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Good morning, and happy Thursday! We're Nicolás Rodríguez and Patricio Liddle, here with the news. It seems the cannabis Florida defeat shed light on stocks with potential, plus Pablo Zuanic explains why a Canadian cannabis underdog could be your next strategic investment. On top of that, we bring you a new merger seedling that will connect California with Amsterdam, and an interstate cannabis update to stay tuned while you do your plans for the weekend.

Even Cash Flow

MariMed (OTC: MRMD) has proven to be a relatively safe haven in the wake of Florida's cannabis legalization defeat. While other cannabis stocks heavily exposed to the Florida market, such as AYR Wellness (-70%) and Trulieve Cannabis Corp. (-49%), experienced significant declines. MariMed's losses were significantly less severe, dropping 12% over the same period. This resilience can be attributed to its strategic focus on core markets like Illinois and its strong brand performance in vape and edibles.

Meanwhile, in Canada, Decibel Cannabis (OTC: DBCCF) is poised for growth, with a projected $20 million free cash flow for 2025, yielding 54%. The company that dominated the pre-roll sector once, today holds a 4.7% market share in Canada and is moving into the vaping segment. While facing sales declines, Decibel's recent acquisition of AgMedica strengthens its position. Senior analyst Pablo Zuanic believes both stocks, MRMD and DBCCF, are undervalued and could see significant price growth by December 2025. 

A Merger Is In The Air

Three legendary cannabis genetics providers, Barney's Farm Genetics, Sensi Seeds, and ILGM, have announced a groundbreaking merger. This strategic move aims to combine their expertise, expand their global reach, and offer growers a wider range of premium cannabis genetics. The merged entity plans to go public, becoming the first publicly traded cannabis seed company. By uniting their resources and knowledge, these iconic brands will leverage installed capacity, distribution networks, and marketing, to bring quality and innovation to the industry.

"2025 will be a transformative year, not only for our business but for growers and cannabis connoisseurs worldwide," stated Derry Brett, founder of Barney's Farm Genetics and the newly formed group's CEO. "This is more than a business merger — it's a game changer, uniting our reputation for prestige genetics with Sensi's vast library of heritage seed and ILGM's loyal customer base of home growing enthusiasts. Once combined, we'll be able to offer growers the most unique, elevated, and sought-after cannabis genetics on the market."

Interstate Cannabis Update

• Advocacy groups in New York are urging Governor Hochul to appoint experienced leadership to the Office of Cannabis Management (OCM). Concerns have been raised about recent regulatory shifts that favor large corporations over small businesses and justice-involved entrepreneurs. The coalition demands a qualified executive director to ensure the implementation of equity provisions in the Marijuana Regulation and Taxation Act (MRTA).

• Illinois hemp growers and advocates have successfully delayed the implementation of new state regulations that were deemed too restrictive. The proposed rules sparked concerns over unannounced inspections, high fees, and potential barriers to social equity. The industry is advocating for revisions to ensure a fair and equitable regulatory environment.

• Michigan's cannabis market is on track to reach a staggering $10 billion in sales. The state's Cannabis Regulatory Agency (CRA) has been instrumental in balancing regulatory oversight with industry needs. By adapting to the market's evolving dynamics and addressing challenges like illicit sales and product diversion, Michigan has positioned itself as a leading cannabis market.

Predatory Practices

Missouri's cannabis industry has faced scrutiny over potential predatory practices, particularly within its microbusiness program. Investigations have highlighted concerns about individuals and groups leveraging their influence to secure licenses and control businesses. These allegations raise questions about the fairness and transparency of the state's cannabis licensing process.

Stories In The Spotlight:

• Brittney Griner To Headline Women Grow 2025 Summit, Advocating For Cannabis Reform And Women's Rights

• Cannabis Grower Receives $500K Loan From Safe Harbor For Energy-Saving Improvements

• Good Day Farm Celebrates Opening Of Huge Medical Marijuana Dispensary In Louisiana

• Psilocybin Mushroom Debate Heats Up In Detroit As The City Raids Healing Shack

• TV News Anchor Kendis Gibson Opens Up About Mental Health Struggles And Psychedelic Therapy In New Memoir

Our Writers Today

Nicolás holds a B.A. in International Relations, an M.A. in International Affairs, and an M.Phil in Public Policy. He is a doctoral student in Public and Urban Policy at The New School in New York City. After working for the United Nations in 2014, Nico pivoted his research to studying the relationship between the cannabis industry and economic development.

Patricio is a development economist with extensive experience in IT, finance, and banking. He writes about the economic and social opportunities obscured by over half a century of failed drug prohibition. Beyond his professional expertise, Pato is a committed advocate for social change, passionately working to promote harm reduction and reform drug policies.

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