MJBiz - July 2023 - 14

COMPANY NEWS U.S. & International by MJBizDaily Staff
U.S. DEVELOPMENTS
Creditor Bids $109M
for Assets of Skymint
Embattled
Michigan
marijuana
cultivator and retailer Skymint,
which is in receivership, will
auction off its assets.
Alberta, Canada-based Tropics
LP has offered to acquire the
assets of the Ann Arbor, Michiganbased
company for $109.4 million,
effectively setting the minimum
purchase price.
Tropics LP is Skymint's largest
creditor and an affiliate of
SunStream Opportunities LP,
which itself is an affiliate of
SunStream Bancorp. The latter is a
joint venture sponsored by Canadian
cannabis company SNDL, according
to an SNDL regulatory filing.
In March, Canadian investment
firm Tropics filed a lawsuit claiming
Skymint owed them more than
$127 million, prompting the Ingham
County Circuit Court to place the
marijuana company under the
control of receiver Gene Kohut of
Trust Street Advisors in Detroit.
Any new bidder would have
to top the $109.4 million bid and
pay Skymint's existing debt to
Tropics, which alleges that Green
Peak Innovations-operating as
Skymint-generated $153 million
less than what it forecast in 2022.
Marijuana MSO Greenlight
Issues Rare MJ Dividend
Missouri-based multistate operator
Greenlight Dispensary is believed
to be the first big U.S. marijuana
company to issue a dividend to
investors-and it could be the last,
at least for the foreseeable future.
The privately held company
issued a dividend in April that
makes up a little more than 4%
14 July 2023 | MJBizMagazine
of the total capital invested in
Greenlight and totals seven figures,
John Mueller, co-founder and chief
executive officer, told MJBizDaily.
Mueller said he hopes dividends
will eventually be issued quarterly.
Greenlight currently operates
27 cannabis stores in Arkansas,
Illinois, Missouri, South Dakota and
West Virginia.
Cronos Pulls Plug on
U.S. Hemp/CBD Operations
Canadian
cannabis
company
Cronos
Group is pulling out of the hempderived
CBD market In the United
States.
The Toronto-based company
said the wind-down is meant " to
improve its cash flow in the near
term and position itself to directly
enter the U.S. THC market when
the necessary changes in U.S.
regulatory conditions occur. "
Cronos acquired its hemp assets
in 2019 from Redwood Holding
Group in a deal worth $300 million.
The Lord Jones brand acquired as
part of that deal will be relaunched
in the Canadian adult-use cannabis
market.
Cronos said the move will result
in inventory write-offs, severance
costs and impairment charges
worth up to $1.8 million during its
ongoing second quarter.
PharmaCann Union
Workers Get 20% Raise
Unionized workers at five Chicagoarea
PharmaCann adult-use
cannabis stores will receive a
20% wage hike over three years
in the latest pay raise secured by
organized labor in the marijuana
industry.
Workers at PharmaCann's
Verilife stores, who are
organized by the International
Brotherhood of Teamsters
Local 777, approved a three-year
contract under which hourly
wages will increase by 20%.
Entry-level pay at some Chicagoarea
stores is as low as $17 an hour.
Wages at unionized dispensaries
can start at $19.50 per hour, union
officials told MJBizDaily.
The Teamsters also represent
workers at Rise, the retail outlets
owned by Green Thumb Industries.
A 13-day strike at three Chicagoarea
Rise stores that began April 19
is believed to be the longest work
stoppage in U.S. cannabis history.
Contract negotiations between
Green Thumb and Teamsterorganized
Rise workers is ongoing,
according to union officials.
N.J. Renews Curaleaf's
Marijuana Licenses
Less than a week after refusing
to renew several of Curaleaf
Holdings' marijuana licenses, New
Jersey regulators reversed their
decision.
The New Jersey Cannabis
Regulatory Commission (CRC)
voted to approve Curaleaf's adultuse
cultivation and retail license
renewals, the New York-based
multistate operator announced in a
news release.
" Today's decision by the
CRC Board to vacate their
unprecedented action last week is
an incredible victory for our 500
N.J. team members, " Curaleaf CEO
Matt Darin said in a statement.
The regulators' April 13 decision
to deny the license renewals came
weeks after Curaleaf announced it
was closing a cultivation facility in
Bellmawr, New Jersey.
MJBiz - July 2023

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