Cresco Labs to Launch Adult-use Sales at Sunnyside Dispensary in Phoenix, Arizona

Rhea-AI Summary

Cresco Labs (CSE:CL) has received approval from the Arizona Department of Health Services to commence adult-use cannabis sales at its Sunnyside dispensary in Phoenix starting mid-February. Arizona is the 12th state to legalize such sales, following voter approval in November. The company highlights that Arizona represents a crucial market due to its robust medical cannabis program and consumer demand, with over 300,000 active medical patients. Cresco's strategic investment in Arizona aligns with its goal to expand its branded product offerings to a broader customer base.

Positive

• Approval for adult-use cannabis sales in Arizona, broadening customer base.
• Strategic market for Cresco with over 300,000 active medical cannabis patients.
• Arizona is one of seven states with run-rates exceeding $1 billion.

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• None.

Cresco Labs (CSE:CL) (OTCQX:CRLBF) (“Cresco” or “the Company”), one of the largest vertically integrated, multistate cannabis operators in the United States, announced today that it has received approval from the Arizona Department of Health Services to serve adult-use customers at its Sunnyside dispensary in Phoenix. The Company is expected to launch adult-use sales in mid-February. On January 22^nd, Arizona became the 12th state to begin serving adult-use cannabis customers, after a majority of residents voted in favor of the proposition last November.

Cresco Labs announces approval for adult-use cannabis sales for its Sunnyside Phoenix dispensary (Photo: Business Wire)

“As a company, our strategy is to invest our resources in only the most strategic markets with appropriate regulations and strong consumer demand. For the last 10 years, not only has Arizona administered a responsible medical cannabis program, but has also garnered strong participation with more than 300,000 active patients,” said Charlie Bachtell, CEO and Co-founder of Cresco Labs. “Arizona is among 7 of our 10 states with run-rates of more than $1 billion and is now our 5^th state to legalize adult-use. With the same playbook deployed in other states, we have invested in infrastructure, we are executing in cultivation, and we are accelerating the wholesale distribution of our branded products. Arizona has long been an important component of Cresco Labs’ strategic geographic footprint and we are thrilled to bring our portfolio of brands to more consumers at Sunnyside and at retail stores throughout the state.”

David Gacom, Regional President, West Region, added, “We are excited to welcome adult-use customers to Sunnyside Phoenix and look forward to serving them with the same enthusiasm and expertise as our Arizona medical patients. With our experience operating in states transitioning to adult-use sales, Cresco Labs has been looking forward to this historic new chapter in Arizona and we are committed to providing a seamless transition for new and existing customers alike.”

Cresco Labs’ Sunnyside dispensary is located at 2620 West Encanto Boulevard in Phoenix and is co-located with a state-of-the-art cultivation and processing facility. Cresco Labs’ wholesale strategy is also supported by another cultivation facility in Vicksburg, Arizona. For more information about Sunnyside and the launch of adult-use sales, visit Sunnyside.shop.

About Cresco Labs

Cresco Labs is one of the largest vertically integrated, multistate cannabis operators in the United States, with a mission to normalize and professionalize the cannabis industry. Employing a consumer-packaged goods (“CPG”) approach, Cresco Labs is the largest wholesaler of branded cannabis products in the U.S. Its brands are designed to meet the needs of all consumer segments and comprised of some of the most recognized and trusted brands including Cresco, Remedi, High Supply, Cresco Reserve, Good News, Wonder Wellness, FloraCal Farms and Mindy’s Chef Led Artisanal Edibles created by James Beard Award-winning chef Mindy Segal. Sunnyside, Cresco Labs’ national dispensary brand, is a wellness-focused retailer created to build trust, education and convenience for both existing and new cannabis consumers. Recognizing that the cannabis industry is poised to become one of the leading job creators in the country, Cresco Labs operates the industry’s largest Social Equity and Educational Development initiative, SEED, which was established to ensure that all members of society have the skills, knowledge and opportunity to work and own businesses in the cannabis industry. Learn more about Cresco Labs at CrescoLabs.com.

Forward Looking Statements

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company's beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company's control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as, ‘may,’ ‘will,’ ‘should,’ ‘could,’ ‘would,’ ‘expects,’ ‘plans,’ ‘anticipates,’ ‘believes,’ ‘estimates,’ ‘projects,’ ‘predicts,’ ‘potential’ or ‘continue’ or the negative of those forms or other comparable terms. The Company’s forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including but not limited to those risks discussed under "Risk Factors" in the company’s Annual Information Form dated April 28, 2020, and other documents filed by the Company with Canadian securities regulatory authorities; and other factors, many of which are beyond the control of the Company. Readers are cautioned that the foregoing list of factors is not exhaustive. Because of these uncertainties, you should not place undue reliance on the Company’s forward-looking statements. No assurances are given as to the future trading price or trading volumes of Cresco’s shares, nor as to the Company’s financial performance in future financial periods. The Company does not intend to update any of these factors or to publicly announce the result of any revisions to any of the Company’s forward-looking statements contained herein, whether as a result of new information, any future event or otherwise. Except as otherwise indicated, this press release speaks as of the date hereof. The distribution of this press release does not imply that there has been no change in the affairs of the Company after the date hereof or create any duty or commitment to update or supplement any information provided in this press release or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210201005284/en/

FAQ

When will Cresco Labs start adult-use sales in Arizona?

Cresco Labs plans to launch adult-use sales in mid-February.

What is the significance of Arizona's approval for Cresco Labs?

Arizona's approval allows Cresco to expand its customer base and capitalize on a strong market for cannabis.

How many states have legalized adult-use cannabis sales by Cresco Labs?

Arizona is the fifth state where Cresco Labs will offer adult-use cannabis sales.

What is the stock symbol for Cresco Labs?

Cresco Labs trades under the stock symbol CL on the CSE.