BLUM HOLDINGS INC. - BLMH STOCK NEWS

Blum Holdings, Inc. (OTCQB: BLMH) announced that its subsidiary, Unrivaled Brands, Inc., has filed for Chapter 11 bankruptcy following prolonged litigation with People’s California Despite reducing liabilities by $90.8 million over two years and undergoing corporate reorganization, ongoing lawsuits from People’s and its principals, including Frank Kavanaugh, have destabilized the company. The litigation history includes multiple denied court applications by People’s and a recent settlement of $9.0 million. The latest lawsuit, filed in July 2024, alleges breach of fiduciary duty and corporate waste against Unrivaled's new management.

Blüm Holdings (OTCQB: BLMH) reported strong Q2 2024 financial results, highlighting strategic progress and a net income of $23.4 million. Key highlights include:

1. Sale of Blüm Santa Ana for $24.8 million, reducing liabilities by $63.3 million since December 2021.
2. Launch of three new dispensaries in Northern California, contributing $2.1 million in revenue.
3. Total revenue of $7.2 million, up from $6.9 million in Q1 2024.
4. Debt reduction to $9.4 million, down 83% over three years.
5. Total liabilities decreased to $62.1 million from $125.3 million in August 2022.

The company's strategic restructuring and operational streamlining have positioned it for sustained growth and profitability in the California cannabis market.

Blum Holdings, a cannabis company operating across California, announced two key legal victories through its subsidiary Unrivaled Brands against People's California, The court denied People's ex parte application for a multi-million dollar judgment and granted Unrivaled a preliminary injunction, preventing People's from foreclosing on an affiliated entity's building and invalidating a previous foreclosure attempt. These victories follow almost two years of legal disputes since Sabas Carrillo became CEO. The legal decisions come after the sale of Blüm Santa Ana and a settlement intended to resolve ongoing disputes, including fraud claims against People's owners. Earlier this year, Blum Holdings distanced itself from the People's brand following child molestation allegations against People's managing member, Bernard Steimann. Unrivaled was represented by Roger Scott of Buchalter law firm and plans to continue defending against future actions from People's.

Blüm Holdings, a cannabis company, announced the sale of its Santa Ana dispensary to Haven Nectar for $24.8 million on June 10, 2024.

This transaction included $9 million in cash and $15.84 million in assumed liabilities, resulting in a $44.46 million debt elimination and a $34 million financial gain.

The sale significantly contributes to Blüm Holdings' restructuring plan initiated in August 2022, reducing the company's total liabilities by $90 million.

This strategic move aims to provide financial stability and resources for future growth.

The Santa Ana store will continue to operate under the Blüm name for up to 18 months.

On June 12, 2024, Blüm Holdings (OTCQB: BLMH) announced a favorable court ruling in an unlawful detainer action against Peoples Vape, , a subsidiary of People's California. The court's June 6, 2024 Minute Order permits Blüm Santa Ana to obtain a writ of possession, cancels People’s Vape’s rental agreement due to non-payment since March 2023, and allows for a money judgment of $102,530 in unpaid rent, $34,487 in holdover damages, and $435 in costs. The court dismissed all defenses raised by People’s Vape. Subsequently, Unrivaled Brands agreed not to enforce the order, and People’s Vape agreed to vacate the premises.

Blum Holdings (OTCQB: BLMH) reported its Q1 2024 financial results, revealing a revenue decline to $6.8 million from $8.1 million in Q4 2023. The company achieved a gross margin of 53% and decreased operating expenses by 34% to $6.1 million. Net loss improved by 61% to $3.0 million. Efforts to eliminate non-performing operations continued, with a transition to delivery-only retail and divestment of its last California cultivation facility. Unrivaled Brands became a subsidiary of Blum, executing a 1-for-100 reverse stock split and starting to trade under BLMH on February 12, 2024.

Blum Holdings Inc., a cannabis company, acknowledges the DEA's plan to reschedule marijuana as a lower-risk substance, anticipating positive changes in the industry. The company remains optimistic about the potential financial and operational benefits this move could bring. Blum expresses support for the reclassification and readiness to adapt to the evolving regulatory landscape.

Blüm Holdings, Inc. releases its '2023 Annual Report: Executive Summary', highlighting 18 months of transformation with a focus on debt reduction and operational efficiency. Despite uncertainties, the company remains committed to delivering value to customers, employees, and shareholders.

Blüm Holdings Inc. reported its full-year 2023 and fourth-quarter financial results, highlighting a 36% decrease in revenues due to a strategic slowdown in the underperforming distribution segment. However, gross profit only fell by 3%, with gross margins increasing by 18% to 53%. Net loss from continuing operations improved by 93% to $13.8 million. EBITDA loss decreased significantly to $4.0 million. The company focused on divesting underperforming assets and reducing expenses, leading to improved operational efficiency and financial performance.