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Good morning and happy Monday! Nicolás Rodríguez and Patricio Liddle here. Let’s roll into the week with Aurora Cannabis waving goodbye to Uruguay, Cookies scoring a historic NCAA deal, and a peek behind the curtain at some sneaky cannabis stock debts. Buckle up for a lively start to your week with today's top stories!

Aurora Cannabis Says ‘Adiós’ To Uruguay—Here’s Why It Just Wasn’t Working

Aurora Cannabis (NASDAQ: ACB) is officially breaking up with Uruguay. After dropping a cool $263 million back in 2018 to get in on the country’s cannabis scene, Aurora is pulling the plug by the end of September 2024. Why? The market just didn’t live up to the hype.

Uruguay may have been one of the first countries to legalize weed, but the dream never fully bloomed. With high production costs, limited strain options, and lackluster THC flower availability, it was more of a buzzkill than a booming industry. And get this—over a decade since legalization, Uruguay has seen less than $30 million in exports. Ouch.

In an exclusive chat with Benzinga Cannabis, an Aurora spokesperson noted: “Our decision to exit Uruguay is part of a strategic focus on optimizing our global operations and concentrating resources on core markets that support sustainable growth.” Translation? They’re chasing the money elsewhere, where the grass is greener.

Aurora is now laser-focused on powerhouse markets like the UK, Germany, and Australia, where they’re seeing real profits roll in.

PRESENTED BY CANNABIS CAPITAL CONFERENCE

Hidden Debt: Liabilities That Can Sneak Up On You

When it comes to cannabis stocks, it’s not always what you see on the balance sheet that matters. Viridian Capital Advisors digs into hidden liabilities—like long-term tax bills and lease obligations—that most investors overlook. The result? Companies that look like bargains (think Planet 13 and MariMed) may not be undervalued. Meanwhile, firms like Schwazze and Green Thumb (OTC: GTBIF), with cleaner balance sheets, are looking like safer bets.

The bottom line is to dig deeper before you jump in, or you might find yourself stepping into a financial minefield.

Cookies Takes A Bite Out Of Alcohol’s NCAA Turf

Cookies, the California-based cannabis brand, has made history by becoming the first cannabis company to sponsor an NCAA team through a groundbreaking deal with the University of Southern California (USC). This three-year partnership will feature Cookies' branding during football games and on merchandise at the iconic USC Coliseum, focusing on promoting their CBD products. This deal could usher in a new era for cannabis marketing in collegiate sports.

Some critics are worried about exposing students to cannabis branding—because, of course, alcohol sponsorships on campuses have always been such a healthy influence.

Stories In The Spotlight

• DeSantis Urges GOP To Oppose Cannabis Legalization As Party Splits Over Trump Marijuana Endorsement

• X-Rays, Microwaves And Now What? This Company Freezes Weed At -320°F To Kill Mold And Save A Ton

• Buying Cannabis At Pharmacy Feels 'More Comfortable,' Says Owner Of Georgia Drugstore Launching Low-THC MMJ Sales

• Is Cannabis Legalization Reducing Psychiatric Drug Use? Study Reveals Interesting Trends In Benzodiazepine, Antidepressants, Antipsychotics

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 fifty years of drug prohibition. Beyond his professional expertise, Patricio is a committed advocate for social change, passionately working to promote harm reduction and reform drug policies.

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