Progress on MariMed’s Strategic Plan: Key Acquisitions and Approvals

TDR’s three key takeaways regarding MariMed’s expansion plans:

• In Massachusetts, MariMed reached a major milestone by gaining approval to sell the medication to adults at its Quincy Panacea Wellness location.
• MariMed also received a provisional dual-use license in Ohio
• MariMed’s 2024 financial forecast includes only the Hagerstown expansion

MariMed Inc. (CSE: MRMD, OTCQX: MRMD) has made significant progress toward its strategic plan with key acquisitions and regulatory approvals. The company is strategically expanding its presence in high-growth markets such as Maryland and Massachusetts. MariMed’s acquisition of Medleaf in Prince George’s County, Maryland, is a significant step in expanding the pharmacy’s operations. Medleaf, currently branded Thrive Wellness, has been closed since July 1, 2023, and MariMed plans to reopen for adult-use sales by the end of the second quarter, pending regulatory approvals. This dispensary will be MariMed’s second adult-use dispensary in Maryland, complementing its existing dispensary in Annapolis and cultivation and processing facility in Hagerstown. According to Jon Levine, CEO of MariMed, “We are thrilled to announce the closing of this acquisition. Maryland is a fantastic, rapidly growing adult-use market. Maximizing our presence here has long been one of our highest strategic priorities, and this agreement brings us closer to that goal.”

The Upper Marlboro dispensary will offer a wide range of MariMed branded products, including Nature’s Heritage, Betty’s Eddies, Bubby’s Baked, Vibations and InHouse. These products are already distributed to nearly every Maryland dispensary, providing a broad market presence. Additionally, MariMed has received state approval to expand its Hagerstown cultivation facility, which will allow it to meet the high demand for its products in the state.

In Massachusetts, MariMed reached a significant milestone by receiving approval to sell adult-use products at its Quincy Panacea Wellness location. The Massachusetts Cannabis Control Commission granted the approval, making it MariMed’s third adult-use location in the state. Adult-use sales began July 2, 2024, transforming the former medical-only location into a full-service retail location. MariMed’s branded products are available at more than 200 locations in Massachusetts, a market that will see $1.8 billion in total cannabis sales in 2023.

MariMed also received a temporary dual-use license in Ohio, allowing it to add recreational sales to its Tiffin dispensary. This approval is a key step toward expanding operations in Ohio, pending final state inspection. Jon Levine expressed satisfaction with these regulatory milestones, stating, “We are encouraged by the number of positive regulatory developments we have achieved over the past week. Many of these have been in the works for over a year, with only the Hagerstown expansion being included in our 2024 financial outlook. The potential launch of these assets in the near future is a very positive development for MariMed.”

The company’s strategic expansion and acquisitions in Maryland and Massachusetts reflect its commitment to increasing market share in high-growth markets. The company’s approach includes acquiring additional pharmacies and obtaining necessary regulatory approvals to maximize its presence. Distribution of its branded products in multiple pharmacies further increases market penetration and brand recognition for MariMed.

Obtaining regulatory approvals in Massachusetts, Maryland and Ohio is critical to MariMed’s growth. With new dispensaries and expanded cultivation, MariMed is poised to meet growing demand and increase its future revenues in line with management’s prior guidance. Want to stay up to date on Cannabis, AI, Small Cap and Crypto? Sign up for our Daily Baked in Newsletter!