 2013
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- 2,616
As much as I hate most of the legal Canadian weed (dry, little to no terpenes left, mould on Zanabis/Namaste products), there is some good legal product out there (Broken Coast). I've seen some very overpriced hash on sale at Tokyo Smokes and the legal vape carts from Redecan are acceptable. Still, at this point into legalization I find black market product from some online dispensaries far superior to store bought stuff. Esp if you have access to lab tested, moisture specified product. I'm fairly sure I know the Mazar Sharif to which Pupnik refers. If so, it is spectacular.
What the legal market has is reliable, reproducible quality. Meaning it's much easier to use a legal product for medical purposes. If you mean Premier Ford; dunno, I have to deal with Brian Pallister in Manitoba. Reading the statscan data on weed purchases since Oct, 2018 they admit that they underestimated that a minority of the continual consuming public would be the ones purchasing most. I don't want to make up numbers, so you can find them on Statscan. It seems as if the people who are used to purchasing an ounce or qp at a time are more sensitive to price (a big Duh, there). I stopped buying single grams in 1988 and by 1998-2000 wasn't buying less than an ounce at a time. It was sticker shock when legalization hit, at least for me
Tom
MJ420
Bluelighter
- Joined
- Jan 12, 2020
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As much as I hate most of the legal Canadian weed (dry, little to no terpenes left, mould on Zanabis/Namaste products), there is some good legal product out there (Broken Coast). I've seen some very overpriced hash on sale at Tokyo Smokes and the legal vape carts from Redecan are acceptable. Still, at this point into legalization I find black market product from some online dispensaries far superior to store bought stuff. Esp if you have access to lab tested, moisture specified product. I'm fairly sure I know the Mazar Sharif to which Pupnik refers. If so, it is spectacular.
What the legal market has is reliable, reproducible quality. Meaning it's much easier to use a legal product for medical purposes. If you mean Premier Ford; dunno, I have to deal with Brian Pallister in Manitoba. Reading the statscan data on weed purchases since Oct, 2018 they admit that they underestimated that a minority of the continual consuming public would be the ones purchasing most. I don't want to make up numbers, so you can find them on Statscan. It seems as if the people who are used to purchasing an ounce or qp at a time are more sensitive to price (a big Duh, there). I stopped buying single grams in 1988 and by 1998-2000 wasn't buying less than an ounce at a time. It was sticker shock when legalization hit, at least for me
Tom
I order from bc. I buy by the qp but always the top tier. Price of course matters, but i will pay a few hundred more for top quality. Ontario could have made so much money. Out in coburg where they grow some for the government they have supervisors from kraft foods. People with zero knowledge on growing. They could have brought in people from BC who have experience.
I'm just happy it's legal. Technically im only legally allowed to buy from Ontario government but how would they enforce that.
Far to many dumb rules.
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Mj420; you’re right, there is no effective way to enforce that the weed you have is legal. Careful when in Manitoba because it is the law that it has to be in a purchased container when carried in public (with remains of the torn off tax stamp or whatever is left of the label), and no edibles in public (another unenforceable law). $672 fine for either. And no smoking in public *unless* you are a patient, in which case you can consume on sidewalks, roads or parks providing you are 8 metres away from a water park, playground, bus shelter, outdoor entertainment venue or any doorway to which the general public has access. Also a $672 fine. If you get a law officer playing by the books, you’d even be fined for carrying an improperly packaged joint.
Such is life in Manitoba.
Tom
Such is life in Manitoba.
Tom
Medmen CEO steps down
This is after months of rumors of massive layoffs, not being able to pay vendors, and numerous allegations of fraud.
Related? I think yes...
highenergytrading.com
Turns out there was probably a lot more to the story than leafly reported last year
www.leafly.com
and in other related news, leafly laysoff 18% of it's workers:
www.ganjapreneur.com
Select/Cura Cannabis fined for using non-disclosed cutting agent in vape carts, despite label claiming it was 100% cannabis derived.
www.ganjapreneur.com
This is after months of rumors of massive layoffs, not being able to pay vendors, and numerous allegations of fraud.
Stock market news - MarketScreener
All the latest stock market and economic news. Follow live the latest news from listed companies, the latest analysts' recommendations and our analysis. All the news is on MarketScreener
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Related? I think yes...
11 CEO’s Who Take A Smaller Salary Than MedMen Founders Andrew...
[ajax_load_more id="9805041663" container_type="div" post_type="post"] According a recent report on Seeking Alpha, MedMen execs are outdoing nearly everyone when it comes to execs taking salaries. In the report it shows the drastic contrast between its peers like Acreage (ACRGF) , CuraLeaf...
highenergytrading.com
Turns out there was probably a lot more to the story than leafly reported last year
How MedMen Conquered the Most Cutthroat Market in Cannabis
Is this actually the Starbucks of cannabis? How savvy branding and fast expansion are winning over consumers in LA.
www.leafly.com
and in other related news, leafly laysoff 18% of it's workers:
Leafly Lays Off 18% of Its Workforce - Ganjapreneur
Cannabis media company Leafly has cut 18 percent of its workforce, laying off a total of 54 employees, according to a GeekWire report. In a statement, CEO Tim
www.ganjapreneur.com
Select/Cura Cannabis fined for using non-disclosed cutting agent in vape carts, despite label claiming it was 100% cannabis derived.
Leafly Lays Off 18% of Its Workforce - Ganjapreneur
Cannabis media company Leafly has cut 18 percent of its workforce, laying off a total of 54 employees, according to a GeekWire report. In a statement, CEO Tim
www.ganjapreneur.com
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- 2,616
Mafioso; I’d heard of MedMen before but just checked out their website(s) within the last week b/c of your mentioning them. I wonder how long they think charging those high prices is sustainable. It seems as if ‘newly’ legalized states (or entire countries > Canada) feel it is ok to charge prices that are sometimes double the black market, or more. A lot of the black market dispensaries I frequent proudly announce their per gram prices.
At least one Canadian licensed producers announced their per gram production costs (factoring everything in) at 1$/g. Dunno if that’s high or low; but then they turn around and sell it for many times more, I understand that a lot of the prices are investor profit driven - and maybe the prices seem ok to a very casual cannabis consumer, or someone who’s trying out a gram for the first time (You know like if they’d pay $18 for a bottle of wine for a holiday family dinner); but for individuals who have been consuming cannabis for years (or decades
) it’s repeated sticker shock. And then we go back to the black market.
For people who are used to buying oz’s or more the per gram legal price that’s being charged is painful and insulting.
Thanks for writing about MedMen.
Tom
edit #1 I hadn’t realized that MedMen has lost ~96% of it’s stock value since 2 days after Cdn legalization. Constellation Beverages bought $4 billion dollars worth of Canopy Growth
At least one Canadian licensed producers announced their per gram production costs (factoring everything in) at 1$/g. Dunno if that’s high or low; but then they turn around and sell it for many times more, I understand that a lot of the prices are investor profit driven - and maybe the prices seem ok to a very casual cannabis consumer, or someone who’s trying out a gram for the first time (You know like if they’d pay $18 for a bottle of wine for a holiday family dinner); but for individuals who have been consuming cannabis for years (or decades
) it’s repeated sticker shock. And then we go back to the black market.For people who are used to buying oz’s or more the per gram legal price that’s being charged is painful and insulting.
Thanks for writing about MedMen.
Tom
edit #1 I hadn’t realized that MedMen has lost ~96% of it’s stock value since 2 days after Cdn legalization. Constellation Beverages bought $4 billion dollars worth of Canopy Growth
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Aurora just announced a new CEO amidst massive layoffs, huge stock dip, and now $1b cdn in impairment charges
www.reuters.com
They are sold on the brand, sold on the excitement and their dedication to the face of the brands. Rapper Berner is capitalizing on his fans loyalty, and probably more so, Gage Cannabis. It's a young and relatively uneducated market, with a large percentage being younger people who are relatively new to smoking all together. As far as I can tell, Gage/cookies business model isn't all that different from Medmen. Once the excitement of the new locations and new legislature dies down, and the reality of high taxes and higher retail prices set in amongst consumers, that's when the real test will begin.
The prices are high, but they are prices that have existed in a functioning market in the past under prop 215. It is possible that a small craft market can sustain those prices, but the bulk of the market will have to see prices drop because the average consumer can not or will not pay those prices.
Aurora Cannabis to take C$1 billion in charges, cuts 500 jobs as CEO exits
Aurora Cannabis said Chief Executive Terry Booth will retire and Executive Chairman Michael Singer become interim CEO as the beleaguered marijuana producer announced C$1 billion ($752.79 million) in impairment charges on Thursday.
www.reuters.com
It seems to be the trend, I think they are capitalizing on what is being dubbed the "honeymoon phase" for cannabis companies- which is largely companies capitalizing on the hype of their brand and the excitement of new legislature. If you want your jaw to drop at some high prices, take a look at places like connected or cookies, which end up costing **a lot** for an 8th of top shelf, which is reported to be mid grade by a lot of consumers. How can a company possibly charge such a high rate when their competitors are charging as low as **a little** per 8th? How do these stores, with the highest prices in the market, have people lining up overnight for the store openings?
They are sold on the brand, sold on the excitement and their dedication to the face of the brands. Rapper Berner is capitalizing on his fans loyalty, and probably more so, Gage Cannabis. It's a young and relatively uneducated market, with a large percentage being younger people who are relatively new to smoking all together. As far as I can tell, Gage/cookies business model isn't all that different from Medmen. Once the excitement of the new locations and new legislature dies down, and the reality of high taxes and higher retail prices set in amongst consumers, that's when the real test will begin.
The prices are high, but they are prices that have existed in a functioning market in the past under prop 215. It is possible that a small craft market can sustain those prices, but the bulk of the market will have to see prices drop because the average consumer can not or will not pay those prices.
Last edited by a moderator:
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- 2,616
The situation as it currently stands as of November, 2019
Unpackaged production - 120,702 kg (flower has been harvested, trimmed, cured but not analyzed)
Unpackaged inventory - 411,745 kg ( flower has been harvested, trimmed, cured and analyzed but not packaged)
In November, 2018
Unpackged production - 34,893 kg
Unpackaged inventory - 99,007 kg
In one years time that is a 3.97 fold increase in unpackaged total cannabis. In the same 1 year period, the a,punt of packaged cannabis held by provincial wholesalers and retailers has gone from 8,314 kg to 29,526 kg - a 3.55 fold increase.
Non medical sales have gone from 1,795 kg to 11,707 kg for the same period. Although total non medical sales have increased, returned inventory is not considered.One licensed producer (Canntrust, who had their license revoked for growing innunauthorized facilities) had $15,000,000 worth of returns and destroyed $55,000,000 inventory.
At least 3 big producers (Canopy, Aurora and Tilray) have introduced ‘value’ brands available in larger quantities (15 and 28 grams) at a lower per gram price.
Canntrust is in the verge of being delisted on the NYSE.
Tom
Unpackaged production - 120,702 kg (flower has been harvested, trimmed, cured but not analyzed)
Unpackaged inventory - 411,745 kg ( flower has been harvested, trimmed, cured and analyzed but not packaged)
In November, 2018
Unpackged production - 34,893 kg
Unpackaged inventory - 99,007 kg
In one years time that is a 3.97 fold increase in unpackaged total cannabis. In the same 1 year period, the a,punt of packaged cannabis held by provincial wholesalers and retailers has gone from 8,314 kg to 29,526 kg - a 3.55 fold increase.
Non medical sales have gone from 1,795 kg to 11,707 kg for the same period. Although total non medical sales have increased, returned inventory is not considered.One licensed producer (Canntrust, who had their license revoked for growing innunauthorized facilities) had $15,000,000 worth of returns and destroyed $55,000,000 inventory.
At least 3 big producers (Canopy, Aurora and Tilray) have introduced ‘value’ brands available in larger quantities (15 and 28 grams) at a lower per gram price.
Canntrust is in the verge of being delisted on the NYSE.
Tom
S.J.B.
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These companies were vastly overvalued at their peak. Some of the biggest had valuations comparable to the biggest global beer companies. I invested in stocks and made good money by getting out early, but I knew it wasn't sustainable. Overvalued small companies will be bought up on the cheap by the players who can withstand the correction and the market will become much more consolidated.
The biggest barriers to the growth of the legal market right now are (a) the lack of brick-and-mortar stores and (b) the $1-per-gram minimum tax.
The biggest barriers to the growth of the legal market right now are (a) the lack of brick-and-mortar stores and (b) the $1-per-gram minimum tax.