Keeping Up with the Distribution Channels: Cannabis One Acquires Evergreen Organix
The ink is still drying from Cannabis One’s acquisition of Evergreen Organix, a Nevada edible company that was bought for 15 million dollars. This deal will allow the already publicly traded Colorado company to expand its interests into Nevada under the Organix brand. Where the discrepancy lies is with the reported distribution routes that Organix has into Montana and other states with its edibles, as claimed by multiple news outlets like Market Exclusive and PR News Wire.
“Evergreen Organix has set up manufacturing and distribution relationships for the production of its signature suite of brands across six states: Nevada, California, Colorado, Washington, Oregon, and Montana.” Market Exclusive, April 29, 2019
As reported, Cannabis One would gain access to Organix distribution network, but in the state of Montana, all dispensaries are required to be vertically integrated which would preclude any third party marijuana products from being stocked in Montana located dispensaries. All of this begs the question: what is this Montana distribution network? Organix after publishing a news release on PR News Wire on December 7th, 2018, said:
“Evergreen Organix is a Las Vegas based producer of cannabis edibles, topical and vape products that uses only the finest ingredients and premium cannabis. Their signature line of products is soon to be available in Montana…” EGO, December 7, 2018
We had a brief call with a representative at Evergreen Organix, and they said their products are only distributed in Nevada and denied any distribution networks in other states. Clearly, there is a fair amount of misinformation being peddled. The cannabis industry’s immense differences in the laws in each state open small businesses in the industry up to problems when falsified information is being published. Inspectors or state officials getting word that a business might be carrying product they did not produce could mean the end for a business owner just due to the false information. Unfortunately, we are in a period of smoke and mirrors for cannabis news in general and the industry as a whole will continue to be damaged unless we as a collective really crack down on disinformation.
You can read the Market Exclusive press release: here
Staff, ME. “Cannabis One Agrees to Acquire Nevada’s Evergreen Organix – Market Exclusive.” Market Exclusive #1 Financial News & Analysis, Market Exclusive, 28 Apr. 2019, marketexclusive.com/cannabis-one-agrees-to-acquire-nevadas-evergreen-organix/2019/04/.
Organix, Evergreen. “Evergreen Organix Has Entered a Partnership for Manufacturing and Distribution with Honu of Washington to Offer Both Lines of Award-Winning Edibles and Topicals in Multiple States.” PR Newswire: Press Release Distribution, Targeting, Monitoring and Marketing, PR News, 7 Dec. 2018, www.prnewswire.com/news-releases/evergreen-organix-has-entered-a-partnership-for-manufacturing-and-distribution-with-honu-of-washington-to-offer-both-lines-of-award-winning-edibles-and-topicals-in-multiple-states-300762022.html.
“Evergreen Organix: Nevada & Las Vegas Marijuana Edibles.” Evergreen Organics , EGO, 2015, www.evergreenorganix.com/home.