State Assemblyman Matt Haney, D-San Francisco, plans next week to introduce AB 564, or the Cannabis Tax Relief bill, to stop a tax hike — from 15% to 19% — set to go into effect on July 1.

Haney also authored AB 1775, which this year allowed dispensaries to open Amsterdam-style cannabis cafes with food and non-alcoholic drinks. While that bill and the one Haney is introducing next week could help boost local dispensaries’ revenues, some shops are nevertheless worried a tax hike will drive more cannabis consumers to the black market.

“The illicit or unregulated market is the biggest competition,” said Zoe Schreiber, director of compliance and public affairs for The Highlands Dispensary, which opened in unincorporated Livermore in 2022. “As a full retail community, our biggest competitors are not each other, but rather a market that’s unregulated.”

Schreiber said customers often complain of the high taxes on cannabis products at her dispensary, which can make up about 30% to 40% of the overall price out the door, she said. She said that in addition to the expected 4% excise tax increase, licensing and regulatory fees continue to drive the prices of legal cannabis products up, while pushing consumers away from the regulated market.

“‘I know a guy,’ or ‘my guy can get it to me for less.’ Those comments are ones that we do hear,” Schreiber said. “By continuing to do things to make regulated cannabis more expensive, or even where it’s at now, we lose over half the market. We lose the ability to create that safe space, which is what consumers voted for in 2016 with Prop. 64.”

Haney said he is putting the Cannabis Tax Relief forward to protect legal cannabis businesses from closing as the illegal market continues to grow at a faster rate.

“California’s cannabis industry is struggling. And a huge tax increase right now could be the nail in the coffin,” Haney said in an interview Wednesday. “This is absolutely the wrong time for a 25% tax increase on a fledgling legal cannabis industry that is trying to follow all of the rules and pay their taxes and is losing out everyday to those who are not.”

He also compared the legal weed industry’s tax bracket to that of wine or beer, saying a glass of alcohol includes about one or two cents in taxes, whereas taxes on a joint can cost over a dollar.

Haney added that California’s legal cannabis industry appears to be falling behind the cannabis-industry growth of other states such as Michigan, Colorado and Washington, which have lower taxes and friendlier regulations.

“I think that when cannabis was legalized in California, they did not expect that the illegal market would continue to thrive and grow and compete at the scale that it has,” Haney said. “They are operating outside of our laws entirely.

“Until California takes action to put a stop to that, we have to make sure that our businesses that are following the law are not so overly taxed and burdened that they cannot operate at all. This is common sense.”

• With recreational legalization on the ballot in Ohio’s general election in November 2023, this proposed transaction will position Vext with a meaningful footprint in the state and the scaled retail presence necessary to generate sustainable long-term returns as the market matures.
• Pro Forma for this announcement and the previously announced Appalachian Pharm acquisition, Vext will have an operating Tier I cultivation facility, an operating manufacturing facility, and four retail dispensaries in Ohio.
• Vext will raise $10 million via a private placement of common shares, the majority of which is expected to be conducted with an existing institutional shareholder, senior management and members of the Company’s board of directors.

Vancouver, British Columbia–(Newsfile Corp. – October 2, 2023) – Vext Science, Inc. (CSE: VEXT) (OTCQX: VEXTF) (“Vext” or the “Company“), a U.S.-based cannabis operator with vertical operations in Arizona and Ohio¹, is pleased to announce the execution of a letter of intent (the “LOI”) with the members (the “Sellers”) of Big Perm’s Dispensary Ohio, LLC (“Big Perm”) to acquire two cannabis dispensaries located in Ohio (the “Dispensaries”) owned by Big Perm, as well as all licenses and assets related to the business of the Dispensaries (the “Acquired Assets”), for aggregate consideration of approximately $9.8 million, subject to adjustment in certain circumstances (the “Ohio Expansion Transaction”).

The Company also announced a non-brokered private placement of common shares of the Company (“Common Shares“) to raise up to $10 million (the “Offering“). Vext anticipates that one institutional shareholder, as well as certain members of the Company’s senior management team and board of directors will participate for over 60% of the Offering. Unless otherwise noted, all currency references used in this news release are in U.S. currency.

Management Commentary

Eric Offenberger, CEO of Vext, commented, “The addition of two dispensaries to our growing vertical footprint in Ohio represents a critical step toward achieving scale and ensuring long-term returns on capital in this attractive growth market. The overall market environment, particularly from an equity perspective, remains challenging, but now is the right time for Vext to build a platform that will generate growing profitability and cash flow. We appreciate the support of our long-term shareholder base and insiders who have stepped up to support what I am confident will lead to significant value creation.”

Mr. Offenberger continued, “Vext has a proven track record of operating profitably in the limited-license Arizona market and we were early to understand that fully integrated operations and matching long-term cultivation with owned retail demand, is the route to capturing sustained margins and value. Upon closing this transaction, along with the previously announced Appalachian Pharm acquisition, Vext will be positioned for success in the limited license Ohio market through four strategically located dispensaries, bringing us closer to the state cap of five locations.”

Terms of the Ohio Expansion Transaction

Under the terms of the LOI, in consideration for the Acquired Assets, Vext is anticipated to pay cash consideration equal to $9.8 million, subject to adjustments in certain circumstances.

In addition, Vext has agreed to fund approximately $3.4 million of construction costs related to the Dispensaries, which are payable upon closing of the Ohio Expansion Transaction.

The Ohio Expansion Transaction remains subject to a number of customary conditions, including, without limitation: the satisfactory completion of due diligence, the receipt of any required regulatory and third-party approvals, as well as the negotiation of definitive transaction documents. There can be no guarantees that the Ohio Expansion Transaction will be completed as contemplated or at all.

The Company is at arm’s length from Big Perm and each of the Sellers. The Company currently expects that definitive agreement with respect to the Ohio Expansion Transaction will be executed prior to the end of October 2023 and that closing of the Ohio Expansion Transaction will occur in 2024.

About the Ohio Market

The Ohio medical cannabis market continues to grow with a 15% increase in number of patients and 82% increase in number of operating dispensaries over the past 12 months.²

Concurrent Private Placement

Pursuant to the Offering, the Company will offer up to 58,823,529 Common Shares at a price of $0.17 per Common Share (the “Offering Price“) for aggregate gross proceeds of up to $10 million. The Offering is subject to an over-allotment option, allowing the Company to increase the number of Common Shares sold by up to 8,823,529 additional Common Shares for additional proceeds of up to $1.5 million (the “Over-Allotment Option“). The Company may pay finders’ fees to eligible arm’s length third-parties in connection with the Over-Allotment Option.

Proceeds from the Offering, including the Over-Allotment Option (if any), are expected to be used to fund part of the purchase price for the Ohio Expansion Transaction and certain other obligations of the Company in connection with the Ohio Expansion Transaction. Closing of the Offering is expected to occur as soon as practicable, subject to certain customary conditions precedent.

The securities issued pursuant to the Offering, including the Over-Allotment Option (if any), will be subject to resale restrictions, including a hold period of four months and one day pursuant to applicable Canadian securities laws and further restrictions which will be set forth in the Shareholders Agreement (as defined below).

In connection with the Offering, the Company intends to enter into a shareholders agreement (the “Shareholders Agreement“) with certain management shareholders and other subscribers under the Offering (collectively, the “Subject Shareholders“), pursuant to which the Company and the Subject Shareholders will agree to a number of rights and restrictions applicable to the Company and the Subject Shareholders, including, without limitation, the following: (i) an agreement to vote their shares of Vext in favour of the election of the Chief Executive Officer of the Company and a nominee (the “SSOFL Nominee“) of Sopica Special Opportunities Fund Limited (“SSOFL“) to the board of directors of the Company; (ii) the grant of a right of refusal to the other Subject Shareholders for the transfer of any shares of Vext held by the Subject Shareholders; (iii) an agreement, in certain circumstances, to vote their shares of Vext in favour of any sale of the Company proposed by SSOFL and (iv) certain matters which must be approved by the board of directors of the Company (including the SSOFL Nominee), including, without limitation, (a) a liquidation of the Company; (b) the issuance of additional securities of the Company; (c) the incurrence of certain additional debt; (d) certain related party transactions; and (e) amendments to executive compensation arrangements. In connection with the Shareholders Agreement, the Company expects that the SSOFL Nominee will be appointed to the board of directors of the Company on, or as soon as practicable after, closing of the Offering. The Shareholders Agreement, when signed, will constitute applicable shareholder approval, in respect of the Offering and the Shareholders Agreement, for the purposes of the requirements of the Canadian Securities Exchange, as the Subject Shareholders hold greater than 50% of the outstanding votes associated with shares of the Company.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described in this news release in the United States or any other jurisdiction in which such offer, solicitation or sale would be unlawful. Such securities have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any state securities laws, and, accordingly, may not be offered or sold in the United States or to, or for the account or benefit of, “U.S. persons” (as those terms are defined in Regulation S under the U.S. Securities Act) absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.

Certain insiders of the Company, including SSOFL (collectively, the “Offering Insiders“), are expected to acquire securities under the Offering. Each of the Offering Insiders may be considered a “related party” as such term is defined in Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101“). Accordingly, the Offering may be a “related party transaction” as defined in MI 61-101. The Company anticipates relying on the exemption from the formal valuation requirement at Section 5.5(a) of MI 61-101 and the exemption from minority approval requirement at Section 5.7(1)(a) of MI 61-101, in respect of participation by the Offering Insiders in the Offering, as neither the fair market value of the securities to be acquired by the Offering Insiders nor the consideration for such securities is anticipated to exceed 25% of the Company’s market capitalization.

Update on APP Acquisition

As previously announced, the Company has received the approval of the Ohio Department of Commerce for the ownership transfer of Appalachian Pharm Processing, LLC, an Ohio limited liability company, together with its subsidiaries and affiliated companies (collectively, “APP“), for a total consideration of approximately $12.5 million, with $11 million paid in cash or promissory notes and $1.5 million through the issuance of Common Shares (the “APP Acquisition“). The Company is working with APP to satisfy the remaining conditions of closing and currently expects that closing of the Ohio Acquisition will occur imminently, subject to the terms of the definitive purchase agreements. For further details about the terms of the APP Acquisition, see the Company’s news releases dated December 15, 2022, and August 23, 2023. As a result of closing of the Ohio Acquisition, Vext will also obtain the right to acquire ownership of a cannabis dispensary in Columbus, Ohio. The Company has applied to the Ohio Board of Pharmacy for an ownership transfer of such dispensary and expects to receive approval this year and to close promptly after receipt of regulatory approval.

Advisors

Eight Capital acted as financial advisor, McMillan LLP and Bianchi & Brandt acted as legal counsel and LodeRock Advisors provided capital markets communication services to Vext.

About Vext Science, Inc.

Vext Science, Inc. is a U.S.-based cannabis operator with vertical operations in Arizona and Ohio. Vext’s expertise spans from cultivation through to retail operations in its key markets. Based out of Arizona, Vext owns and operates state-of-the-art cultivation facilities, fully built-out manufacturing facilities as well as dispensaries in both Arizona and Ohio. The Company manufactures Vapen, one of the leading THC concentrates, edibles, and distillate cartridge brands in Arizona. Its selection of award-winning products are created with Vext’s in-house, high-quality flower and distributed across Arizona and Ohio, as well as through Vext’s partnerships in other states. Vext’s leadership team brings a proven track record of building and operating profitable multi-state operations, with the Company having operated profitably since 2016. The Company’s primary focus is to continue growing in its core states of Arizona and Ohio, bringing together cutting-edge science, manufacturing, and marketing to provide a reliable and valuable customer experience while generating shareholder value.

Vext Science, Inc. is listed on the Canadian Securities Exchange under the symbol VEXT and trades on the OTCQX market under the symbol VEXTF. Learn more at www.vextscience.com and connect with Vext on Twitter/X and LinkedIn.

For more details on the Vapen brand:
Vapen website: VapenBrands.com
Instagram: @vapen
Facebook: @vapenbrands

Forward Looking Statements

Statements in this news release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in Vext’s periodic filings with Canadian securities regulators. When used in this news release, words such as “will, could, plan, estimate, expect, intend, may, potential, believe, should,” and similar expressions, are forward-looking statements.

Forward-looking statements may include, without limitation, statements related to the Offering including the timing and completion thereof, the exercise of the Over-Allotment Option, the use of proceeds of the Offering, Offering Insider participation in the Offering, statements related to the Shareholders Agreement, including the receipt of applicable shareholder approval, statements regarding the Ohio Expansion Transaction, including negotiation and execution of the definitive transaction agreements, the anticipated closing date and receipt of regulatory approvals related thereto, and other statements regarding future developments and the business and operations of the Vext, market projections of the cannabis industry in Ohio, and the Company’s business plans in Ohio, all of which are subject to the risk factors contained in Vext’s continuous disclosure filed on SEDAR+ at www.sedarplus.ca.

Although Vext has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended, including, but not limited to: dependence on obtaining regulatory approvals; being engaged in activities currently considered illegal under U.S. Federal laws; change in laws; reliance on management; requirements for additional financing; competition; hindered market growth and state adoption due to inconsistent public opinion and perception of the medical-use and adult-use marijuana industry and; regulatory or political change.

There can be no assurance that such information will prove to be accurate or that management’s expectations or estimates of future developments, circumstances or results will materialize. Because of these risks and uncertainties, the results or events predicted in these forward-looking statements may differ materially from actual results or events.

Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release are made as of the date of this release. Vext disclaims any intention or obligation to update or revise such information, except as required by applicable law, and Vext does not assume any liability for disclosure relating to any other company mentioned herein.

The Canadian Securities Exchange has not reviewed, approved or disapproved the content of this news release.

Eric Offenberger
Chief Executive Officer
844-211-3725

For further information:
Jonathan Ross, Vext Investor Relations
jon.ross@loderockadvisors.com
416-244-9851

NOT FOR DISTRIBUTION, DIRECTLY OR INDIRECTLY, TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES OR TO A U.S. PERSON, OR ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION

SOURCE: Vext Science, Inc

¹ Vext has entered into a definitive agreement to acquire Appalachian Pharm Processing, LLC, an Ohio limited liability company, together with its subsidiaries and affiliated companies. Subject to the terms of the definitive purchase agreements, this proposed acquisition (the “APP Acquisition”) is expected to close imminently.

² Ohio Medical Marijuana Control Program.

This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.

About Ryan Allway

Mr. Allway has over a decade of experience in the financial markets as both a private investor and financial journalist. He has been actively involved in the cannabis industry since its inception, covering public and private companies.

Founded by Fifth Generation Farmers, Venterra Farms Combines Indoor Grow Technology with Outdoor Sustainability for High-Quality, Eco-Friendly Cannabis Products

VENTURA, Calif., Feb. 1, 2023 /PRNewswire/ — California cannabis company Farming First, LLC (“The Company”) today announced the launch of Venterra Farms, a sustainably grown cannabis brand on a mission to cultivate joy. Founded by farmers who have been working the land off the Central Coast of California for five generations, the Venterra Farms is dedicated to producing the highest quality cannabis products while also being mindful of the environment.

The Company’s proprietary “hybrid farming” approach combines the best of indoor growing technology with the sustainability and cost efficiency of sun-grown outdoor cultivation. The result is an enhanced version of premium ‘light-dep’ cannabis.

“We are excited to bring our passion for farming and commitment to sustainability to the cannabis industry with our first consumer brand, Venterra Farms,” said Jered Micheli, Director of Agriculture at Farming First. “Venterra Farms is rooted in the belief that cannabis should be grown with care and attention. Our unique approach is about more than just producing high-quality cannabis. It’s about creating a better future for the local environment and future generations.”

Powered by Farming First, positioned to become California’s largest contiguous outdoor cultivation operation, Venterra Farms’ product line includes a range of cannabis strains with high terpene expression and a full spectrum of cannabinoids, each carefully selected and grown to provide the perfect combination of aroma, taste and effects.

Initial product offerings include jarred flower, pre-rolls and vape pens in the following strains: Wedding Cake, Peanut Butter Breath, Lemon Cherry Gelato, and Apples & Bananas. Additional details include:

• Jarred Flower: Hand-harvested, slow-cured sun-kissed nugs that feature the perfect balance of taste, aroma and effects.
• Pre-rolls: Single source, field-fresh flower carefully hand-harvested, slow-cured, and packed into individual tubes. No trim or fillers included.
• Vape Pens: Discrete and conveniently rechargeable, these pens are designed to preserve flavor. Cannabis derived terpenes means all ingredients come directly from cannabis for a ‘true to plant’ experience. The company extracts their own material to make the vape pen oils.
• Gummies: Full spectrum gummies, crafted with a combination of Indica and Sativa hybrid strains containing a full spectrum of cannabinoids such as CBN and CBG in each gummy. Available in four bold fruit flavors at 5MG THC per gummy.

In addition to using sustainable farming practices, Venterra Farms is deeply committed to giving back to the community and will donate a portion of its profits to organizations that support sustainable farming and environmental conservation.

The habitat plan for the company includes incorporating setbacks from native waterways to protect water quality, designated areas for preserving and restoring native grasses and plants, and the protection of a rare black walnut tree. Additionally, the use of solar power and upcycled water demonstrate the company’s commitment to reducing their environmental impact and promoting conservation.

Venterra Farms is now available at select dispensaries throughout California. For more information on Venterra Farms, visit https://venterrafarms.com/

ABOUT VENTERRA FARMS
Venterra Farms is a sustainably grown cannabis brand powered by Farming First and founded by farmers who have been cultivating the land off the Central Coast of California for five generations. Using a unique hybrid farming methodology that combines the best of indoor growing technology and cost efficiency with the sustainability of sun-grown farming, the company is dedicated to producing high-quality cannabis products while minimizing its environmental impact. In addition to its commitment to sustainability, Venterra Farms also gives back to the community by donating a portion of its profits to organizations that support sustainable farming and environmental conservation.

ABOUT FARMING FIRST
Founded in 2019, Farming First is the creator of the cannabis “hybrid farming” methodology. As a cannabis cultivator, processor, and distributor in the heart of California’s Central Coast, Farming First focuses on bringing best-in-class farming and sustainability practices to the state’s cannabis industry. With 134 acres of rolling cultivation, Farming First possesses entitlements for what will become the largest contiguous outdoor cultivation operation in California. The Company offers a plethora of options for the cannabis industry: single-source bulk wholesale cannabis; white-labeling; co-packaging; and custom farming contracts for specific needs, including dried and cured flower, fresh frozen, unique phenotypes, cannabinoid specific strains and more. Harnessing the natural resources of California’s Central Coast, Farming First supplies some of the state’s leading cannabis brands, in addition to having its own recently launched portfolio of brands. The team includes fourth- and fifth-generation farmers who know the land and are committed to growing high-quality sun-grown cannabis in the most sustainable way possible.

Media Contact:
Alice Moon
Trailblaze
[email protected]

SOURCE Farming First, LLC

This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.

About Ryan Allway

Mr. Allway has over a decade of experience in the financial markets as both a private investor and financial journalist. He has been actively involved in the cannabis industry since its inception, covering public and private companies.

While there are plenty of options when it comes to edibles, like cookies, chocolates, caramels, and mints, gummies are king. Seattle-based cannabis market intelligence firm Headset predicts that sales of edibles will hit $3 billion in 2022, and nearly three-quarters of those sales (71%) will be gummies.

So, it’s no shocker that gummies dominate a list of the top-reviewed cannabis edibles in the U.S. 

There are currently no actual central marketplaces where people can buy cannabis products and then rate or review them. And with cannabis being an especially fractured market thanks to its federally illegal status and each state having its own rules and product availability, there’s also no national “Amazon” of weed where we can find customer ratings. 

To find the top-reviewed cannabis edibles in the U.S., we looked at the only metric we can: how patients and customers rate cannabis edibles with their dollars. We turned to two intelligence firms plugged into point-of-sale systems nationwide for that data: Headset and Colorado-based intelligence firm BDSA. 

Three companies, two focused solely on cannabis gummies, currently dominate the game, racing to reach as many states as possible. They each offer many options when it comes to flavors and technology. In fact, nearly every slot in the top-selling products in legal states (except Washington) Headset analyzed is taken by some flavor or product made by one of these brands.

And between the three, they cover most of the 19 legal adult-use states and some medical-only ones.

These are the top-rated cannabis edibles across the U.S.

Wyld

This Oregon-based juggernaut is laser-focused on gummies—a product that Forbes calls “The Edible That Devoured America.” Wyld offers traditional flavors like raspberry and strawberry and less-common huckleberry and marionberry. It’s quickly establishing itself as the “it” cannabis edibles brand. 

You can buy Wyld in Oregon, Colorado, California, Arizona, Nevada, Michigan, and Washington.

Kiva

California-based Kiva’s slogan is “Cannabis confections you can count on.” The wide variety of products it sells proves that out. With chocolate bars in flavors like birthday cake and s’mores; mints with names like Tart Cherry and Blackberry CBN; espresso-, blueberry- and peppermint-flavored chocolate “bites;” and a line of chews, there’s bound to be something you’ll like. Oh, and did we mention they also make top-selling gummies?

Kiva is sold in Arizona, California, Hawaii, Illinois, Massachusetts, Michigan, Nevada, Ohio, and Oklahoma.

Wana Brands

This Colorado-based giant is expanding quickly with its unique lines of gummies. That’s probably why it’s among customers’ top choices, according to Headset and BDSA. Sure, Wana sells traditional “indica” or “sativa” gummies in flavors like strawberry, watermelon, and the always popular “assorted flavors.” It’s also a pioneer in fast-acting technology that allows for the quicker onset of the cannabis “high” meant to mimic the feeling of smoking cannabis flower. It also released a gummies line made with live rosin. This unique concentrate is made by freezing the entire cannabis plant and extracting its cannabinoids and terpenes through a heating process with no solvents. Wana Brands strongly focuses on cannabinoids, with a line of CBD-only gummies and THC gummies fortified with CBD and other cannabinoids. 

Wana Brands has the largest footprint of the top three, with sales in Arizona, Arkansas, California, Colorado, Florida, Illinois, Maryland, Massachusetts, Michigan, Missouri, Nevada, Ohio, Oklahoma, and Oregon.

Incredibles

Colorado-founded Incredibles (sometimes called “Incredibles Edibles”) is a top seller in several states, with its chocolate bars, gummies, tarts, and mints. The company is one of the first big legal cannabis chocolate-bar makers, and the results show. Chicago-based Green Thumb Industries, which operates retail outlets in several states, acquired Incredibles.

You can find Incredibles in Colorado, Maryland, Nevada, Virginia, Illinois, Massachusetts, and Ohio.

Grön

Grön’s sugar-coated gummy “pearls” are a big hit in Arizona, Oklahoma, and Oregon. Their big focus on the “minor cannabinoids,” like CBG, and a line of flavors that range from blueberry lemonade to passion orange guava, give the company an advantage. They also carry a line of chocolates.

It’s a short list of edibles brands that customers say stand out. Still, as more states go legal and more entrepreneurs can enter the game, expect these numbers to grow.

Despite its name being inspired by “Comic-Con,” CannaCon is all about business. The self-proclaimed “nation’s leading B2B cannabis conference” launched in 2014, drawing 6,000 attendees, according to CannaCon founder Bob Smart.

Expect hundreds of exhibitors, including media outlets, advisory firms, lighting companies, and manufacturers. Plan on hitting up seminars with titles like “The Future of Plant-Based Medicine,” “Improving the Customer Experience at Retail,” and “Pheno Hunt: How to Bag the Big One.”

Expect a safe space, no matter your cannabis knowledge level. And there will be no apparent consumption on site.

“CannaCon is a business show—a safe niche,” Smart said in a 2017 interview. “We made a space where any business guy who’s not in the industry can show up, walk around and feel comfortable. 

But it’s not all business. The professional weed party promoters at Sensi Magazine’s official after-parties are legendary in the industry. And if you can’t get into that event (there could be a line around the block, even if you have a ticket), have no fear. There are typically plenty of unofficial after-parties planned around the event too.

The event is big business itself, taking advantage of the rollback of COVID-19 restrictions with seven events plotted out so far for 2022 and 2023 and thousands of expected attendees.

CannaCon breaks its events out roughly by region and mostly sticks to legal adult-use cannabis states, with Mississippi being its sole exception. The Magnolia State is the newest medical state in the U.S., though there are no dispensaries currently open.

Here are the currently scheduled CannaCons nationwide—no West Coast dates have been announced.

2022

• Denver (West), Saturday and Sunday, Sept. 24-25, at the Denver Convention Center at 700 14th St.
• Richmond, Virginia (South), Friday and Saturday, Oct. 14-15, at the Greater Richmond Convention Center at 403 N. 3rd St.

2023

• Biloxi, Mississippi (South), Friday and Saturday, Feb. 24-25 at the Mississippi Coast Coliseum at 2350 Beach Blvd.
• Oklahoma City (South), Friday and Saturday, March 31-April 1, at the Oklahoma City Convention Center at 100 Mick Cornett Drive.
• Albuquerque, New Mexico (West), Friday and Saturday, May 19-20, at the Albuquerque Convention Center at 401 2nd St. NW.

If you’re a business owner, know that the program was designed with your needs front of mind—“from seed to seed money,” as the company says in its promotional material.

CannaCon calls itself “a one-stop shop for all of your cannabis business needs” and touts its events as an opportunity to “network with like-minded entrepreneurs who are also building a bold, new industry.”

Tickets range in price from $50 for a one-day pass to the expo, to $110 for a one-day pass that includes the seminars. A two-day pass is either $80 or $160, depending on whether you plan on attending the seminars.

So, put on your best casual outfit (remember this is cannabis—even “business casual” might be too dressy for this crowd). Then, pop an edible, and get ready to rub elbows with some of the biggest, brightest names in cannabis—and take home a lot of swag.

That may have you wondering if your favorite strain will also be affected? Retail is local for U.S. cannabis enthusiasts. So, global trends don’t have much of an immediate impact when it comes to getting cannabis flower from cultivators (grows) to manufacturers or retail stores (dispensaries).

However, higher fuel prices do impact transport. Plus, the manufacturers of devices like vape pens that rely on foreign metals or parts may see delays and higher prices. But overall, the transportation of cannabis itself is pretty constant, consistent, and straightforward.

According to experts and industry insiders, knowing your state’s rules and regulations is the most significant challenge. Like with everything cannabis, each state has its own requirements when it comes to marijuana’s transport (and the cash associated with it). Ultimately, it comes down to this: Safety first.

Many new businesses—with names like HARDCAR, Plymouth Armor Group, and Speedy Transporter, and staffed primarily by former military and law enforcement types—have cropped up around this new legal industry. And companies like INKAS Armored Vehicle Manufacturing and The Armored Group are turning normal-looking vans into armored vehicles specifically designed for the cannabis industry.

Long gone are the days of dispensary owners stuffing their trunks full of cannabis and taking it from the grow to the store. The pros have taken over transporting marijuana from the cultivator to the retailer, and they’re usually doing it in an fortified, bullet-proof vehicle.

But those pros face unique challenges beyond finding the right armored vehicle and security veterans to transport cannabis and its cash. Federal prohibition means that banking cannabis companies is technically illegal, so cannabis is still a cash-heavy business. And that illegal status at the national level means that transporting cannabis or money associated with it across state lines is a crime, too.

Companies like Plymouth Armor Group, which serves cannabis companies in multiple states across New England, must cross their T’s and dot their I’s and know every rule surrounding the transport of the plant in each state that it works.

In a recent interview with cannabis recruiting firm Vangst, Plymouth CEO Abbe Schnibbe and the former owner of Colorado’s first licensed cannabis transport business, Amy Sharp, gave their top advice for people looking to get into the transport business:

1. Insurance should be priority No. 1. And insurance is notoriously difficult to get in the cannabis industry

2. Law enforcement is your friend. The cops in legal states are no longer the weed-seller’s nemesis. You need them on your good side. Sharp said that goodwill goes both ways. The police appreciate an inside look at the business, its schedule, and what certain documents look like, and they’ll reciprocate that respect by looking out for you on the road.

3. Maintain strong relationships with banks and credit unions. These financial institutions are used to dealing with armored vehicles and understand state rules. For example, some states don’t allow armed guards to travel in trucks. That’s an important thing to know. And these financial institutions, which are already taking a considerable risk by working with a cannabis company, will want you to be as compliant as possible.

4. A cannabis transporter might be moving a lot of product and big money, but they shouldn’t expect to make bank. The overhead is high, and they’re technically plant-touching businesses, meaning they’re subject to Tax Code 280E.

Tax Code 280E is the cannabis industry’s No. 1 foil. The Reagan-era rule means that companies selling federally illegal narcotics, like marijuana, can’t claim the same tax deductions as other businesses. Thanks to that law, many cannabis companies see effective tax rates as high as 80%.

So when it comes to transporting cannabis from the grow to the store, U.S. consumers rarely need to worry about a supply-side crunch. But the people transporting the plant do have a lot on their plate.

By Rebecca Victoria Olmos | TheCannifornian.com Correspondent

Napa Valley, California, is a well-known destination for wine enthusiasts. The region’s Mediterranean climate is ideal for producing wine grapes, particularly Cabernet Sauvignon king red grapes.

In 2021 the average age of Cab drinkers hit over 65, according to one report, with younger demographics, like millennials showing less interest in wine purchases. The SF Chronicle reported that sales of Cabernet and wine generally have steadily declined over the last few years.

Entrepreneurs like Eric Sklar, a former winery owner, have shifted focus to a new crop to reel in visitors that also thrives in the region’s climate: Cannabis.

“[Cannabis is] a way for Napa to get young consumers up to Napa. Once we have them here, we can teach them more about the wine and the Napa valley lifestyle, but they don’t seem very interested in a $200 bottle cab right now.” Sklar shared.

Before pivoting into the cannabis industry, Sklar owned and operated a successful chain restaurant, Burrito Brothers. He recently sold his winery, Alpha Omega, and is now Co-Founder and CEO of the cannabis brand Napa Valley Fume.

His skills and experience in business and politics have prepared him for his time as a cannabis business owner and operator. The wine and weed industries have many similarities.

They are both crops that turn into consumer goods. They are consumables for adult use, can inebriate you, are heavily regulated, and have chemical compounds, like terpenes, that affect the flavor.

Fumé Brands has two different brands, the affordable, Lake Grade, and the premium, Fumé. Both come from similar grows but are separated based on their quality value. The practice is a helpful strategy that Skylar took from his previous business experience.

In wine, blends come from different blocks of grapes the vineyard grows. In the blending process, winemakers end up with leftover barrels that don’t make the cut for their expensive labels, so they bottle it up at a lower price pint.

“[In] cannabis, similarly, we don’t do blending the same way, but you may have a couple rows of plants that maybe didn’t get quite the same sunlight. Maybe the soil’s not quite as rich. And so that may not make the cut for Fumé, but is perfectly good, you know. Really good cannabis and goes into our Lake Grade.”

Sklar aims to operate cannabis tasting rooms in Napa, much like wine tasting rooms. A consumption-friendly space where Fumé brands are offered and education would be a focal point. He believes that much like sommeliers are well versed and trained in the art of wine, so are budtenders in the art of cannabis.

“Eventually, I hope that we also have some tasting rooms of our own in the cannabis country. And our staff in those tasting rooms will help teach people, but, you know, we’re always going to depend on budtenders.”

Adult-use cannabis in California only became legal in 2018. There have been many reports that the industry is struggling at various levels, including over taxation, ongoing competition with the illicit market, and lack of representation.

In Napa Valley, cannabis faces a unique set of regional challenges. One was a complaint from winery neighbors about the smell of the plants. To help local officials understand that odor was a minor issue, Sklar set up an experiment where he placed markers at different spots up to 1000 feet away from the cannabis grow.

“I rolled down the windows. I said, can you smell anything unusual? And they couldn’t smell anything again at 500 feet; again at 250 feet, it was only 150 to 175 feet away that you could smell the cannabis.”

Despite this and other complaints from vineyard neighbors, Sklar remains optimistic about the future of cannabis and wine grapes thriving in the region simultaneously.

“I think it’s really an emotional reaction saying we don’t want anybody to invade our territory with any other thing than grapes. And so they’ve been fighting it,” Sklar shared. “I do think it’s just a matter of time cuz the younger generation of winemakers, the Robin Mondavi’s, Justin Hill, Stephanie Honig, young winemakers considerably younger than I am are saying that this is ridiculous. And I think by the time they’re controlling things, cannabis and grape growing will coexist really well.”

Adult-use, full spectrum and microdose are just a few newly adopted phrases

By CHRISTINE RICCIARDI | cricciardi@denverpost.com | The Denver Post

In 2014, The Cannabist, a subsidiary of The Denver Post, published a robust glossary of need-to-know marijuana terms like flower and dabbing to help ease local consumers into the newly legal recreational market.

Since then, times have dramatically changed. You can buy edibles not just for getting high, but also for fitness and sleep aid. Cannabis “bars” where tokers can legally consume joints and THC-infused beers are on the precipice of opening. You can even score pre-made cannabutter and infused olive oil to stock your kitchen.

As times have changed, so too has the vernacular. Here are 10 more recently adopted terms you should know.

Adult-use: Synonymous with recreational marijuana; also known as retail marijuana. The term is most commonly used by regulatory agencies and public officials to distinguish recreational from medical marijuana. It emphasizes the fact that only adults age 21 and up can legally purchase cannabis.

Cart: Shorthand for cartridge. Cartridges are filled with marijuana oil concentrate and used when vaporizing the substance.

Cannabigerol (CBG): A minor cannabinoid that’s gaining popularity for use in therapeutic contexts, including to reduce inflammation, pain and nausea. The non-psychoactive compound is most commonly found in cannabis strains that are low in THC and high in CBD, including hemp.

Cannabinol (CBN): A minor cannabinoid with mildly psychoactive effects that often resemble sedation. The cannabinoid is gaining popularity as a sleep aid. It’s also been linked to reducing inflammation, helping regulate the immune system, and acting as an anticonvulsant.

Full spectrum: Refers to marijuana products that maintain a variety of cannabinoids such as THC, CBD, CBG, CBN and more, versus products created with a single, isolated cannabinoid. Full-spectrum products are touted as superior because cannabinoids are more effective when working together, a concept known as the entourage effect.

Hospitality: Refers to a type of business (or business license) that provides a space where patrons can consume cannabis. Marijuana hospitality businesses can sell marijuana products or allow patrons to bring their own. The model was legalized by the state of Colorado in 2019, though local jurisdictions need to opt in to allow these establishments. Denver approved a hospitality program in 2021.

Live rosin: A marijuana concentrate extracted from the plant without the use of a solvent, such as butane or propane. After harvest, the plant is frozen (instead of dried and cured) and then put through a press that applies heat and pressure to extract oil. Proponents of this method say the process maintains the plant’s terpene and flavor profile without the use of chemicals. Conversely, live resin is a marijuana concentrate extracted from frozen plants with the use of a solvent.

Microdose: A noun or verb that refers to consuming less than the standard serving size of THC, which is 10 milligrams. Some edibles are sold in microdoses, such as 5 or 2.5 milligrams. Some consumers microdose marijuana throughout the day by eating a little bit at a time. Also used commonly in the context of psilocybin.

Rapid onset: A term for edibles for which the effects will be felt by the consumer more quickly, sometimes as soon as 5 to 15 minutes after ingesting them.

Solvent-free: A marijuana extraction method that does not use chemicals such as butane or propone. Proponents of this method tout it as a more natural approach to extracting oil from the marijuana plant. Live rosin is an example of a solvent-free concentrate because it’s created using a press that applies heat and pressure to extract oil from the cannabis plant. Edibles can also be manufactured using solvent-free oil.

Sources: Crestco Labs, Leafly

By WILL HOUSTON | whouston@marinij.com

Novato’s second round of prospective cannabis business owners received unanimous approval from the City Council.

The council voted last week to conditionally approve three businesses, including a new cannabis delivery business, a 7-year-old cannabis testing laboratory and an all-in-one microbusiness. The businesses must receive state licenses and then return to the city for final approval before they can receive a city license.

The proposed Marin Haven would become the city’s second cannabis delivery business and is proposed to be located at 4 Commercial Drive. Attempts to contact Marin Haven owner Suzanne Brogger on Monday were unsuccessful.

The Velvet Fog Cannabis Co. also received conditional approval from the council. The microbusiness, which would include cannabis product manufacturing, distribution and delivery services, had previously received council approval as part of the first round of cannabis business applicants in 2021.

At the time, Velvet Fog was set to be located at 5400 Hanna Ranch Road, but now proposes to set up shop in a warehouse at 11 Digital Drive because of construction delays at the previous location. The company’s chief executive officer, Michael Clarkson, said he and his business partners plan to open in July or August depending on how the state and local permitting processes last.

Clarkson said they decided to start the business because he felt the cannabis industry focuses too much of its marketing and its jargon toward younger adults, but does not give enough attention to older adults.

“It’s something I think we can provide that niche in the market in our local Marin County,” Clarkson said on Monday.

The third license went to CB Labs, which has been operating since 2015 under the city’s medical marijuana program.

After adopting an ordinance in 2019 to allow for recreational cannabis businesses in Novato, the council inadvertently caused CB Labs to be out of compliance and ineligible for a license. The lab at 1615 Hill Road is located within 600 feet of the Hill Education Center at the Hill Recreation Area, which violated the city’s minimum setback rules for businesses near youth centers such as schools and playgrounds. To address this, the council reduced the minimum setbacks for testing laboratories last year to a range of up to 300 feet, with the distance at the council’s discretion.

“I’m grateful to the city of Novato for allowing us to continue to operate,” CB Labs co-owner Scot Candell, a Larkspur city council member, said on Monday. “We look forward to many years of a flourishing partnership in the future.”

All three businesses are inaccessible by the public. The city does not allow storefront retail sales of cannabis.

While the city does not have a special tax for cannabis businesses, it does enter into “community benefit agreements” where the businesses provide the city or other organizations such as nonprofits a percentage of its gross receipts each year. All three businesses will be providing 1.5% to 4% of their gross receipts in these agreements.

The city staff now plans to accept delivery business applications year-round. While the city has put a cap on the number of licenses it gives out to other businesses, such as cultivation or manufacturing operations, no cap exists for delivery businesses.

“Those are most of the inquiries I get,” Novato senior management analyst Will Morat told the council. He said requests come in every few weeks, if not weekly.

While a majority of Novato voters approved Proposition 64, the statewide ballot measure in 2016 that legalized recreational cannabis in California, some residents have expressed opposition to the change.

“I don’t have a whole lot of appreciation for the City Council allowing pot stores to open in Novato,” resident Sam Roth told the council.

By Rebecca Olmos | TheCannifornian.com Correspondent

While there are a good amount of nonalcoholic spirits on grocery store shelves, why not indulge in a cannabis-infused beverage? Canna-beverages not only replace the alcohol you’re used to having in hand, but they also help keep your spirits lifted. Also, because of the nano-emulsification process needed to break the THC down into drinkable form, cannabis-infused beverages offer a rapid onset (within 15 minutes) and rapid offset, so you can catch a buzz but still be able to move on with your evening.

Here are five delicious infused drinks to try:

1. CANN

CANN social tonics come in two different options, CBD/THC microdose flavors (four milligrams of CBD and two of THC) and their new Hi-Boy cans that are a light 5-milligram dosage. They come in a few different flavors, including grapefruit rosemary, blood orange cardamom, and lemon lavender. 

These delta-8 infused drinks are excellent for consumers looking for a little bit of a higher dosage. While they do offer a light CBD ‘sessions’ version, their classic 1:1 10 milligrams THC:10 milligrams Delta 8 ‘higher vibes’ drinks elevate the vibe just right. They come in lemon ginger, blood-orange bitters, watermelon basil, and lemon hibiscus.

These lemonades are one of the most delicious beverages I’ve come across. They offer indica, sativa, hybrid options in a much heftier 100-milligram dosage. There is one 1:1 CBD choice for users as well, and the experience can be super relaxing. The lemonades are raspberry, black cherry, honey, strawberry hibiscus, and key lime.

The weather outside is still a little chilly, and Kikoko offers lightly dosed herbal tea packets to keep you cozy through the winter. They offer microdose options for any time of the day, uplifting positivi-tea (10mg THC, 5mg CBD), a bedtime tranquili-tea (3mg THC, 5mg CBN), a sexy sensuali-tea (7mg THC), and a comfy sympa-tea (3mg THC, 20mg CBD).

If you love a good soda, these Keef colas will be just for you. The fizzy sweet treats are great on their own or can be added to ice cream to make a delightful float. They come in 10-milligram cans and bottles in flavors: Purple passion, root beer, orange, classic cola, and blue razz. 

These are just a few of many cannabis beverages available on dispensary menus. They should be located in the edible section, but feel free to ask your budtender their beverage selections!