Early this year, the Illinois Department of Revenue estimated that in the two years since it first launched its recreational cannabis market, Illinois had collected more than $500 million in cannabis taxes. Now the state is planning on using some of those funds to repair the societal harms caused by the failed war on drugs and decades of prohibition.

Illinois officials recently announced that they would be awarding $45 million in grants to reinvest in communities that had been hit the hardest by the drug war. Money generated from taxing the sale of recreational marijuana in the state would be used to fund these grants through the state’s Restore, Reinvest, and Renew (R3) Program. The program was created in 2019 when Illinois Governor J.B. Pritzker signed a cannabis legalization initiative into law.

This is the second time the R3 program has provided funding to reinvest in communities that were disproportionately affected by prohibition.

The $45 million will be used to provide financial support to 148 programs that are operated by small organizations in socioeconomically disadvantaged communities.

Speaking during a press conference, Governor Pritzker said that fixing the mistakes of the drug war was key to creating a “modern and equitable cannabis industry.” This means dedicating funding to underserved communities that have had little access to investment and resources, he said, noting that Illinois was proud to use funds generated from cannabis sales to help these communities heal and prosper.

The state announced in December 2021 that applications for this second funding round were open. According to the Illinois Justice Information Authority (ICJIA), there were 512 complete applications for the grants. Stakeholders and community residents then vetted these applications before settling on 148 recipients. Recipients include Resilience Partners NFP, Lifehouse Recovery Organization, Women in Need Recover, Illinois Equity Staffing LLC and the Illinois Prison Project, which all received a portion of the $1.5 million grant.

Illinois provided $31 million in grant funding under the R3 program in May 2020, a year after the state began recreational cannabis sales. The organizations that were awarded grants in the first round of grants will have their funding renewed this year as well to ensure they keep serving their communities without any disruptions.

Lt. Governor Juliana Stratton stated in a press release that the state is putting its money where its mouth is and taking steps to reduce the harms caused by the drug war. Moving forward, the R3 program will be central to the state’s efforts to reinvest in and heal underserved and unheard regions.

The way in which cannabis taxes are being put to use to help communities that were most impacted by the misguided war on drugs in Illinois shows just how much good can result when jurisdictions open their doors to legitimate marijuana companies such as Flora Growth Corp. (NASDAQ: FLGC).

NOTE TO INVESTORS: The latest news and updates relating to Flora Growth Corp. (NASDAQ: FLGC) are available in the company’s newsroom at http://cnw.fm/FLGC

About CNW420

CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

To receive instant SMS alerts, text CANNABIS to 21000 (U.S. Mobile Phones Only)

For more information please visit https://www.CNW420.com

Please see full terms of use and disclaimers on the CannabisNewsWire website applicable to all content provided by CNW420, wherever published or re-published: http://CNW.fm/Disclaimer

Do you have questions or are you interested in working with CNW420? Ask our Editor

CannabisNewsWire420
Denver, Colorado
http://www.CNW420.com
303.498.7722 Office
Editor@CannabisNewsWire.com

CNW420 is part of the InvestorBrandNetwork.

• Flora just announced the repurchase of $5 million of its outstanding common shares
• This repurchase aligns with its overall global expansion plan, and its move to grow its market reach
• These moves by Flora assure shareholders of the company’s commitment to driving shareholder value and exploring various opportunities to do so

On June 16, 2022, Flora Growth (NASDAQ: FLGC) announced that its Board of Directors had authorized the repurchase of up to $5 million of its outstanding common shares. This came in the wake of the expiration of a one-year lockup period for specific shareholders who had acquired shares before the company’s Initial Public Offering (“IPO”).

While making the announcement, Luis Merchan, Flora’s Chairman and Chief Executive Officer (“CEO”), noted:

“Flora continues to move assertively to execute its growth plans while simultaneously improving gross profit margins and reducing corporate overhead expenses.”

“We are confident in the company’s short, medium, and long-term growth prospects based on our strong in-market brand portfolio together with our cultivation and export capabilities in life sciences research,” he added (https://cnw.fm/678hm).

This move to repurchase shares aligns with Flora’s overall global expansion plan that has seen the company follow through with acquisitions of strategic brands and entities in the industry. For example, earlier in the year, Flora acquired 100% equity interests in Just Brands LLC and High Roller Private Label LLC, the owners of the JustCBD brand, for a consideration of $16 million in cash and 9.5 million in privately issued Flora common shares (https://cnw.fm/9QeQe).

The repurchase also aligns with the company’s move to grow its market reach, having announced the expansion of its operational footprint in Europe and the United Kingdom. This expansion would bank on JustCBD’s 79 products registered with the UK Novel Foods, allowing for the distribution of its growing house of brands.

At the beginning of the year, Flora’s management reiterated how the cannabis sector was ripe for the picking. Most notably, they noted how great brands and cost advantages are optimal traits for the company’s long-term market leadership and return on investment (“ROI”), emphasizing the opportunities ahead. This outlook is shaping the company’s decision-making process halfway into 2022, even as it seeks to aggressively grow its market reach, product line, and customer numbers. 

The global cannabidiol (“CBD”) industry is projected to post a CAGR of 21.3% over the forecast period (2021-2028), achieving a value of $47.22 billion, up from $4.9 billion. Flora looks to capitalize on this growth by making strategic acquisitions of key brands in the industry, aggressively expanding its market reach, and taking ownership of its brand, as evidenced by its recent repurchase of outstanding common shares.

“The repurchase program affords us the opportunity to increase our ownership in our portfolio of high quality brands through our shares, which in our view, are trading well below NAV,” noted Mr. Merchan.

These recent developments highlight Flora’s management’s confidence in where the company is headed and its potential for growth as the year progresses. It also assures shareholders of the company’s commitment to driving shareholder value and exploring various opportunities to do so. As such, this only emphasizes Flora’s value as a good investment.

For more information, visit the company’s website at www.FloraGrowth.com.

NOTE TO INVESTORS: The latest news and updates relating to FLGC are available in the company’s newsroom at https://cnw.fm/FLGC

About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

To receive instant SMS alerts, text CANNABIS to 21000 (U.S. Mobile Phones Only)

For more information please visit https://www.CannabisNewsWire.com

Please see full terms of use and disclaimers on the CannabisNewsWire website applicable to all content provided by CNW, wherever published or re-published: http://CNW.fm/Disclaimer

Do you have questions or are you interested in working with CNW? Ask our Editor

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

CannabisNewsWire is part of the InvestorBrandNetwork.

A pair of congressmen has introduced a bipartisan bill that seeks to allow cannabis companies to be listed on national stock exchanges. The bill would also grant the industry access to crucial financial services like banking, solving an issue that has plagued the industry since its inception.

Rep. Guy Reschenthaler and Rep. Troy Carter are the cosponsors of the Capital Lending and Investment for Marijuana Businesses (CLIMB) Act. Filed last week, the legislation seeks to allow cannabis and ancillary businesses to access financial services such as checking accounts, cashless payments and loans, something federal law prohibits by threatening action against financial institutions that transact with these businesses.

This has forced many cannabis businesses to operate on a cash-only basis, increasing the risk of burglaries and putting customers as well as staff in danger. Furthermore, it limits the industry’s access to capital and hinders its growth.

On top of that, the CLIMB Act tackles an issue that hasn’t been raised often in the past: allowing cannabis firms to list their stock on national stock exchanges. More specifically, the bill would ensure that major stock exchanges such as the New York Stock Exchange (NYSE) and Nasdaq could list and trade the stock of registered cannabis businesses or service providers without any federal reprisal.

The CLIMB Act would be a major boon for the industry if it is passed, legitimizing the young but lucrative industry in the eyes of Wall Street and granting cannabis businesses access to much-needed banking services. It would essentially provide protections to any individual, business or agency that “provides business assistance” to a registered cannabis business. Theoretically, the federal Small Business Administration (SBA) would now be able to service state-legal cannabis businesses without fear of reprisal from the Justice Department.

According to Carter, the CLIMB Act is a great chance to bring equity and equal opportunity to the nascent cannabis industry. In a press release, he said that lack of access to capital had proven to be the most significant barrier to entry and success in the cannabis industry. The bipartisan CLIMB Act would bring some symmetry into the cannabis ecosystem and allow communities that had been disproportionately harmed by the drug war to move into the cannabis industry and benefit, he said.

As it stands, Reschenthaler said, marijuana companies in America cannot access traditional financing and lending services, making it difficult to compete with global competitors. The CLIMB Act would eliminate these barriers to entry and give America’s cannabis industry the financial tools it needs to succeed.

When U.S.-founded cannabis companies are allowed to register on domestic stock exchanges in the same way that entities with roots abroad such as Flora Growth Corp. (NASDAQ: FLGC)  can, the competition in the industry will go up several notches due to the increased flow of capital into different companies.

NOTE TO INVESTORS: The latest news and updates relating to Flora Growth Corp. (NASDAQ: FLGC) are available in the company’s newsroom at https://cnw.fm/FLGC

About CNW420

CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

To receive instant SMS alerts, text CANNABIS to 21000 (U.S. Mobile Phones Only)

For more information please visit https://www.CNW420.com

Please see full terms of use and disclaimers on the CannabisNewsWire website applicable to all content provided by CNW420, wherever published or re-published: http://CNW.fm/Disclaimer

Do you have questions or are you interested in working with CNW420? Ask our Editor

CannabisNewsWire420
Denver, Colorado
http://www.CNW420.com
303.498.7722 Office
Editor@CannabisNewsWire.com

CNW420 is part of the InvestorBrandNetwork.

• Flora Growth is a cannabis cultivator and distributor with a base of operations in Colombia’s fertile growing climate, capable of feeding the company’s expanding international supply chain
• Colombia has undergone a number of regulatory changes in recent years as it emerges from the shadows of years-long drug wars and embraces a growing global acceptance of cannabis products
• The South American country voted in a new presidential administration in June, and Flora Growth is applauding the president-elect’s continued openness to international cannabis trade
• Flora Growth announced significant revenue growth during its year-end financial reporting in May, and the company stated it expects another 288 to 400 percent increase in revenues during the current year

Following nationwide elections that marked a historic change in Colombia’s presidency as well as its people’s social policy aspirations, emerging cannabis brand builder Flora Growth (NASDAQ: FLGC) is expressing optimism for its market opportunities, which are based on a growing cannabis cultivation operation in the South American country. 

Longtime legislator Gustavo Petro, a sitting senator and previously Mayor of Bogota, was declared Colombia’s chief executive-elect June 19 after his remaining opponent in a runoff election conceded that Petro had won the majority of the vote in an orderly transfer of authority (https://cnw.fm/Nz0Xx).

Flora Growth enjoyed explosive energy in building an international supply chain for its cannabis products under the progressive drug policy changes instituted by outgoing President Ivan Duque’s administration, and the company anticipates Petro’s approach to the market’s opportunities will further open doors for its operations. 

“We would like to congratulate President-Elect Gustavo Petro on his victory and we look forward to working with the new government to continue Colombia’s progressive momentum in the global cannabis industry,” Flora Growth Chairman and CEO Luis Merchan stated in a recent news release (https://cnw.fm/P1Ww6). 

“We are encouraged by President-Elect Petro’s stance on seeing Colombia become a leader in the legal cannabis industry and we are hopeful for progressive legislation that will allow Colombia to create a safe environment for cannabis consumption domestically — potentially leading to a recreational market in the country,” Merchan added, while observing that Colombia’s environmental and labor conditions are ideal for building successful international commerce.

Petro signaled his support of the industry last year when he stated, “The possibility of legal exportation of marijuana for recreational and medicinal purposes through licenses from the national government has friends with political power in Colombia. If Colombia does not get its act together, we’re going to lose that business” (https://cnw.fm/HKd3z).

Flora Growth operates a 100-hectare (about 247-acre) cultivation facility known as Cosechemos in the heart of Colombia’s green grower-friendly climate. From its cultivation, extraction and isolation operations at the city of Bucaramanga, much of its product goes to its GMP-certified processing facility for beauty, phytotherapeutic and nutraceutical products in the nation’s capital, Bogotá. 

The company’s license applications with Colombia’s food and drug regulatory body have included more than 20 cannabinoid-infused food and beverage products, such as juices, sparkling seltzers, gummies, chocolates, ghee butter, and healthy snack foods, that prioritize natural ingredients and value-chain sustainability (https://cnw.fm/3nCoq).

“While approximately 90% of Flora’s forecasted revenue is expected to be derived outside of Colombia, we see Colombia as particularly well suited both for production of high-quality, cost-advantaged cannabis and the manufacturing of cannabinoid-derived medical formulations that can be sold domestically and internationally,” Flora’s Chief Commercial Officer Jason Warnock added in the company news release.

Year-end financial results announced in May reported annual revenue of about $9 million — a “significantly higher” amount than the company reported a year earlier before Colombia’s change in its drug product laws went into effect and Flora launched its IPO on the Nasdaq Capital Market. And the company stated at the time that it expects revenues to grow another 288 to 400 percent during the current year (https://cnw.fm/4q3Bp).

For more information, visit the company’s website at www.FloraGrowth.com.

NOTE TO INVESTORS: The latest news and updates relating to FLGC are available in the company’s newsroom at https://cnw.fm/FLGC

About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

To receive instant SMS alerts, text CANNABIS to 21000 (U.S. Mobile Phones Only)

For more information please visit https://www.CannabisNewsWire.com

Please see full terms of use and disclaimers on the CannabisNewsWire website applicable to all content provided by CNW, wherever published or re-published: http://CNW.fm/Disclaimer

Do you have questions or are you interested in working with CNW? Ask our Editor

CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.com

CannabisNewsWire is part of the InvestorBrandNetwork.