Cannabis Trends New Jersey Among Next 4 U.S. States in Line to Legalize
NEW YORK, June 12, 2019 /PRNewswire/ -- America's cannabis market continues to expand, with 33 medical marijuana-legal states, 10 states with legalized adult consumption, and 4 states on the path to becoming the next to legalize recreational marijuana: Illinois, Ohio, New York, and New Jersey. In turn, cannabis companies are taking strategic steps to ensure their international expansion plans include making inroads into the world's largest economy. Among the cannabis companies actively positioning themselves for U.S. market penetration are Chemistree Technology Inc. (CSE:CHM) (OTCQB:CHMJF), Aurora Cannabis Inc. (NYSE:ACB) (TSX:ACB), Tilray, Inc. (NASDAQ:TLRY), HEXO Corp (TSX:HEXO) (NYSE-A:HEXO), and CannTrust Holdings Inc. (TSX:TRST) (NYSE:CTST).
New Jersey, in particular, currently has Senate and Assembly support for 3 bills that would legalize adult-use marijuana, a move that would ultimately create the need for around 100 new cannabis cultivators to meet what's expected to be an $850 million annual market by 2020. More immediately, New Jersey announced on June 3, 2019, that, starting July 1st, applications will be open for up to 108 new medical marijuana (MMJ) licenses.
In response, Chemistree Technology Inc. (CSE:CHM) (OTCQB:CHMJF) has already announced its strategic partner, Applied Cannabis Sciences of New Jersey (ACS), will be applying for all 3 permit types New Jersey is making available: cultivation endorsements, manufacturing endorsements, and dispensary endorsements. The plan is to create an on-the-ground vertically integrated model for ACS while giving Chemistree a valuable presence in the eastern U.S. cannabis market.
With other U.S. states moving toward their own forms of legalization, cannabis companies are finding various and creative ways to position themselves to score their share of the U.S. market as it emerges: Aurora Cannabis Inc. (NYSE:ACB) (TSX:ACB) formed a partnership with the mixed martial arts organization UFC that will include athlete-targeted research in Nevada; Tilray, Inc. (NASDAQ:TLRY) acquired Manitoba Harvest in Q1 2019 along with its distribution to 16,000+ retail locations in the U.S. and Canada; HEXO Corp (TSX:HEXO) (NYSE:HEXO) formed HEXO USA Inc. and onboarded a U.S.-based CFO; and CannTrust Holdings Inc. (TSX:TRST) (NYSE:CTST) started trading on the New York Stock Exchange in late February.