This should prove highly lucrative for the company, as the state's medicinal cannabis patient count has risen from 78,000 to more than 160,000 over the last year.
The vertically integrated, Illinois-based cannabis company, Cresco Labs (CSE:CL), announced earlier this month that it had successfully closed the acquisition of Verdant Creations, which currently maintains multiple dispensary operations in Ohio.
News of the deal caused stock in the company to climb to 20.53 per share, continuing Cresco Lab's impressive 700% rally since the new year began, which means it is currently one of the highest performing pot stocks for 2021.
As a result, Cresco Labs' dispensary footprint in Ohio has now increased to five—reaching the maximum number of dispensaries allowed by government regulation—which should prove highly lucrative for the company, as the state's medicinal cannabis patient count has risen from 78,000 to more than 160,000 over the last year.
"In 2020, we demonstrated the growth and leverage that can be created by focusing only on the most strategic markets, executing high-quality cultivation at scale, distributing our branded products onto every shelf and focusing on targeted, consumer-focused, high-volume retail," Cresco Labs CEO Charlie Batchell said.
"In 2021, we're using the same playbook to go deeper in strategic states, including Ohio."
"The Verdant acquisition significantly deepens our position in Ohio, a market that looks structurally similar to Illinois and Pennsylvania in the early years of those medical markets. "
"We are thrilled to be amplifying our operations in Ohio this year and look forward to bringing our brands to more patients throughout the state."
Additionally, Cresco Labs already distributes its products to 88% of Ohio dispensaries, while also being well positioned to substantially increase its market share in the state, as the company possesses a cultivation license that allows for up to 25,000 sq. ft. of growing space.
Disclaimer: Past performance is not an indicator of future performance.
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